By Giulia Petroni 

Novartis's off-patent medicines division Sandoz set out its growth plans as a standalone company following the proposed spinoff, saying it is well positioned to continue delivering mid-single digit sales growth.

Ahead of its capital markets day on Thursday, Sandoz said it foresees mid-single digit net sales growth for the full year as well as for the 2024-28 period.

The core earnings before interest, taxes, depreciation and amortization margin is expected at 18%-19% in 2023 and at 24%-26% in the mid term. An initial decrease from a core Ebitda margin of 21.2% in 2022 is due to inflation and investments required to stand as a separate company.

Free cash flow is expected to more than double by 2028 from $800 million last year, Sandoz said. This would allow to pay a full-year dividend of 20%-30% of core net income in 2023 and 30%-40% in the mid term.

The proposed spinoff of Sandoz is expected to occur in the second half of the year. Completion is subject to conditions.


Write to Giulia Petroni at


(END) Dow Jones Newswires

June 08, 2023 01:48 ET (05:48 GMT)

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