21 May 2024
AstraZeneca sets ambition to
deliver $80 billion Total Revenue by 2030 and
sustained growth post
2030
Launch of 20 new medicines
expected by 2030
Significant growth from
existing oncology, biopharmaceuticals
and rare disease
portfolios
Investing in disruptive
innovation that will shape the future of medicine
and
drive long-term
growth
Decoupling carbon emissions
from revenue growth
Today AstraZeneca revealed its bold
ambition to deliver $80 billion in Total Revenue by 2030, up from
$45.8 billion in 2023. This will be achieved through significant
growth in its existing oncology, biopharmaceuticals and rare
disease portfolio, and by launching an expected 20 new medicines
before the end of the decade. To drive sustained growth beyond
2030, the Company will continue investing in transformative new
technologies and platforms that will shape the future of
medicine.
AstraZeneca will maintain its
strategic commitment to R&D while focusing on productivity
throughout the Company, driving operating leverage and enabling the
delivery of its ambition for a mid-30s percentage Core operating
margin by 2026. Beyond 2026, Core operating margin will be
influenced by portfolio evolution and the company will target at
least the mid-30s percentage range.
Pascal Soriot, Chief Executive
Officer, AstraZeneca said: "Today AstraZeneca announces a new era
of growth. In 2023 we delivered the
ambitious $45 billion revenue goal set a decade ago. With
the exciting growth of our innovative pipeline,
which has the potential to transform millions of lives, we are now
aiming for $80 billion by 2030.
We are planning to launch 20 new
medicines by 2030, many with the potential to generate more than $5
billion in peak year revenues. The breadth of our portfolio together with continued
investment in innovation supports sustained growth well past the
end of the decade."
As AstraZeneca continues to grow
across all therapy areas, it will continue to decouple its carbon
emissions from its increase in revenue. The Company has already
reduced its greenhouse gas emissions (Scopes 1 and 2) by 68% from
its 2015 baseline while growing Total Revenue by 85% over the same
period. By 2026 the Company will be carbon zero for Scope 1 and 2
emissions and by 2030 halve its Scope 3 emissions, on the way to
science-based net zero by 2045 at the latest.
Notes:
A webcast of the Investor Day event
will begin today, 21 May 2024, at 10:00 UK time. Details can be
found at
www.astrazeneca.com/investor-relations/astrazeneca-investor-day.html
Basis of AstraZeneca's ambitions, forecasts and
targets
AstraZeneca's ambitions, forecasts
and targets in this announcement (the "Financial Ambition
Statements") are derived from AstraZeneca's most recent
risk-adjusted mid- and long-term plans, adjusted for developments
in the business since those plans were finalised.
The Financial Ambition Statements are based on
management's risk-adjusted projections for individual medicines and
individual clinical trials. Estimates for these probabilities are
based on industry-wide data for relevant clinical trials in the
pharmaceutical industry at a similar stage of development adjusted
for management's view on the risk profile of the specific asset.
The peak year revenue (PYR) potential for individual medicines
referred to in this announcement are the maximum estimated Total
Revenue to be recognised by AstraZeneca in a single calendar year,
during the lifecycle of the medicine, and are based on management's
latest non-risk-adjusted forecast estimates. Estimates are based on
customary forecasting methodologies used in the pharmaceutical
industry. Peak year revenue may occur in
different years for each NME depending on trial outcomes, approval
label, competition, launch dates and exclusivity periods, amongst
other variables. The peak year revenue figures are derived from net
sales at nominal values and are not risk-adjusted or time-value
discounted. The development of pharmaceutical products has
inherent risks given scientific experimentation and there are a
range of possible outcomes in clinical results, safety, efficacy
and product labelling. Clinical results may not achieve the desired
product profile and competitive environment, pricing and
reimbursement may have material impact on commercial revenue
forecasts. By their nature, forecasts are based on a multiplicity
of assumptions and actual performance in future years may vary,
significantly and materially, from these assumptions.
The Financial Ambition Statements in this
announcement are based on Q1 2024 exchange rates; AstraZeneca
undertakes no obligation to update those statements based on future
currency movements.
Attention is drawn to the notice set
out under the heading Forward Looking Statements below.
AstraZeneca
AstraZeneca (LSE/STO/Nasdaq: AZN) is
a global, science-led biopharmaceutical company that focuses on the
discovery, development, and commercialisation of prescription
medicines in Oncology, Rare Diseases, and BioPharmaceuticals,
including Cardiovascular, Renal & Metabolism, and Respiratory
& Immunology. Based in Cambridge, UK, AstraZeneca's innovative
medicines are sold in more than 125 countries and used by millions
of patients worldwide. Please visit astrazeneca.com and
follow the Company on social media @AstraZeneca
Contacts
For details on how to contact the
Investor Relations Team, please click here.
For Media contacts, click here.
Forward Looking
Statements
In order, among other things, to
utilise the 'safe harbour' provisions of the US Private Securities
Litigation Reform Act of 1995, AstraZeneca (hereafter 'the Group')
provides the following cautionary statement:
This document contains certain
forward-looking statements with respect to the operations,
performance and financial condition of the Group, including, among
other things, statements about expected or targeted revenues,
margins, earnings per share or other financial or other measures
(including the Financial Ambition Statements described in this
announcement). Although the Group believes its expectations and
targets are based on reasonable assumptions and has used customary
forecasting methodologies used in the pharmaceutical industry and
risk-adjusted projections for individual medicines (which take into
account the probability of success of individual clinical trials,
based on industry-wide data for relevant clinical trials at a
similar stage of development), any forward-looking statements, by
their very nature, involve risks and uncertainties and may be
influenced by factors that could cause actual outcomes and results
to be materially different from those predicted. The
forward-looking statements reflect knowledge and information
available at the date of preparation of this document and the Group
undertakes no obligation to update these forward-looking
statements. The Group identifies the forward-looking statements by
using the words 'anticipates', 'believes', 'expects', 'intends' and
similar expressions in such statements. Important factors that
could cause actual results to differ materially from those
contained in forward-looking statements, certain of which are
beyond the Group's control, include, among other things:
- The risk
of failure or delay in delivery of pipeline or launch of new
medicines;
- the risk
of failure to meet regulatory or ethical requirements for medicine
development or approval;
- the risk
of failures or delays in the quality or execution of the Group's
commercial strategies;
- the risk
of pricing, affordability, access and competitive
pressures;
- the risk
of failure to maintain supply of compliant, quality
medicines;
- the risk
of illegal trade in the Group's medicines;
- the impact
of reliance on third-party goods and services;
- the risk
of failure in information technology or cybersecurity;
- the risk
of failure of critical processes;
- the risk
of failure to collect and manage data in line with legal and
regulatory requirements and strategic objectives;
- the risk
of failure to attract, develop, engage and retain a diverse,
talented and capable workforce;
- the risk
of failure to meet regulatory or ethical expectations on
environmental impact, including climate change;
- the risk
of the safety and efficacy of marketed medicines being
questioned;
- the risk
of adverse outcome of litigation and/or governmental
investigations;
-
intellectual property-related risks to the Group's
products;
- the risk
of failure to achieve strategic plans or meet targets or
expectations;
- the risk
of failure in financial control or the occurrence of
fraud;
- the risk
of unexpected deterioration in the Group's financial
position;
- the impact
that global and/or geopolitical events may have, or continue to
have, on these risks, on the Group's ability to continue to
mitigate these risks, and on the Group's operations, financial
results or financial condition.
There can be no guarantees that the
conditions to the closing of the proposed transaction with Fusion
will be satisfied on the expected timetable, or at all, or that
"FPI-2265" (Ac225-PSMA I&T) or any combination product will
receive the necessary regulatory approvals or prove to be
commercially successful if approved. There can be no guarantees
that the conditions to the closing of the proposed transaction with
Amolyt Pharma will be satisfied on the expected timetable, or at
all, or that eneboparatide ("AZP-3601") will receive the necessary
regulatory approvals or prove to be commercially successful if
approved.
Adrian Kemp
Company Secretary
AstraZeneca PLC