Swiss healthcare company Novartis has reported that it achieved savings of $1.6 billion (1.05 billion pounds) and a core operating income of $14.6 billion for 2014.
In its results, the multinational pharmaceutical company said it made overall savings of $2.9 billion and net sales of $58 billion and a net income of $10.3 billion.
“Novartis has reported net sales of $58 billion and a net income of $10.3 billion for 2014.“
The report noted that the most significant savings had been generated through procurement, with buyers committing to an ongoing effort to manage spending on goods and services more efficiently.
According to Novartis, the $1.6 billion saved through procurement represents seven percent of annual spending, which reached $22 billion in 2014.
The firm noted that travel costs were cut by 23 percent, due primarily to the increase of virtual meetings.
Commenting on the results, Joseph Jimenez, chief executive officer of Novartis, said 2014 was a year of transformation for the firm.
He added: "We delivered solid sales growth with margin expansion, strengthened innovation, and advanced our quality and productivity agendas. I’m confident that we are positioned for future success."See all the latest jobs in Pharmaceutical