Novartis reported first-quarter 2026 net sales of $13.1B, a decline of 1% in reported terms and 5% at constant currencies, as volume-driven growth from key brands was more than offset by generic competition and price pressure. Volume contributed 13 percentage points to growth, while generic erosion reduced sales by 14 percentage points and pricing had a negative 4‑percentage‑point impact; currency effects added 4 percentage points. Operating income was $4.2B, down 9% reported and 11% at constant currencies, reflecting lower net sales and higher research and development investment, partly offset by higher divestment gains. Net income declined 13% to $3.2B, and earnings per share decreased 10% to 1.65 dollars, largely due to lower operating income, partially offset by a lower average share count.
Core operating income was $3.8B, and core earnings per share declined 13% to $1.99 dollars. Free cash flow was $3.3B, broadly in line with the prior-year period.
Novartis highlighted continued strong performance from several priority brands in the quarter, including Kisqali, Pluvicto, Kesimpta, Scemblix and Leqvio, all of which recorded double‑digit constant-currency growth. The company also noted innovation milestones such as a positive CHMP opinion for remibrutinib in chronic spontaneous urticaria, favorable late‑stage data for Fabhalta in IgA nephropathy, and the completion of its acquisition of Avidity, which added three late-stage neuromuscular disease candidates.
For full-year 2026, Novartis reaffirmed its guidance, projecting low single‑digit net sales growth at constant currencies and a low single‑digit decline in core operating income at constant currencies.
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