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Highlights
- AstraZeneca PLC (NASDAQ:AZN) revenue increased 50% YoY to US$9.877 billion in the third quarter ended September 30, 2021.
- However, it reported a loss of US$1.98 billion or US$(1.10) per share diluted in the quarter.
- AstraZeneca stock raked in 25.87% return YTD.
Healthcare company AstraZeneca PLC (NASDAQ:AZN) on Friday reported a 50% revenue growth in the third quarter of fiscal 2021, driven by robust demand for vaccines worldwide.
However, the stock fell 4.16% to US$60.30 in premarket at 7:59 am ET.
Third-Quarter Snapshot
AstraZeneca reported revenue of US$9.877 billion in the quarter, up 50% YoY from US$6.58 billion a year ago.
Segment-wise
Oncology: Revenue rose 18% to US$3.38 billion
CVRM: Revenue grew 16% to US$2.09 billion
Respiratory & Immunology (R&I): Revenue rose 28% to US$1.49 billion.
Rare disease: Revenue grew 5% to US$1.3 billion
Other medicines: Revenue fell 27% to US$550 million.
AstraZeneca’s total Covid-19 vaccine revenue was US$1.05 billion in the quarter, contributing 11% of the company’s total revenue. Oncology contributed the highest revenue at 34%, followed by CVRM 21%, R&I 15%, Rare Disease 13%, and other medicines 6%.
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The company booked a gross profit of US$6.11 billion, with a gross profit margin of 61.4%, a decline of 18% YoY. The operating loss was US$(1.67) billion compared to the operating profit of US$1.17 million in the corresponding quarter of the previous year.
The total comprehensive loss incurred in the September quarter was US$(1.98) billion or US$(1.10) per share diluted against a total comprehensive income of US$1.09 billion or US$0.49 per share diluted in the same period of 2020.
The EBITDA was US$1.11 billion, a decrease of 43% YoY, due to the unwind of inventory fair value uplift on Alexion acquisition. It is expected to impact EBITDA for around 18 months post-acquisition. The earnings per share year-to-date were US$0.33, an 80% decline, and Core EPS was US$3.59, a 22% increase, in the quarter due to the Covid-19 vaccine sales.
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Source – Pixabay
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Fiscal 2021 Guidance
The healthcare company keeps the earnings guidance unchanged for the full year. It expects the full-year total revenue, excluding Covid-19 vaccines, to rise by a low-twenties percentage, unchanged from the previous guidance.
The full-year core EPS is to be between US$5.05 and US$5.40, the same as previous guidance.
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The Cambridge, UK-based company sells drugs for various diseases, including gastrointestinal, respiratory, cancer, diabetes, cardiovascular, and immunology.
The company has a market capitalization of US$195 billion and a P/E ratio of 43.69. Its dividend yield is 2.17%, and the annualized dividend is US$1.37. The stock traded in the range of US$64.21 to US$46.48 in the last 52 weeks. It gained 25.87% YTD.
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Bottomline
The company expects to end the year on a positive note. It has kept the earnings guidance unchanged and pledged to offer its covid drugs to low-income nations at the same cost.
However, investors must exercise due diligence before investing in the stock market.
