Novartis (NVS) Q3 2026 Earnings Call Transcript

Novartis (NVS) raised its full-year 2026 core operating income outlook to flat to low-double-digit growth. The company reported strong sales growth for Kisqali, Kesimpta, Pluvicto, Leqvio, and Scemblix. Novartis also updated its peak-sales forecast for Rhapsido to over $4 billion. Pipeline updates included positive data for remibrutinib and setbacks for del-desiran and pelacarsen. The company repurchased $2.8 billion in shares and completed acquisitions.

Novartis (NVS) reported Q3 2026 earnings, raising guidance despite setbacks. Daldesiran and Pelacarsen trials failed, leading to a $1.9B impairment. Pluvicto sales were flat, and Entresto faces generic competition. CEO Narasimhan expects 2027 growth driven by Kisqali, Kesimpta, and other key drugs. The company reaffirmed a 40% core margin target by 2029, with Q4 margins expected to dip due to year-end spending.

Novartis (NVS) reported Q3 2026 earnings with core EPS beating estimates by 7.89% while revenue missed slightly. The company raised its profit outlook for the year. Key growth drivers include Kisqali, Kesimpta, and Leqvio, offsetting losses from generic drugs. The stock rose 1.27% to $155.76. Management expects H2 sales and core operating income to improve. Questions remain about Q4 margins and 2027 guidance.

Novartis (NYSE:NVS) shares rose 1.36% to $155.91 after raising its full-year core operating income forecast. Q3 core operating income grew 11% to $6.036B, but free cash flow declined 18% to $5.111B. The company recorded $2.2B in charges for unsuccessful drug programs. Investors question if improved profitability will lead to better cash flow.

Novartis' ribociclib (Kisqali) showed a 19.1% relative reduction in death risk in a 6-year study of high-risk breast cancer patients, with a 2.1% absolute OS benefit. The phase 3 NATALEE trial included 5,101 patients, showing continued benefit post-treatment. No new safety concerns were reported.

Novartis reported a $2.2bn charge from failed drug trials but raised its full-year profit guidance. Q3 operating income fell 61% due to R&D costs and impairment charges. The company expects low single-digit core operating income and net sales growth. Shares have partially recovered after a 11% drop in September.