Sanofi-Aventis has posted strong growth in net profit during the third quarter ended September 2011. Its net income improved by 26.2 per cent €2,030 million from €1,609 million in the corresponding period of last year. Its net sales increased by 5 per cent on reported basis to €8,753 million from €8,339 million. Excluding Genzyme, sales were stable despite €471 million of sales lost due to generic competition as compared to similar period of last year.
Pharmaceuticals net sales improved by 5.2 per cent and reached at €6,940 million in the third quarter from €6,595 million, which reflects the positive contribution (€768 million) from Genzyme as well as generic competition to Lovenox, Ambien CR and Taxotere in the US, Plavix and Taxotere in the EU and the impact of US healthcare reform and EU austerity measures. Vaccines sales improved by 9.5 per cent to €1,343 million from €1,226 million. The sales in emerging market improved by 12 per cent to €2,565 million. Sales in US increased by 15.5 per cent to €2,902 million and that in Western Europe declined marginally by 0.1 per cent to €2,291 million.
The sales of diabetes division grew by 12.4 per cent to €1,161 billion reflecting strong growth of Lantus in the US (€580 million) and emerging markets (€149 million). In Western Europe, Lantus sales increased by 7.1 per cent to €182 million. The worldwide presence of Plavix was at €1,738 million, up 6.5 per cent, in the third quarter. Sales in the US reached at €1,185 million, a growth of 9 per cent. In Japan and China, Plavix continued to show strong growth of 20.1 per cent and 28.5 per cent respectively. However, sales of Plavix declined sharply in Europe by 21 per cent to €143 million, due to generic competition. The worldwide sales of Aprovel declined by 15.2 per cent to €434 million in the third quarter reflecting the growing penetration of Losartan generics. The sales of Lovenox declined by 12.7 per cent to €494 million due to generic competition in the US.
Christopher A Viehbacher, CEO, said, “The return to growth in sales and earnings in the third quarter reflects an important milestone as the company progressively puts the patent cliff behind it. The integration of Genzyme is progressing well. Our growth platforms again achieved double digit growth and more than compensated for generic erosion. We continue to make strong progress in R&D with the submission of five new products and also in the tight control of our costs.”
For the nine months period ended September 2011, Sanofi's sales improved slightly by 1.4 per cent to €24,881 million from €24,544 million. However, its net profit declined by 15.4 per cent to €4,254 million from €5,030 million. Its pharmaceutical sales improved by 3 per cent to €20,670 million from €20,071 million in the corresponding period of last year and that of vaccines declined by 9.2 per cent to €2,651 million from €2,918 million.