Cuts lift AstraZeneca’s figures
SHARES in the pharmaceutical group AstraZeneca rose sharply today after the business unveiled strong third quarter growth.
Pre-tax profit rose 29% to $2.4bn (£1.4bn) after the group cut costs and expanded product sales outside the US. Turnover rose 9% to $7.7bn (£4.7bn). Earnings per share in the quarter were $1.20 (73p), up 33% on last year.
The business, which has a research facility at Alderley Edge and a manufacturing site in Macclesfield, announced swingeing global job cuts last year as it reacted to the impact of cheaper, generic drugs on the market.
Macclesfield was to lose 700 jobs – a third of the workforce – over three years. But the cuts have contributed to strong results for the Anglo-Swedish multi-national.
The UK’s second largest drugmaker said it was increasing sales of products including the anti-cholesterol drug Crestor outside the US. It is also trying to widen the use of the anti-psychotic Seroquel.
Chief executive, David Brennan, said: “AstraZeneca has delivered a robust set of results that deliver on our performance commitments despite an increasingly challenging environment for the pharmaceutical sector and business in general.
“We continue to make good progress on reshaping our cost base, including advancing innovation in our research and development activities with greater productivity and efficiency. I am pleased to be able to raise our financial guidance for the full year on the back of these results.”
Shares were up 135p, or 5.5%, at £25.58 by mid-afternoon.
