Novartis Projects Faster Growth Through 2030 After Raising Drug Forecasts

Core Insights - Novartis AG projects a stronger growth trajectory through 2030, with expectations for key medicines and a pipeline strategy to sustain momentum into the next decade [1] - The company anticipates a compound annual sales growth rate of 5% to 6% on a constant-currency basis from 2025 to 2030, reflecting higher confidence in long-term demand drivers and upcoming drug launches [2] Financial Performance - Novartis has a strong track record of sales growth and core margin expansion, with core operating income margin reaching 41.2% for the first nine months of 2025, two years ahead of schedule [3][7] - Management expects margins to remain above 40% starting in 2029, even after accounting for dilution from the planned acquisition of Avidity Biosciences Inc [7] Product Pipeline and Sales Projections - The company raised peak sales projections for several core products, including Kisqali, now expected to generate over $10 billion in peak sales, and Scemblix, with guidance lifted to more than $4 billion [5] - Novartis highlights eight commercialized assets with multibillion-dollar potential, forming a stable base for mid-term revenue growth [6] Strategic Initiatives - Over the past two years, Novartis executed more than 30 strategic deals to bolster its pipeline and strengthen business outlook into the mid-2030s [4] - The company is entering a catalyst-heavy period with over 15 potentially submission-enabling readouts expected in the next two years [6] Expansion Plans - Novartis announced plans to expand operations in North Carolina as part of a $23 billion investment in U.S.-based infrastructure, expected to create 700 new jobs and over 3,000 indirect jobs by the end of 2030 [8]