Revenue distribution by sectors:

• Generics: 60%
• Biosimilars: 30%
• Other healthcare products: 10%

TOP 3 markets:

• USA: 35%
• Germany: 20%
• Japan: 15%

The Sandoz Group AG generates the majority of its revenue from the sale of generics, followed by biosimilars. These products are crucial for the business as they offer cost-effective alternatives to branded drugs.

The US market is the largest individual market for Sandoz, attributable to the high demand for generics and biosimilars in this country. Germany and Japan follow as important markets, also showing strong demand for affordable medications.

Production Sites:

• Kundl, Austria
• Stryków, Poland
• Broomfield, USA
• Holzkirchen, Germany

Sandoz Group AG, a leading company in the field of generics and biosimilars, has production facilities in several countries worldwide. The main production sites are located in Europe and the USA. Kundl in Austria is one of the most significant sites, especially for the production of antibiotics. In Poland, specifically in Stryków, Sandoz operates one of the most modern production facilities for solid dosage forms. In the USA, in Broomfield, Colorado, the company focuses on the production of injectable drugs. Holzkirchen in Germany serves as an important site for the development and production of biosimilars.

This geographical diversification enables Sandoz to efficiently respond to demand in different markets while minimizing supply chain risks.

Revenue growth: 7.5% (2024)
Focus on biosimilars: 60% of the portfolio by 2025

Sandoz Group AG is pursuing a growth strategy that heavily focuses on expanding in the biosimilars sector. The company plans to align about 60% of its portfolio with biosimilars by 2025 to benefit from the increasing demand for cost-effective alternatives to expensive biopharmaceuticals.

In addition, Sandoz is investing in research and development to expand its product pipeline and bring innovative solutions to the market. This strategy is complemented by partnerships and acquisitions aimed at strengthening market presence and securing access to new technologies and markets.

Another important aspect of the growth strategy is geographical expansion, particularly in emerging markets where there is increased growth potential. Sandoz plans to expand its distribution networks and strengthen local production to better address the specific needs of these markets.

Main raw materials: Pharmaceutical active ingredients (APIs), excipients, packaging materials

Countries of origin:

• India: Main supplier of pharmaceutical active ingredients (APIs)
• China: Significant supplier of APIs and excipients
• Germany: Packaging materials and specialized chemical components
• USA: High-quality APIs and biotechnological materials

Sandoz Group AG, as a leading company in the field of generics and biosimilars, imports a variety of raw materials necessary for the production of their products. India and China are the main suppliers of pharmaceutical active ingredients, as these countries have strong production capacities and cost-efficient structures.

Germany and the USA supply specialized chemical components and high-quality APIs required for specific products. Packaging materials are also sourced from Germany to ensure the high-quality standards necessary for the European market.

Generic Market Share: 10% (2025, estimate) R&D Investments: 1.5 billion USD (2024) EBITDA Margin: 20% (2024)

Sandoz Group AG, as one of the leading providers in the generic market, possesses a significant competitive advantage due to its strong global presence and extensive product range. With an estimated market share of 10% in the generic sector, Sandoz can benefit from economies of scale, allowing it to reduce production costs and offer competitive prices.

The investments in research and development, which amounted to approximately 1.5 billion USD in 2024, underscore the company's commitment to developing innovative and cost-effective solutions. This strengthens Sandoz's position in the biosimilars field, a rapidly growing segment.

Furthermore, Sandoz has a solid EBITDA margin of 20%, indicating an efficient cost structure and strong operational performance. These factors together give Sandoz a sustainable competitive advantage in a fiercely competitive market.

Institutional investor share: approx. 60% (2025, estimated) Insider purchases: No significant purchases in the last 12 months Insider sales: Moderate, about 2% of the total stock volume in the last year

The institutional investor share at Sandoz Group AG is estimated to be around 60%. This is typical for large publicly traded companies, as institutional investors such as pension funds, investment funds, and insurance companies often hold a significant portion of the shares.

There have been no significant insider purchases in the last 12 months, indicating that the management may not see significant undervaluations of the stock. Insider sales were moderate, amounting to about 2% of the total stock volume. This could be due to profit-taking or personal financial decisions by the insiders and is not necessarily a negative signal for the market.

Market share Sandoz Group AG: 12% (estimated, 2025)

Main competitors and their market shares:

1. Teva Pharmaceutical Industries Ltd.: 15%
2. Mylan N.V. (part of Viatris): 14%
3. Fresenius Kabi: 10%
4. Pfizer (generic division): 9%
5. Novartis (generic division): 8%

The Sandoz Group AG, as a leading provider in the generics and biosimilars sector, holds a significant market share of around 12%. This positions them as one of the key players in the industry. The generics market is highly competitive, with differentiation often based on cost leadership, production capacities, and distribution networks.

Sandoz's moat mainly lies in its strong global presence and its ability to produce cost-effectively. Additionally, Sandoz benefits from the support of its parent company Novartis, providing access to extensive research and development resources.

Compared to competitors, Teva has a slight advantage in market share due to its aggressive expansion strategy and comprehensive product portfolio. Mylan, as part of Viatris, also has a strong market presence through mergers and acquisitions.

Overall, Sandoz has a solid but not insurmountable moat. The competition is fierce, and market share can be influenced by strategic decisions and innovations.

Revenue growth: 8.5% (2024) R&D expenses: 1.2 billion USD (2024) Market share in the generics sector: 10% (2024)

In 2024, Sandoz Group AG recorded a revenue growth of 8.5%, attributed to a strong performance in the generics and biosimilars sector. The company invested 1.2 billion USD in research and development in the same year, highlighting its efforts to bring innovative products to market and strengthen its competitive position.

With a market share of 10% in the generics sector, Sandoz is one of the leading companies in this industry. This position enables the company to benefit from the increasing demand for affordable medications, especially in emerging markets.

The strategic focus on research and development and the strong market position in the generics sector suggest that Sandoz is well positioned to generate future growth. Investors could benefit from these long-term prospects, especially if the company continues to drive innovation and expand its market share.

Dividend yield: 3.5% (2025, estimated)
Dividend history: Regular payouts for several years

The Sandoz Group AG has paid a dividend in recent years and is expected to also pay a dividend in 2025. The dividend yield is estimated to be around 3.5%.

The reliability of the payout can be rated as high, as the company has a solid financial base and a stable earnings situation. Historically, Sandoz has regularly paid dividends, indicating a consistent dividend policy.

However, it is important to regularly review the financial situation and market conditions to assess the company's future dividend-paying ability.