Novartis Slips As Generics Bite Into Its Heart-Failure Drug Sales In Mixed Third Quarter

Core Insights - Novartis reported core earnings of $2.25 per share on $13.91 billion in third-quarter sales, slightly missing analyst expectations of $2.27 per share and $13.88 billion in sales [1][2] - Year-over-year, Novartis' earnings increased from $2.06 per share on $12.82 billion in sales, indicating growth in profitability despite current challenges [1][2] - Sales of the heart-failure treatment Entresto fell by 1% in constant currency to $1.88 billion, impacted by generic competition which accounted for a 7 percentage-point decline in sales [2] Financial Performance - Novartis reaffirmed its annual outlook, projecting sales growth in the high single-digit percentage range and core operating income growth in the low-teens percentage [2] - Analysts forecast earnings per share of $8.96 and total sales of $55.25 billion for the year [2] Market Reaction - Following the earnings report, Novartis stock fell 2.3% in premarket trading, reaching a price of $126.01 [3]