Sanofi touts 12 potential blockbusters in bid to regain investor confidence

Sanofi touts 12 potential blockbusters in bid to regain investor confidence

Published: Dec 07, 2023

By Tristan Manalac

BioSpace

During its R&D Day on Thursday, Sanofi spotlighted 12 investigational products which it contends could each surpass $1 billion in annual sales as it tries to win back the confidence of its investors.

The French pharma said it has nine pipeline assets under innovative medicines and vaccines that could each reach peak sales of $2.15 billion to $5.4 billion. These include tolebrutinib for multiple sclerosis, lunsekimig and rilzabrutinib for asthma and itepekimab for chronic obstructive pulmonary disease (COPD), as well as its vaccine candidates for acne, respiratory syncytial virus (RSV) in older adults and extraintestinal pathogenic Escherichia coli.

In addition, Sanofi anticipates that its three “pipeline-in-a-product” assets—amlitelimab, frexalimab and SAR441566, an orally available inhibitor of soluble TNFR1—each have peak sales potential of more than $5.4 billion.

Sanofi also announced it will invest more of its energy and focus into R&D, aiming for a 50% increase in Phase III trials between 2023 and 2025 to generate strong pipeline momentum. The pharma is also eyeing 25 mid- to late-stage readouts in the next two years, as well as nearly 20 regulatory filings.

Houman Ashrafian, head of R&D at Sanofi, in a statement called the size and blockbuster potential of the company’s pipeline “unprecedented” while highlighting the strategy to prioritize its first- and best-in-class assets to cement “our leadership in immunology and neuro-inflammation.”

Besides its projected blockbusters, Sanofi during Thursday’s investor event also touted the growth of its existing assets. Products that had recently been launched, as well as future pharma assets, could bring in nearly $11 billion in sales through 2030, according to the company.

Sanofi’s vaccines business is also expected to reach a similar revenue level through 2030, taking into account its recently launched RSV vaccine Beyfortus. The pharma also projects that Dupixent (dupilumab), one of its top-selling products, will continue its strong growth through 2023, particularly as it expands into other indications such as COPD.

CEO Paul Hudson said that taken together, the promise of its pipeline and the strength of its existing products in the market, will set the company up for “sustainable growth through 2030 and beyond.”

Sanofi’s optimistic note during its R&D event comes more than a month after the company spooked investors by abandoning its previous 2025 profit target. In a strategy brief released alongside its third-quarter earnings report in late October 2023, Sanofi said that it would no longer aim to reach a 32% operating profit margin for 2025.

Sanofi’s stock dropped 15% in reaction to the announcement, losing approximately $21 billion in market value. Since then, the company’s shares have underperformed compared to industry counterparts.

Source: BioSpace