Novartis chief sees sales dip until mid-2013

Swiss pharmaceutical giant Novartis said Sunday the expiry of a US patent for its leading hypertension drug Diovan caused a drop in turnover that could last into the first half of 2013.

The fall in sales of the company's best-selling drug was "significant" in the United States since the end of September, when the patent ended, chief executive Joseph Jimenez told Swiss weekly SonntagsZeitung.

Sales of competing generic equivalents to the Novartis drug already caused a $2-billion (1.5-billion-euro) drop in demand for Diovan, which registered sales of $6 billion in a single year, the report added.

Rejecting the need for a fresh swathe of to counter the expected in the next three quarters, Jimenez said he planned to pursue a series of smaller measures instead.

The Basel-based company already cut 2,000 positions in late 2011, mainly in Switzerland and the US, and announced in January 2012 it was further downsizing its American operation by shedding another 1,630 positions.

Jimenez also said in the interview that the group had reviewed its range of products and expected a major rise in sales in the second half of 2013.

The patent for Diovan expired in Europe at the end of last year for Novartis, which employs around 100,000 people worldwide, according to its website.

add to favorites email to friend print save as pdf

Related Stories

New drugs shore up Novartis in Q2

Jul 19, 2012

(AP) — Swiss pharmaceutical company Novartis AG reported a net profit of $2.73 billion during the second quarter, as new drugs and acquisitions offset patent expirations, lower sales of generic medicines ...

Novartis announces 2,000 job losses, profits up

Oct 25, 2011

Swiss pharmaceutical giant Novartis announced 2,000 job losses Tuesday, mostly in Switzerland and the United States, while reporting net profits of $3.53 billion (2.5 billion euros) for the third quarter.

Novartis says swine flu vaccine boosts profit

Jan 26, 2010

Swiss pharmaceutical group Novartis posted on Tuesday an 8.0-percent jump in core annual net profit for 2009, saying that business had been boosted by sales of swine flu vaccine.

Recommended for you

Powdered measles vaccine found safe in early clinical trials

12 hours ago

A measles vaccine made of fine dry powder and delivered with a puff of air triggered no adverse side effects in early human testing and it is likely effective, according to a paper to be published November 28 in the journal ...

Health care M&A leads global deal surge

Nov 23, 2014

In a big year for deal making, the health care industry is a standout. Large drugmakers are buying and selling businesses to control costs and deploy surplus cash. A rising stock market, tax strategies and ...

User comments

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.