Sanofi-aventis has suffered minor setback during the year ended December 2011 and its business net income declined by 4.6 per cent to €8,795 million from €9,215 million in the previous year. Its net sales increased by 3.2 per cent to €33,389 million from €32,367 million despite loss of €2,206 million sales due to generic competition.

The company's sales in the US improved by 6.8 per cent to €9,957 million during 2011 and that in Western Europe declined by 4 per cent to €9,130 million. However, its sales in emerging markets went up by 10.1 per cent €10,133 million. Full year sales in BRIC countries reached at €1,522 million. Sales in China reached at €981 million and its sales in Japan went up by 20.2 per cent to €2,865 million.

Christopher A Viehbacher said, “2011 was a key year in transforming Sanofi. We successfully acquired and integrated Genzyme, our growth platforms recorded double-digit growth, we delivered cost savings as planned and submitted filings to regulatory authorities for five new products. Several product exclusivity losses were absorbed and we successfully limited the impact on business EPS. Beyond the remaining patent cliff in 2012, the robust performance of our diversified growth platforms, the reduced exposure to future patent expiration and progress on R&D, position Sanofi for a period of sustainable growth.”

Sanofi's pharmaceutical sales improved by 6.7 per cent to €27,890 million with Lantus sales recorded strong growth of 15 per cent to €3,916 million.  The diabetes business generated double digit growth of 12 per cent in 2011 to €4,684 million. The sales of Eloxatin also increased smartly by 161 per cent to €1,071 million. The sales of Plavix and Lovenox declined by 2.9 per cent and 23.4 per cent to €2,040 million and €2,111 million respectively. The sales of Plavix in US improved by 7.8 per cent to €4,758 million and that in Europe declined by 29.8 per cent to €574 million. Its vaccines sales declined by 5.5 per cent to €3,469 million due to lower sales of influenza vaccines by 33.3 per cent to €826 million. Animal Health registered sales growth of 4.3 per cent to €2,030 million during 2011.

The R&D expenditure increased by 5.6 per cent to €4,811 million in 2011 from €4,556 million in the previous year. The company submitted Kynamro, Aubagio, Visamerin/Mulsevo, Lyxumia and Zaltrap products  to regulatory authorities in the US and Europe since July 2011. Genzyme is completing the dossier for Lemtrada for relapsing remitting multiple sclerosis which will be submitted to the FDA and EMA in the second quarter of 2012. At the beginning of February, the R&D portfolio comprises 60 NMEs projects and vaccines in clinical development of which 17 are in phase III or have been submitted to the health authorities for approval.

The loss of Plavix and Avapro exclusivity in the US is anticipated to impact the 2012 business net income by around €1.4 billion. Taking into account this impact, the performance of growth platforms, contribution from Genzyme and cost control as well as other generic competition should lead to a lower EPS by 12 to 15 per cent during 2012.