Home Money AstraZeneca rises on sales of blockbuster oncology drugs

AstraZeneca rises on sales of blockbuster oncology drugs

by Elijah
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Good result: AstraZeneca reported that total turnover increased by $1.8 billion at constant exchange rates to $12.7 billion (£10.2 billion) in the first three months of 2024.
  • AstraZeneca’s total sales rose to £10.2bn in the first three months of 2024
  • Revenue from its oncology drugs increased by almost $1 billion to $5.1 billion.

AstraZeneca’s sales and profits beat expectations in the first quarter following excellent demand for its blockbuster oncology drugs.

The pharmaceutical giant saw its total turnover rise by $1.8bn at constant exchange rates to $12.7bn (£10.2bn) in the first three months of 2024, compared with analyst estimates of $11.8bn of dollars.

Oncology drug revenue soared by nearly $1 billion to $5.1 billion, driven by double-digit percentage growth in key drugs, including lung cancer treatments Tagrisso and Imfinzi.

Good result: AstraZeneca reported that total turnover increased by $1.8 billion at constant exchange rates to $12.7 billion (£10.2 billion) in the first three months of 2024.

Both drugs have recently been the subject of successful trials, the results of which AstraZeneca intends to make public at a plenary session in June.

At the same time, sales of its cardiovascular, kidney and metabolic drugs rose by about $500 million to more than $3 billion amid strong demand for type 2 diabetes drug Farxiga.

An authorized generic of Farxiga, the company’s best-selling drug, was recently launched in the United States.

The strong sales performance helped AstraZeneca’s core earnings per share reach $2.06, up 12 percent from the same period last year and above estimates of $1.94 per share.

Following the result, the London-based company has maintained its full-year revenue and core EPS guidance to expand by a low double-digit percentage to a low-teens percentage.

AstraZeneca Stock They rose 5.9 per cent to £120.20 at lunchtime on Wednesday, making them one of the biggest risers on the FTSE 100 index.

The group’s latest trading update comes a fortnight after it revealed a 7 per cent rise in its annual dividend to $3.10 per share.

However, the company suffered a revolt over chief executive Pascal Soriot’s compensation package, with a third of shareholders voting against a deal that would give the French boss up to £18.7m this year.

Soriot will receive a base salary of £1.5m, plus a bonus and performance-related share awards, taking his total earnings since becoming AstraZeneca chief executive in 2012 to £153m.

During his tenure, AstraZeneca’s market value has more than tripled to £186.7bn thanks to building a successful portfolio of cancer medicines, backed by high levels of investment and strategic acquisitions.

Earlier this year, the company agreed to acquire Fusion Pharmaceuticals and Amolyt Pharma and completed the purchase of vaccine developer Icosovax and Chinese cancer therapy company Gracell.

Sheena Berry, a healthcare analyst at Quilter Cheviot, said AstraZeneca was “in a really good place, allowing it to remain focused on reinvesting in the business.” It has a strong pipeline and strong potential for positive upgrades.’

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