Sanofi(SNY) - 2025 Q2 - Quarterly Report

1. Condensed Half-Year Consolidated Financial Statements Sanofi's condensed half-year consolidated financial statements for H1 2025 provide an overview of the company's financial position and performance Consolidated Balance Sheets - Assets Sanofi's consolidated assets decreased by June 30, 2025, driven by Opella asset reclassification, with a notable increase in cash and cash equivalents Consolidated Balance Sheet - Assets (June 30, 2025 vs. December 31, 2024) | (€ million) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Property, plant and equipment owned | 9,574 | 10,091 | | Goodwill | 40,283 | 43,384 | | Other intangible assets | 20,431 | 22,629 | | Non-current assets | 87,942 | 90,210 | | Inventories | 9,618 | 9,431 | | Accounts receivable | 7,810 | 7,677 | | Cash and cash equivalents | 15,359 | 7,441 | | Assets held for sale | 238 | 13,489 | | Current assets | 37,017 | 42,588 | | Total assets | 124,959 | 132,798 | - Total assets decreased by €7,839 million, from €132,798 million at December 31, 2024, to €124,959 million at June 30, 2025[2] - Assets held for sale significantly decreased from €13,489 million to €238 million, reflecting the Opella transaction[2] Consolidated Balance Sheets - Equity and Liabilities Sanofi's consolidated equity and liabilities decreased by June 30, 2025, consistent with asset reduction, influenced by Opella divestment and share repurchases Consolidated Balance Sheet - Equity and Liabilities (June 30, 2025 vs. December 31, 2024) | (€ million) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Equity attributable to equity holders of Sanofi | 70,008 | 77,507 | | Total equity | 70,279 | 77,857 | | Long-term debt | 13,200 | 11,791 | | Non-current liabilities | 25,621 | 25,779 | | Accounts payable | 7,075 | 7,551 | | Short-term debt and current portion of long-term debt | 7,309 | 4,209 | | Liabilities related to assets held for sale | 2 | 2,131 | | Current liabilities | 29,059 | 29,162 | | Total equity and liabilities | 124,959 | 132,798 | - Total equity decreased by €7,578 million, from €77,857 million at December 31, 2024, to €70,279 million at June 30, 2025[4] - Liabilities related to assets held for sale decreased significantly from €2,131 million to €2 million[4] Consolidated Income Statements Sanofi's H1 2025 net income surged, primarily from a significant gain on discontinued operations (Opella), complemented by growth in net sales and operating income Consolidated Income Statement (H1 2025 vs. H1 2024) | (€ million) | June 30, 2025 (6 months) | June 30, 2024 (6 months) | | :--- | :--- | :--- | | Net sales | 19,889 | 18,360 | | Gross profit | 15,460 | 13,923 | | Operating income | 3,759 | 2,768 | | Income before tax and investments accounted for using the equity method | 3,582 | 2,462 | | Net income from continuing operations | 2,956 | 2,061 | | Net income from discontinued operations | 2,881 | 202 | | Net income | 5,837 | 2,263 | | Net income attributable to equity holders of Sanofi | 5,812 | 2,246 | | Basic earnings per share (€) | 4.74 | 1.80 | | Diluted earnings per share (€) | 4.72 | 1.79 | - Net income attributable to equity holders of Sanofi increased by 158.8% from €2,246 million in H1 2024 to €5,812 million in H1 2025[6] - Net income from discontinued operations surged from €202 million in H1 2024 to €2,881 million in H1 2025[6] Consolidated Statements of Comprehensive Income Sanofi's H1 2025 total comprehensive income decreased despite higher net income, primarily due to significant negative currency translation differences Consolidated Statements of Comprehensive Income (H1 2025 vs. H1 2024) | (€ million) | June 30, 2025 (6 months) | June 30, 2024 (6 months) | | :--- | :--- | :--- | | Net income | 5,837 | 2,263 | | Subtotal: items not subsequently reclassifiable to profit or loss from continuing operations (A) | 241 | 166 | | Subtotal: items subsequently reclassifiable to profit or loss from continuing operations (B) | (5,318) | 1,067 | | Other comprehensive income/(loss) from continuing operations for the period, net of taxes (A+B) | (5,077) | 1,233 | | Other comprehensive income/(loss) for the period from discontinued operations, net of taxes (C) | 303 | (23) | | Comprehensive income | 1,063 | 3,496 | - Comprehensive income decreased by 69.6% from €3,496 million in H1 2024 to €1,063 million in H1 2025[8] - Change in currency translation differences shifted from a gain of €1,040 million in H1 2024 to a loss of €(5,203) million in H1 2025[8] Consolidated Statements of Changes in Equity Total equity decreased from January 1 to June 30, 2025, driven by dividend payments and share repurchases, partially offset by net income Consolidated Statements of Changes in Equity (January 1, 2025 to June 30, 2025) | (€ million) | Balance at January 1, 2025 | Comprehensive income for the period | Dividend paid out of 2024 earnings | Share repurchase program | Balance at June 30, 2025 | | :--- | :--- | :--- | :--- | :--- | :--- | | Equity attributable to equity holders of Sanofi | 77,507 | 1,076 | (4,772) | (3,988) | 70,008 | | Equity attributable to non-controlling interests | 350 | (13) | (32) | — | 271 | | Total equity | 77,857 | 1,063 | (4,772) | (3,988) | 70,279 | - Total equity decreased from €77,857 million at January 1, 2025, to €70,279 million at June 30, 2025[11] - A dividend of €4,772 million (€3.92 per share) was paid out of 2024 earnings[11] Consolidated Statement of Cash Flows Sanofi's H1 2025 cash and cash equivalents surged, driven by a substantial net cash inflow from the Opella divestment, despite increased financing cash usage Consolidated Statement of Cash Flows (H1 2025 vs. H1 2024) | (€ million) | June 30, 2025 (6 months) | June 30, 2024 (6 months) | | :--- | :--- | :--- | | Net cash provided by/(used in) operating activities | 3,555 | 1,422 | | Net cash provided by/(used in) investing activities | 8,727 | (3,413) | | Net cash inflow from the Opella transaction | 10,742 | — | | Net cash provided by/(used in) financing activities | (4,489) | 89 | | Net change in cash and cash equivalents | 7,918 | (1,915) | | Cash and cash equivalents, end of period | 15,359 | 6,795 | - Net cash provided by operating activities increased by 150% from €1,422 million in H1 2024 to €3,555 million in H1 2025[16] - Net cash provided by investing activities significantly improved from a net outflow of €3,413 million in H1 2024 to a net inflow of €8,727 million in H1 2025, largely due to the €10,742 million cash inflow from the Opella transaction[16] Notes to the Condensed Half-Year Consolidated Financial Statements as of June 30, 2025 This section provides detailed notes to Sanofi's H1 2025 consolidated financial statements, including accounting policies, significant transactions, and other relevant information Introduction Sanofi, a global healthcare leader, had its H1 2025 condensed consolidated financial statements reviewed by the Board on July 30, 2025 - Sanofi is a global healthcare leader engaged in the research, development, and marketing of therapeutic solutions[22] - The company is listed in Paris (Euronext: SAN) and New York (Nasdaq: SNY)[22] - The condensed consolidated financial statements for the six months ended June 30, 2025, were reviewed by the Sanofi Board of Directors on July 30, 2025[23] A/ Basis of Preparation of the Half-Year Financial Statements and Accounting Policies This section details the basis for Sanofi's half-year financial statements, covering IAS 34, IFRS, estimates, hyperinflationary economies, fair value, and new IASB pronouncements A.1. International Financial Reporting Standards (IFRS) This section details Sanofi's adherence to IFRS for its half-year consolidated financial statements, noting compliance with IAS 34 and IASB pronouncements - The half-year consolidated financial statements are prepared in condensed format in accordance with IAS 34 (Interim Financial Reporting)[24] - Accounting policies comply with IFRS as endorsed by the European Union and issued by the IASB, and are identical to those applied as of December 31, 2024[25] - The IASB amendment 'Lack of Exchangeability' (IAS 21), applicable from January 1, 2025, does not have a material impact on Sanofi's financial statements[26] A.2. Use of Estimates and Judgments Financial statement preparation requires management estimates and assumptions, which may differ from actual results, particularly for income tax expense - The preparation of financial statements requires management to make reasonable estimates and assumptions, which may affect reported amounts and disclosures[28] - Actual results could differ from these estimates[29] - Income tax expense is determined based on an estimate of the effective tax rate for the full financial year, applied to business operating income[30] A.3. Seasonal Trends Sanofi's business activities are not subject to significant seasonal fluctuations - Sanofi's activities are not subject to significant seasonal fluctuations[32] A.4. Consolidation and Foreign Currency Translation of Subsidiaries in Hyperinflationary Economies This section details consolidation and foreign currency translation for subsidiaries in hyperinflationary economies, including Venezuela, Argentina, and Turkey - Sanofi continues to use the full consolidation method for Venezuelan subsidiaries, with an immaterial contribution to consolidated financial statements[33] - Argentina has been treated as a hyperinflationary economy since July 1, 2018, and Turkey since January 1, 2022, with IAS 29 applied, and the impact of restatements is immaterial at the group level[34][35] A.5. Fair Value of Financial Instruments This section describes fair value measurement of financial instruments using a three-level hierarchy based on input observability, per IFRS 13 and IFRS 7 - Fair value measurements are classified using a three-level hierarchy based on input observability, as per IFRS 13 and IFRS 7[36] - Level 1 includes quoted prices in active markets for identical assets or liabilities[36] - Level 3 involves valuation techniques where not all important inputs are derived from observable market data, such as for unquoted equity instruments and contingent consideration receivable[36][38] A.6. New Pronouncements Issued by the IASB and Applicable from 2026 This section outlines new IASB pronouncements applicable from 2026, including IFRS 18 and amendments to IFRS 9 and IFRS 7, with no material impact expected - Sanofi will not early adopt IFRS 18 (Presentation and Disclosure in Financial Statements), applicable from January 1, 2027, and an impact assessment is underway[39] - Amendments to IFRS 9 and IFRS 7 (classification and measurement of financial instruments), applicable no earlier than January 1, 2026, are not expected to have a material impact, and Sanofi will not early adopt them[40] - Sanofi does not expect any material impact from 'Annual Improvements to IFRS' (Volume 11) or 'Contracts referencing nature-dependent electricity' amendments to IFRS 9 and IFRS 7, both applicable from January 1, 2026, and will not early adopt them[41][42] B/ Significant Information for the First Half of 2025 This section details significant financial and operational events in H1 2025, covering major transactions, asset changes, equity, debt, litigation, revenue, and segment results B.1. Significant Transactions for the First Half of 2025 This section highlights Sanofi's significant H1 2025 transactions, including the Opella divestment, Dren-0201 acquisition, and agreements for Vigil Neuroscience and Blueprint Medicines - Sanofi lost control of Opella on April 30, 2025, retaining a 48.2% equity interest in OPAL JV Co, resulting in a net gain of €2.7 billion and a net cash inflow of €10.7 billion[43][44][47] - Acquired 100% of Dren-0201, Inc. on May 27, 2025, for $600 million (plus $1.3 billion in potential future payments), adding SAR448501 to its immunology pipeline[49][51][52] - Agreed to acquire Vigil Neuroscience, Inc. for approximately $470 million equity value (plus CVRs) and Blueprint Medicines Corporation for approximately $9.1 billion equity value (plus CVRs), with both expected to close in H2 2025[54][56][58][60] B.2. Property, Plant and Equipment This section details Sanofi's property, plant, and equipment, showing increased acquisitions in H1 2025 and firm orders as of June 30, 2025 Acquisitions of Property, Plant and Equipment by Operating Segment | (€ million) | June 30, 2025 | June 30, 2024 | | :--- | :--- | :--- | | Acquisitions | 702 | 591 | | Biopharma | 663 | 535 | | Opella (discontinued operation) | 39 | 56 | - Acquisitions of property, plant and equipment increased by €111 million in H1 2025 compared to H1 2024[62] - Firm orders for property, plant and equipment stood at €732 million as of June 30, 2025[62] B.3. Goodwill and Other Intangible Assets This section details movements in goodwill and other intangible assets, noting a decrease in goodwill due to exchange rates and changes in consolidation scope - Goodwill decreased from €43,384 million at December 31, 2024, to €40,283 million at June 30, 2025, mainly due to the impact of changes in exchange rates[63] Movements in Other Intangible Assets (H1 2025) | (€ million) | Acquired R&D | Products, trademarks and other rights | Software | Total other intangible assets | | :--- | :--- | :--- | :--- | :--- | | Carrying amount at January 1, 2025 | 8,369 | 13,841 | 419 | 22,629 | | Changes in scope of consolidation | 500 | — | — | 500 | | Acquisitions and other increases | 332 | 302 | 42 | 676 | | Currency translation differences | (1,339) | (5,159) | (49) | (6,547) | | Carrying amount at June 30, 2025 | 8,048 | 11,984 | 399 | 20,431 | - The 'Changes in scope of consolidation' line mainly comprises the intangible asset recognized as part of the Dren-0201, Inc. acquisition[64] B.4. Impairment of Intangible Assets This section reports impairment losses recognized in H1 2025, primarily linked to research and development projects - Impairment losses of €210 million were recognized in the first half of 2025, linked to research and development projects[65] B.5. Investments Accounted for Using the Equity Method This section details Sanofi's equity method investments, showing a significant increase primarily due to the OPAL JV Co investment Investments Accounted for Using the Equity Method | (€ million) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | OPAL JV Co (48.2% interest) | 3,239 | — | | EUROAPI (29.6% interest) | 82 | 82 | | Infraserv GmbH & Co. Höchst KG (31.2% interest) | 93 | 102 | | MSP Vaccine Company (50.0% interest) | 79 | 81 | | Other investments | 70 | 51 | | Total | 3,563 | 316 | - Total investments accounted for using the equity method significantly increased from €316 million at December 31, 2024, to €3,563 million at June 30, 2025, primarily due to the €3,239 million investment in OPAL JV Co[67] - Share of profit from investments accounted for using the equity method was €85 million in H1 2025, compared to a net loss of €22 million in H1 2024, including €11 million from OPAL JV Co[69] B.6. Other Non-Current Assets This section details other non-current assets, showing an increase driven by equity instruments at fair value through other comprehensive income Other Non-Current Assets | (€ million) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Equity instruments at fair value through other comprehensive income | 2,105 | 1,559 | | Debt instruments at fair value through other comprehensive income | 362 | 357 | | Other financial assets at fair value through profit or loss | 965 | 1,027 | | Pre-funded pension obligations | 146 | 156 | | Long-term prepaid expenses | 143 | 152 | | Long-term loans and advances and other non-current receivables | 382 | 502 | | Derivative financial instruments | 6 | — | | Total | 4,109 | 3,753 | - Total other non-current assets increased by €356 million from €3,753 million at December 31, 2024, to €4,109 million at June 30, 2025[74] - Equity instruments at fair value through other comprehensive income increased by €546 million[74] B.7. Accounts Receivable This section details accounts receivable, showing a decrease in overdue amounts from December 31, 2024, to June 30, 2025 Accounts Receivable | (€ million) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Gross value | 7,896 | 7,777 | | Allowances | (86) | (100) | | Carrying amount | 7,810 | 7,677 | Ageing Profile of Overdue Accounts Receivable (Gross Value) | (€ million) | <1 month | 1-3 months | 3-6 months | 6-12 months | > 12 months | | :--- | :--- | :--- | :--- | :--- | :--- | | As of June 30, 2025 | 122 | 103 | 73 | 48 | 40 | | As of December 31, 2024 | 316 | 194 | 87 | 9 | 44 | - Overdue accounts receivable (gross value) decreased from €650 million at December 31, 2024, to €386 million at June 30, 2025[75] B.8. Consolidated Shareholders' Equity This section details consolidated shareholders' equity movements, including significant share repurchases, treasury share cancellations, and restricted share plan expenses - Sanofi repurchased 39,344,633 of its own shares for €3,988 million in H1 2025 under a share repurchase program[80] - Treasury shares amounting to €3,868 million were cancelled in H1 2025[83] - The total expense recognized for restricted share plans was €146 million in H1 2025, with 11,550,347 shares not yet fully vested[86] B.9. Debt, Cash and Cash Equivalents This section details Sanofi's debt, cash, and cash equivalents, showing a decrease in net debt due to bond issuances and redemptions Debt, Cash and Cash Equivalents | (€ million) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Long-term debt | 13,200 | 11,791 | | Short-term debt and current portion of long-term debt | 7,309 | 4,209 | | Total debt | 20,519 | 16,137 | | Cash and cash equivalents | (15,359) | (7,441) | | Net debt | 5,102 | 8,772 | - Net debt decreased by €3,670 million from €8,772 million at December 31, 2024, to €5,102 million at June 30, 2025[94] - Sanofi issued €3 billion in bonds and redeemed €1.85 billion in bonds during H1 2025[99] B.10. Derivative Financial Instruments This section details Sanofi's derivative financial instruments for operating and financial currency hedging, and interest rate management Operating Currency Hedging Instruments (June 30, 2025) | (€ million) | Notional amount | Fair value | | :--- | :--- | :--- | | Forward currency sales | 6,619 | 133 | | Forward currency purchases | 4,418 | (84) | | Total | 11,037 | 49 | Financial Currency Hedging Instruments (June 30, 2025) | (€ million) | Notional amount | Fair value | | :--- | :--- | :--- | | Cross currency seller swaps | 1,476 | 5 | | Forward currency sales | 7,723 | 176 | | Forward currency purchases | 3,609 | (44) | | Total | 12,808 | 137 | - Sanofi uses interest rate swaps with a total notional amount of €2,348 million and a fair value of €(88) million to manage financial exposure[108] B.11. Liabilities Related to Business Combinations and Non-Controlling Interests This section details liabilities related to business combinations and non-controlling interests, showing a decrease due to payments and currency translation Movements in Liabilities Related to Business Combinations and Non-Controlling Interests (H1 2025) | (€ million) | Balance at January 1, 2025 | Payments made | Fair value remeasurements through profit or loss | Currency translation differences | Balance at June 30, 2025 | | :--- | :--- | :--- | :--- | :--- | :--- | | Total | 641 | (72) | 72 | (77) | 564 | | Of which: Non-current portion | 569 | — | — | — | 564 | | Of which: Current portion | 72 | (72) | — | — | — | - Liabilities related to business combinations and non-controlling interests decreased from €641 million at January 1, 2025, to €564 million at June 30, 2025[110] - The main component is the contingent consideration liability towards Shire (Translate Bio acquisition), measured at €563 million as of June 30, 2025[112] B.12. Non-Current Provisions and Other Non-Current Liabilities This section details non-current provisions and other non-current liabilities, showing a decrease due to changes in provisions and other liabilities Non-Current Provisions and Other Non-Current Liabilities | (€ million) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Provisions | 5,003 | 5,762 | | Other non-current liabilities | 2,113 | 2,334 | | Total | 7,116 | 8,096 | - Total non-current provisions and other non-current liabilities decreased by €980 million from €8,096 million at December 31, 2024, to €7,116 million at June 30, 2025[115] - Other non-current liabilities include €1,756 million relating to royalties payable to Sobi on net sales of Beyfortus in the United States[115] B.13. Off Balance Sheet Commitments This section outlines Sanofi's off-balance sheet commitments, including a significant license and collaboration agreement with Earendil Labs - Sanofi entered into a license and collaboration agreement with Earendil Labs for two bispecific antibodies, involving an upfront payment of $125 million and potential milestone payments up to $1.7 billion[123] B.14. Litigation and Arbitration Proceedings This section details Sanofi's litigation and arbitration proceedings, including Zantac product litigation settlements and the Plavix Attorney General action - Sanofi reached several settlement deals in April 2025, resolving a majority of the Zantac product litigation in the Delaware State Court consolidated litigation[127] - The Delaware Supreme Court reversed the Superior Court's denial of Defendants' Daubert motion regarding Zantac, remanding findings for consistency[128] - Sanofi settled the Plavix (clopidogrel) Attorney General action in Hawaii, with Sanofi US paying $350 million[132] B.15. Other Operating Income and Expenses This section details other operating income and expenses, noting increased expenses primarily related to Regeneron and gains on asset disposals Other Operating Income and Expenses (H1 2025 vs. H1 2024) | (€ million) | June 30, 2025 (6 months) | June 30, 2024 (6 months) | | :--- | :--- | :--- | | Other operating income | 533 | 563 | | Other operating expenses | (2,476) | (1,977) | | Other operating income/(expenses), net related to Regeneron | (2,261) | (1,745) | - Other operating expenses increased by €499 million, primarily due to €2,331 million in expenses related to Regeneron in H1 2025[139][141] - Gains on disposals of assets and operations, primarily non-strategic products, amounted to €344 million in H1 2025[140] B.16. Restructuring Costs and Similar Items This section details restructuring costs and similar items, showing a decrease in H1 2025 due to reduced employee-related expenses and R&D reorganization impacts Restructuring Costs and Similar Items (H1 2025 vs. H1 2024) | (€ million) | June 30, 2025 (6 months) | June 30, 2024 (6 months) | | :--- | :--- | :--- | | Employee-related expenses | 201 | 810 | | Charges, gains or losses on assets | 109 | (27) | | Costs of transformation programs | 80 | 114 | | Other restructuring costs | 40 | 163 | | Total | 430 | 1,060 | - Restructuring and similar costs decreased by €630 million in H1 2025 compared to H1 2024[145] - The decrease is mainly because H1 2024 included significant impacts from the Job Management and Career Paths (GEPP) program and R&D reorganization[145] B.17. Other Gains and Losses, and Litigation This section details other gains and losses, and litigation, noting a reduced charge in H1 2025 compared to H1 2024's significant Plavix provision - Other gains and losses, and litigation resulted in a charge of €57 million in H1 2025, mainly related to major litigation[146] - This compares to a charge of €450 million in H1 2024, which mainly comprised a provision for Plavix litigation in Hawaii[146] B.18. Financial Expenses and Income This section details financial expenses and income, showing a decrease in net financial expenses in H1 2025, including a Beyfortus royalties expense Financial Expenses and Income (H1 2025 vs. H1 2024) | (€ million) | June 30, 2025 (6 months) | June 30, 2024 (6 months) | | :--- | :--- | :--- | | Financial expenses | (361) | (583) | | Financial income | 184 | 277 | | Net financial income/(expenses) | (177) | (306) | | Cost of debt | (219) | (306) | | Interest income | 162 | 239 | - Net financial expenses decreased from €(306) million in H1 2024 to €(177) million in H1 2025[148] - A financial expense of €50 million was recorded in H1 2025 for the remeasurement of the liability for estimated future royalties on Beyfortus sales in the US[150] B.19. Income Tax Expense This section details income tax expense and the effective tax rate, noting an increase in H1 2025, including the impact of Pillar Two Income Tax Expense (H1 2025 vs. H1 2024) | (€ million) | June 30, 2025 (6 months) | June 30, 2024 (6 months) | | :--- | :--- | :--- | | Current taxes | (1,202) | (1,108) | | Deferred taxes | 491 | 729 | | Total | (711) | (379) | | Income before tax and investments accounted for using the equity method | 3,582 | 2,462 | Effective Tax Rate Reconciliation (H1 2025 vs. H1 2024) | (as a percentage) | June 30, 2025 (6 months) | June 30, 2024 (6 months) | | :--- | :--- | :--- | | Standard tax rate applicable in France | 25.8 | 25.8 | | Difference between the standard French tax rate and the rates applicable to Sanofi | (7.3) | (15.5) | | Revisions to tax exposures and settlements of tax disputes | 2.3 | 2.3 | | Other | (1.0) | 2.8 | | Effective tax rate | 19.8 | 15.4 | - The effective tax rate increased from 15.4% in H1 2024 to 19.8% in H1 2025, including a €17 million tax expense for the estimated impact of Pillar Two in H1 2025[153][155] B.20. Revenue from Contracts with Customers This section details revenue from contracts with customers, showing increased total net sales in H1 2025, driven by strong Dupixent and Beyfortus growth Net Sales by Product (H1 2025 vs. H1 2024) | (€ million) | June 30, 2025 | June 30, 2024 | | :--- | :--- | :--- | | Total Group Net sales | 19,889 | 18,360 | | Dupixent | 7,312 | 6,138 | | ALTUVIIIO | 542 | 280 | | Nexviazyme/Nexviadyme | 387 | 320 | | RSV vaccine (Beyfortus) | 356 | 200 | - Total net sales increased by 8.3% from €18,360 million in H1 2024 to €19,889 million in H1 2025[157] - Dupixent sales grew by 19.1% to €7,312 million, and RSV vaccine (Beyfortus) sales increased by 78% to €356 million[157] B.21. Segment Information This section provides segment information, identifying Biopharma as Sanofi's single operating segment and detailing its net sales and business operating income - Sanofi operates as a single operating segment: Biopharma, which includes commercial operations, R&D, production, and support functions[161][162] - 'Business operating income' is the key internal performance indicator used by Sanofi's chief operating decision maker[164] Biopharma Segment Results (H1 2025 vs. H1 2024) | (€ million) | June 30, 2025 | June 30, 2024 | | :--- | :--- | :--- | | Net sales | 19,889 | 18,360 | | Business operating income | 5,347 | 4,916 | | Net sales (United States) | 9,535 | 8,292 | | Net sales (Europe) | 4,144 | 4,072 | B.22. Information Related to Opella, Presented Within Assets Held for Sale and Discontinued Operations This section provides information on Opella, presented as assets held for sale and discontinued operations, following its April 30, 2025 divestment - The Opella transaction closed on April 30, 2025, leading to the derecognition of all assets and liabilities of Opella subsidiaries[178] Opella Assets and Liabilities Held for Sale (December 31, 2024) | (€ million) | December 31, 2024 | | :--- | :--- | | Total assets held for sale | 13,489 | | Total liabilities related to assets held for sale | 2,131 | Net Income from Discontinued Operations (Opella) (H1 2025 vs. H1 2024) | (€ million) | June 30, 2025 | June 30, 2024 | | :--- | :--- | :--- | | Net sales and other revenues | 1,736 | 2,645 | | Operating income | 266 | 277 | | Gain on disposal of Opella before tax | 2,781 | — | | Net income from discontinued operations (Opella) | 2,881 | 202 | | Basic earnings per share (in euros) | 2.34 | 0.16 | C/ Events Subsequent to June 30, 2025 Subsequent to June 30, 2025, Sanofi agreed to acquire Vicebio Ltd for $1.15 billion upfront, expanding its vaccine pipeline with an RSV and hMPV candidate - On July 22, 2025, Sanofi agreed to acquire Vicebio Ltd for a total upfront payment of $1.15 billion, with potential milestone payments of up to $450 million[181] - The acquisition brings an early-stage combination vaccine candidate for respiratory syncytial virus (RSV) and human metapneumovirus (hMPV)[181] - The transaction is expected to close in the fourth quarter of 2025, subject to customary closing conditions[181]