Clearly communicating the Sandoz story and investment case
At Sandoz, we spent much of 2023 explaining to investors, media and other stakeholders how a standalone company would drive shareholder returns and create value. Those efforts came together on October 4, 2023, when we were listed as an independent company on the SIX Swiss Exchange. We used our first annual report, published in March 2024, as a platform to underline and expand on those points in a clear and engaging format.
By Steffen Kurzawa
Sandoz focuses purely on off-patent medicines – and so does our annual report. The report takes our readers on a “deep dive” into the industry, whose value drivers and market dynamics are quite different from those of traditional pharmaceutical companies.
The report breaks down the off-patent medicines market into its two key segments, generics and biosimilars. This was important for our readers as we’re especially focused on the smaller but rapidly-growing biosimilars market, with a plan to increase our biosimilar share of net sales from just over 20% today to 30% over the next five years. The report gave us a chance to help our stakeholders understand this growing and profitable market while showing all the steps we’re taking to meet our target.
Early in the drafting process, we convened a cross-functional team to develop a conceptual business model that illustrates the three main components of the Sandoz value chain: development and regulatory, manufacturing and supply, and commercial. We show how we’ve combined unique strengths in each of those areas to generate value for a broad range of stakeholders.
“Our first annual report is the foundation for the Sandoz investment case and a clear statement of our commitment to the patients and societies we serve.”
By choosing to publish an integrated annual report, we made a deliberate decision to show how patients, customers, physicians, employees and the societies in which we operate all benefit from our work. With 2023 net sales of USD 9.6 billion, we provided more than 800 million patient treatments last year, generating USD 18 billion in direct savings for health care systems in the US and Europe alone. The total social impact of our key medicines is estimated at USD 400 billion worldwide, including the benefits of sick patients returning to work more quickly and relieving insurance systems, household income generated by employment at Sandoz or its suppliers and other benefits. The report brings this to life in stories, numbers, images and individual stories.
This is a lot of information to get across, so we created a highly readable “front end” to the report, organizing key information around the six letters of our name: S-A-N-D-O-Z. From our Scientific heritage to Zeroing in on our ESG, we’ve aimed to give everyone a good sense of who we are, what we stand for and where we’re going – all in just 70 pages. Through this, plus the familiar set of disclosures around governance, risk, compensation and, of course, our financials, our first annual report is also the foundation for the Sandoz investment case and a clear statement of our commitment to the patients and societies we serve.
Sandoz at a glance
Independently listed on SIX Swiss Exchange on October 4, 2023
Integrated annual report published with full-year results on March 13, 2024
Global leader in biosimilar and generic medicines, with USD 9.6 billion in net sales (2023)
Steffen Kurzawa
is the Chief Corporate Affairs Officer and a member of the Sandoz Leadership Team. In this role, he is responsible for developing and delivering the Sandoz global communications strategy. He facilitates the company’s communications with Sandoz leaders and associates and ensures that the organization is engaging with a broad range of external groups including media, patient organizations, associations and international institutions.