On Tuesday, Novartis raised the prospect of divesting its generic drugs unit Sandoz while revising upwards its revenue estimate for its two best-selling pharmaceuticals.
“Novartis has commenced a strategic review of the Sandoz Division. The review will explore all options, ranging from retaining the business to separation, in order to determine how to best maximize value for our shareholders,” said the Swiss pharma major in a statement.
It went on to add, it would have more to say on that review by the end of 2022.
Third-quarter operating profit, adjusted for special items, rose 10% to $4.47 billion, driven by higher sales of arthritis and psoriasis drug Cosentyx and heart failure treatment Entresto.
It increased its peak sales guidance for Cosentyx to at least $7 billion and for Entresto to at least $5 billion.
Sales during the third quarter rose by 6% to $13.03 billion, in line with the average analyst estimate, while core net income rose by 10% to $3.83 billion against a market consensus of $3.7 billion.