Sandoz CEO Richard Saynor Reports Strong H1 2025 Financial Results Driven by Double-Digit Biosimilar Growth and Strategic Expansion

Sandoz the global leader in generic and biosimilar medicines, announced its financial results for the first half of 2025, showcasing strong growth across its biosimilars portfolio, improved profitability, and continued strategic progress in global manufacturing and R&D expansion.

At constant currencies (CC), net sales rose by 4% to USD 5,232 million, driven by double-digit biosimilar growth and consistent performance across major regions. Core EBITDA reached USD 1,046 million, representing a 20% margin, a 2.5 percentage-point improvement year-on-year, underscoring operational leverage and efficiency gains.

Sandoz reported H1 2025 net sales of USD 5,232 million, up 4% at both CC and USD, with volume growth of 7%. On a Compound Growth Rate (CGR) basis, net sales rose 6%. Biosimilars led the charge with 12% growth at CC and 17% at CGR, while Generics grew modestly at 1% CC.

The company’s 10 best-selling medicines together increased sales by 10% at CC, representing 33% of total net sales. Core diluted earnings per share (EPS) rose 33% at CC to USD 1.46, while management free cash flow reached USD 503 million, more than doubling the prior year’s figure.

Core EBITDA margin improved to 20.0%, compared to 17.5% in H1 2024, reflecting favorable product mix, particularly the growing share of biosimilars, and ongoing cost efficiencies from transformation initiatives. Operating income nearly doubled, rising 90% at CC to USD 602 million, while core operating income grew 20% to USD 901 million.

Biosimilars: Driving the Next Decade of Growth

Sandoz’s biosimilars segment continues to be the company’s primary growth engine. H1 biosimilars sales reached USD 1,496 million, up 12% at CC and accounting for 29% of total net sales. The Europe region delivered 17% biosimilars growth, supported by the launches of Pyzchiva® (ustekinumab) and Tyruko® (natalizumab), while International markets surged 30% at CC, led by the strong performance of Omnitrope® (somatropin).

Sandoz strengthened its leadership in biosimilar innovation with several key developments:

• Strategic acquisition initiative: The company signed a non-binding term sheet with Evotec SE to acquire its Just-Evotec Biologics EU SAS operations in Toulouse, France. This move aligns with Sandoz’s strategic objective to capture a share of the projected USD 300 billion biosimilar market opportunity over the next decade.

• Manufacturing expansion: Construction began on a state-of-the-art biosimilars production center in Brnik, Slovenia, complementing new investments in Lendava and Ljubljana for drug-substance production and development.

• Clinical program optimization: Following regulatory feedback, Sandoz streamlined trials for its nivolumab and ocrelizumab biosimilars, aligning development strategies with evolving regulatory frameworks to expedite time-to-market while maintaining scientific rigor.

• Successful Launches and Second-Half Outlook

  During the first half of 2025, Sandoz introduced several notable products:

  • Wyost® and Jubbonti®, the first and only interchangeable denosumab biosimilars, launched in the US.

  • Pyzchiva®, a ustekinumab biosimilar, was launched in both the US and Europe, with the first pre-filled pen version available in the EU.

  The company expects additional launches in the second half of 2025, including Afqlir® (aflibercept) in Europe and Tyruko® in the US before year-end. The weighted launch schedule toward H2 is expected to further accelerate growth momentum, particularly in North America.

• Regional Performance Highlights

  • Europe: Net sales reached USD 2,832 million, up 6% at CC, supported by biosimilar launches and robust commercial execution. Biosimilars now represent nearly one-third of European sales.

  • International markets: Grew 5% at CC to USD 1,284 million, with strong biosimilar growth and pricing improvements in generics. Q2 sales increased by 11% at CC, signaling continued acceleration.

  • North America: Recorded USD 1,116 million in net sales, a slight decline of 1% at CC due to the withdrawal of Cimerli, though excluding that impact, regional sales rose 4%. The successful paclitaxel launch contributed positively to generics performance.

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