Novartis Beats on Q3 EPS, Raises Core Operating Income Outlook Despite $1.9B Avidity Impairment
NVS sits 28% above its 52-week low of $121.57.
Summary
Novartis beat on the bottom line with Q3 adjusted EPS of $2.46 versus $2.27 expected, though revenue of $14.522 billion came in just shy of the $14.582 billion consensus on a 4% year-over-year gain. Operating income fell 59% to $1.8 billion after a $1.9 billion partial impairment of del-desiran tied to the Avidity deal, where additional clinical work pushed out the timeline. The company flipped full-year core operating income guidance from a low single-digit decline to low single-digit growth while reaffirming low single-digit sales growth. Growth came from priority brands: Kisqali rose 37% to $1.82 billion, Scemblix jumped 67% to $593 million, and Leqvio climbed 63% to $506 million, offsetting a nine-point hit from generic competition. Shares were up 0.95% at $155.25.
At the time of this announcement, NVS was trading at $155.47 on NYSE in the Life Sciences sector, with a market capitalization of approximately $281.9B. The 52-week trading range was $121.57 to $170.46. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Benzinga.