Novartis Q1 2025: Navigating Key Contradictions in Pluvicto's Strategy, Manufacturing, and Market Potential

Pluvicto's commercialization strategy and market dynamics, manufacturing challenges and delays, Pluvicto sales and center expansion, Ianalumab commercial opportunity, and generic entrances and revenue impact are the key contradictions discussed in Novartis's latest 2025Q1 earnings call.



Strong Financial Performance:
- Novartis reported a 15% increase in net sales for Q1 2025, with a core operating income increase of 27%.
- The company also noted a core margin improvement of 42.1%, up 400 basis points.
- The growth was driven by robust sales performance across key brands like Kisqali and Kesimpta, as well as innovations in new product approvals.

Kisqali's Market Performance:
- Kisqali, a CDK4/6 inhibitor, grew 56% in constant currency, with 87% growth in the U.S. and 24% growth in other markets.
- The increase was due to strong positioning as the preferred medication in both metastatic and early breast cancer, leading to market leadership and significant performance in the U.S. and major markets.

Kesimpta's Expansion:
- Kesimpta experienced a 43% growth in constant currency, with 41% TRx growth in the U.S. and leading NBRx share in several major markets.
- The growth was due to its convenient at-home self-administration, which makes it preferred by patients, and robust B-cell and MS market performance.

Pluvicto's PSMAfore Launch:
- Pluvicto's first-quarter sales grew 21%, with significant expectations for the PSMAfore population, where it achieved a 50% share in community settings.
- The momentum was driven by the FDA approval for the PSMAfore population and positive NCCN guidelines support, although expansion of centers and patient volumes is needed for full potential.