Ustekinumab-ttwe

Sandoz said it expects net sales to grow by a mid-single digit percentage in constant currencies in 2025. Image credit: Shutterstock/ T. Schneider. Sandoz reported a 9% growth in net sales of generics and biosimilars to third parties for 2024, marking a strong first financial year as an independent company. After completing its spin-off from Novartis in October 2023, Sandoz has been busy launching new products and simplifying its business. Whilst generics made up the bulk of the Swiss company’s $10.4bn in net sales in 2024, biosimilars pushed more of the growth. Generics brought in $7.5bn for growth at constant exchange rates of 2%, whereas biosimilar sales grew 30% to bring in $2.8bn. Investor reaction to the earnings suggested that performance was in line with expectations. Shares in the company opened almost 1% higher following the announcement. Sandoz has a market cap of $19.2bn. Sandoz’s earnings report come at a time when geopolitical events have significantly impacted market fluctuations. The company issued a guidance on the potential fallout from trade tariffs imposed by the US government on Canada, Mexico, and China. Levies on imported goods could negatively impact the biopharma industry such as raising drug prices and worsening shortages. “The US accounts for just under 20% of our global revenues, as we are a European-based company with strong growth potential in the US, but not dependent on any one market. Potential tariffs on imports from China and Canada are included in our 2025 guidance. For Europe, it is still too early to model,” Sandoz CEO Richard Saynor said in a statement to Pharmaceutical Technology . Sandoz pointed to the uptake of its Humira biosimilar Hyrimoz in the US through a private-label agreement with CVS biosimilar subsidiary Cordavis as one of the drivers of its biosimilar business growth. Humira, AbbVie’s mega blockbuster, was once the world’s bestselling drug, bringing in revenue of $21.2bn in 2022, and the launch of several biosimilars has represented a sizeable loss-of-exclusivity value. Along with autoimmune diseases, Sandoz has been active in the ophthalmologic space. The US Food and Drug Administration (FDA) approved Sandoz’s Enzeevu (aflibercept-abzv), the drugmaker’s biosimilar for wet age-related macular degeneration (AMD), in August 2024. Despite battling for AMD market share against products from rivals Biocon Biologics and Samsung Bioepis, Sandoz consolidated its position in March 2024 with a $170m acquisition of Cimerli (ranibizumab-eqrn), a biosimilar approved for a range of retinal diseases. In its generics business, price erosion led to a decline in US sales, the company said. Sandoz also cited the divestment of its China operations as an offset to international growth. South Africa-based Aspen Pharmaceuticals bought Sandoz’s Chinese business for $100m at the tail-end of 2023. 2025 outlook During the call, Sandoz highlighted several strategic business decisions, including a reduction in the number of its internal manufacturing sites to 15, down from 18 in 2023. The company boosted the capacity at remaining sites and consolidated the number of its external suppliers. Saynor told Pharmaceutical Technology : “This allows us to simplify our supply chain and optimise capacity usage and processes. Ultimately, it helps us to secure supply, stabilise our cost basis, and increase patient access to critical medicines worldwide.” Looking ahead to 2025, Sandoz said it expects net sales to grow by a mid-single digit percentage in constant currencies. Sandoz has already launched Stelara biosimilar Pyzchiva (ustekinumab-ttwe) in the US and has eyes on launching the Tysabri biosimilar Tyruko in the country in 2025 too. Whilst experiencing significant growth, the biosimilar market has been saturated with lawsuits. Johnson & Johnson (J&J) recently, for example, sued Samsung Bioepis over a breach of contract for Stelara. Nevertheless, GlobalData forecasts biosimilar sales to increase from 5.7% in 2022 to 18.3% in 2032 through the eight major markets (8MM: US, France, Germany, Italy, Spain, UK, Japan, and China). GlobalData is the parent company of Pharmaceutical Technology.