Drug maker Novartis AG (NVS) on Tuesday said its first quarter earnings fell 18% from last year, hurt by competition from new generic drugs as well as production problems in the U.S.
The Swiss company reported first quarter net income of $2.33 billion, down from $2.82 billion in the year-ago period. Net sales fell 2% from last year to $13.74 billion.
Those results were largely in-line with what analysts had predicted.
On a sour note, Novartis said it expects full-year 2012 earnings to come in below 2011 levels.
Novartis shares fell 85 cents, or -1.5%, in morning trading Tuesday.
The Bottom Line
We recently began recommending shares of Novartis (NVS) since Mar.21, when the stock price was at $55.46. The company has a 4.42% dividend yield, based on last night’s closing stock price of $55.62.
Novartis AG (NVS) is a “Recommended” dividend stock, holding a Dividend.com DARS™ Rating of 3.5 out of 5 stars.