Sandoz Group (SDZ) Q1 2026 TU earnings summary

Executive summary

• Q1 2026 net sales reached USD 2,756 million, up 3% at constant currency, driven by strong biosimilars growth and robust North America results, while generics declined due to anti-infective B2B headwinds.

• Biosimilars net sales grew 18% at CC, now representing 31% of total net sales, with successful launches of Wyost, Jubbonti, and Afqlir contributing to momentum.

• North America delivered 12% net sales growth at CC, led by exceptional biosimilars launches and new product introductions.

• Strategic partnership with Samsung Bioepis announced, expanding the biosimilar pipeline to up to 32 assets.

• Full-year 2026 guidance for net sales and core EBITDA margin expansion confirmed.

Financial highlights

• Net sales: USD 2,756 million (+3% at CC), with biosimilars at USD 853 million (+18% at CC) and generics at USD 1,903 million (-3% at CC).

• Volume growth of 7% offset by 4% price erosion.

• North America net sales up 12% at CC, driven by new product launches.

• Underlying net sales growth of 5% at CC excluding anti-infective B2B impact; generics decline narrowed to 1% at CC.

• Europe grew 2% at CC, with double-digit biosimilars growth, but generics declined due to B2B and market dynamics.

Outlook and guidance

• Net sales expected to grow at a mid- to high-single-digit percentage at CC for 2026.

• Core EBITDA margin projected to expand by around 100 basis points.

• Guidance excludes material contribution from potential generic semaglutide launch in 2026.

• Price erosion anticipated in the low- to mid-single-digit percentage range.