PARIS - Sanofi (EPA:SASY) (NASDAQ:SNY), the French multinational pharmaceutical company, reported a solid performance for the fourth quarter of 2023, with a 9.3% growth in sales at constant exchange rates (CER) and an 8.2% increase in business earnings per share (EPS) at CER. The company's specialty care segment saw a 13.7% rise, largely due to the strong showing of Dupixent and the successful launch of ALTUVIIIO. This growth helped to counteract the impact of generic competition for Aubagio in all key markets.
Vaccine sales also saw a significant uptick, growing by 21.1%, primarily attributed to the rapid adoption of Beyfortus, which generated €410 million in sales in its second quarter post-launch. Although general medicines experienced a 2.4% decline, this was mitigated by a 6.3% growth in core assets, balancing lower sales of Lantus and the divestment of non-core assets.
Consumer healthcare (CHC) increased by 8.5%, with digestive wellness and physical and mental wellness categories benefiting from the acquisition of Qunol. For the full year of 2023, Sanofi's sales rose by 5.3%, reaching €43,070 million, and business EPS grew by 5.4% at CER. However, IFRS EPS saw a significant drop of 35.6%, mainly due to an impairment loss on technology assets and a charge related to future royalty payments on U.S. sales of Beyfortus.
The company's board, which met on January 31, has proposed an annual dividend of €3.76, marking a 5.6% increase. Sanofi's R&D efforts have been transformative, with 12 potential blockbusters in late-stage clinical evaluation and key milestones achieved in the fourth quarter. The company has submitted Dupixent for treatment of Chronic Obstructive Pulmonary Disease in multiple regions and reported positive phase 3 results for Sarclisa in multiple myeloma.
In terms of corporate social responsibility, Sanofi's Global Health Unit made new investments to support healthcare startups in Sub-Saharan Africa and participated in COP28 to promote the decarbonization of healthcare systems.
Looking ahead to 2024, Sanofi anticipates business EPS to remain roughly stable, excluding the impact of an expected tax rate increase to 21%. Including this tax rate change, a low single-digit decrease at CER is expected. Using average January 2024 exchange rates, the currency impact on 2024 business EPS is estimated to be between -3.5% and -4.5%.
Sanofi CEO Paul Hudson (NYSE:HUD) emphasized the company's commitment to becoming a development-driven, tech-powered biopharma company focused on patient care and growth. He highlighted the significant scientific progress and pipeline advances that have positioned Sanofi for leadership in immunology.
This article is based on a press release statement from Sanofi.
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