Novartis has achieved strong performance during the year ended December 2006 on account of growth in pharmaceutical sales. The Novartis Group's net earnings increased by 17 per cent to $ 7,202 million from $ 6,141 million in the previous year. The company's net sales went up by 15 per cent to $ 37,020 million from $ 32,212 million.
With the significant growth in profitability, it's earning per share worked out to $ 3.06 as against $ 2.63 in the last period. The company announced total dividend of 1.35 Swiss Franc per share.
Commenting on he results, Dr Daniel Vasella, chairman and CEO, said, "The strong performance in 2006 stems from our commitment to innovation and reflects the impact of strengthening our healthcare portfolio. All divisions, particularly Pharmaceuticals, performed very well. I also have high expectations for further dynamic growth in our new vaccines and diagnostics division. Launches are planned for several innovative medicines in 2007 and 2008, and we will keep investing aggressively in R&D sustains our performance. I am confident of another year of record sales and earnings in 2007."
The company's pharmaceutical sales increased by 11 per cent to $ 22.6 billion during the year ended December 2006 from $ 20.3 billion. The cardiovascular and Oncology franchises provided dynamic performances as Diovan exceeded $ 4 billion and Gleevec/Glivec topped $ 2.5 billion. New product launches, particularly Xolair, Exjade and Prexige, supported the performance. US net sales were up by 17 per cent, outpacing the market.