NOVARTIS, the Swiss pharmaceuticals group, has made a strong start to the year.

In a first quarter trading update today Novartis, which employs about 600 staff at its flu vaccine plant in Speke, said sales growth was 16% ahead in the past three months at £8.75bn.

However, the 4% growth in operating income of £2.5bn was impacted by sales of its H1N1 swine flu pandemic flu vaccines last year which have not been replicated this year.

Free cash flow stood at £1bn in the period.

Novartis said sales in its vaccines and diagnostics division were down 73% when compared with the £687m of H1N1 revenues last year, and it made a small loss.

Excluding the H1N1 effect, sales were ahead by 43%.

Today’s update also revealed that the group has received approval to use Aflunov, its influenza vaccine to help prevent avian flu (H5N1), in the EU.

Novartis chief executive Joseph Jimenez, said: “Contributions from all businesses led to a good start in 2011, as we achieved 14% growth (on constant currency conversion) in the first quarter.”