Today, Sanofi announced 2015 third quarter results. Click here to read the global press release.
For additional information on our financial performance, please see:
- Presentation and live audio webcast with senior leadership to the investment community at 9:30 a.m. Eastern Time; a replay will be available on the Investor tab of sanofi.com afterward
- Video interview with Jérôme Contamine, Executive VP, Chief Financial Officer
Sanofi Chief Executive Officer, Olivier Brandicourt, commented:
"The Group showed growth on both top and bottom line in the third quarter driven by strong performance of Genzyme, Vaccines and Emerging Markets. At the same time, we continue to make significant investments to strengthen Sanofi for the future. With the growing adoption of new products such as Aubagio®, NexGard®, Lemtrada®, and Toujeo® and the recent launch of Praluent®, we have achieved important milestones in our mission to bring innovative medicines to patients. Despite headwinds in our diabetes business, we are confident in Sanofi's long-term prospects and we look forward to sharing our roadmap for the Group on November 6, 2015."
Broad-based sales growth despite Diabetes sales erosion in the U.S.
- Group sales increased 3.4% (up 9.2% on a reported basis) to €9,591 million
- Diabetes sales decreased 6.6%, as a result of lower U.S. sales of Lantus®
- Genzyme sales (up 32.7%) showed strong momentum driven by Multiple Sclerosis products
- Vaccines sales were up 5.5% mainly driven by Emerging Markets
- Animal Health delivered another strong performance (up 9.3%) driven by NexGard®
- Emerging Markets sales increased by 11.4%
Steady financial performance taking into account higher investments in new products
- Operating expenses were €3,816m, up 7.5% at CER
- Business net income grew 5.0% at CER (up 8.3% on a reported basis) to €2,096 million
- Business EPS increased 6.1% at CER to €1.61 and grew 9.5% on a reported basis
- Subsequent event - The financial impact of a voluntary recall announced yesterday for Auvi-Q® and Allerject® in the U.S. and Canada is under evaluation and will be accounted for in Q4 2015. An initial estimate is a negative impact of approximately €100m on Business Net Income
Significant progress in advancing innovative products
- Praluent® launched in the U.S. in July and first EU launches underway
- New Drug Application for lixisenatide accepted for review by the FDA
- Primary endpoint met in second Phase III study for LixiLan in Type 2 diabetes
2015-2018 Diabetes outlook
- Accounting for recent market trends, Sanofi now projects global diabetes sales over the period of 2015-2018 to decline at an average annualized rate of between 4% and 8% at CER. Sanofi will mitigate the impact of this revised sales expectation on its business operating income by 2018 and will present the mid-term strategic and financial outlook for the Group on November 6, 2015
2015 financial guidance
- Sanofi reaffirms that it expects 2015 Business EPS to be stable to slightly growing versus 2014 at constant average exchange rates, barring unforeseen major adverse events
- In addition, the positive currency impact on 2015 full-year business EPS is estimated to be between 6% and 8%, under the assumption that exchange rates remain stable in fourth quarter at the average rates of September 2015