AstraZeneca, already plagued by Crestor generics, posts street-beating Q2 on diabetes, new cancer meds

It’s a silver-lining quarter for AstraZeneca. Second-quarter sales slid--but not as far as market watchers expected. Crestor generics took a bite out of that brand, but AstraZeneca’s other post-patent cliff brand, Nexium, delivered some offsetting sales. And diabetes, emerging markets and new cancer meds showed their spirit.

The numbers explain a few things about AstraZeneca these days: Why, for instance, the company pulled out all the stops to block a Crestor generics pile-on; even with just one authorized generic on the market, the big-selling statin brand still fell $60 million below expectations, with $926 million in Q2 sales, a decline of almost 30%. Now that the FDA has cleared another half dozen copycat pills, Q3 sales are sure to suffer much more.

They also illustrate AstraZeneca’s good fortune with Tagrisso, which had been set for a head-to-head battle in lung cancer until Clovis Oncology bagged its rival med, rociletinib. The AstraZeneca drug, a first-in-class kinase inhibitor for EGFR-positive lung cancer, snared $92 million in sales for the quarter, bringing its first-half total to $143 million. Quick work for a drug that only just launched in November--and with new data in second-line lung cancer, faster growth could well be ahead.

Free Webinar

What could you do with real-time supply chain information at your fingertips?

Interested in complete supply chain real-time data visibility? Unlock productivity with digital workflows, manage plants inventory with real-time supply chain information and enable faster decision-making with data visualization with pci | bridge. Register today!

And they highlight CEO Pascal Soriot’s choice of “growth platforms,” as one of them--diabetes--made 18% gains during the first half of the year, and another--emerging markets--racked up an 7% revenue increase, thanks to 11% growth in China.

Overall, drug sales for the quarter stood at $5.47 billion, down 5% in constant currencies. For the full first half, the decline amounted to 2%, with product sales of $11.03 billion.

Along with “externalization revenue,” or the cash AstraZeneca collected from the products and programs it offloaded to buyers and partners, total revenue for the first half hit $11.7 billion, a 3% decline.

What these numbers didn’t explain? Just how Soriot plans to get to $45 billion in sales by 2023, as promised when fending off Pfizer’s 2014 takeover attempt. If the bid to limit Crestor generics had succeeded, and AstraZeneca managed to cling to blockbuster-level sales, that would have helped. And AZ might still appeal. But failing that, Soriot will likely have to make a big purchase. Medivation, perhaps?

- see the AZ release

Related Articles:
AstraZeneca's bid to protect Crestor fails as judge refuses to block new generics
Clovis bags rociletinib, leaving AZ's Tagrisso with a clear path to $3B
AstraZeneca plots cost cuts to save $1.1B as Crestor generics loom
AstraZeneca's $3B push for Tagrisso gets leg up from Clovis setback
AstraZeneca chief chalks up milestones on his map to $45B
 

Suggested Articles

With a slate of vaccine authorizations on the horizon, vaccine execs from a trio of leading shot makers are looking at distribution hurdles ahead.

News of an FDA plant inspection for a Macrogenics drug boosted investor confidence in BMS' ability to meet its year-end deadline for liso-cel.

BioCryst has scored FDA approval for Orladeyo, the first oral option to prevent hereditary angioedema attacks in patients 12 and older.