Sanofi SNY reported second-quarter 2026 adjusted earnings of $1.22 per American depositary share, which comfortably beat the Zacks Consensus Estimate of $1.10 per share. Earnings of €2.09 per share rose 31.4% on a reported basis and 33.3% on a constant currency rate (“CER”) basis.
Revenues of $13.48 billion surpassed the Zacks Consensus Estimate of $12.73 billion by 5.9%. Net sales of €11.60 billion rose 16% on a reported basis and 17.8% at CER, driven by Dupixent and new and recently acquired medicines.
All growth rates mentioned below are on a year-on-year basis and at CER.
SNY's Dupixent Sales Cross €5 Billion
In Immunology, blockbuster drug Dupixent sales climbed 37.6% at CER to €5.15 billion, exceeding €5 billion in a quarter for the first time. Growth reflected strong volume across approved indications and the drug’s leading position in its major disease areas.
U.S. sales jumped 42.8% to €3.90 billion. Sales advanced 19.4% in Europe and 26.9% in the Rest of the World, led by markets such as Brazil and Canada.
Sanofi markets Dupixent in partnership with Regeneron REGN. While sales are recorded by Sanofi, Regeneron records its share of profits/losses in connection with global sales of Dupixent.
Sanofi's Rare Disease Portfolio Shows Strength
Among rare disease medicines, Altuviiio sales rose 23.7% to €349 million. Growth was driven by patients switching from shorter half-life and legacy factor therapies. The United States accounted for 87% of the drug’s quarterly sales.
Nexviazyme/Nexviadyme sales increased 15.6% to €218 million, led by the United States, as patients continued switching from Myozyme/Lumizyme. Consequently, Myozyme/Lumizyme sales declined 22.9% to €108 million. The combined Pompe disease franchise generated €326 million, down 0.6%.
Ayvakit, added through the Blueprint Medicines acquisition, recorded sales of €190 million. Continued patient growth and longer treatment duration supported demand, although higher U.S. government rebates weighed on U.S. sales.
Fabrazyme sales edged up 0.4% to €258 million. Alprolix rose 15.9% to €163 million, while Cablivi increased 23.2% to €85 million on higher U.S. patient use. Xenpozyme sales advanced 18.5% to €64 million. New drugs, Wayrilz and Qfitlia contributed €17 million and €7 million, respectively, compared with €10 million and €5 million in the previous quarters.
All sales of Qfitlia and Wayrilz were in the United States in the first quarter.
Sanofi's Established Medicines Deliver Mixed Results
Among other major medicines, Toujeo sales increased 4.4% to €354 million, supported by volume growth and market-share gains. Praluent rose 19% to €164 million, while Rezurock advanced 25% to €163 million.
Oncology drug Sarclisa’s sales increased 35.7% to €187 million, with sales rising in double digits in all regions. Demand benefited from increased use in earlier lines of multiple myeloma treatment, particularly among newly diagnosed patients ineligible for transplant.
These gains were partly offset by declines in older products. Lantus sales fell 7% to €394 million, reflecting lower U.S. sales and prior-year gross-to-net benefits. Lovenox dropped 15.8% to €180 million due to continued biosimilar pressure, while Plavix declined 5.7% to €216 million.
SNY's Vaccine Sales Decline in Q2
Vaccine sales decreased 4.7% to €1.15 billion.
Polio, pertussis and Hib vaccine sales, including Heplisav-B, increased 1.4% to €700 million. The newly acquired Heplisav-B from the February acquisition of Dynavax strengthened U.S. performance, but lower childbirth rates weighed on sales in China.
Sales of meningitis, travel and other endemic vaccines declined 5.9% to €287 million, mainly due to lower meningitis vaccine sales in the Rest of the World, partly offset by stronger travel and endemic vaccine demand in Europe.
Revenues of Sanofi and partner AstraZeneca’s AZN respiratory syncytial virus or RSV antibody, Beyfortus, jumped 54.2% to €108 million, driven by expanded geographic availability and use in the Southern Hemisphere.
Influenza and COVID-19 vaccine revenues plunged 61.7% to €54 million because of prior-year one-time benefits and lower Southern Hemisphere sales.
SNY Raises Its 2026 Outlook
Sanofi now expects 2026 sales to grow around 10% at CER, up from its previous forecast for high-single-digit growth. Business earnings per share are projected to increase slightly faster than sales at CER.
Our Take on SNY’s Q2 Results
Sanofi delivered a strong quarter, beating earnings and revenue estimates as Dupixent crossed the €5-billion quarterly sales mark for the first time.
Higher sales of Dupixent and contributions from new products like Altuviiio, Ayvakit and Sarclisa drove top-line growth. Sales of its new and acquired drugs rose 48.3% in the quarter. However, vaccine sales declined in the quarter.
Sanofi also raised its earnings and sales growth expectations for the year based on a strong performance in the first half and an optimistic outlook for the second half. Sanofi also said it expects Dupixent to achieve around €25 billion in sales in 2030, up from its prior target of around €22 billion. It also expects new and acquired drugs to generate approximately €10 billion in sales by 2030.
However, the quarter included notable pipeline setbacks. Last week, Sanofi decided not to advance amlitelimab to regulatory submission after determining that its efficacy and safety profile did not offer a meaningful improvement in atopic dermatitis. The company also said it is discontinuing itepekimab’s development in chronic obstructive pulmonary disease and chronic rhinosinusitis, along with balinatunfib studies in Crohn’s disease and ulcerative colitis.
Additionally, Sanofi announced that two phase III Dupixent studies in lichen simplex chronicus failed to meet their primary endpoints. In June, Sanofi discontinued the phase III MOBILIZE study evaluating riliprubart in treatment-refractory chronic inflammatory demyelinating polyneuropathy.
These setbacks resulted in more than €200 million of wind-down costs and a €952 million impairment related to amlitelimab, which hurt reported earnings in the second quarter.
Despite the better-than-expected second-quarter results and the improved outlook, Sanofi’s shares were down around 6% in pre-market trading due to the pipeline setbacks.
Sanofi’s stock has declined 3.6% so far this year against the industry’s increase of 16.9%.
Image Source: Zacks Investment Research
SNY’s Zacks Rank
Sanofi currently has a Zacks Rank #4 (Sell).
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