Novartis reports strong Q2 with double-digit sales growth and core margin expansion; raises FY 2025 core operating income guidan

  • Ad hoc announcement pursuant to Art. 53 LR Q2 net sales grew +11% (cc 1 , +12% USD) with core operating income 1 up +21% (cc, +20% USD) Sales growth driven by continued strong performance from Kisqali (+64% cc), Entresto (+22% cc), Kesimpta (+33% cc), Scemblix (+79% cc), Leqvio (+61% cc) and Pluvicto (+30% cc) Core operating income margin1 reached 42.2%, +340 basis points (cc), mainly driven by higher net sales Q2 operating income grew +25% (cc, +21% USD); net income up +26% (cc, +24% USD) Q2 core EPS 1 grew +24% (cc, +23% USD) to USD 2.42 Q2 free cash flow 1 of USD 6.3 billion (+37% USD) driven by higher net cash flows from operating activities H1 net sales up +13% (cc, +12% USD) and core operating income up +24% (cc, +21% USD) Q2 selected innovation milestones: Pluvicto Phase III PSMAddition study positive readout in PSMA+ mHSPC Vanrafia (atrasentan) FDA accelerated approval for IgAN OAV101 IT US and EU submissions for SMA Votoplam Phase II PIVOT-HD study positive readout in Huntington's disease Remibrutinib Phase II study positive readout in food allergy Initiating up-to USD 10 billion share buyback to be completed by year-end 2027 Full-year 2025 guidance 2 raised for core operating income Sales expected to grow high single digit (unchanged) Core operating income expected to grow low teens (from low double-digit) 1.