A box containing bottles of AstraZeneca Covid-19 vaccine is shown at Foch Hospital in Suresnes on 6 February 2021, at the beginning of a vaccination campaign for healthcare workers with AstraZeneca / Oxford vaccine.
Alain Jocard | AFP | Getty Images
AstraZeneca reported a 10% increase in product sales for 2020, a year in which the drug maker emerged prominently for its work to develop a coronavirus vaccine with Oxford University.
The Anglo-Swedish pharmaceutical giant reported product sales totaling $ 25.8 billion by 2020. For the fourth quarter, sales rose 12% to just over $ 7 billion – the first time in “many years.” the company has exceeded this figure. Total revenue was $ 26.6 billion for that year and $ 7.4 billion for the fourth quarter.
The company’s earnings come as the company remains in the spotlight for its coronavirus vaccine, which the UK, EU and others are relying heavily on as they try to end the public health crisis caused by the pandemic.
AstraZeneca said it would provide access to its vaccine without any profit during the “pandemic”, although the timing for this is uncertain. It has also committed to providing the vaccine for non-profit purposes in perpetuity to low- and middle-income countries. As such, its current earnings did not include vaccine sales.
The annual guidance from the company, which is listed on the London Stock Exchange, said it expected revenue growth with a “low percentage of teenagers” in 2021 and faster growth in core earnings per share from 4 , 75 to $ 5.00.
The guide does not include any impact on revenue or profit from sales of the Covid-19 vaccine, he said, and the company plans to report those sales separately in the next quarter.
In the results report, AstraZeneca CEO Pascal Soriot said that last year’s performance “marked a significant step forward for AstraZeneca. Despite the significant impact of the pandemic, we saw a double-digit increase in revenue.”
“Consistent achievements in progress, the accelerated performance of our business and the progress of the COVID-19 vaccine have demonstrated what we can achieve,” he added.
The company said its year-round dividend will remain unchanged at $ 2.80 per share.
Some controversy
The AstraZeneca vaccine, developed in conjunction with Oxford University, has been hailed as a game changer, along with candidates from other pharmaceutical companies, including Pfizer and BioNTech, and Moderna.
Although clinical trials have shown that the Oxford / AstraZeneca vaccine has a lower efficacy rate than its rivals, the fact that it is cheaper and easier to store and transport has proven to be an advantage for countries such as the United Kingdom, where it was launched. from January. The rapid launch of vaccines is considered crucial for the reopening of economies severely affected by blockages and job losses.
However, the company has faced some controversy over its vaccine.
Some European drug regulators have said they will not recommend the vaccine to people over the age of 65 – the target age group as launches gather – due to an alleged lack of data showing its effectiveness in this group. age.
Meanwhile, South Africa suspended and then abandoned it, using the vaccine in its implementation, amid concerns that it would have limited effectiveness against a variant of the virus that appeared there.
However, independent experts who advised the World Health Organization on immunization on Wednesday recommended the use of the AstraZeneca vaccine, even in countries where there are variants.
Earlier in this process, the results of late-stage clinical trials, which showed a higher efficacy rate after a dosing error, raised eyebrows among experts, as well as questions about the results and the recommended dosing regimen (as well as like most coronavirus vaccines, it is a two-dose shot).
AstraZeneca also went into hot water with the EU when it said it would not deliver as many vaccines as the block expected in the spring, blaming tooth problems at its factories in Belgium and the Netherlands.