BASEL - SWISS pharmaceutical giant Novartis reported Wednesday a 25 per cent jump in profits in 2008 to US$8.16 billion (S$12.3 billion) and forecast a record year in 2009.
Boosted by vaccines, diagnostics and consumer health products, the company said sales increased by nine per cent to US$41.6 billion in 2008.
The earnings were nevertheless below the US$8.5 billion forecast by analysts interviewed by the Swiss financial news agency AWP.
Higher taxes and the costs of financing its April 2008 purchase of 25 per cent stake in the eye drugs maker Alcon, weighed on profits, the company said.
The company appeared to have so far largely escaped the global financial crisis, although sales grew just one percent in the final quarter of 2008.
'Thanks to successful innovation and a leading market position of our healthcare business portfolio, Novartis achieved a strong performance in 2008,' Novartis CEO Daniel Vasella said in a statement.
'Novartis anticipates another year of record results in 2009, continuing on its path of sustainable growth.' The company said it plans to pay a dividend of two Swiss francs per share, an increase of 25 per cent over the previous year, for a total payout of US$4.3 billion. -- AFP
