Sanofi SA (ADR) (NYSE:SNY) Pasteur seems to be making it big with its vaccines. In the third quarter the French drugmaker’s sales grew by 14% over last year. On a call with analysts, company executives attributed the growth of sales to early flu shipments to the U.S, a tactic that Sanofi’s rival GlaxoSmithKline Plc (NYSE:GSK) also applied during the same period.
However, its Dengvaxia, a first-of-its-kind dengue fever vaccine remained behind expectations, which according to CEO Olivier Brandicourt, is a good thing for Sanofi.
Influenza vaccines made it big with an increase of 35%, which translated to €989 million ($1.1 billion). The new vaccine registered €30 million in the quarter giving the total year closure of €50 million.
Sanofi’s product portfolio
The global healthcare leader is well-known for its discovery, development and distribution of therapeutic solutions. It has previously provided vaccines against flaviviruses including yellow fever, dengue, and Japanese encephalitis, which obtained its first licensing in 2010. It is a world leader in the vaccine industry with a reliable vaccines division. It is the largest company that has an all rounded dedication to vaccines. The vaccines business unit continues to deliver following strong Q1 results earlier in the year with a vision of gaining entry into new territories
However, Brandicourt says, “Given recent political changes and economic volatility in emerging markets, the number of doses to be shipped in emerging markets, the number of doses to be shipped in Q4 is expected to be lower.”
Sanofi’s collaboration for Zika vaccine research
In its drive for growth, Sanofi SA (ADR) (NYSE:SNY)’s vaccines global business unit will be collaborating with the Oswaldo Cruz Foundation for purposes of Zika vaccine development. This will involve the use of WRAIR’s inactivated-virus vaccine (ZPIV) technology. They will bring their expertise together and complement each other in fighting Zika and later on work on a possibility of developing and licensing a safe and efficient Zika vaccine. In the meantime, there are plans by Sanofi to divide its European vaccines joint venture with Merck & Co., Inc. (NYSE:MRK).
Sanofi SA (ADR) (NYSE:SNY) stock closed at $39.75 on Wednesday.
Note: This article is written by Andy Parker and originally published at Market Exclusive.