Analysts anticipate that French pharmaceutical giant Sanofi will report fourth-quarter sales of €11.04 billion ($11.97 billion), according to consensus estimates provided by the company. This is an increase from sales of €10.725 billion reported in the same period of the previous year.
Business Profit Forecast
The company’s preferred metric, business net profit, is predicted to be €2.14 billion, in line with the net profit reported in the year-earlier period. Business net profit excludes exceptional items.
What to Watch
1. Outlook for 2024 and 2025: In October, Sanofi provided a preliminary outlook for 2024 and 2025. They guided for a decline in business earnings per share at constant currency this year, followed by a rebound in 2025 driven by continued sales growth. There is a key debate among investors regarding Sanofi’s growth prospects beyond 2024 and the potential impact of shifting towards higher-margin products on its bottom line.
2. Dupixent’s Growth Potential: Dupixent, an anti-inflammatory drug developed in collaboration with Regeneron Pharmaceuticals, has been a significant contributor to Sanofi’s growth in recent quarters. The company expects sales of Dupixent to surpass €10 billion in 2023, potentially leading to upgrades in consensus estimates for Sanofi’s earnings.
3. Diversifying Revenue Sources: Aside from Dupixent, Sanofi has other drugs in its pipeline that could diversify its sources of revenue growth. These include Altuviiio, a hemophilia treatment, Beyfortus injection for the prevention of respiratory syncytial virus (RSV), and Tzield, a diabetes drug. These next-generation products have the potential to boost sales and enhance Sanofi’s market presence.