12 February 2026 Punjab Khabarnama Bureau : French pharmaceutical major Sanofi has announced the removal of its Chief Executive Officer Paul Hudson, bringing an abrupt end to his tenure after the company’s turnaround strategy failed to deliver the expected results. The decision marks a major leadership shake-up at one of the world’s largest vaccine and drug makers, as the board seeks new direction amid slowing growth, pipeline challenges, and increasing competitive pressure.
Hudson, who took over as CEO in 2019, was tasked with repositioning Sanofi for long-term growth by strengthening its research pipeline, reshaping its vaccine business, and reducing dependence on a handful of blockbuster drugs. While his tenure saw some structural changes and portfolio realignment, board members and investors grew increasingly dissatisfied with the pace and impact of the turnaround.
A key area of concern was Sanofi’s vaccine division, once considered a crown jewel of the company. The business struggled with fluctuating demand, intensified competition, and execution challenges in major markets such as the United States. These issues eroded confidence in Sanofi’s ability to remain a dominant force in the global vaccine market, especially as rivals moved faster with innovation and product launches.
Another challenge was Sanofi’s heavy reliance on Dupixent, its blockbuster treatment for inflammatory diseases. Although the drug continued to deliver strong revenues, investors remained wary of the company’s limited success in developing late-stage alternatives that could offset future patent expiries. Several pipeline setbacks and disappointing clinical trial outcomes added to concerns about Sanofi’s innovation engine under Hudson’s leadership.
Hudson had attempted to address these weaknesses by narrowing Sanofi’s focus to core therapeutic areas such as immunology, oncology, and rare diseases. The company also pursued acquisitions and partnerships to bolster its pipeline. However, these moves failed to significantly lift investor sentiment, with critics arguing that Sanofi lagged peers in translating research spending into commercially successful medicines.
The pharmaceutical industry as a whole has become increasingly unforgiving, with rising research costs, pricing pressures, and heightened expectations for breakthrough therapies. Against this backdrop, Sanofi’s relatively cautious progress stood out. Shareholders voiced frustration over the company’s performance compared with global rivals, leading to growing pressure on the board to act.
In announcing Hudson’s departure, Sanofi’s board acknowledged his efforts to modernize the company and reshape its strategy but concluded that a leadership change was necessary to accelerate execution and restore confidence. The board emphasized that the decision was part of a broader effort to position Sanofi for its next phase of growth in an increasingly competitive environment.
The leadership change comes at a sensitive time for the company. Sanofi is navigating a complex transition, balancing the need for near-term financial performance with long-term investment in innovation. Maintaining momentum in vaccines and specialty medicines remains critical, especially as global healthcare systems evolve and demand more cost-effective and innovative treatments.
Industry observers note that Sanofi’s challenges reflect broader trends in the pharmaceutical sector, where companies face mounting pressure to justify research spending and deliver tangible results. The rise of biotechnology firms and faster-moving competitors has raised the bar for innovation, leaving less room for underperformance.
Despite the leadership upheaval, Sanofi retains several strengths. The company has a strong global footprint, deep scientific expertise, and a portfolio that continues to generate substantial cash flow. Analysts suggest that with sharper strategic focus and improved execution, Sanofi could still regain momentum in key therapeutic areas.
Investor reaction to the announcement has been mixed. Some welcomed the board’s decisive action, viewing it as a necessary step to reset strategy and improve accountability. Others cautioned that leadership changes alone may not be enough, stressing that Sanofi must deliver concrete improvements in its pipeline and vaccine business to restore long-term confidence.
The removal of Hudson underscores how quickly expectations can shift in the pharmaceutical industry. CEOs are increasingly judged not only on strategic vision but also on their ability to deliver measurable results within tight timelines. For Sanofi, the coming months will be critical as it seeks to stabilize operations, reassure investors, and chart a clearer path forward.
As the company prepares for its next chapter, attention will focus on how the new leadership approaches key challenges — from reviving the vaccine business to accelerating drug development and managing future patent risks. The success of these efforts will determine whether Sanofi can reclaim its position as a leading innovator in global healthcare.
Summary
Sanofi has ousted CEO Paul Hudson after turnaround efforts stalled, citing weak progress in vaccines and drug development, as the pharmaceutical giant seeks new leadership to revive growth and innovation.