AstraZeneca Q1 2015 profit dropped

Noam Stiekema

The second-largest pharmaceutical company in UK AstraZeneca Q1 2015 profit dropped, due to weaker sales of two of her most popular medicines and currency fluctuations. Part of the profits fell by 7% to 1.37 billion USD, or 1.08 dollars per share. An year ago the company reported profit of 1.47 billion USD, or 1.17 USD […]

AstraZeneca

AstraZenecaThe second-largest pharmaceutical company in UK AstraZeneca Q1 2015 profit dropped, due to weaker sales of two of her most popular medicines and currency fluctuations. Part of the profits fell by 7% to 1.37 billion USD, or 1.08 dollars per share. An year ago the company reported profit of 1.47 billion USD, or 1.17 USD per share. The total revenues in Q1 2015 amounted to 6.06 billion USD, as last year they were 40 million USD more.

Sales of two of the best selling medicines of AstraZeneca – Nexium and Crestor. fall because of the expiration of their patents. At the same time revenues from new medicines grow at a slower pace than what analysts had predicted. The sales will shrink this and next year, before the expected increase in 2017, when the new medicines will raise revenue, says AstraZeneca.

Nexium sales fell by 31% to 644 million USD in the first quarter, although it exceeded the forecast of 589 million USD.

AstraZeneca is facing difficulties in the implementation of short-term goals and the promise of CEO Pascale Soriano is to increase annual revenue of 26 billion USD last year to 45 billion USD in 2023. In this regard, currently held AstraZeneca has 72 cancer researches. It aims to present for approval AZD9291, a medicine for the treatment of lung cancer worth at 3 billion USD.

AstraZeneca seek other sources of revenue, including market partnerships. Last month, the company announced that Tokyo-based Daiichi Sankyo Co will sell in the US Movantik their medicine in exchange for 200 million USD advance and to 625 million USD of sales. Such agreements, however, may not be the best strategy, says Alistair Campbell, an analyst at Berenberg. According to him, revenues have increased due to the partial sale of some medicines, but these actions raise concerns if the company does not use long-term options to ensure short-term profits.

AstraZeneca confirmed its forecast for a decline in revenue of up to 10% in 2015 at constant exchange rates, the basic earnings per share will also be increased by up to 10% on the same basis. Soriano made a forecast of the company’s sales last year, when successfully overcame the experience of Pfizer AstraZeneca to absorb the amount of 117 billion USD. Last month, the company said that by 2023 its new cancer medicine can generate a quarter of sales, after last year they accounted for only 12%.

Read this next

Digital Assets

DappRadar report: NFTs volume below $1 billion for the first time since June 2021

DappRadar’s July 2022 industry report found that blockchain games and their NFTs remain resilient amid a crypto winter accentuated by the debacle of Terra.

Digital Assets

Blockchain.com registers to operate crypto business in Italy

Blockchain.com had registered as a digital asset provider in Italy, following in the tracks of rivals who joined a special registry with brokerage regulator Organismo degli Agenti e dei Mediatori (OAM).

Digital Assets

Binance rolls out crypto card in Argentina with 8% cashback

Binance is launching its crypto debit card in Argentina, the first country in Latin America to have the product thanks to a partnership with Mastercard.

Digital Assets

Greece sends BTC-e operator Alexander Vinnik to US

Alexander Vinnik, an alleged Russian hacker accused of laundering $4 billion of criminal proceeds through BTC-e, has been extradited from Greece to the United States.

Retail FX

Saxo Bank reports weakest FX volume in 6 months

As many traders were away on annual summer leave, currency markets saw a relatively quiet period in July. Within that context, Copenhagen-based Saxo Bank has reported its monthly metrics, which showed a renewed decline month-over-month.

Market News

The Week Ahead: 5 August from David Madden, Market Analyst at Equiti Group

It has been an interesting week and despite a lot of negative news, equity markets enjoyed a positive run. US House Speaker, Nancy Pelosi, defied the warnings from the Chinese government and carried out a visit to Taiwan. The Beijing authorities moved military hardware close to the self-governed island to flex its muscles. Stock markets came under a little pressure as a result and risk-off assets like the Japanese yen and gold found themselves in high demand.

Opinion

Alina Strogonova of Muvon Payments: How Can Fintech Optimise Payments

Financial services in their conventional form are obsolete, according to fintech startups. New-age finance is constantly redesigning electronic money transactions and testing innovative solutions.

Digital Assets

No need for CFDs: BitMEX introduces leveraged FX perpetual swaps

Previously retail FX trading was mostly possible via CFDs (contract for difference). BitMEX’s FX perps allow both retail users and institutional traders to access FX markets through an exchange-traded contract.

Digital Assets

BEQUANT launches index measuring dollar against crypto

“Our research team has worked hard to quantify and capture the latest economic story into the broader crypto market.”

<