Latest news with #AZN
Business Insider
12 hours ago
- Business
- Business Insider
AZN Earnings: Drugs Giant AstraZeneca (AZN) Zooms Higher on Cancer-Fighting Demand
Shares in pharmaceutical giant AstraZeneca (AZN) climbed over 3% today after it said cancer-fighting drugs had led to record quarterly sales. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Forecast Beaters The company reported that Q2 earnings per share beat forecasts, coming in at $2.17, up from $1.98 in the same period last year. Revenues for the period also beat forecasts, soaring to a record $14.46 billion from $12.94 billion last time. AstraZeneca said its 'broad and diverse pipeline' of drugs had helped with oncology sales doing particularly well, rising 18% to $6.3 billion. It was boosted by sales of its lung cancer drug Tagrisso and chemotherapy drug Enhertu, and continues to lead overall performance. European sales were up 12% to $3 billion, with Chinese demand up 5% to nearly $2 billion. U.S. revenue was up 13% to a record $6.32 billion. The pharmaceutical company is targeting 50% of its total revenue coming from the country by 2030, up from 44% in the second quarter. To help that aim, the group has already committed to investing $50 billion in the U.S. by 2030 including a new manufacturing center in Virginia. Tariff Uncertainty That move was partly in response to uncertainty about the impact of President Trump's tariffs on the pharmaceutical sector. AstraZeneca said that global trade uncertainty and pricing pressures still existed but it reiterated its full-year forecast. This should see total revenue increasing by a 'high single-digit percentage' and core earnings per share by a 'low double-digit' percentage. Chief executive Sir Pascal Soriot said: 'Our strong momentum in revenue growth continued through the first half of the year and the delivery from our broad and diverse pipeline has been excellent, with 12 positive key phase III trial readouts including for baxdrostat, gefurulimab, and Tagrisso in just the past few weeks.' The group is known as a strong income investing stock. It further cheered investors by hiking its Interim dividend by 3% to $1.03. Is AZN a Good Stock to Buy Now? On TipRanks, AZN has a Strong Buy consensus based on 4 Buy ratings. Its highest price target is $97. AZN stock's consensus price target is $97, implying a 36.04% upside.
Yahoo
a day ago
- Business
- Yahoo
AstraZeneca CFO talks tariffs & shifting focus to US market
AstraZeneca's (AZN) revenue hit a record high in the second quarter, driven by cancer drug sales and growth in the US market. AstraZeneca CFO Aradhana Sarin sits down with Market Catalysts host Julie Hyman and Yahoo Finance Senior Healthcare Reporter Anjalee Khemlani to discuss the company's strategy to focus on the US and the impact of tariffs. To watch more expert insights and analysis on the latest market action, check out more Market Catalysts here. I wonder on the Obviously, the company is celebrating the fact that you hit the largest revenues reported for the quarter. That's really good news, especially as the stated goal is to grow by 2030, and half of that to be part of the US. Talk to me about that and the shift to being a quote-unquote American company now, rather than a sort of UK-based one that we've thought of all these years. Uh, so we, you know, last May, we set this ambition of achieving 80 billion in revenues by 2030, which was almost, you know, doubling our revenues from a 2023 base. Um, and, uh, the US is our our fastest growing market. Uh, when we stack, we don't stack very highly right now, uh, in the US when when you compare pharma revenues because a lot of the pharma companies in the US have much bigger sort of revenue base, but we're growing very fast and our hope is that we'll come, you know, in in in the top five and have half of our revenue. We also set an ambition to have 20 new medicines by 2030. And, um, we already have nine of them and, uh, we announced results for another five of them. So hopefully, uh, that shows that we're on track to to achieve that goal. Well, talk to me about why the US is growing that much far faster. Is it because the dynamics of the healthcare system help boost revenues with more prescribing the the way the PBM system is set up? What are the factors that are helping you grow and are helping you stay confident about achieving that goal? So, there are a bunch of different factors. Um, I think the US is still probably the the best market in the world that rewards innovation. Uh, and we are an innovation-driven company. And so, when new therapies come, you know, we we had a product for breast cancer in her two. Uh, we announced data for another breast cancer product. But as soon as new therapy comes, um, the US market is almost the first to provide access to patients for that new therapy. Uh, secondly, physicians are really, um, you know, we go to Congresses like ASCO where there's, you know, tens of thousands of oncology physicians. They're really into, um, looking at the data and making data-driven decisions. So, again, the, you know, the physicians want the best for their patients and patients are able to get access to medicines very quickly once, you know, drug is approved and so forth in the in the innovative space. In many other markets in the world, that whole process to get approval and then get access and reimbursement just takes a very long time. So that's one reason. Um, the second reason, uh, I think particularly beneficial for oncology medicines, uh, is the part D reform. Uh, so on one hand, the part D reform that was enacted hurts us because we are responsible for paying 20% in the catastrophic phase. But from a patient standpoint, if you're a patient, um, you know, in Medicare, your out of pocket is capped at $2,000. So you can get the best therapy and have no more to pay out of pocket, right? So being in that patient population and getting the best access to medicines and the best care and have your out of pocket limited, uh, is is also great for patients. Um, so I think it's it's where physicians and patients and innovation is rewarded. And that's why it's growing faster given our portfolio is all innovative medicines. So, so let's turn then to the manufacturing base rate and the investment that you're making in the US. And I have to ask about tariffs because we even as we discussed it this morning, this new EU sort of framework agreement, it's still sort of unclear. Are pharmaceuticals coming from the EU exempt? Are they not exempt? It seems a little unclear. So how under what assumption are you operating and how do you operate in that kind of environment? Um, yeah, so you know, I would say this is not a tariff is obviously new, but how we've been thinking about our strategic manufacturing, um, is probably goes back three, four years. So post COVID, we made a strategic decision because we're such a global company that we needed to have segregated supply chains. Um, so for example, uh, in in China and in the emerging markets, we supply a lot of that product from China. Um, in the US, majority of the product is supplied from the US and and so forth in Europe. There is, uh, you know, small minority of product, handful of products actually that we still import from Europe into the US. But we do have excess capacity in the US to manufacture those products. Uh, so what we're, you know, we have 11 manufacturing sites in in the US. So our intention once the tariffs, etc. were were announced and there was talks of tariffs, uh, in the short term was just manage through inventory, so build more inventory in in the US. Um, but we've also started tech transfers for those products which we do import and that those tech transfers would be completed, you know, within a within a year or so, so that we can be fully, you know, not just have the majority, but 100% of it being manufactured in in the US. Um, this new facility that we announced, uh, was part of the plan anyway, but that's a separate has nothing to do with tariffs. It's actually based on the demand that we see potentially for our cardiovascular for new cardiovascular medicine. So, um, but you know, you're right, I think there is a little bit of confusion on when the tariffs are going to be implemented. Um, there is from what I've heard, it is a 15%, but there's also talk that that's the cap. Uh, and, uh, the administration is sort of going to wait for the 232 investigation to actually put them into effect or decide. So, uh, in either case, I think we're very well prepared and and we probably have less exposure than than many companies. Related Videos Market's 'fuel' for further P/E expansion is 'nearing empty' Nvidia's TSMC order, Eli Lilly & Novo Nordisk sink, JPMorgan & Apple card Royal Caribbean, Merck, FuboTV: Trending Tickers Why Spotify stock is sinking double digits on Q2 earnings Sign in to access your portfolio
Globe and Mail
a day ago
- Business
- Globe and Mail
AZN Q2 Earnings Meet Estimates, Sales Beat as Key Drugs Outperform
AstraZeneca 's AZN second-quarter 2025 core earnings of $1.09 per American depositary share (ADS) came in line with the Zacks Consensus Estimate. Core earnings of $2.17 per share rose 10% year over year on a reported basis and 12% on a constant exchange rate (CER). Total revenues of $14.46 billion rose 12% on a reported basis and 11% at CER, driven by higher product sales and alliance revenues from partnered medicines. Revenues beat the Zacks Consensus Estimate of $14.03 billion. All growth rates mentioned below are on a year-over-year basis and at CER. AZN's Product Sales & Alliance Revenues Among AstraZeneca's various therapeutic areas, Oncology revenues were up 18%, while Cardiovascular, Renal and Metabolism ('CVRM') product sales rose 3%. The Respiratory & Immunology (R&I) segment's sales rose 12%. While Rare disease revenues rose 7%, sales of Vaccines & Immune (V&I) Therapies rose 54%. Sales of other medicines were down 9%. Product sales rose 10% to $13.8 billion, as strong underlying demand trends for its products were partially offset by new manufacturer discounts under Medicare Part D redesign in the United States. Alliance revenues include royalties and profit share from partnered medicines, such as Enhertu and Tezspire, in geographies where its partner books product sales. Alliance revenues rose 35% to $654 million, driven by continued revenue growth from partnered medicines. Alliance revenues included $436 million from Daiichi Sankyo for Enhertu and $155 million of AstraZeneca's share of gross profits in the United States from partner Amgen AMGN for Tezspire. Alliance revenues also included $10 million from partner Daiichi Sankyo for Datroway and $27 million for Beyfortus. AZN records a 50% share of gross profits from Beyfortus' sales in major ex-U.S. markets and 25% of brand revenues from the rest of the world markets received from partner Sanofi SNY. The company also records Beyfortus product sales from products supplied to partner Sanofi under the V&I Therapies segment. AstraZeneca's Key Oncology Drugs Beat Estimates Here, we have discussed the total revenues of its drugs by including Alliance revenues and Collaboration revenues within each revenue figure. In Oncology, Tagrisso recorded revenues of $1.81 billion, up 12% year over year, on strong demand for all indications and in all regions, which more than offset the impact of Medicare Part D redesign and pricing pressure in some European markets. Tagrisso sales beat the Zacks Consensus Estimate as well as our model estimate of $1.75 billion. Lynparza's total revenues rose 11% to $838 million, driven by increased market share/demand growth for all approved indications. The drug's sales beat the Zacks Consensus Estimate of $810 million and our estimate of $788.7 million. AstraZeneca markets Lynparza in partnership with Merck MRK. During the quarter, the company did not record any milestone payment from partner Merck related to the drug. Imfinzi generated sales of $1.46 billion in the quarter, up 26%, driven by strong growth from launch in bladder and lung cancer indications, partially offset by mandatory price reductions in Japan. Imfinzi sales beat the Zacks Consensus Estimate of $1.37 billion and our estimate of $1.3 billion. Sales of Calquence rose 10% to $872 million in the quarter. New breast cancer drug Truqap recorded $170 million in revenues in the second quarter of 2025 compared with $132 million in the previous quarter. Newly approved drug Datroway, for which it has a partnership with Daiichi Sankyo, recorded revenues of $11 million in the quarter compared with $4 million in the first quarter, driven by encouraging initial launch uptake in the United States. The FDA approved the expanded use of Datroway for a second indication — non-small cell lung cancer in June. AZN's CVRM Segment Performance In CVRM, Farxiga recorded product sales of $2.15 billion, up 10%, driven by continued demand growth across chronic kidney disease and heart failure. Farxiga sales beat the Zacks Consensus Estimate of $2.05 billion and our model estimate of $2.06 billion. Brilinta/Brilique sales totaled $215 million in the reported quarter, down 38%, due to the generic launch in Europe and the United States in the second quarter. New drug Wainua recorded $44 million in product sales during the quarter compared with $39 million in the previous quarter, driven by strong launch momentum in the United States and initial launch in ex-U.S. markets. AZN's R&I Segment Performance In R&I, Symbicort sales declined 1% to $715 million due to generic erosion in Europe and competition from triple therapy on the ICS/LABA class of medicines like Symbicort in China. The drug's sales missed the Zacks Consensus Estimate and our model estimate of $726 million and $732.9 million, respectively. Fasenra recorded sales of $502 million in the quarter, up 18% year over year, driven by strong demand growth and market share gains. The recent launch for the EGPA indication also benefited sales in some countries. The drug's sales beat the Zacks Consensus Estimate as well as our model estimate of$467 million. Breztri recorded sales of $283 million, up 20% year over year. Pulmicort sales declined 32% to $106 million. Tezspire recorded total revenues of $261.0 million, up 65% year over year, driven by demand growth and launch uptake in multiple markets. Amgen records product sales in the United States, and AstraZeneca records its share of U.S. gross profits as Alliance revenues. AstraZeneca books product sales in markets outside the United States. New product Airsupra generated $42 million in product sales in the second quarter, compared with $28 million in the previous quarter. New lupus drug, Saphnelo, recorded sales of $167 million, up 48% year over year. AZN's Rare Disease, V&I and Other Segment In the Rare Disease portfolio, Soliris sales fell 22% to $530 million due to conversion to Ultomiris and biosimilar erosion in Europe. Ultomiris revenues amounted to $1.18 billion, up 23%, driven by patient demand, growth in neurology indications, geographic expansions in new markets and continued conversion from Soliris. The impact of Medicare Part D redesign was minimal in the second quarter. In Other Medicines, sales of Nexium declined 11% to $201 million. In V&I Therapies, AstraZeneca recorded $126 million in revenues from Beyfortus, which included alliance revenues mentioned earlier as well as sales of manufactured Beyfortus product to Sanofi. AZN Maintains 2025 Guidance AstraZeneca maintained its financial guidance for 2025. It expects total revenues to grow by a high single-digit percentage at CER. Core EPS is expected to increase by a low double-digit percentage. Our Take on AZN's Results AstraZeneca reported decent second-quarter results, as its earnings matched estimates and revenues beat the same. Sales of almost all key drugs, including Tagrisso, Lynparza, Imfinzi, Farxiga and Fasenra beat estimates. All these drugs have been driving AstraZeneca's top-line growth over the past several quarters, backed by increasing demand trends. Newer drugs like Wainua, Airsupra, Saphnelo, Datroway (partnered with Daiichi Sankyo) and Truqap also contributed to top-line growth in the second quarter. AstraZeneca also announced an increase in its interim dividend by 3% to $1.03 per share. Shares of the British drugmaker rose around 4% in pre-market trading on Tuesday in response to the strong top-line performance. Year to date, the stock has risen 11.1% compared with the industry 's 3.1% increase. AZN reaffirmed its 2025 guidance. Despite the potential impact from Part D redesign, AstraZeneca expects total revenues to grow by a high single-digit percentage at CER in 2025. Growth momentum in the Oncology and CVRM segments is expected to continue in 2025. However, in Rare Disease, though AstraZeneca expects growth in 2025, it will be at a slower pace than in 2024. Backed by its new products and pipeline drugs, AstraZeneca believes it can post industry-leading top-line growth in the 2025-2030 period. AstraZeneca expects to generate$80 billion in total revenues by 2030, a significant increase from the $54 billion it generated in 2024. By the said time frame, AstraZeneca plans to launch 20 new medicines, with almost half of these already launched/approved. It believes that many of these new medicines will have the potential to generate more than $5 billion in peak-year revenues. The company is also on track to achieve a mid-30s percentage core operating margin by 2026 Earlier this month, AZN announced plans to invest $50 billion by 2030 to boost manufacturing and R&D in the United States to expand domestic production in response to ongoing tariff pressures under President Donald Trump. AZN's Zacks Rank Currently, AstraZeneca has a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Higher. Faster. Sooner. Buy These Stocks Now A small number of stocks are primed for a breakout, and you have a chance to get in before they take off. At any given time, there are only 220 Zacks Rank #1 Strong Buys. On average, this list more than doubles the S&P 500. We've combed through the latest Strong Buys and selected 7 compelling companies likely to jump sooner and climb higher than any other stock you could buy this month. You'll learn everything you need to know about these exciting trades in our brand-new Special Report, 7 Best Stocks for the Next 30 Days. Download the report free now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Sanofi (SNY): Free Stock Analysis Report AstraZeneca PLC (AZN): Free Stock Analysis Report Merck & Co., Inc. (MRK): Free Stock Analysis Report Amgen Inc. (AMGN): Free Stock Analysis Report
Yahoo
a day ago
- Business
- Yahoo
Astrazeneca: Q2 Earnings Snapshot
CAMBRIDGE, Britain (AP) — CAMBRIDGE, Britain (AP) — Astrazeneca PLC (AZN) on Tuesday reported second-quarter earnings of $2.45 billion. On a per-share basis, the Cambridge, Britain-based company said it had net income of 79 cents. Earnings, adjusted for non-recurring costs, came to $1.09 per share. The results met Wall Street expectations. The average estimate of five analysts surveyed by Zacks Investment Research was also for earnings of $1.09 per share. The pharmaceutical posted revenue of $14.46 billion in the period, exceeding Street forecasts. Four analysts surveyed by Zacks expected $14.03 billion. Astrazeneca shares have increased nearly 10% since the beginning of the year. The stock has decreased 8% in the last 12 months. _____ This story was generated by Automated Insights ( using data from Zacks Investment Research. Access a Zacks stock report on AZN at Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
a day ago
- Business
- Reuters
AstraZeneca beats profit expectations on robust drug sales, U.S. demand
July 29 (Reuters) - AstraZeneca (AZN.L), opens new tab beat second-quarter profit forecasts on robust sales of cancer, heart and kidney disease drugs and strong demand in the U.S., where it has invested $50 billion to expand amid tariff threats from President Donald Trump. The beat is a boost for the drugmaker as the wider sector braces for U.S. tariffs on pharmaceutical imports and navigates pricing challenges after Trump's order pushing for prices in the U.S. to fall to what other countries pay. The firm's shares rose around 1% in early trading on Tuesday. AstraZeneca, the UK's largest-listed company by market value, in April had forecast only a limited impact from potential U.S. tariffs on pharmaceutical imports, and said it would be able to meet its annual outlook if the levies on European imports were similar to those in other industries. A European Union-U.S. trade deal over the weekend will result in a 15% tariff on pharmaceuticals from the region. The Anglo-Swedish drugmaker, which is targeting $80 billion in annual revenue by 2030, maintained its annual outlook and increased its interim dividend by 3%. "Our strong momentum in revenue growth continued through the first half of the year and the delivery from our broad and diverse pipeline has been excellent," CEO Pascal Soriot said in a statement. Sales of AstraZeneca's oncology drugs, which make up nearly half of its revenue and are being weighed down by changes in U.S. Medicare price negotiations, were up 18% at $6.31 billion at constant currency rates for the three-month period ended June 30. Analysts at Jefferies said sales of key cancer drugs such as Tagrisso, Lynparza, Calquence, and Truqap and Imfinzi were ahead of expectations. Total revenue grew 11% to $14.46 billion, with core earnings of $2.17 per share, with double-digit growth in the U.S., which makes up more than 40% of sales. That compares with analysts' expectations of $14.15 billion and $2.16, respectively, according to a company-provided consensus. AstraZeneca, which is hoping to move on from scandals in its second-biggest market, China, where it also faces minor fines related to cancer drugs, said it was also fighting several patent challenges from an individual against Tagrisso.
