Novartis Beats Q2 Estimates, Raises Outlook and Announces $10 Billion Buyback

Novartis posted stronger-than-expected second-quarter 2025 results, with core earnings per share climbing 24% year on year to $2.42, ahead of analysts’ estimates of roughly $2.36. Net sales increased 12% to $14.05 billion and core operating income rose 20% to $5.93 billion, lifting the core operating margin to 42.2%. Bolstered by the performance of cancer drug Kisqali, heart medicine Entresto and other growth brands, the Swiss drugmaker raised its full-year outlook. Management now sees core operating income expanding in the low-teens percentage range, compared with a previously forecast low double-digit gain, while maintaining an expectation of high-single-digit sales growth. Reflecting confidence in future cash generation, Novartis launched a share-repurchase programme of up to $10 billion that it aims to complete by the end of 2027. The company also said long-serving chief financial officer Harry Kirsch will retire and be succeeded by Mukul Mehta on 16 March 2026.