Swiss pharmaceuticals group Novartis re-confirmed its outlook for 2017 as its second quarter earnings revealed a dip in core profit.
Core net income fell 2 per cent in the second quarter to $2.85bn from $2.93bn during the same period last year. That still came in above a median of analysts’ forecasts compiled by Reuters of $2.67bn.
Sales also fell 2 per cent compared to the same period last year to $12.24bn as cancer medicine Gleevec was hit by competition from generic drugs. This figure was in line with a median analyst estimate compiled by Bloomberg.
Sales at the company’s Alcon eye care division provided a bright spot, growing 3 per cent on the previous year to $1.5bn and pushing the company to revise its full-year guidance for Alcon to low single-digit growth.
Novartis said it expects net sales to be broadly in line with the previous year in constant currency terms, while core operating income is expected to be in line with the previous year or to see a low single-digit decline.