Novartis stock gains as Q3 core profit lifts 2026 outlook
Published on 10/30/2026 at 16:01 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSCore growth offsets reported profit hit
- Third-quarter sales rose as priority medicines offset generic competition.
- Novartis raised its full-year core operating income outlook while leaving sales guidance unchanged.
- A del-desiran impairment sharply reduced reported operating income and net income.
Novartis said on Tuesday, October 27, that third-quarter sales growth and a stronger core margin supported a higher full-year outlook. At 15:44 CET on Friday, October 30, Novartis stock traded at 145.49 euros on Lang & Schwarz, more than 1 percent above the 143.81-euro quote cited in the previous report on October 29.
The company raised its 2026 forecast for core operating income from a low-single-digit decline to an outcome ranging from broadly unchanged to low-single-digit growth. Novartis kept its full-year sales outlook at low-single-digit growth in constant currencies.
Priority medicines drive quarterly growth
Third-quarter net sales rose 4 percent in US dollar terms to USD 14.522 billion. Core operating income increased 11 percent to USD 6.036 billion, while the core operating margin reached 41.6 percent. Novartis said growth was led by priority brands including Kisqali, Kesimpta, Scemblix, Leqvio and Cosentyx.
Core earnings per share rose 9 percent to USD 2.46. The company classifies core results and free cash flow as non-IFRS measures. Free cash flow fell 18 percent to USD 5.111 billion as operating cash flow declined.
Impairment clouds reported earnings
Reported operating income fell 59 percent to USD 1.843 billion, while net income dropped 70 percent to USD 1.196 billion. Novartis attributed the decline mainly to higher research and development expenses, including a USD 1.9 billion partial impairment of the del-desiran in-process research and development asset, as well as higher other expense.
The contrasting core and reported figures leave investors weighing commercial momentum against development and pipeline risk. Novartis said a Phase III study of del-desiran in myotonic dystrophy type 1 did not meet its primary endpoint, although the company saw evidence of clinical activity in secondary and exploratory analyses.
Investors can follow the real-time quote of Novartis stock for the latest Lang & Schwarz indication.
Novartis AG
- ISIN: CH0012005267
- WKN: 904278
- Exchange symbol: NOT
- Lang & Schwarz quote: 145.49 euros on Friday, October 30, 2026, at 15:44 CET
- Prior report quote: 143.81 euros on October 29, 2026
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Source: Novartis, October 27, 2026.
