Novartis Raises 2025 Profit Outlook, Launches $10 Billion Buyback on $2.42 Core EPS; Roche H1 Sales CHF 30.94B, Sanofi Q2 Sales €9.99B

Swiss pharmaceutical companies Novartis, Roche, and Sanofi reported their second-quarter and first-half 2025 earnings with generally positive results and outlooks. Novartis posted a core EPS of $2.42, exceeding estimates of $2.37, and net sales of $14.05 billion, slightly below the $14.18 billion estimate but up 12% year-over-year. Core operating income reached $5.93 billion, up 20% year-over-year, with an operating income margin of 42.2%, improving by 340 basis points. Novartis raised its full-year 2025 core operating income growth guidance to the low teens and announced a share repurchase program worth up to $10 billion. Roche reported first-half sales of CHF 30.94 billion, surpassing estimates of CHF 30.78 billion, and a core EPS of CHF 11.08, above the estimated CHF 10.45. Second-quarter sales were CHF 15.50 billion, including CHF 12.04 billion in pharmaceuticals and CHF 3.47 billion in diagnostics. Roche's operating profit increased 6%, driven by strong sales of its breast cancer drug Phesgo and allergy treatment Xolair. Sanofi reported second-quarter sales of €9.99 billion, exceeding the €9.78 billion estimate and representing a 10.1% increase at constant currency. The French drugmaker raised its full-year sales outlook to high single-digit growth, targeting close to 9% growth in 2025. Profit rose to €3.94 billion, supported by a divestiture, while sales of its anti-inflammatory drug Dupixent reached €3.8 billion. However, increased R&D expenses and M&A activities weighed on earnings per share. Sanofi expects net profit per share from ongoing operations to grow by at least 10% at constant exchange rates.