Market Report Source

Overview

Introduction
This analysis examines the historical and forecast performance for Sandoz in the generic pharmaceutical sector. The profile encompasses global company strategy, generic and biosimilar portfolio and pipeline analysis and assessment of financial performance. An interactive data and analysis tool provides quantitative and qualitative information.

Key reasons to read this report

• Benchmark Sandoz’s performance against key rivals in the generic pharmaceutical sector
• Evaluate Sandoz’s historical and forecast generic growth drivers and resistors
• Understand the strategy behind Sandoz’s recent launch of its first biosimilar, Omnitrope

Table of Contents

CHAPTER 1 EXECUTIVE SUMMARY 4

Key findings 4

Historical and forecast ethical sales performance 6

Therapeutic focus 7

Generic drug outlook, 2006-12 8

Generic drug launch history 9

SWOT analysis 12

Strengths 12

Weaknesses 14

Opportunities 15

Threats 15

CHAPTER 2 CORPORATE HISTORY 19

Key findings 19

Background 20

Key corporate developments 20

M&A history 20

Hexal acquisition 22

Eon Labs acquisition 22

M&A strategy 22

Deals and alliances 23

Current corporate structure 23

Current management team 24

CHAPTER 3 HISTORICAL PERFORMANCE 26

Key findings 26

Introduction 27

Revenue and growth rate analysis, 2001-06 27

Revenue and growth rate versus generic peer set 28

Product analysis, 2001-06 29

Growth drivers 30

Generic drugs 30

Growth resistors 31

Operating revenue and cost analysis, 2002-06 31

Operating revenue/cost analysis 33

CHAPTER 4 BRAND FORECAST PERFORMANCE 35

CHAPTER 5 KEY PRODUCTS AND COMPETITORS 36

Key findings 36

Overview 37

Therapy area focus (2002-06) 38

Generic and biosimilar products 39

Fentanyl 39

Amoxicillin/clavulanate 40

Omeprazole 40

Azithromycin 40

Estradot 41

Generic outlook 41

Biosimilar outlook 44

Omnitrope 44

Epoetin alpha 45

Biosimilars in development 46

CHAPTER 6 APPENDIX 48

IMS versus company-reported data reconciliation 48

References 49

Abbreviations 51

Exchange rates 52

List of Tables

Table 1: Sandoz Corporate Executive Committee, 2007 25

Table 2: Generic peer-set overview , 2006 28

Table 3: Novartis – operating revenue/cost analysis ($ m), 2002-06 31

Table 4: Novartis – operating cost ratio analysis (% of total revenues), 2002-06 33

Table 5: Key generic product overview, Sandoz top five product sales across the seven major markets, 2006 37

Table 6: Generic drugs launched in 2006 by Sandoz 42

Table 7: Sandoz’s biosimilar product portfolio and pipeline, 2007 44

Table 8: Exchange rates, 2006 52

List of Figures

Figure 1: Historical ethical generic global sales performance for Sandoz and the generic peer set (% CAGR), 2002-06 6

Figure 2: Sandoz’s generic therapeutic focus versus generic Pharma peer set (%), 2006 7

Figure 3: Sandoz’s generic drug forecast ($ billion), 2006-12 9

Figure 4: Percentage revenues attributed to generics launched in the US by Sandoz, 2002-06 11

Figure 5: SWOT analysis, Sandoz 12

Figure 6: Sandoz’s M&A/divestment history, 2000-06 21

Figure 7: Sandoz’s corporate structure 24

Figure 8: Revenue and annual growth rate in global ethical sales ($m), Sandoz, 2002-06 27

Figure 9: Sandoz’s total global ethical revenue and growth rate compared to generic peer set, 2001-06 29

Figure 10: Sandoz’s growth drivers of historical revenue performance ($m), 2002-06 30

Figure 11: Novartis – operating revenue/cost analysis ($ billion), 2002-06 32

Figure 12: Novartis – operating cost ratio analysis (% of total revenues), 2002-06 33

Figure 13: Novartis – operating cost ratio versus peer-set, 2002-06 34

Figure 14: Sandoz’s top five products across the seven major markets ($m), 2006 38

Figure 15: Sandoz’s global generic sales by therapeutic class, 2006 39

Figure 16: Sandoz’s 2006 drug launches 41

Figure 17: IMS versus company-reported ethical sales discrepancy for Sandoz ($m), 2006 48