# Novartis Raises 2026 Core Operating Income Outlook After Q3 Core EPS Rises 9%

By John Kim

Canonical URL: https://www.tokenpost.com/news/business/41571
Published: 2026-10-27T06:34:15.000Z
Updated: 2026-10-27T06:34:15.000Z
Section: Business

> Core operating income increased 11% to $6.036 billion, while reported operating income and net income fell sharply.

Novartis raised its 2026 core operating income outlook after third-quarter core earnings per share rose 9% year over year to $2.46. The Swiss drugmaker’s net sales also increased, while reported operating income and net income declined sharply in the quarter ended Sept. 30.

Core operating income reached $6.036 billion, up 11% in reported dollars and 10% at constant currencies. Core EPS increased from $2.25 a year earlier; its growth was 8% at constant currencies. Novartis classifies core results as non-IFRS measures.

For 2026, Novartis sees core operating income holding at 2025 levels or posting low-single-digit growth on a constant-currency basis. Its prior forecast called for a low single-digit decline. The net sales outlook remains low single-digit growth, unchanged from the previous forecast.

Third-quarter net sales rose 4% to $14.522 billion. At constant currencies, sales of Kisqali grew 37%, Kesimpta rose 22% and Scemblix increased 67%.

Reported operating income fell 59% to $1.843 billion, net income declined 70% to $1.196 billion and reported EPS dropped 69% to $0.63. The quarter included a $1.9 billion partial impairment of the del-desiran research asset after the drug failed to meet the primary endpoint in the Phase III HARBOR study for myotonic dystrophy type 1. Higher other expenses also weighed on reported results.

“Combined with productivity efforts, this drove strong bottom-line performance and allowed us to upgrade our full-year guidance,” Novartis CEO Vas Narasimhan said.

Novartis scheduled its results webcast for 8 a.m. ET (12:00 UTC) Tuesday, Oct. 27.