Novartis AG (NYS: NVS) has raised its full-year revenue and profit guidance, driven by a strong first quarter performance. The Swiss drugmaker’s revenue growth is now expected to be in the high-single to low-double-digit percentage range, compared to its earlier mid-single-digit forecast. Core operating income is also expected to increase by the low-double-digit to mid-teen percentage, exceeding the previous expectation of a high-single-digit rise.
In the first quarter, Novartis reported revenue of $11.8 billion, surpassing analysts’ estimates of $11.5 billion. Adjusted earnings per share (EPS) were $1.80, up 23% year-over-year and higher than the $1.73 expected.
The company’s performance was broad-based, with growth across all key growth brands and geographies. Momentum from psoriasis drug Cosentyx, relapsing Multiple Sclerosis medicine Kesimipta, and high cholesterol drug Leqvio contributed to the strong results.
Novartis CEO Vas Narasimhan expressed confidence, stating, “Novartis continued our strong momentum with both sales growth and core margin expansion in Q1.” He added, “Our performance was broad-based, across all key growth brands and geographies, allowing us to raise guidance for the full year 2024.”
Following the earnings announcement, shares of Novartis rose 2.3% to $97.30 in early afternoon trading on Tuesday.