Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  Equities  >  London Stock Exchange  >  AstraZeneca plc    AZN   GB0009895292

SummaryQuotesChartsNewsAnalysisCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsSector newsTweets 

AstraZeneca CEO Leaving As Profits Slide, Warns On Outlook

share with twitter share with LinkedIn share with facebook
share via e-mail
0
04/26/2012 | 08:56am CEST

AstraZeneca PLC (AZN) Thursday said Chief Executive David Brennan is leaving after the troubled drug maker missed its first-quarter earnings and sales forecasts and cut its full-year profit targets yet again.

AstraZeneca, which reports in dollars, said net profit in the first three months of 2012 fell 44% to $1.64 billion from $2.91 billion a year earlier, missing analysts' expectations of $2.0 billion. Revenue was down 11% at $7.35 billion, compared with $8.29 billion a year earlier, worse than the $7.98 billion expected in a survey of 10 analysts.

Brennan, who used the update to announce his retirement, said, "The anticipated impact from the loss of exclusivity on several brands, together with challenging market conditions, has made for a difficult start to the year in revenue terms.

"Delivery on our restructuring plans and continued discipline on operating costs, together with the benefits from a lower tax rate, will only partially mitigate the revenue pressures. As a result we have lowered our core EPS [earnings per share] target for the full year to the range of $5.85 to $6.15."

The company previously foresaw core EPS coming in this year at $6.00 to $6.30, after $7.28 in 2011.

Brennan, an American, has been CEO since the start of 2006. Chief Financial Officer Simon Lowth will act as interim chief executive from June until a permanent successor is in place.

AstraZeneca faces crucial patent expiries between now and 2015 on products such as antipsychotic Seroquel and ulcer medicine Nexium, and the loss of patent protection in the U.S. in 2016 for its best-selling drug, heart drug Crestor. Coupled with a thinner late-stage pipeline and a mixed longer-term research and development track record, the U.K.'s No. 2 drug maker by sales has taken an aggressive approach to costs, shrinking operations and cutting thousands of jobs, while keeping cash flowing to shareholders.

In February, AstraZeneca announced it was cutting around 7,300 jobs as part of the company's ongoing cost-savings program. The first phase, launched in 2007, was aimed at improving long-term competitiveness and productivity. The second phase, announced in January 2010, envisioned the loss of up to 10,400 jobs by 2014.

Describing its outlook for 2012, the company said in a statement that "we now expect the decline in revenue for the full year will be in the range of the low to mid-teens in constant-currency terms."

AstraZeneca, which spent $5.6 billion last year buying back its own shares, Thursday said it spent $912 million in the first quarter on net stock repurchases.

AstraZeneca shares ended Wednesday at 2841 pence, down 6% on year-earlier levels.

-By Sten Stovall, Dow Jones Newswires; +44 207 842 9292; sten.stovall@dowjones.com

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on ASTRAZENECA PLC
03/25 ASTRAZENECA : s SGLT-2 Inhibitors Greatly Lowered Hospitalization Risks for HF P..
03/24 GLOBAL GASTROINTESTINAL DRUGS MARKET : Abbott Laboratories, Allergan, AstraZenec..
03/23 ASTRAZENECA : and Circassia to Develop COPD Inhalants
03/22 ASTRAZENECA : gets second CRL for Zs-9 after Zs Pharma plant inspection
03/21 ASTRAZENECA : CVD-REAL study shows SGLT-2 inhibitors significantly reduced death..
03/21 CIRCASSIA PHARMACEUTICALS : to acquire US rights to Tudorza and Duaklir from Ast..
03/20 FTSE rises to record close after Article 50 trigger date set
03/20 ASTRAZENECA : and Circassia enter strategic collaboration in respiratory disease
03/20 ASTRAZENECA : receives Complete Response Letter from US FDA for ZS-9 (sodium zir..
03/20 ASTRAZENECA : Sheriffs conduct public safety drill at MedImmune facility in Fred..
More news
Sector news : Pharmaceuticals - NEC
03/24 NOVO NORDISK A/S : EMA panel backs Novo Nordisk's haemophilia B drug
03/24 YouTube's bid to grab TV dollars imperiled by advertiser revolt
03/23DJPRESS RELEASE : FDA Grants Approval for -3-
03/23DJPRESS RELEASE : FDA Grants Approval for -2-
03/23DJPRESS RELEASE : FDA Grants Approval for BAVENCIO(R) (avelumab), the First Immuno..
More sector news : Pharmaceuticals - NEC
News from SeekingAlpha
03/25 MARKETPLACE ROUNDTABLE : Biotech Hanging In The Balance
03/23 Pharma Development Budgets Grow As Roche Remains A Believer
03/21 AstraZeneca's Mistakes Mount
03/21 Biotechs under pressure after Trump (again) decries high drug prices
03/21 Jardiance Heart Benefit Looks Like A Class Effect
Advertisement
Financials ($)
Sales 2017 21 453 M
EBIT 2017 5 750 M
Net income 2017 2 658 M
Debt 2017 12 189 M
Yield 2017 4,49%
P/E ratio 2017 29,41
P/E ratio 2018 22,91
EV / Sales 2017 4,21x
EV / Sales 2018 4,07x
Capitalization 78 074 M
More Financials
Chart ASTRAZENECA PLC
Duration : Period :
AstraZeneca plc Technical Analysis Chart | AZN | GB0009895292 | 4-Traders
Full-screen chart
Technical analysis trends ASTRAZENECA PLC
Short TermMid-TermLong Term
TrendsBullishNeutralNeutral
Technical analysis
Income Statement Evolution
More Financials
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 34
Average target price 63,5 $
Spread / Average Target 3,3%
Consensus details
EPS Revisions
More Estimates Revisions
Managers
NameTitle
Pascal Soriot Chief Executive Officer & Executive Director
Leif Valdemar Johansson Non-Executive Chairman
Pam P. Cheng Executive VP-Operations & Information Technology
Marc Dunoyer Chief Financial Officer & Executive Director
Sean Bohen Chief Medical Officer & Executive Vice President
More about the company
Sector and Competitors
1st jan.Capitalization (M$)
ASTRAZENECA PLC11.06%78 074
JOHNSON & JOHNSON8.91%340 163
ROCHE HOLDING LTD.8.73%219 545
PFIZER INC.4.68%202 474
NOVARTIS AG-0.94%195 096
MERCK & CO., INC.7.32%173 465
More Results