AstraZeneca's first quarter results reflect continued strong market performance

AstraZenecaAstraZeneca's revenue in the first quarter increased by 7 percent at CER, but was up 11 percent on an actual basis as a result of the positive impact of exchange rate movements. Global revenue growth was 6 percent after adjusting for US sales of Toprol-XL and vaccine for Novel Influenza A (H1N1). US revenue was up 2 percent. Excluding Toprol-XL and H1N1 vaccine sales, US revenue was down 1 percent. Group revenue in the Rest of World was up 11 percent. Revenue in Western Europe was up 7 percent. Revenue in Established Rest of World (ROW) was up 12 percent, including a 14 percent increase in Japan. Revenue in Emerging Markets increased by 19 percent; this growth accounted for 42 percent of total Group revenue growth outside the US.

Core operating profit in the first quarter was up 10 percent to $3,857 million, as a result of sales growth and cost discipline, which was partially offset by a reduction in gross margin. Reported operating profit was $3,643 million; the 10 percent increase was the same as the growth in Core operating profit, as adjustments to Core operating profit were broadly similar in both this and the prior year quarter.

Core earnings per share in the first quarter were $2.03 compared with $1.58 in the first quarter 2009, a 23 percent increase at CER. Core earnings per share in the quarter benefited by $0.13 from net adjustments to tax provisions as a consequence of the previously disclosed settlement with the UK Tax Authorities and developments in other transfer pricing matters. As a result, the effective tax rate in the first quarter this year was 21 percent, compared with 28.6 percent in the first quarter last year. The Company continues to anticipate the full year tax rate for 2010 to be around 27 percent, in line with guidance provided in conjunction with the settlement announcement. Reported earnings per share in the first quarter were $1.91, up 23 percent compared with the first quarter of 2009, as adjustments to Core earnings were broadly comparable in both periods.

"The first quarter results reflect continued strong market performance for key brands like Crestor, Seroquel and Symbicort. We saw revenue growth in all major regions, including another strong quarter in Emerging Markets. Looking forward, revenue comparisons will become more challenging in the second half of the year as a result of the uplift from Toprol-XL and H1N1 vaccine sales in 2009 and the expiration of the Arimidex patent later this year. Based on the first quarter performance and the outlook for the remainder of the year we have increased our Core EPS target. Our pipeline has been further strengthened during the quarter by the addition of a new late-stage development project in rheumatoid arthritis from Rigel Pharmaceuticals."

A comprehensive update of the AstraZeneca R&D pipeline was presented in conjunction with the Full Year 2009 results and the pipeline table remains available on the Company's website, www.astrazeneca.com, under information for investors.

Most Popular Now

Pfizer's elranatamab granted FDA Breakthrough Ther…

Pfizer Inc. (NYSE:PFE) announced its investigational cancer immunotherapy, elranatamab, received Breakthrough Therapy Designation from the U.S. Food and Drug Administrati...

Salvat Laboratories announces submission of New Dr…

Salvat Laboratories announced that it has submitted a New Drug Application (NDA) to the FDA for the approval of the first ocular corticosteroid formulated in a nanoemulsi...

Bayer with continued strong performance

The Bayer Group maintained its strong business performance across all three divisions in the third quarter. "Despite rising inflation and global supply chain problems, we...

Vividion Therapeutics names Jenna Goldberg as Chie…

Vividion Therapeutics, Inc., a biopharmaceutical company utilizing novel discovery technologies to unlock high value, traditionally undruggable targets with precision the...

New insights on antibody responses to Omicron vari…

Knowing how well vaccination against one SARS-CoV-2 strain (with or without previous infection) counteracts infection with a different strain is a critical research quest...

Pfizer and BioNTech receive positive CHMP opinion …

Pfizer Inc. (NYSE: PFE) and BioNTech SE (Nasdaq: BNTX) announced a booster dose of their Omicron BA.4/BA.5-adapted bivalent COVID-19 vaccine (COMIRNATY® Original/Omicron ...

Sugar molecules as a target in cancer therapy

Cancer cells use sugar molecules on their surface to disable attacks by the body's immune system. Researchers at the University of Basel now report on how this mechanism ...

COVID vaccination improves effectiveness of cancer…

Patients with nasopharyngeal cancer are often treated with drugs that activate their immune system against the tumor. Until now, it was feared that vaccination against Co...

Making melanoma immortal: Pitt scientists discover…

Scientists at the University of Pittsburgh School of Medicine have discovered the missing puzzle piece in the mystery of how melanoma tumors control their mortality. I...

New drug shows promise for fighting both COVID-19 …

While vaccination can provide life-saving protection against COVID-19, scientists are still searching for ways to treat severe infections, including in people who cannot ...

Study reveals vaccine confidence declined consider…

A new study suggests that, despite the success of the COVID-19 vaccination campaigns, vaccine confidence has declined significantly since the start of the pandemic. Re...

Sanofi and GSK's next-generation COVID-19 booster …

After the European Medicines Agency's Committee for Medicinal Products for Human Use (CHMP) adopted a positive opinion for VidPrevtyn® Beta, the vaccine was approved by t...