Slide 1: 2Q and Half Year Results 2011
2Q and Half Year Results 2011 \ eoouazeusy
Slide 2: Cautionary Statement Regarding Forward-Looking Statements
Cautionary Statement Regarding Forward-Looking Statements In order, among other things, to utilise the 'safe harbour' provisions of the US Private Securities Litigation Reform Act 1995, we are providing the following cautionary statement: This presentation contains certain forward-looking statements
Slide 3: 2Q and Half Year Results – David Brennan, CEO
2Q and Half Year Results 2011 David Brennan, CEO
Slide 4: Key Developments 1H 2011
Key Developments 1H 2011 • Pipeline - US FDA approves BRILINTA - US FDA Advisory Committee reviews dapagliflozin • Sale of Astra Tech - Approx $1.8 billion - Net proceeds added to share repurchases, on completion • Market Environment 4 4
Slide 5: Headline results 1H 2011: Revenue
Headline results 1H 2011: Revenue 1H 2011 CER CER $m % $m Total 16,722 -3 (489) Crestor 3,192 +13 +368 Symbicort 1,554 +10 +143 Seroquel XR 726 +28 +154 Toprol-XL (US) 192 -55 (230) Nexium (West Europe) 454 -29 (185) Arimidex 414 -58 (553) Merrem 330 -26 (110) Casodex 271 -14 (42) 5 5
Slide 6: Regional revenue performance 1H 2011
Regional revenue performance 1H 2011 1H 2011 CER CER $m % $m Global Revenue 16,722 -3 (489) US 6,596 -7 (499) Western Europe 4,429 -8 (379) Established RoW 2,797 +4 +100 Emerging Markets 2,900 +11 +289 6 6
Slide 7: Headline results 1H 2011
Headline results 1H 2011 1H 2011 1H 2010 Actual CER $m $m growth growth Revenue 16,722 16,754 0% -3% Core R&D (2,191) (1,939) +13% +7% Core SG&A (4,977) (4,583) +9% +5% 7 7
Slide 8: Headline results 1H 2011
Headline results 1H 2011 1H 2011 1H 2010 Actual CER $m $m growth growth Revenue 16,722 16,754 0% -3% Core Operating Profit 7,000 7,507 -7% -7% Core EPS $3.96 $3.82 +4% +3% Restructuring ($0.15) ($0.30) MedImmune/Merck amortisation ($0.16) ($0.14) Legal ($0.04) ($0.01) Reported EPS $3.61 $3.37 +7% +7
Slide 9: 2Q and Half Year Results – Simon Lowth, CFO
2Q and Half Year Results 2011 Simon Lowth, Chief Financial Officer
Slide 10: Headline results 2Q 2011
Headline results 2Q 2011 2Q 2011 2Q 2010 Actual CER $m $m growth growth Revenue 8,430 8,178 3% -2% 10 10
Slide 11: Core margin: 2Q 2011
Core margin: 2Q 2011 CER Delta vs $m growth % sales PY CER Revenue 8,430 -2% Core Gross Margin 6,968 -2% 82.7 +10bps Distribution (88) -8% 1.0 +10bps Core SG&A (2,627) +9% 31.2 -310bps Core Other Income 188 -2% 2.2 - Core Pre-R&D Profit 4,441 -7% 52.7 -290bps Core R&D (1,119) +8% 13.3 -110bps Core O
Slide 12: Headline results 2Q 2011
Headline results 2Q 2011 2Q 2011 2Q 2010 Actual CER $m $m growth growth Revenue 8,430 8,178 3% -2% Core Operating Profit 3,322 3,650 -9% -10% Core EPS $1.73 $1.79 -3% -5% 12 12
Slide 13: Headline results 2Q 2011
Headline results 2Q 2011 2Q 2011 2Q 2010 Actual CER $m $m growth growth Revenue 8,430 8,178 3% -2% Core Operating Profit 3,322 3,650 -9% -10% Core EPS $1.73 $1.79 -3% -5% Restructuring ($0.08) ($0.25) MedImmune/Merck amortisation ($0.08) ($0.07) Legal ($0.04) ($0.01) Reported EPS $1.53 $1.46 +5% +3%
Slide 14: Regional revenue performance 2Q 2011
Regional revenue performance 2Q 2011 2Q 2011 CER CER $m % $m Global Revenue 8,430 -2% (139) US 3,292 -3% (106) Western Europe 2,194 -9% (208) Established RoW 1,476 +4% +48 Emerging Markets 1,468 +10% +127 14 14
Slide 15: Crestor
Crestor 2Q 2011 Sales: $1,714m +15% US 1,800 EM ROW • US TRx +2.4% 1,600 $174m +8% - Statin market +1% 1,400 EST ROW $420m +19% • Dynamic share (new & switch) 1,200 - Crestor share up ~3 pts since 1,000 W. EUR $324m +7% simvastatin safety advisory 800 600 RoW US 400 $796m +17% • RoW sales $918m +12%
Slide 16: Seroquel
Seroquel 2Q 2011 Sales: $1,537m +11% Seroquel IR: $1,150m +7% EM ROW $92m -3% Seroquel XR: $387m +23% 1,400 EST ROW $78m -10% 1,200 W. EUR $273m +13% US 1,000 • Seroquel XR TRx +19% vs market +4% 800 - Seroquel XR now 16.9% of TRx & 18.7% of Revenue 600 US $1,094m +13% 400 RoW 200 • Seroquel franchi
Slide 17: Symbicort
Symbicort 2Q 2011 Sales: $802m +14% US 800 • TRx +10% vs market -3% EM ROW 700 $115m +24% • TRx share 19.2% EST ROW 600 $103m +57% - Up 2 pts vs June 2010 500 • New patient share 26.1% W. EUR 400 $378m +3% RoW 300 • Sales $596m +13% 200 100 US $206m +14% 0 2Q 2010 2Q 2011 US W EUR EST ROW EM ROW 17
Slide 18: Brand revenues 2Q 2011
Brand revenues 2Q 2011 Onglyza™ • Global alliance revenue $46m; US $33m • US franchise TRx share increased to 14.1% in June 2011 - Up 4.1 pts since Dec 2010; Kombiglyze XR™ TRx at 2.7% share • Franchise share of new DPP4 starts ~25% - Kombiglyze XR™ accounts for 36% of franchise starts BRILINTA • Sa
Slide 19: Cash generation: 1H 2011
Cash generation: 1H 2011 2011 2010 $m $m Opening net cash/(debt) 3,653 535 EBITDA 7,403 7,509 Movement in working capital (1,053) (977) Tax & interest paid* (1,902) (1,235) Other non-cash movements (236) 32 4,212 5,329 Tax settlements* (1,383) (562) Net cash from operating activities 2,829 4,767 * A
Slide 20: Cash application: 1H 2011
Cash application: 1H 2011 2011 $m Opening net cash/(debt) 3,653 Net cash from operating activities 2,829 Capex/Other investments (629) Dividends/Net share buy-back (4,850) Other movements 29 Closing net cash/(debt) 1,032 Gross debt (9,582) Cash/Cash equivalents and STIs 10,614 20 20
Slide 21: Shareholder returns
Shareholder returns • Dividends - Progressive dividend - Balance between Interim and Final - First Interim $0.85 - Approx 33 percent of FY 2010 of $2.55 • Share Repurchases - 2011 target: Net $4 billion - Astra Tech net proceeds - New 2011 estimate: $5 billion 21 21
Slide 22: Guidance for 2011 (Core Basis)
Guidance for 2011 (Core Basis) • Revenue Flat to low single digit at CER • Core EPS New range $7.05 to $7.35; up 10 cents 22 22
Slide 23: 2Q and Half Year Results – Simon Lowth, CFO
2Q and Half Year Results 2011 Simon Lowth, Chief Financial Officer
Slide 24: 2Q and Half Year Results – Martin Mackay, R&D President
2Q and Half Year Results 2011 Martin Mackay, R&D President
Slide 25: Agenda
Agenda Pipeline overview Late stage progress Upcoming milestones 25 25
Slide 26: Portfolio movement January – July 2011
Portfolio movement January – July 2011 Launched/Approved Submitted New Indications Renal impairment Europe USA, Canada, Brazil Further Markets USA, Europe MEDI-3250 Phase 3 Starts China USA USA NKTR-118 Japan Europe, Canada, Brazil Russia Dapagliflozin USA India Russia, Brazil LCM Europe LCM 26 26
Slide 27: BRILINTA regulatory status
BRILINTA regulatory status Launched in 15 Markets Approved in 41 Markets Under Review in 43 Markets 27 27
Slide 28: BRILINTA regulatory status
BRILINTA regulatory status Reimbursed in 7 markets 28 28
Slide 29: BRILINTA regulatory status
BRILINTA regulatory status Launched in 15 Markets Approved in 41 Markets Under Review in 43 Markets 29 29
Slide 30: BRILINTA label
BRILINTA label Strong differentiating label • Approved across the full continuum of ACS patients studied in PLATO • Includes overall results of the PLATO study - BRILINTA compared to clopidogrel in combined endpoint of CV death, MI or stroke. The overall results favoured BRILINTA when used with low
Slide 31: Dapagliflozin
Dapagliflozin New approach to diabetes • Committed to the broad clinical development programme • Efforts are focused on working with FDA between now and October 28th PDUFA date to address outstanding questions 31 Dapagliflozin is being jointly developed and marketed by AstraZeneca and Bristol-Myers
Slide 32: NKTR-118, Fostamatinib, TC-5214 & Crestor
NKTR-118, Fostamatinib,TC-5214 & Crestor Additional late stage programmes are on track • NKTR-118 – First regulatory filing planned for 2013 • Fostamatinib – On track to meet US/EU filing dates in 2013 • TC-5214 – First study read out in 4Q11 and all study readouts in 2Q12 • Crestor/SATURN – Scienti
Slide 33: 2011 milestones
2011 milestones • Brilinta – Further approvals 3Q/4Q • Faslodex – Japan 3Q/4Q Approvals • Vimovo – Ongoing Europe 3Q/4Q • IRESSA (1st line) – Japan 4Q • Axanum – Europe 3Q • Dapagliflozin (PDUFA) – 4Q • Brilinta – 3Q/4Q • Symbicort (COPD) – Japan 4Q Submissions • Oxis – Japan 3Q • Zinforo – 3Q/4Q in
Slide 34: 2Q and Half Year Results 2011
2Q and Half Year Results 2011 \ eoouazeusy