AstraZeneca reports $275 million sales of Covid-19 shot, expects hit to ease

AstraZeneca’s Covid-19 vaccine delivered $275 million in first-quarter gross sales whereas shaving three cents per share from earnings, the drugmaker mentioned on Friday because it posted better-than-expected outcomes and forecast second half development.

That is the primary time the Anglo-Swedish drugmaker has given monetary particulars of the distribution and gross sales of the vaccine, which it developed with Oxford College. It has mentioned it won’t make a revenue from the shot through the pandemic.

The vaccine income included supply of about 68 million doses, AstraZeneca mentioned, including that gross sales in Europe, the place it faces a authorized case, have been $224 million, in rising markets $43 million and $8 million in the remainder of the world.

Gross sales of $275 million for 68 million doses equates to a price ticket of round $4 per shot.

The outcomes come after a bruising begin to the yr because the drugmaker struggles with manufacturing of its vaccine and faces a authorized battle after reducing deliveries to Europe, whereas regulators probe uncommon blood clots in individuals who bought the shot.

Shares in AstraZeneca rose 3% to 7,621 pence at 0744 GMT. The inventory, which hit document highs in July 2020 attributable to optimism across the vaccine, ended final yr 4% decrease.

“That is ok,” Barclays analysts in a notice.

VACCINE RACE

AstraZeneca was one of many leaders within the international race to develop a COVID-19 vaccine. Its low cost and simply transportable shot was hailed as a milestone within the combat in opposition to the disaster, however has since confronted a collection of setbacks.

In presentation slides, AstraZeneca mentioned it was ramping up vaccine provides and manufacturing yields have been bettering, with out giving any particulars.

Pfizer, whose Covid-19 vaccine is a number of occasions extra expensive per dose than AstraZeneca’s, in February forecast $15 billion for its share of gross sales from the vaccine, co-developed with accomplice BioNTech, with analysts anticipating as a lot as $18 billion on common.

BioNTech expects near 10 billion euros ($12.1 billion) in revenues from dedicated vaccine deliveries this yr however raised the prospect of extra provide offers.

Moderna in February mentioned it was anticipating gross sales of $18.4 billion from its personal vaccine this yr.

Earlier than AstraZeneca’s earnings, market researcher GlobalData mentioned it anticipated annual gross sales of $278 million this yr and subsequent for the drugmaker’s coronavirus vaccine, branded Vaxzevria.

AstraZeneca mentioned it might submit an software for U.S. emergency use within the coming weeks, including international knowledge from late-stage trials and rising real-world knowledge after a roll-out.

The vaccine’s efficacy knowledge has been questioned previously.

CORE RESILIENT

Whereas the coronavirus continues to have a combined affect on drugmakers, AstraZeneca’s core enterprise has proved resilient.

The drugmaker caught to its forecast for 2021 on Friday and predicted higher occasions forward.

Its steering doesn’t embrace any affect from gross sales of the vaccine and its $39 billion buy of Alexion, which is predicted to shut within the third quarter.

“We count on the affect of COVID to scale back and anticipate a efficiency acceleration within the second half of 2021,” AstraZeneca Chief Govt Pascal Soriot mentioned in assertion.

Whole income of $7.32 billion for the three months to March exceeded analysts’ expectations of $6.94 billion, whereas core earnings of $1.63 cents per share beat a consensus of $1.48.

Quarterly gross sales development was pushed by best-selling lung most cancers drug Tagrisso, up 17% to $1.15 billion, whereas revenues from coronary heart and diabetes drug Farxiga jumped to a better-than-expected $625 million, on new prescriptions for coronary heart failure.

Leave a Comment