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Strong sales performance and double digit EPS growth marking the achievement of the 2022 profitability milestone
Paris, February 3, 2023
Q4 2022 sales growth of 2.6% at CER and business EPS(1) growth of 17.4% at CER
- Specialty Care grew 18.1% driven by Dupixent® (€2,402 million, +42.1%) and new product launches
- Vaccines sales (-16.3%) reflecting influenza and PPH sales phasing (Q3 influenza sales: up 32.4%) as well as ramp up of non-consolidated Vaxelis® sales
- General Medicines core assets up 8.0% while GBU sales were lower (-3.7%) mainly due to Lantus® and spin-off of EUROAPI
- CHC sales increased 6.6% driven by double-digit growth of Digestive Wellness, Cough & Cold and Allergy categories
Full-year 2022 delivered 7.0% sales growth and 17.1% business EPS growth at CER
- Sales grew to €42,997 million driven by Dupixent® (€8,293 million, +43.8%), adding €3 billion of incremental sales, Vaccines up 6.3% in line with the mid-term growth objective as well as CHC strategy execution (+8.6%)
- Mid-term BOI margin target of 30% and cost savings objective of €2.5 billion achieved
- Business EPS(1) of €8.26 up 25.9% on a reported basis and 17.1% at CER
- IFRS EPS of €5.37 (up 8.0%)
- Board held on February 2, proposes annual dividend of €3.56, an increase of 6.9%
Progress on Corporate Social Responsibility strategy in Q4
- Positive phase 2/3 results of acoziborole with the potential to further transform the treatment of sleeping sickness
- Accelerating our ambition towards net zero emissions by 5 years, now targeting 2045
Key R&D milestones and regulatory achievements in Q4
- Dupixent® approved in Europe for prurigo nodularis and CHMP positive opinion for eosinophilic esophagitis
- Beyfortus® (nirsevimab) approved in Europe for the prevention of RSV disease in all infants
- VidPrevtyn® Beta approved in Europe as a booster for the prevention of COVID-19 in adults
- Enjaymo® approved in Europe in adult patients with cold agglutinin disease (CAD)
Full-year 2023 business EPS guidance
- Sanofi expects 2023 business EPS(1) to grow low single digit(2) at CER, barring unforeseen major adverse events. Applying average January 2023 exchange rates, the currency impact on 2023 business EPS is estimated between -3.5% to -4.5%
Sanofi Chief Executive Officer, Paul Hudson, commented:
“We closed 2022, marking the successful execution of the first chapter of our 6-year ‘Play to Win’ strategy. Specialty Care delivered the highest sales among our businesses. Dupixent® and Vaccines continue to be our leading growth drivers. We are particularly proud of the progress we made in R&D transformation with multiple approvals of transformative medicines and new product launches across Specialty Care. At the same time, we keep delivering strong proof points of our improved financial performance underpinned by the achievement of the 30% BOI margin. Moving to the next chapter of our strategy, we are looking forward to the planned launches of Altuviiio® and Beyfortus® as well as key pivotal readouts, including the COPD indication for Dupixent®. With the view on the expected entrants of generic competition for Aubagio® in the coming months, we remain confident in our outstanding commercial capabilities, including the ambition to reach sales of 10 billion euros for Dupixent® in 2023, enabling us to guide to low single-digit EPS growth for the year.”
| Q4 2022 | Change | Change at CER |
2022 | Change | Change at CER |
|
| IFRS net sales reported | €10,725m | +7.3% | +2.6% | €42,997m | +13.9% | +7.0% |
| IFRS net income reported | €1,460m | +29.1% | _ | €6,720m | +8.0% | — |
| IFRS EPS reported | €1.16 | +28.9% | _ | €5.37 | +8.0% | — |
| Free cash flow(3) | €2,546m | +0.2% | _ | €8,483m | +4.8% | — |
| Business operating income | €2,724m | +20.7% | +15.0% | €13,040m | +21.7% | +13.3% |
| Business net income(1) | €2,141m | +23.8% | +17.6% | €10,341m | +25.9% | +17.0% |
| Business EPS(1) | €1.71 | +23.9% | +17.4% | €8.26 | +25.9% | +17.1% |
Changes in net sales are expressed at constant exchange rates (CER) unless otherwise indicated (definition in Appendix 9). (1) In order to facilitate an understanding of operational performance, Sanofi comments on the business net income statement. Business net income is a non-GAAP financial measure (definition in Appendix 9). The consolidated income statement for Q4 2022 is provided in Appendix 3 and a reconciliation of reported IFRS net income to business net income is set forth in Appendix 4; (2) 2022 business EPS was €8.26; (3) Free cash flow is a non-GAAP financial measure (definition in Appendix 9).
