Sanofi Pasteur: Why Human Vaccines Matter



Sanofi Pasteur

Sanofi Pasteur, the human vaccines business of Sanofi (SNY), reported a 3.7% sequential rise in revenues at constant exchange rates in 4Q16, reaching 1.35 billion euros (about $1.43 billion). This increase was mainly driven by polio and hepatitis B vaccines and travel and other endemic vaccines.

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Polio, pertussis, Hib vaccines

This franchise includes Pentacel, Pentaxim, and Imovax, among other vaccines. This franchise reported a sales increase of 16.5% at constant exchange rates to 554 million euros, due to increased sales of Pentaxim, and Hexaxim in the Middle East, Africa, and other emerging markets, Pentacel in the US markets.

Meningitis and pneumonia vaccines

Meningitis and pneumonia vaccines, including Menactra, reported a 3.6% growth at constant exchange rates in its 4Q16 revenues at 118 million euros. Menactra revenues grew by ~1% to 107 million euros due to increased growth in the US markets.

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Influenza vaccines and other products

Influenza vaccines reported a 5% fall at constant exchange rates in 4Q16 revenues to 416 million euros. This franchise includes Vaxigrip and Fluzone vaccines.

Other products include adult booster vaccines, travel and other endemic vaccines, and other vaccines. Adult booster vaccines, including Adacel, reported revenues of 129 million euros in 4Q16, representing 15.3% sequential fall due to Adacel sales in the US.

Notably, travel and other endemic vaccines reported a 4% growth, totaling 107 million euros, while other vaccines reported a growth of 21.4%, totaling 22 million euros in 4Q16. (All these growth rates are at constant exchange rates.)


VaxServe is the US-based entity of Sanofi Pasteur for distribution of vaccines and products from third-party manufacturers. Sales from VaxServe were reported under Vaccines segment until December 2015.

Since January 1, 2016, VaxServe revenues are now reported under Other revenues. VaxServe reported sales of 221 million euros during 4Q16, representing a 62.5% growth over 4Q15.

Other revenues including VaxServe sales rose ~32% to 310 million euros during 4Q16.

Sanofi Pasteur MSD

Sanofi Pasteur MSD is a joint venture of Sanofi Pasteur with Merck (MRK) in Europe. Sanofi Pasteur MSD sales rose 25.5% on reported basis to 301 million euros. This amount is not consolidated in the above figures.

Notably, to divest risk, investors can consider ETFs like the PowerShares BLDRs Developed Markets 100 ADR ETF (ADRD), which has 3% of its total assets in Sanofi, 2.6% in Novo Nordisk (NVO), 6.6% in Novartis (NVS), and 2% in AstraZeneca (AZN).


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