AstraZeneca Earnings Report Q2 2024
AstraZeneca for the second quarter reported total revenue of $12.938 billion, which increased by 13% on a Year-on-Year (YoY) basis. Moreover, On a half-year basis, total Revenue was up by 18% YoY, which stood at $25.617 billion. The revenue growth was driven by an 18% increase in Product Sales and continued growth in Alliance Revenue from partnered medicines.
On a segment basis, total revenue growth from Oncology, cardiovascular, renal and metabolism (CVRM), and respiratory & immunology (R&I) each increased by 22%, while Rare Disease saw a 15% rise compared to the previous year. Cancer drug sales experienced significant growth, with revenue from collaborations up by 49% on a CER basis. Global demand drove a 12% increase in Tagrisso sales, and Calquence sales rose by 22%.
On 25th July, British pharmaceutical giant AstraZeneca reported a second-quarter profit before tax of $2.40 billion, a 15% increase from $2.09 billion the same quarter the previous year.
Earnings per share rose to $1.24, up 6% from $1.17 last year. However, core earnings per share decreased by 8% to $1.98 from the previous year's figure.
Core product sales gross margin remained steady at 82%, while core earnings per share rose by 5% to $4.03 in the first half of 2024.
The earnings statement highlighted that the increase in core earnings per share was lower than the total revenue growth. This discrepancy was attributed to significant gains recognized in the previous year, including a $241 million gain from the disposal of Pulmicort Flexhaler US rights in the first quarter of 2023 and a $712 million gain from updates to contractual arrangements for Beyfortus in the second quarter of last year.
The Anglo-Swedish pharmaceutical increased its interim dividend by 7 US cents to $1 (77.6 pence, 10.79 SEK) and upgraded its guidance for fiscal year 2024.
Outlook
The company now expects total revenue and core earnings per share to grow by a mid-teens percentage at CER, up from the previously forecasted low double-digit to low teens percentage.
Looking ahead, AstraZeneca may pursue a market share in weight-loss drugs for obesity treatment, driven by the fast-growing demand. At the end of 2023, AstraZeneca and Chinese biotech Eccogene reached an exclusive license agreement for ECC5004, an oral once-daily pill.
This treatment is expected to be more affordable than the current popular injections from Novo Nordisk. The deal underscores AstraZeneca's ambition to compete with global rivals such as Novo Nordisk and Eli Lilly & Co., potentially accelerating the company's growth further.
Visit Us: https://graniteshares.com/institutional/uk/en-uk/
Capital at Risk | Sophisticated Investors Only
Sources:
1. AstraZeneca
2. The Wall Street Journal
On a segment basis, total revenue growth from Oncology, cardiovascular, renal and metabolism (CVRM), and respiratory & immunology (R&I) each increased by 22%, while Rare Disease saw a 15% rise compared to the previous year. Cancer drug sales experienced significant growth, with revenue from collaborations up by 49% on a CER basis. Global demand drove a 12% increase in Tagrisso sales, and Calquence sales rose by 22%.
On 25th July, British pharmaceutical giant AstraZeneca reported a second-quarter profit before tax of $2.40 billion, a 15% increase from $2.09 billion the same quarter the previous year.
Earnings per share rose to $1.24, up 6% from $1.17 last year. However, core earnings per share decreased by 8% to $1.98 from the previous year's figure.
Core product sales gross margin remained steady at 82%, while core earnings per share rose by 5% to $4.03 in the first half of 2024.
The earnings statement highlighted that the increase in core earnings per share was lower than the total revenue growth. This discrepancy was attributed to significant gains recognized in the previous year, including a $241 million gain from the disposal of Pulmicort Flexhaler US rights in the first quarter of 2023 and a $712 million gain from updates to contractual arrangements for Beyfortus in the second quarter of last year.
The Anglo-Swedish pharmaceutical increased its interim dividend by 7 US cents to $1 (77.6 pence, 10.79 SEK) and upgraded its guidance for fiscal year 2024.
Outlook
The company now expects total revenue and core earnings per share to grow by a mid-teens percentage at CER, up from the previously forecasted low double-digit to low teens percentage.
Looking ahead, AstraZeneca may pursue a market share in weight-loss drugs for obesity treatment, driven by the fast-growing demand. At the end of 2023, AstraZeneca and Chinese biotech Eccogene reached an exclusive license agreement for ECC5004, an oral once-daily pill.
This treatment is expected to be more affordable than the current popular injections from Novo Nordisk. The deal underscores AstraZeneca's ambition to compete with global rivals such as Novo Nordisk and Eli Lilly & Co., potentially accelerating the company's growth further.
Visit Us: https://graniteshares.com/institutional/uk/en-uk/
Capital at Risk | Sophisticated Investors Only
Sources:
1. AstraZeneca
2. The Wall Street Journal
Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only.
Read more
Comment
Sign in to post a comment
