Sanofi beats expectations with bumper third-quarter earnings

25th Oct 2024 09:52

(Sharecast News) - Sanofi reported stronger-than-expected third-quarter earnings on Friday, driven by early vaccine sales and robust performance from its anti-inflammatory drug Dupixent.

Quarterly business operating income, excluding one-off items, rose 14.4% to €4.6bn, surpassing analysts' projections of €4bn.

Earnings per share reached €2.86, also beating estimates, with total revenue benefiting from accelerated sales of flu vaccines and Beyfortus, a new respiratory syncytial virus (RSV) shot for infants.

Vaccine sales saw a 25.5% increase, to €3.8bn.

Sanofi said its best-selling drug, Dupixent, saw 24% growth in sales, reaching €3.5bn, with its recent approval for treating chronic obstructive pulmonary disease set to fuel further growth.

In line with industry trends, Sanofi was planning to divest its consumer health unit Opella, engaging in exclusive talks with US investment firm Clayton Dubilier & Rice for a controlling stake.

The sale aligned with chief executive officer Paul Hudson's strategy to focus on high-margin, innovative therapies, channeling funds into clinical trials for next-generation drugs.

Chief financial officer François-Xavier Roger emphasised that separating Opella would offer growth potential and position Sanofi as a dedicated biopharma company.

At 1435 CEST (1335 BST), shares in Sanofi were up 1.94% in Paris at €99.49.

Reporting by Josh White for Sharecast.com.