06:39 AM EDT, 07/17/2025 (MT Newswires) -- Novartis ( NVS ) reported early Thursday second-quarter earnings above market estimates, but revenue fell short of expectations, while the Swiss pharmaceutical company reiterated its full-year sales growth outlook.

The firm posted core earnings of $2.42 a share for the June quarter, up from $1.97 the year before, ahead of the FactSet-polled consensus of $2.35. Sales climbed 12% to $14.05 billion, just shy of the Street's view for $14.07 billion. The company's US-listed shares edged down 0.6% in the most recent premarket activity.

Volume contributed 12 percentage points to overall sales growth, while pricing and currency were a tailwind of one percentage point each, according to Novartis ( NVS ). Generic competition had a negative impact of two percentage points.

The company continues to project high-single-digit sales growth for 2025, with foreign exchange to have a positive impact of one percentage point based on mid-July rates. The Street is looking for $54.76 billion in sales for the year.

Sales of the company's Entresto heart medication jumped 24% to $2.36 billion in the second quarter, buoyed by continued strong demand-led growth around the world. Breast cancer drug Kisqali saw sales surge 64% to $1.18 billion amid growth across all regions, including a 100% increase in the US. Kesimpta, which is used for the treatment of multiple sclerosis, advanced 35% to $1.08 billion while psoriasis drug Cosentyx inclined 7% to $1.63 billion.

"Novartis ( NVS ) delivered another strong quarter, with double-digit sales and core operating income growth," Chief Executive Vas Narasimhan said in a statement. "Our robust balance sheet and confidence in our mid and long-term growth enable us to initiate an up-to ($10 billion) share buyback as part of our commitment to balanced capital allocation."

Core operating income rose 20% to $5.93 billion boosted by higher sales, partly offset by the company's increased investments on priority brands and launches. Core operating income margin rose by 2.6 percentage points year over year to 42.2%.

The company now anticipates low-teens growth for core operating income in 2025, compared with its previous guidance for low-double-digit gains.

In a separate statement, Novartis ( NVS ) said it appointed Mukul Mehta as its new chief financial officer, effective March 16, 2026. Mukul, who has served with the company for more than 20 years, will succeed Harry Kirsch, who will retire.