Sanofi lifts expectations for 2026 sales growth, looks to M&A

French pharmaceutical company Sanofi has raised its 2026 sales growth expectations, signaling optimism about its future prospects. The company now anticipates a low-teens percentage year-over-year sales increase, a marked improvement from its previous forecast of 10% sales growth. This optimism is largely attributed to the strong demand for their leading asthma medication, Dupixent.

Moreover, Sanofi's new CEO, Belen Garijo, unveiled plans for faster decision-making and emphasized the importance of strategic reviews during her tenure. CFO François Roger disclosed that the company is exploring mergers and acquisitions (M&A) deals in the range of €2 billion to €5 billion, significantly larger than their typical investments.

Garijo's leadership strategy includes focusing on areas with strong potential, such as rare diseases, vaccines, and immunology. The French drugmaker is also considering "white spaces" or innovative projects with unmet medical needs. Analysts estimate that Sanofi has around €20 billion in deal-making capabilities, underscoring their commitment to growth through strategic partnerships and acquisitions.

In their latest quarter, Sanofi reported business operating income of €5.43 billion, surpassing market expectations of €4.32 billion.