31 October 2013 10:15 [Source: ICIS news]
LONDON (ICIS)--UK-based pharmaceuticals company AstraZeneca on Thursday reported a 27% year-on-year fall in core net profit for the third quarter of 2013 to $1.52bn (€1.11bn) as a result of a loss of exclusivity for some of its key products.
Revenue for the quarter was down 6% year on year at $6.25bn, also attributed to exclusivity losses, while continued investment in the company’s core platforms further weighed on earnings per share, AstraZeneca added.
“As expected, our financial performance this year reflects the ongoing impact from the loss of exclusivity for several key brands,” said CEO Pascal Soriot.
The company’s product pipeline is likely to be strengthened in the future following the acceptance of regulatory filings for review of several compounds in the US and Europe, and the start of Phase III clinical programmes for several others, according to AstraZeneca.
Exclusivity losses and challenging market conditions have dogged the company for most of 2013, leaving its total net profit for the first nine months of the year down 26% at $4.78bn. The company is predicting a mid-to-high single digit decline in revenues on a constant currency basis for the year compared to 2012.
“With a revenue and cost profile in line with this guidance, the company continues to expect core EPS [earnings per share] to decline at a rate that is significantly higher than the decline in revenue in 2013,” AstraZeneca said.
AstraZeneca also announced the appointment of a new CFO, Marc Dunoyer, replacing outgoing CFO Simon Lowth. Dunoyer, who formerly served as vice president of global portfolio and product strategy at rival GlaxoSmithKline, will take up his new role from 1 November, the company said.
The company has also been dealing with shake-ups to its top-level management, with former CEO David Brennan and non-executive chairman Louis Schweitzer departing over the course of the last 18 months.
($1 = €0.73)
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