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Why Novartis Is Expected to Report Modest Revenue Growth in 2018

Margaret Patrick
Why Novartis Is Expected to Report Modest Revenue Growth in 2018

Novartis (NVS) has projected its fiscal 2018 revenues to be higher by low- to mid-single digits on a YoY (year-over-year) basis. The company expects its IM (Innovative Medicines) segment to report a mid-single-digit YoY revenue growth rate in 2018, while the sales reported by the Sandoz segment may remain flat or even drop due to increasing pricing pressures in the US. Novartis has projected that its Alcon segment revenues could grow by low- to mid-single digits on a YoY basis, despite the shift in the reporting of its ophthalmic OTC (over-the-counter) product portfolio and the shift in a small portion of its surgical diagnostic product portfolio from the IM segment to Alcon.