This Annual Report includes non-IFRS financial measures such as core results, constant currencies and free cash flow. Novartis believes that investor understanding of the Group’s performance is enhanced by disclosing these non-IFRS measures. A definition of non-IFRS measures used by Novartis, and further details, including reconciliation tables, can be found starting on page 179.
2017 weighted average number of shares outstanding: 2 346 million (2016: 2 378 million)
Dividend 2017: proposal to shareholders for approval at the Annual General Meeting on March 2, 2018
Payout ratio 2017 is calculated by converting into USD the proposed total gross dividend amount in CHF at the CHF-USD exchange rate of December 31, 2017, based on an estimated number of shares outstanding on dividend payment date, and dividing it by the USD consolidated net income attributable to shareholders of Novartis AG in the Group’s 2017 consolidated financial statements.
Further details related to share development and total shareholder return can be found starting on page 85.
Includes Innovative Medicines and Sandoz biosimilars only
Includes programs entering confirmatory development, based on internal R&D activities. First patient, first visit (FPFV) has occurred in post-proof-of-concept stage. Includes small molecules, biologics; new fixed-dose combinations of existing active pharmaceutical ingredients (APIs); and new target indications, defined as new disease or new line of treatment (e.g., first line vs. second line). Counted by indication and not compound
Includes projects with FPFV in a Phase III study but not yet filed in the US, EU or Japan
Number of breakthrough therapy designations by the US Food and Drug Administration for therapies under development by Novartis
Includes small molecules, biologics; new fixed-dose combinations of existing APIs; and new target indications, defined as new disease or new line of treatment (e.g., first line vs. second line)
Includes NMEs such as small molecules, biologics; in the EU, new fixed-dose combinations of existing APIs
Includes reporting of the catchment of a population in the area where a program has been implemented.
Headcount reflects the total number of associates in our payroll systems. Full-time equivalent adjusts headcount for associates working less than 100%. All data as of December 31
Management defined by Global Job Level Architecture and Novartis Top Leaders
Novartis Top Leaders comprise the approximately 350 most senior managers at Novartis, including the Executive Committee of Novartis.
The number of misconduct cases reported may change, as matters may be reassessed in the course of the case lifecycle. The number of substantiated allegations may change due to the fact that investigation reports with assessments are received on an ongoing basis, which potentially leads to a difference in numbers at a later stage.
2017 environmental sustainability data published in the Annual Report are actual data for the period from January through September, and best estimates for the period from October through December. They will be updated with actual data in the first quarter of 2018. Significant deviations will be reported on our website and restated in next year’s Annual Report. For more detail on health, safety and environmental sustainability, see www.novartis.com/our-company/corporate-responsibility/doing-business-responsibly/health-safety-environment
Data include Novartis associates and third-party personnel managed by Novartis associates.
Scope 1: combustion and process, and vehicles; Scope 2: purchased energy