Sanofi (NYSE: SNY) reported Q3 EPS of EUR1.25, versus EUR0.91 reported last year. Revenue for the quarter came in at EUR9.59 million, versus EUR8.78 million reported last year.

Broad-based sales growth despite Diabetes sales erosion in the U.S.

• Group sales⁽²⁾ increased 3.4% (up 9.2% on a reported basis) to €9,591 million
• Diabetes sales decreased 6.6%, as a result of lower U.S. sales of Lantus^®
• Genzyme sales (up 32.7%) showed strong momentum driven by Multiple Sclerosis products
• Vaccines sales were up 5.5% mainly driven by Emerging Markets⁽³⁾
• Animal Health delivered another strong performance (up 9.3%) driven by NexGard^®
• Emerging Markets sales increased by 11.4%

Steady financial performance taking into account higher investments in new products

• Operating expenses were €3,816m, up 7.5% at CER
• Business net income grew 5.0% at CER (up 8.3% on a reported basis) to €2,096 million
• Business EPS increased 6.1% at CER to €1.61 and grew 9.5% on a reported basis
• Subsequent event - The financial impact of a voluntary recall announced yesterday for Auvi-Q® and Allerject® in the U.S. and Canada is under evaluation and will be accounted for in Q4 2015. An initial estimate is a negative impact of approximately €100m on Business Net Income

Significant progress in advancing innovative products

• Praluent^® launched in the U.S. in July and first EU launches underway
• New Drug Application for lixisenatide accepted for review by the FDA
• Primary endpoint met in second Phase III study for LixiLan in Type 2 diabetes

2015-2018 Diabetes outlook

• Accounting for recent market trends, Sanofi now projects global diabetes sales over the period of 2015-2018 to decline at an average annualized rate of between 4% and 8% at CER. Sanofi will mitigate the impact of this revised sales expectation on its business operating income by 2018 and will present the mid-term strategic and financial outlook for the Group on November 6, 2015

2015 financial guidance

• Sanofi reaffirms that it expects 2015 Business EPS⁽¹⁾ to be stable to slightly growing versus 2014⁽⁴⁾ at constant average exchange rates, barring unforeseen major adverse events
• In addition, the positive currency impact on 2015 full-year business EPS is estimated to be between 6% and 8%, under the assumption that exchange rates remain stable in fourth quarter at the average rates of September 2015

For earnings history and earnings-related data on Sanofi (SNY) click here.