Novartis

NVS Q2 2025 Earnings

Reported Jul 17, 2025 at 7:16 AM ET · SEC Source

Q2 25 EPS

$2.42

BEAT +1.96%

Est. $2.37

Q2 25 Revenue

$14.05B

MISS 0.20%

Est. $14.08B

vs S&P Since Q2 25

+21.3%

BEATING MARKET

NVS +38.2% vs S&P +16.9%

Market Reaction

Did NVS Beat Earnings? Q2 2025 Results

Novartis posted a largely strong second quarter, with earnings per share of $2.42 beating the $2.37 consensus by 1.96%, even as revenue of $14.05 billion came in fractionally short of the $14.08 billion estimate, a miss of just 0.20% against year-ove… Read more Novartis posted a largely strong second quarter, with earnings per share of $2.42 beating the $2.37 consensus by 1.96%, even as revenue of $14.05 billion came in fractionally short of the $14.08 billion estimate, a miss of just 0.20% against year-over-year growth of 9.2%. The Swiss drugmaker's standout performer was Kisqali, its breast cancer treatment, which surged 64% to $1.18 billion after doubling its US sales on continued market share gains, reinforcing the view that the drug is on track to become Novartis's next blockbuster franchise. That momentum helped push core operating income margin to 42.2%, up 2.6 percentage points, while IFRS net income climbed 24% to $4.02 billion. Entresto and Kesimpta also contributed meaningfully, rising 24% and 35% respectively, partially offsetting headwinds from generic competition hitting Tasigna and Promacta following US market entry in May 2025. Free cash flow jumped 37% to $6.33 billion, underscoring the underlying strength of the business despite a $443 million legal charge tied to a French competition matter.

Key Takeaways

  • Volume growth contributing 12 percentage points to net sales growth
  • Kisqali +64% growth driven by continued share gains in HR+/HER2- breast cancer and leading NBRx share
  • Entresto +24% growth driven by heart failure in US and Europe, and hypertension in China and Japan
  • Kesimpta +35% growth across all regions from increased demand and strong access
  • Scemblix +82% growth from high unmet need in CML and early-line adoption following late-2024 US approval
  • Leqvio +64% growth across all regions with availability in 86 countries
  • Pluvicto +32% growth from pre-taxane mCRPC approval uptake in US and ex-US access expansion
  • Ilaris +30% growth led by US, Europe and Japan in periodic fever syndromes and Still's disease
  • Core operating income margin expansion of 2.6 percentage points to 42.2%
  • Lower weighted average shares outstanding benefiting EPS growth
  • Currency provided 1 percentage point tailwind to net sales but 1 percentage point headwind to core EPS in USD
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NVS YoY Financials

Q2 2025 vs Q2 2024, source: SEC Filings

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NVS Revenue by Segment

With YoY comparisons, source: SEC Filings

Q4 24 Q1 26
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NVS Revenue by Geography

With YoY comparisons, source: SEC Filings

Q4 24 Q1 26