Sandoz reports strong biosimilar-sales momentum; narrowed full-year net-sales range and upgrade to margin guidance

• Q3 net sales up by 5% at CC¹,²; biosimilar net sales up by 17% at CC, with generics net sales stable at CC. Excluding the anti-infective B2B headwind³, total net sales increased by 7% at CC and generics net sales increased by 2% at CC. This adverse impact is expected to be immaterial in Q4 2026 and next year
• 9M net sales up by 5% at CC; biosimilar net sales up by 19% at CC, with generics net sales declining by 1% at CC. Excluding the anti-infective B2B headwind, 9M net sales increased by 6% at CC, while generics net sales were stable at CC
• Biosimilars represented 34% of Q3 2026 net sales
• North America led in the quarter, with net-sales growth of 20% at CC, driven by biosimilars
• Capital Markets Day: Bio100 ambition unveiled, targeting more than 100 biosimilars in the portfolio by 2040
• Full-year guidance: net-sales growth at CC narrowed to 5-6% and an upgrade to core-EBITDA margin to 23.0-23.5%

Richard Saynor, Chief Executive Officer of Sandoz, says: “Sandoz made further progress in the third quarter, reflecting the strength of a growing portfolio and continued momentum in biosimilars. We also continued to strengthen the foundations for our long-term growth by expanding our biosimilar pipeline to 40 assets and achieving more milestones with our biosimilar hub in Slovenia.
 

“At our recent Capital Markets Day, we unveiled our Bio100 ambition and set out a clear roadmap to maximise the significant opportunity in biosimilars. We aim to build a portfolio of more than 100 biosimilars by 2040, supported by our differentiated development and manufacturing network, an unprecedented wave of upcoming loss-of-exclusivity opportunities, and an increasingly supportive regulatory environment. With these advantages, we are well positioned to create sustainable shareholder value and expand access for patients around the world.”


BUSINESS HIGHLIGHTS
 

• Bio100: in September, Sandoz hosted a Capital Markets Day in London, where it unveiled Bio100, its ambition to build a portfolio of more than 100 biosimilars by 2040. The Company reaffirmed its existing mid-term outlook to 2028 and introduced a new outlook⁴ for 2025-2030, targeting mid-to-high single-digit compound annual net-sales growth at CC and a core-EBITDA margin of 25-27% by 2030. Through Bio100, Sandoz aims to more than double net sales at CC from 2025 to 2035, excluding a significant expected contribution from GLP-1 medicines, while delivering a core-EBITDA margin above 30%
   
• Henlius collaboration: Sandoz recently announced a strategic collaboration with Henlius, covering up to 10 biosimilar assets. The initial agreement includes proposed biosimilars of cetuximab, evolocumab and belimumab, as well as an option for recombinant human hyaluronidase
   
• mAbxience collaboration: the Company entered into an agreement with mAbxience in September for a proposed emicizumab biosimilar, the first haemophilia medicine in the Sandoz biosimilar pipeline. The agreement expanded the pipeline to 40 biosimilars⁵ and provides a basis to evaluate future collaboration opportunities
   
• Challenging conditions in the B2B market for penicillin API sales remain and no imminent return to pre-dumping conditions is expected. Sandoz continues to urge the European Commission to investigate alleged dumping and consider anti-dumping duties or tariffs to safeguard Europe’s antibiotic supply. The Company also continues to advocate structural reforms that ensure a level playing field for European producers
   
• Generic semaglutide in Canada: Health Canada recently granted marketing authorisation for Sandoz^® Semaglutide (semaglutide), a generic version of Ozempic^® for adults with type-2 diabetes. This followed the recent regulatory approval for the Company’s new semaglutide treatment option in Brazil
   
• Ljubljana investment: Sandoz announced plans in September to invest in a new biosimilar drug-substance facility in Ljubljana, Slovenia. The new facility will expand manufacturing capacity, adding disposable fed-batch technology and further strengthening the in-house biosimilar manufacturing and supply network in Europe
   
• Lendava biosimilar manufacturing centre: Sandoz recently opened its new high-volume biosimilar drug-substance manufacturing centre in Lendava, Slovenia, significantly strengthening in-house manufacturing capacity and flexibility across its European biosimilar network. The facility is a key milestone in the execution of the Company's Bio100 ambition and supports long-term supply resilience and future portfolio expansion
   
• Long-term financing: Sandoz recently issued a EUR 500 million bond with a 12-year maturity for general corporate purposes, including the refinancing of existing debt
   

FULL-YEAR 2026 GUIDANCE
 

Stronger volume demand in the third quarter resulted in short-term biosimilar-supply constraints in Europe and International. Sandoz has recently increased its market share in Europe further⁶, including a significant expansion in biosimilars, but it has faced more-challenging temporary market conditions in the quarter in Germany than anticipated. These factors have led the Company to update its 2026 net-sales guidance. Net sales are now expected to grow by 5-6% at CC (previous guidance of mid-to-high single-digit growth at CC). The benefits of an increasingly favourable net-sales mix and stronger operational performance are reflected in today’s upgraded core-EBITDA margin guidance. The margin is now expected to reach 23.0-23.5% in 2026 compared with the previous guidance of a year-on-year expansion of around 100 basis points
(2025: 21.7%).
 

The performance of the business this year has driven an improved expectation for core earnings per share in 2026. The updated guidance does not impact the Company’s prior outlook to 2028 or the recently announced outlook to 2030. This guidance excludes any impacts of unforeseen events or unconfirmed developments, including the potential imposition of new tariffs emanating from the US government.
 

No material contribution from the launch of generic semaglutide is expected this year. Overall pricing is expected to decline by a mid-single-digit percentage in 2026.

 

CONFERENCE CALL
 

A conference call and webcast for investors and analysts will begin today at 9:30 CET. Details can be found here, with the accompanying presentation here.

 

NOTES
 

The performance shown in this announcement covers the three-month period ended 30 September 2026 (Q3, or Q3 2026) and the nine-month period ended 30 September 2026 (9M, or 9M 2026), compared with the three-month period ended 30 September 2025 (Q3 2025) and the nine-month period ended 30 September 2025 (9M 2025), respectively. In this announcement, ‘the Company’ refers to Sandoz Group AG. Over one billion patients were reached by Sandoz in 2025, including an estimated 0.2 billion patients reached through API sales.

 

CALENDAR
 

Sandoz will host an analyst and investor site visit in Slovenia on 9-10 November 2026; attendance is by invitation only. The Company intends to publish its full-year 2026 results on 17 February 2027.

 

DISCLAIMER
 

This Media Release contains forward-looking statements, which offer no guarantee with regard to future performance. These statements are made on the basis of management’s views and assumptions regarding future events and business performance at the time the statements are made. They are subject to risks and uncertainties including, but not confined to, future global economic conditions, exchange rates, legal provisions, market conditions, activities by competitors and other factors outside of the control of Sandoz. Should one or more of these risks or uncertainties materialise or should underlying assumptions prove incorrect, actual outcomes may vary materially from those forecasted or expected. Each forward-looking statement speaks only as of the date of the particular statement, and Sandoz undertakes no obligation to publicly revise any forward-looking statements, except as required by law.


ABOUT SANDOZ
 

Sandoz (SIX: SDZ; OTCQX: SDZNY) is the global leader in affordable medicines, with a growth strategy driven by its Purpose: pioneering access for patients. More than 20,000 colleagues of 100 nationalities work together to ensure over one billion patients are reached by Sandoz, generating substantial global healthcare savings and an even larger social impact. Its leading portfolio of approximately 1,300 medicines addresses diseases from the common cold to cancer. Headquartered in Basel, Switzerland, Sandoz traces its heritage back to 1886. In 2026, Sandoz celebrates 20 years of pioneering biosimilars, 80 years of antibiotics manufacturing and 140 years of heritage. In 2025, Sandoz recorded net sales of USD 11.1 billion.

 

CONTACTS
 

Q3 AND 9M 2026 NET SALES

NET SALES BY BUSINESS

 

Q3

Net sales for the third quarter were USD 2.9 billion, reflecting growth of 5% at CC. Excluding the aforementioned anti-infective B2B headwind, total net sales increased by 7% at CC.

 

Biosimilars overview
 

Net sales of biosimilars were USD 1.0 billion in the quarter, reflecting growth of 17% at CC and representing 34% of total net sales (Q3 2025: 31%).
 

The European biosimilar performance benefitted from the Q4 2025 launches of Afqlir® (aflibercept) and Wyost® & Jubbonti® (denosumab), as well as a strong performance from Zessly® (infliximab), partly offset by the adverse effects of near-term supply constraints and stronger-than-expected unfavourable short-term market dynamics in Germany. International biosimilar net-sales growth was underpinned by the recent launches of Wyost & Jubbonti and Pyzchiva® (ustekinumab), as well as strong contributions from Rixathon® (rituximab) and Hyrimoz® (adalimumab).


Generics overview
 

Net sales of generics in Q3 were USD 1.9 billion, reflecting stable growth at CC. Excluding the aforementioned anti-infective B2B headwind, generics net sales increased by 2% at CC. The performance was also impacted by stronger-than-expected unfavourable short-term market dynamics in Germany, as well as active portfolio rationalisation and divestment activity in the International region. Encouraging growth in North America generics net sales reflected several successful launches.

 

9M