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Sanofi lifts profit outlook as Dupixent sales surge 43%

Published 07/28/2022, 01:33 AM
Updated 07/28/2022, 02:26 AM
© Reuters. FILE PHOTO: Sanofi logo at the company's headquarters during the annual results news conference in Paris, France, February 4, 2022. REUTERS/Benoit Tessier/
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By Ludwig Burger

(Reuters) -French healthcare group Sanofi (NASDAQ:SNY) lifted its full-year earnings outlook on continued forecast-beating sales growth for its bestselling drug Dupixent.

In a statement on Thursday, Sanofi said it now expects 2022 adjusted earnings per share to grow by about 15%, excluding the effect of currency swings. It had previously predicted low double-digit percentage growth.

   Sanofi's second-quarter business operating income, or adjusted earnings before interest and tax, rose 21.5% to 2.75 billion euros ($2.81 billion), surpassing the average analyst estimate of 2.66 billion euros posted on the company's website.

In March the French group said peak annual sales of Dupixent, jointly developed with Regeneron (NASDAQ:REGN), would be more than 13 billion euros, up from a previous target of more than 10 billion euros.

Revenue from anti-inflammatory treatment Dupixent jumped 43.4% to 1.96 billion euros in the reported quarter, beating an analyst consensus of 1.86 billion euros, on prescriptions in dermatitis, asthma and certain nasal infections.

The company's consumer healthcare unit, a maker of over-the-counter drugs (OTC), lifted sales by 9.1% to 1.27 billion euros, driven by revenue in Europe and Latin America and as customers stocked up on cough an cold remedies during an upswing in COVID-19 infections.

Finance chief Jean-Baptiste de Chatillon told reporters the business, which includes parts acquired from Boehringer Ingelheim, was making further progress under a 2019 plan to become a standalone business.

But the CFO said there were no conclusions to be drawn from the separate listing this month and underwhelming market value of OTC group Haleon, previously owned by GSK and Pfizer (NYSE:PFE).

He added that Sanofi and development partner GSK were still waiting to hear back from regulators on their protein-based COVID-19 vaccine candidate, modelled on the Beta variant.

© Reuters. FILE PHOTO: Sanofi logo at the company's headquarters during the annual results news conference in Paris, France, February 4, 2022. REUTERS/Benoit Tessier/

The partners set out to help to fight the pandemic but they do not see it as a major economic opportunity, he said. "That has not changed from the beginning," he added.

($1 = 0.9800 euros)

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