Novartis (NVS) Q3 2026 Earnings Review
What the company reported
Novartis raised its 2026 core operating profit outlook after newer medicines offset generic erosion and improved margins; a $1.9 billion del-desiran write-down reduced reported profit.
Q3 2026 earnings recap
Novartis raised its 2026 core profit outlook as newer medicines offset generic competition, although a drug-development write-down sharply reduced reported earnings.
- Q3 sales rose 4% to $14.52 billion, led by Kisqali and Kesimpta, showing that newer drugs are replacing revenue lost to cheaper rivals.
- Core profit per share, which excludes selected costs, reached $2.46 versus the $2.25 consensus, while the core operating margin improved to 41.6% from 39.3%.
- Reported profit per share fell 69% to $0.63, including a $1.9 billion reduction in the value of del-desiran after its late-stage trial missed the main goal.
- Management now expects flat to low-single-digit core operating profit growth in 2026, excluding currency changes, replacing its previous forecast for a small decline.
- Free cash flow fell 18% to $5.11 billion, and net debt of $37.4 billion makes cash generation more important after the company’s acquisitions.
- At the October 26 close of $153.81, shares traded at about 5.25 times trailing sales, with nearby chart support around $149–151 and resistance around $156–157.
The November 18–19 management event is the next opportunity to assess whether new-drug growth can sustain margins while clinical setbacks and debt constrain returns.
Financials, technicals and earnings
Charts through Oct 26, 2026.
Technical setup and risks
The October 26 close sits above the 20-day and 50-day averages, with nearby support at $149.1–150.7 and resistance at $156–157.1; the November management event will test confidence in drug growth and capital allocation.
AI-assisted earnings research with verified issuer results. Charts use the stated completed session. Educational information; investing involves risk.