(Updated with stock market reaction, details of results and Consumer Health IPO)

PARIS, February 1 (Reuters) - Sanofi confirmed on Thursday it was targeting a decline in earnings per share (EPS) from operations in 2024 due to an expected increase in its tax rate, following a performance in line with expectations last year.

The pharmaceutical group expects a decline "in the low single-digit range" taking this effect into account, and EPS "roughly stable" compared with 2023 excluding it.

In 2023, EPS rose by 5.4% at constant exchange rates, to 8.11 euros, in line with Sanofi's target of around 5%.

On the Paris Bourse, Sanofi shares were down 2.34% at 91.17 euros, while the CAC 40 lost 0.7% at the same time.

In the fourth quarter, the pharmaceutical group reported a 5.2% drop in operating income from business activities, to 2.58 billion euros, below the 2.77 billion euros forecast by analysts compiled by the group.

The weak dollar, competition in the treatment of multiple sclerosis and provisions for litigation explain this decline.

In the final quarter of 2023, the Vaccines and Specialty Medicine divisions reported sales growth of 21.1% and 13.7% respectively.

Consumer Health Care sales rose by 8.5%, while those of the General Medicine division fell by 2.4%.

In October, Sanofi presented a plan to spin off its Consumer Healthcare business, with a view to an eventual IPO. On Thursday, the Group's CFO confirmed the timetable for an IPO in the fourth quarter of 2024 at the earliest.

The group had also dropped its operating margin target for 2025 due to investments in research and development, causing its share price to fall by almost 19% in a single session.

"We will continue to invest in R&D, capitalizing on artificial intelligence, and remain focused on our launch opportunities, such as Dupixent in COPD," commented Sanofi CEO Paul Hudson, quoted in the release.

In November, Sanofi had said it planned to seek US marketing approval for its best-selling anti-inflammatory, Dupixent, for the treatment of "smoker's lung", also known as COPD, after a second large trial showed significant improvements in patients.

In a separate press release, Sanofi also announced on Thursday the appointment of François-Xavier Roger as CFO, replacing Jean-Baptiste Chasseloup de Chatillon.

François-Xavier Roger, who was previously CFO of Nestlé, will take up his new post on April 1. (Written by Blandine Hénault, with Ludwig Burger, edited by Kate Entringer)