Sanofi reports +ve results despite patent expirations

Singapore: Sanofi reported sales of $11.40 billion (€8,526 million), an increase of 0.2 percent, during the fourth quarter (Q4) of 2012. Exchange rate movements had a positive effect of 1.9 percentage points.

At constant exchange rates and adjusting for changes in the scope of consolidation (primarily the return of Copaxone to Teva and the disposal of Dermik, net sales increased by 0.4 percent. Net sales in 2012 reached $46.73 billion (€34,947 million), an increase of 4.7 percent. Exchange rate movements had a favorable effect of 4.2 percentage points.

Consolidated net income for 2012 was $6,642 million (€4,967 million), as compared to $7,613 million (€5,693 million) for 2011. Consolidated EPS for 2012 was $5.03 (€3.76) versus $5.76 (€4.31) for 2011.

Commenting on the group's performance in 2012, Sanofi CEO, Dr Christopher A Viehbacher, said that, "The year 2012 was a turning point for Sanofi with the loss of exclusivity in the US for several significant legacy drugs. Despite the effect of the patent cliff, Sanofi was able to grow sales and mitigate the impact on business EPS. At the same time, Sanofi was able to obtain nine significant regulatory approvals and submit six new files with regulatory agencies."

He further added, " Although the financial results in the first half will experience a residual effect from patent expirations, we expect to resume growth in the second half of 2013. This will be driven primarily by continued strong performance from our growth platforms2 which now represent more than 70% of our sales and rose nearly 10%3 in 2012. We are on track to meet our 2012-2015 objectives for sustainable growth".