Novartis, the Swiss pharmaceutical major, has announced a raise in its full-year guidance following a strong first half performance. In addition, the company has initiated a share buyback program worth up to $15 billion, which is expected to be completed by the end of 2025.
For the current year, Novartis now anticipates sales growth in the high single digits, surpassing its previous expectation of mid-single-digit growth. Furthermore, the company expects group core operating income to grow in the low double digits, compared to its previous projection of high-single-digit growth.
Novartis has also revealed that its board has given approval for the separation of its generics unit, Sandoz, through a 100% spinoff planned for the fourth quarter of this year.
During the second quarter, Novartis reported an increase in net profit to $2.32 billion from $1.70 billion in the same period last year. Sales also saw an uptick, rising to $13.62 billion from $12.78 billion. Operating income grew to $2.92 billion from $2.23 billion, while core earnings per share rose to $1.83 from $1.56, according to company figures.