Slide 1: AstraZeneca 3Q and Nine Months 2014 Results
AstraZeneca 3Q and Nine Months 2014 Results
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: 3Q and Nine Months 2014 Results
3Q and Nine Months 2014 Results Pascal Soriot Results overview Marc Dunoyer Growth platforms & financial performance Pascal Soriot Pipeline update & closing remarks 3 3
Slide 4: 3Q and Nine Months 2014 Results: Pascal Soriot, CEO
3Q and Nine Months 2014 Results Pascal Soriot, Chief Executive Officer 4
Slide 5: 3Q and Nine Months 2014: Highlights
3Q and Nine Months 2014: Highlights Returning to growth (CER) Third consecutive quarter of revenue growth; $6,542m, +5% Growth platforms up +16% YTD, contributing 54% of total revenue Brilinta: +78%, good momentum across all regions Diabetes: +139%, successful Farxiga launch; good US Bydureo
Slide 6: Nine Months 2014: Positive revenue growth
Nine Months 2014: Positive revenue growth YTD 14 CER $m growth % Global Revenue 19,412 4 Growth Platforms 10,402 16 US 7,479 6 Europe 4,925 (2) Emerging Markets 4,349 12 China 1,666 22 Japan 1,684 - Core EPS $3.52 (3) 6 6
Slide 7: Continued good progress on our strategic priorities
Continued good progress on our strategic priorities 1 2 3 Achieve Return Be a great place scientific to growth to work leadership 7 7
Slide 8: Nine Months 2014: Growth platform revenue up 16% to $10.4bn
Nine Months 2014: Growth platform revenue up 16% to $10.4bn, contributing 54% of total revenue Total AZ revenue split & absolute revenue growth (CER) Successful Farxiga launch; Diabetes +139%* good US Bydureon Pen uptake Emerging Double digit growth three Markets +12% consecutive quarters, led by Ch
Slide 9: Growth platforms & financial performance
3Q and Nine Months 2014 Results: Growth platforms & financial performance Marc Dunoyer, Chief Financial Officer 9
Slide 10: Brilinta: Continued momentum in the US
2 Brilinta: Continued momentum in the US Return to growth $m 140 120 EM $16m EST ROW 3Q revenue up 68% to $127m 100 $10m US is fastest growing region, 80 EUR up +122% to $40m supported by $61m 60 positive news flow from DoJ closure 40 Continued strong performance US ex-US 20 $40m 0 3Q 13 3Q 14
Slide 11: Brilinta: Continued momentum in the US
2 Brilinta: Continued momentum in the US Return to growth Hospital DDD in US – Units Purchased (MMT) Monthly brand share – OAP* class (US) Brilinta Product A TRx Share NBRx Share 48,000 8.0% 7.5% 46,000 45,435 7.0% 6.2% 6.9% 44,000 6.0% 42,000 42,480 5.0% 40,000 4.0% 3.7% 38,000 3.0% 2.5% 36,000 2.0
Slide 12: Diabetes: Good Farxiga launch and encouraging Bydureon Pen uptake in US
2 Diabetes: Good Farxiga launch and Return to growth encouraging Bydureon Pen uptake in US $m 500 Others Good Farxiga uptake in US, $90m accelerating SGLT-2 class growth 400 Bydureon +73% post launch $125m 300 Bydureon US +41% TRx volume Byetta growth vs. 3Q 13, fuelled by strong $92m launch upt
Slide 13: Diabetes: Good Farxiga uptake, accelerating SGLT-2 class growth
2 Diabetes: Good Farxiga uptake, accelerating Return to growth SGLT-2 class growth +73% post launch Farxiga weekly volume trends (US) SGLT-2 class monthly NRx volume (US) Farxiga launch – 25,000 140,000 TRx driving class growth NRx 22,200 NBRx 120,000 20,000 100,000 15,000 80,000 9,290 60,000 10,000
Slide 14: Bydureon: GLP-1 and Bydureon growth rebounding in US
2 Bydureon: GLP-1 and Bydureon growth Return to growth rebounding in US GLP-1 TRx volume growth – US (MQT) Bydureon family volume – US (Monthly) 25% 80,000 TRx NRx 70,000 NBRx 20% 60,000 50,000 15% +12% 40,000 10% 30,000 20,000 5% 10,000 0% 0 14 Source: IMS Health NPA, Monthly data 14
Slide 15: Bydureon: Launch of new Pen device supporting trend break
2 Bydureon: Launch of new Pen device Return to growth supporting trend break in share uptake Bydureon family share* in GLP-1 market (US) Bydureon family NRx volume – US 9,000 Bydureon Single Dose Tray 50% Share Growth TRx vs. June 2014** Bydureon Pen 8,000 NRx NBRx +11.1 7,000 40% 37.4% 36% 6,000 30
Slide 16: Respiratory: Continued strong Symbicort growth in US
2 Respiratory: Continued strong Symbicort Return to growth growth in US $m 1,000 EM 900 $88m 3Q Symbicort revenue +15% 800 EST ROW $126m 700 Strong Symbicort US growth +29%, 600 EUR stable net price $358m 500 EU revenue -1%, as price pressure 400 offset +6% volume growth 300 US 200 $395m 3Q
Slide 17: Respiratory: Symbicort US share shows renewed growth
2 Respiratory: Symbicort US share shows Return to growth renewed growth Monthly brand share 2012 Share 2013 Share +3.6 39% Growth Growth 37.5% +1.7 +5.8 33.9% +5.3 34% 31.6% 29% 28.1% 26.3% 24% +2.2 +3.9 22.4% 19% NTC Share TRx Share 17 Source: IMS Health NPA, Monthly data through September, 2014 17
Slide 18: Emerging Markets: AstraZeneca continues to outpace the market in China
2 Emerging Markets: AstraZeneca continues Return to growth to outpace the market in China MAT sales growth hospital market 30.0% 25.0% 20.0% 15.0% 10.0% 5.0% 0.0% Total China LOCAL MNC AZ 18 *MNC: multi national companies Source: IMS 14M09 data. 18
Slide 19: Japan: Positive underlying demand for launch brands
2 Japan: Positive underlying demand for Return to growth launch brands Nine months revenue – key launch brands Overall in-market performance +10% volume Continued share growth for Crestor growth Crestor, Symbicort & Nexium In-market growth +5.0%* (Aug YTD) Nexium +79% volume growth Negative im
Slide 20: 3Q 2014: Headline results
3Q 2014: Headline results 3Q 3Q CER 2014 2013 growth % Revenue 6,542 6,250 5 Core Operating Profit 1,770 2,027 (9) Core EPS $1.05 $1.21 (8) 20 20
Slide 21: Nine Months 2014: Core margin
Nine Months 2014: Core margin YTD 2014 YTD 2013 CER % $m $m growth % sales Revenue 19,412 18,867 4 Core Gross Profit 15,883 15,523 3 81.8 Distribution (236) (234) 1 1.2 Core R&D (3,581) (3,064) 14 18.4 Core SG&A (7,263) (6,382) 14 37.5 Core Other Income 950 564 69 4.9 Core Operating Profit 5,753 6,4
Slide 22: Continued business development supporting strategic priorities
Continued business development supporting strategic priorities Respiratory/Inflammation/ CV/Metabolism Oncology Autoimmune Divestment of Myalept Partnerships to explore Stronger inhaled portfolio reinforces focus on core immuno-oncology (IO) in asthma and COPD strategic priorities; allows and
Slide 23: Guidance for 2014 (upgraded)
Guidance for 2014 (upgraded) 2Q Guidance 3Q Guidance Upgraded 2014 Revenue (CER) In line with 2013 Increase in low single digits 2014 Core EPS (CER) Low double-digit decrease Decrease at around 10% Progressive dividend policy Progressive dividend policy Dividend maintained maintained 2014 Planning a
Slide 24: 2015 preview
2015 preview For 2015, the Company plans to continue to selectively invest in its growth platforms and accelerating pipeline while managing overall costs Assuming current exchange rates, the Company is targeting Core EPS for 2015 to be no less than the lower end of the range of the upgraded guidance
Slide 25: Pipeline update
3Q and Nine Months 2014 Results: Pipeline update Briggs Morrison, EVP Global Medicines Development 25
Slide 26: Continued momentum in late stage pipeline
1 Continued momentum in late stage pipeline Achieve scientific leadership Regulatory milestones Compound Indication Milestone Lynparza (olaparib) PSR BRCAm ovarian cancer CHMP positive opinion Iressa ctDNA EGFRm NSCLC EU approval Xigduo XR Type 2 diabetes US approval Movantik OIC US approval Moventi
Slide 27: American College of Rheumatology (ACR) 2014: Highlights
1 American College of Rheumatology (ACR) Achieve scientific 2014: Highlights leadership Key ACR data highlights (14 - 19 November 2014) Sifalimumab: Phase IIb safety and efficacy data in patients with systemic lupus erythematosus Sifalimumab/anifrolumab: PK/PD data from Japan study Mavrilimuma
Slide 28: Continued strong newsflow anticipated
1 Continued strong newsflow anticipated Achieve scientific leadership Data readouts Compound Indication Milestone brodalumab psoriasis Ph III topline results sifalimumab SLE Ph IIb (ACR) mavrilimumab RA Ph IIb (ACR) BACE (AZD3293) Alzheimer’s disease Ph I (CTAD) Regulatory milestones Compound Indica
Slide 29: Closing remarks
3Q and Nine Months 2014 Results: Closing remarks Pascal Soriot, Chief Executive Officer 29
Slide 30: Closing remarks
Closing remarks Growth platforms +16% YTD (CER), contributing 54% of total revenue Investments support growth platforms & expanding pipeline 2014 Guidance upgraded; 2015 preview Investor Day on 18 November 30 30
Slide 31: 3Q and Nine Months 2014 Results: Q&A
3Q and Nine Months 2014 Results: Q&A Pascal Soriot, Chief Executive Officer Marc Dunoyer, Chief Financial Officer Briggs Morrison, EVP Global Medicines Development Luke Miels, EVP Global Portfolio & Product Strategy 31 31