Novartis breaks sales record


Author: Iolanda Nascimento

Source: Gazeta Mercantil, 18/01/2008

18/01/2008 - The investment in Brazilian factories to increase exports, estimated at R $ 223 million between 2005 and 2010, carried out by the Swiss pharmaceutical company Novartis is already showing results. In 2007, the subsidiary's external sales rose 72% in relation to the previous year and reached R $ 173,3 million. Novartis Biociência's corporate director, Nelson Mussolini, pointed out that 2007 was a very positive year in all the company's results, which broke net sales records and achieved greater market share, which went from 7,07% to 7,19% , maintaining the leadership in the ethical segment - of prescription drugs, excluding generics. The subsidiary registered net sales of R $ 1,72 billion last year, an increase of 10% in relation to 2006. The “pharma” division, of prescription drugs, grew 13%, to R $ 1,29 billion on the same basis of comparison, or 75% of the total net invoiced. The advance was due to the higher volumes sold, the launch of five drugs - five more are planned for this year - and, mainly, to the performance of the main products of the division, noted Mussolini.

Sales of the antihypertensive drug Diovan grew 21% and totaled R $ 128 million in 2007. “Diovan has become the best selling product in the Brazilian pharmaceutical market.” Sales of the therapy indicated for the treatment of leukemia Glivec, on the other hand, rose 29% to R $ 256 million.

Sandoz, Novartis' generic medicine arm, grew 22% and accounted for 12% of sales in Brazil. The result is attributed to the launch of 10 drugs. However, the consumer health division dropped 11%, leaving 13% of the total invoiced, due to the worldwide sale of the Medical Nutrition and Gerber units to Nestlé.

Overall, Novartis recorded a net profit of $ 2007 billion in 12, up 66%. Total turnover rose 8% to $ 39,8 billion. Net sales increased 11%, totaling US $ 38,1 billion. Europe's third largest laboratory, the company, however, reported that its fourth-quarter 2007 profit fell 45% to $ 904 million due to the generic competition faced by the heart drug Lotrel and the antifungal Lamisil.