Novartis Delivered Solid 2016 Performance, Alcon Q4 Sales Flat
Thursday, February 2 2017 | 00 h 00 min | Financial News
Sales were in line with last fiscal year due to strong performances from growth products (Cosentyx, Entresto, Gilenya, oncology, Sandoz Biopharmaceuticals)
Net income up 1% for the fiscal year, acquired Encore (presbyopia) and Ziarco (atopic dermatitis). Free cash flow was USD 9.5 billion.
Alcon Division “continues to make progress with turnaround.” Alcon sales were flat for the fourth quarter of 2016, though contact lenses delivered its third consecutive quarter of growth.
Options are being considered to maximize shareholder value for the Alcon division, including either retaining the business, or separating via a capital markets transaction. A review is to take place during 2017.
Joseph Jimenez, CEO of Novartis, said, “Novartis delivered a solid performance in 2016, absorbing Gleevec US loss of exclusivity while investing in key launches and the Alcon Division turnaround.” He went on to say, “Today we are proposing an increase in our dividend and initiating a share buyback of up to USD 5 billion. Additionally, we are reviewing options for the Alcon Division to maximize shareholder value.”
Read the full press release here.