Novartis AG - ADR

**Strong Financial Performance**: Novartis reported a 10% increase in net sales and a 20% rise in core operating income for Q3 2024, with core EPS also up 20% to $2.06. This consistent growth reflects robust sales across its key brands and successful innovations, which should provide a solid base as the company approaches the mid-2025 LoE for key products like Entresto, Tasigna, and Promacta.

**Pipeline and Product Launches**: Significant developments include the FDA approval of Kisqali for early breast cancer, accelerated approval of Fabhalta in IgA nephropathy, and expectations for Scemblix approval shortly. Analysts expect these new indications to potentially triple the eligible patient population, especially with Kisqali benefiting from a broader NCCN guideline recommendation.

**Revised Financial Guidance**: For the third time in 2024, Novartis raised its guidance for both top and bottom line performance, projecting low double-digit sales growth and high-teens core operating income growth, assuming no generics enter the U.S. market for Entresto or Tasigna in 2024.