AstraZeneca Releases Q4 And Full 2013 Results
AstraZeneca released its fourth quarter and full 2013 results this week. The company’s performance suffered due to loss of exclusivity of several flagship products, but reflected a strong pipeline and portfolio for 2014. AstraZeneca CEO Pascal Soriot said, “As expected, our financial performance for 2013 reflects the ongoing impact from the loss of exclusivity for several key brands. In the near term these headwinds will remain challenging, however I am confident that we can return to growth faster than anticipated and expect our 2017 revenues will be broadly in line with 2013.”
AstraZeneca’s financial performance was in decline across different areas. Total revenue for 2013 was down 6% ($25,722 million) at CER due to competition from generics. Though Brilinta and other franchises delivered an incremental $1.2 billion revenue, this was overwhelmed by the reduced revenue of $2.2 billion due to patent expirations.
Overall cash generated from operating activities in 2013 was $7.4 billion, compared to $6.9 billion in 2012. A loss of $0.42 per share for the quarter was reported. Core EPS also suffered a massive 23% decline at CER. However, this was attributed to investments in key growth platforms and a fortified pipeline. The company reported the following R&D highlights:
- Farxiga (US) and Xigduo (EU) approved for type 2 diabetes
- Olaparib (EU) and naloxegol (EU & US) submitted for regulatory review
- Benralizumab, selumetinib, olaparib and moxetumomab commenced Phase III trials
- Multiple ongoing trials with innovative immuno-oncology portfolio
“I’m pleased with the momentum we have built in 2013 against our strategic priorities, in particular our objective of achieving scientific leadership. We continue to focus our organization on the areas that will drive growth, redeploying our resources to fund the promising late-stage pipeline, which nearly doubled in size over the last 12 months. The acquisition of Bristol-Myers Squibb’s share of our diabetes alliance strengthens our position in this important area and I am delighted that the business integration is progressing with such pace. We extend a warm welcome to our new colleagues who will help us maximize the potential of our diabetes portfolio,” said Mr. Soriot.
AstraZeneca’s pipeline now includes 11 new molecular entities either in Phase III or registration. 19 candidates are slated for potential new Phase III for 2014 to 2015.