Pharmaceutical giant AstraZeneca has fallen into the red in Q3 due to taxes, despite revenue increases boosted by the vaccine against Covid-19.
AstraZeneca lost money in the third quarter due to taxes, despite the Covid vaccine boosting revenues.
For the period, the company lost 1.65 billion dollars, compared with a profit of 651 million a year earlier. The company’s revenue, on the other hand, increased by 50% to 9.9 billion dollars. This is primarily thanks to the merger with Alexion, whose revenues are recognized from the end of July.
To date, Covid-19 vaccine sales have generated revenues of $2.2 billion, including $736 million from Europe. It corresponds to 580 million doses sold worldwide.
Over the year, sales costs tripled, research costs doubled and the Swedish-British group paid $350 million in taxes compared with a credit last year.
In a statement, group chief Pascal Soriot noted “strong sales growth and outstanding supply of drugs in development, including eight in late-stage development, including a promising antibody combination to treat Covid-19.”
Last month, the company reported positive Phase 3 clinical results for its antibody cocktail against Covid-19, AZD7442.
“The addition of Alexion affirms our commitment to bring innovative therapies to patients around the world,”. “We expect to close the year on a high note, retaining our guidance,” said Soriot.
As of mid-July, the Swedish-British pharmaceutical group had announced it had received the green light to acquire U.S. rare disease biotech Alexion for $39 billion.
On the market’s side.
Shares of AstraZeneca (NASDAQ:AZN×) were down 6.9% as of 1:52 p.m. EST on Friday after the major drugmaker reported its third-quarter results.
It posted a loss of $1.10 per share due to significantly higher expenses related to the Alexion acquisition. The average analyst estimate was for earnings of $1.28 per share.