Novartis Ag (NYSE: NVSEF)

Novartis AG is an innovative medicines company engaged in the research development manufacturing distribution marketing and sale of a broad range of pharmaceutical products. The company focuses its efforts on cardiovascular renal and metabolic diseases immunology neuroscience and oncology aiming to deliver high value medicines that alleviate society’s greatest disease burdens through technology leadership in research and development and novel access approaches. Headquartered in Basel Switzerland Novartis employs 75,267 full time equivalent employees as of December 31, 2025 and serves patients in approximately 120 countries worldwide.

Novartis generates revenue primarily from the sale of its pharmaceutical products across therapeutic areas. In 2025 the company reported net sales from continuing operations of $54.5 billion and net income from continuing operations of $14.0 billion. Its products are sold to wholesalers retailers health systems government agencies managed care organizations pharmacy benefit managers and directly to patients through prescriptions and hospital use. The global reach of its portfolio allows the company to earn income from diverse markets with a concentration in the United States and Europe.

The company operates through the following segments: Biomedical Research, Development, Operations, US Commercial, and International Commercial.

• Biomedical Research: This segment serves as the innovation engine focusing on creating new ways of fighting disease and turning scientific breakthroughs into new medicines with the potential to change lives.

• Development: This segment oversees the development of potential new medicines through clinical trials to confirm their safety and efficacy and steers the path to regulatory approval for patient use.

• Operations: This segment manufactures and delivers medicines to customers while also managing global functions such as information technology procurement and real estate services.

• US Commercial: This segment concentrates on the United States market working with customers to provide innovative medicines and services that improve treatment options and raise the quality of care for patients.

• International Commercial: This segment focuses on markets outside the United States delivering medicines and support services to healthcare providers and patients worldwide.

Within the very competitive global pharmaceutical industry Novartis positions itself as a leading innovator that competes against large multinational corporations and smaller regional players. Its competitive advantages stem from a strong research and development pipeline, a focus on high burden therapeutic areas, and the ability to pursue novel access strategies that aim to improve patient reach and affordability.

The company serves a broad customer base that includes drug wholesalers, retailers, private health systems, government agencies, managed care providers, pharmacy benefit managers, and ultimately patients who receive its medicines through prescriptions and hospital administration.