Sanofi raises profit forecast after second quarter beat

PARIS, July 29 (Reuters) – Sanofi (SASY.PA) raised its 2021 profit forecast on Thursday after its vaccines and star eczema treatment Dupixent helped it beat second-quarter results expectations.

The French drugmaker said it was now targeting earnings per share growth of around 12% at constant exchange rates this year, up from “high single digit” percentage growth previously.

Sanofi, which shocked investors last year with a delay to a COVID-19 vaccine it is developing with Britain’s GlaxoSmithKline (GSK.L), reiterated its confidence in the shot, which it hopes will secure regulatory approval by the end of the year.

Europe’s drug regulator said last week it had started a real-time review of the vaccine. read more

Sales of Dupixent, which is sold to patients with eczema but also prescribed for other conditions such as asthma, jumped 57% to 1.24 billion euros ($1.47 billion).

FILE PHOTO: A Sanofi logo is seen during the company’s annual results news conference in Paris, France, February 6, 2020. REUTERS/Benoit Tessier/File Photo

Revenue at the vaccines unit was up 16.2% to 1 billion euros, helped by stronger demand for booster and meningitis shots.

Overall, Sanofi’s sales rose 12.4% in the second quarter to 8.74 billion euros, while business net income – a figure the company uses as its core metric to measure profits – was up 16.8% to 1.73 million euros.

Analysts polled by Refinitiv had on average been expecting sales of 8.5 billion euros and net income of 1 billion euros.

($1 = 0.8436 euros)

Reporting by Matthias Blamont Editing by Jacqueline Wong and Mark Potter

Our Standards: The Thomson Reuters Trust Principles.

 

Reuters source:

https://www.reuters.com/business/healthcare-pharmaceuticals/sanofi-raises-profit-forecasts-after-strong-second-quarter-2021-07-29