Novartis announced that its executives are meeting investors and industry analysts in Basel on Thursday to share insights into the updated company strategy at the annual Meet Novartis Management event. The company also said that a ‘US-first’ mindset, increasing share of US patients in clinical trials and building capability and talent, among other actions, will enable Novartis to achieve this objective.
Novartis is also aiming to be a top-three player in China, a key growth market for the next decade, while maintaining leading positions in Germany and Japan, it stated.
The biopharmaceutical major claims that the meeting will allow participants to learn more about Novartis’ journey to unite technology leadership in Research and Development with novel access approaches, helping to alleviate some of society’s greatest disease burdens.
“Novartis is transforming into a ‘pure-play’ Innovative Medicines company. Our strategy is focused on five core attractive therapeutic areas, key technology platforms, and the US market, with the aim to increase value per new molecular entity from our deep pipeline. We will continue to deliver improved financials with +4% sales CAGR through 2027 and a Core Op Inc margin of ~40%+ in the mid-long term. Our disciplined capital allocation will balance continued investment in the business and returning capital to our shareholders,” said Vas Narasimhan, CEO of Novartis in a statement.
In a press statement, the company said that Novartis is implementing this strategy with a clear focus on five therapeutic areas for investment – cardiovascular, immunology, neuroscience, solid tumors, and hematology.
“Novartis has multiple significant in-market and pipeline assets in each of these areas, which represent a significant disease burden and have the largest growth potential in the USD 1 Tn innovatives medicines market. Eight current in-market brands, Cosentyx, Entresto, Zolgensma, Kisqali, Kesimpta, Leqvio, Pluvicto and Scemblix, each hold multi-billion dollar peak sales potential,” it stated.
These eight brands are underpinning growth across all key geographies, supporting Novartis’ aspiration to improve competitive positioning and organically build its US business to become a top-five player in the US by 2027.
Novartis announced the strategy on Thursday as the pharmaceuticals maker reshapes itself following the decision to spin off Sandoz, its underperforming generics business.