Sanofi Reports Strong Q3 2022 Results, Raises Full-Year Profit Guidance for the Second Time

Intelligent Finance APP learned on October 28 (Friday) that Sanofi (SNY.US) announced its financial report for the third quarter of 2022. The data showed that Sanofi's net sales in Q3 reached 12.482 billion euros, increasing by 19.7% year-on-year, or 9.0% year-on-year at constant exchange rates (CER), with market expectations of 11.479 billion euros; net profit was 2.076 billion euros, decreasing by 10.1% year-on-year; earnings per share were 1.66 euros, decreasing by 9.8% year-on-year, with market expectations of 1.57 euros.

Among these, the sales revenue of the professional care business reached 4.401 billion euros, representing a 19.9% growth at CER, primarily driven by a 44.5% increase in Dupixent's sales to 2.314 billion euros. The drug's sales in the U.S. and Europe grew by 45.1% and 38.7%, respectively. This French pharmaceutical company, Sanofi, is actively working to expand the sales of Dupixent (an antibody drug that treats conditions ranging from asthma to severe eczema) while pushing more experimental drugs to market. The company stated that it hopes the momentum of these new products will offset growing challenges, such as the large-scale litigation over the heartburn drug Zantac brewing in the U.S.

Currently, Sanofi is arbitrating with Boehringer Ingelheim Gmbh over which company bears responsibility for Zantac. In 2006, Boehringer Ingelheim acquired the over-the-counter sales rights for Zantac from Pfizer, and a decade later, sold those rights to Sanofi. The two companies are now facing multiple lawsuits in the U.S., alleging that Zantac causes cancer.

In other business areas, sales of general medicines amounted to 3.495 billion euros, a decrease of 8.5% in CER; pharmaceutical business sales reached 7.896 billion euros, an increase of 5.1% in CER; vaccine sales were 3.315 billion euros, an increase of 23.5% in CER, mainly driven by strong sales of flu vaccines this quarter, rebound in travel vaccines, and growth in meningitis and PPH franchises.

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Looking ahead, Sanofi has raised its full-year 2022 profit guidance for the second time this year. The company now expects earnings per share (EPS) to grow by approximately 16% at constant exchange rates (CER) in 2022, with a positive currency impact on 2022 EPS estimated between +9.5% and +10.5%.