Novartis

The good health of the pharmaceutical industry is confirmed

While domestic production will slow slightly in 2018, it will remain very dynamic with a performance (+ 3.0%) which is part of a solid growth cycle started in 2015. Exports will once again be well oriented United States and Asia, which will confirm their rise. The situation will be more contrasted on the European markets despite the dynamism of some markets, Germany and Spain in the lead. In the domestic market, the consumption of drugs is progressing slightly in volume, essentially conditioned by the intensity of epidemiological episodes at the end of the 2018 financial year.

While domestic production will slow slightly in 2018, it will remain very dynamic with a performance (+ 3.0%) which is part of a solid growth cycle started in 2015. Exports will once again be well oriented, mainly at destination. from the United States and Asia, which will confirm their rise. The situation will be more contrasted on the European markets despite the dynamism of some markets, Germany and Spain in the lead. In the domestic market, the consumption of drugs will increase slightly in volume, essentially conditioned by the intensity of epidemiological episodes at the end of the 2018 fiscal year.

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2019 : A year in continuity

According to our forecasts, the growth of manufacturing production will remain dynamic (+ 1.5%) in 2019 and the pharmaceutical industry will be one of the main driving sectors. The latter will grow by 3.5% in 2019. The expected start-ups of new production lines (Novartis, GSK, Aspen, etc.), the ramp-up of recently installed capacities or the winning of international outsourcing by the hexagonal sites of manufacturers will be likely to support the dynamism of the industrial fabric. A vigor that will contrast, once again, with a moribund domestic market while exports will continue to high level, driven by the influence of sites of excellence of big pharma located in France (Sanofi, GSK, AstraZeneca, etc.).

Novartis, a challenger position and the ambition of a leader

Currently second behind Pfizer and its 43 billion turnover Novartis trumps the US with 41 billion turnover. The long-term vision of the group is now to dethrone this leader without forgetting his other competitors, Sanofi and GSK arriving in third and fourth place (35 and 34 billion turnover). Novartis has therefore put in place a comprehensive strategy to optimize its different know-how and refocus on its core businesses.

Internal development and strategic refocusing are therefore now the priorities of a group that wants fewer divisions for more specialization and wants to become a market leader with a strong position in oncology. Novartis also wants to focus the development of its research on more "blockbusters" products in order to reach a broader target and conquer large-scale markets.

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