Novartis CFO sees strong second half
Friday September 19 12:10 PM EDT
INTERLAKEN, Switzerland, Sept 19 (Reuter) - Novartis AG (NOVZN.S) chief financial officer Raymund Breu said on Friday he expected earnings growth in the second half of 1997 to be stronger than that seen in the first six months of the year.
The Swiss pharmaceuticals, chemical and nutrition group reported on August 28 that net earnings rose 27 percent in the first half. Net income rose to 3.117 billion Swiss francs from 2.447 billion in the 1996 first half.
``We see earnings growth in excess of what we showed in the first half,'' Breu told journalists while attending a conference here.
He said the increase would be ``in excess of 27 percent -- and not just 27.1 percent.''
Breu said when first half earnings were released that the second half should at least match the 27 percent increase seen in the first, but it could also be higher. One factor helping to boost results was the relative strength of the U.S. dollar, he said.
He said the group had the dollar in its 1997 budget at roughly 1.20 francs to the dollar. The dollar is currently at above 1.4500 francs.
As to Novartis's life sciences activities, comprising health care, agribusiness and nutrition, the ``portfolio, as it stands, by and large, with the three divisions... is complete, and a good life sciences portfolio,'' Breu said.
``Within this portfolio you always have to do minor adjustments,'' Breu said.
``We are at the moment in the midst of doing a strategic review of all these sectors. I would expect once those strategies are approved by the board then we could say how we would continue in those main areas,'' he said.
He declined to say how soon it would be before the board would be ready to make any decision.
biz.yahoo.com
I'm glad I moved more money into my Novartis stock 401k August 29th.
Steve |
