TQC-3721

CAMBRIDGE, England--(BUSINESS WIRE)--AstraZeneca: Revenue and EPS summary H1 2026 % Change Q2 2026 % Change $m Actual CER1 $m Actual CER - Product Sales 28,896 8 5 14,510 5 4 - Alliance Revenue 1,699 31 29 874 34 33 Product Revenue 30,595 9 6 15,384 6 5 Collaboration Revenue 77 (6) (9) - n/m n/m Total Revenue 30,672 9 6 15,384 6 5 Reported EPS ($) 3.60 4 3 1.61 2 (2) Core2 EPS ($) 5.21 12 11 2.63 21 18 Key performance elements for H1 2026 (Growth numbers at constant exchange rates) Total Revenue up 6%, with double-digit growth in Oncology and Rare Disease offsetting headwinds from Farxiga US loss of exclusivity and China volume-based procurement Core Operating profit and Core EPS increased 11% Interim dividend increased 3 cents to $1.06 per share (79.5 pence, 10.32 SEK) 30 approvals in major regions since Q4 2025 results Pascal Soriot, Chief Executive Officer, AstraZeneca, said: "In the first half we saw strong performance and continued pipeline delivery, including six key positive Phase III programmes and eight first approvals in major markets, including in the US for Baxfendy, our first-in-class medicine for hypertension. While we are disappointed by the CARDIO-TTRansform outcome, we are on track to deliver our $80bn Total Revenue ambition, which assumes successes and setbacks. We remain confident in the strength of our pipeline and have more than twenty high-value readouts due over the next 18 months. We continue to invest at pace in our transformative technologies, and in our commercial execution to bring our innovative medicines to patients around the globe and drive growth beyond 2030." Guidance AstraZeneca reconfirms Total Revenue and Core EPS guidance3 for FY 2026 at CER, based on the average foreign exchange rates through 2025. Total Revenue is expected to increase by a mid-to-high single-digit percentage Core EPS is expected to increase by a low double-digit percentage The Core Tax rate is expected to be between 18-22% If foreign exchange rates for July 2026 to December 2026 were to remain at the average rates seen in June 2026, it is anticipated that Total Revenue in FY 2026 would benefit from a low single-digit percentage positive impact (unchanged) compared to the performance at CER, and Core EPS growth would be broadly similar (unchanged) to the growth at CER. Results highlights Table 1: Milestones achieved since the prior results announcement Phase III and other registrational data readouts Medicine Trial Indication Event Imfinzi VOLGA MIBC not candidates for cisplatin Primary endpoint met Imfinzi EMERALD-2 Adjuvant HCC Primary endpoint not met Imfinzi NILE 1L bladder cancer Primary endpoint met sone-ve CLARITY-Gastric01 2L+ Cldn18.2+ gastric/GEJ cancer Primary endpoint met Wainua CARDIO-TTRansform ATTR-CM Primary endpoint not met Ultomiris TMA-313 HSCT-TMA (adults) Primary endpoint not met Ultomiris ALXN1210-MG-319 gMG (paediatric) Primary endpoint met Regulatory approvals Medicine Trial Indication Region Calquence AMPLIFY 1L CLL (fixed duration) JP Datroway TROPION-Breast02 1L TNBC for patients where immunotherapy is not an option US Enhertu DESTINY-Breast05 High-risk HER2+ early breast cancer (post-neoadjuvant) US Enhertu DESTINY-Breast11 Neoadjuvant HER2+ Stage II or III breast cancer US Enhertu DESTINY-PanTumor02 / DESTINY-Lung01 / DESTINY-CRC02 HER2-positive solid tumours EU Etcamah (camizestrant) SERENA-6 ESR1m HR+ HER2- 1L locally advanced or metastatic breast cancer EU, JP Imfinzi POTOMAC NMIBC US Imfinzi MATTERHORN Resectable gastric/GEJ cancer JP Orphathys NCT04923932 3L+ MET+ gastric/GEJ cancer CN Truqap CAPItello-281 PTEN-deficient mHSPC US Baxfendy BaxHTN Hypertension US Fasenra NATRON Hypereosinophilic syndrome US, EU, JP, CN Regulatory submissions or acceptances* in major regions Medicine Trial Indication Region Baxfendy BaxHTN / Bax24 / BaxAsia Hypertension JP tozorakimab OBERON / TITANIA / MIRANDA / PROSPERO COPD EU, CN Ultomiris I CAN IgAN US, JP efzimfotase alfa MULBERRY / CHESTNUT / HICKORY HPP JP * US, EU and China regulatory entries in this table denote filing acceptance Other pipeline updates For recent trial starts and anticipated timings of key trial readouts, please refer to the Clinical Trials Appendix document in the financial results section of the AstraZeneca investor relations website: www.astrazeneca.com/investor-relations.html Table 2: Key elements of financial performance: Q2 2026 For the quarter Reported Change Core Change ended 30 June $m Act CER $m Act CER Product Revenue 15,384 6 5 15,384 6 5 * See Tables 3, 7, 23, 24 and 25 for further details of Product Revenue, Product Sales and Alliance Revenue Collaboration Revenue - n/m n/m - n/m n/m * See Tables 4 and 26 for further details of Collaboration Revenue Total Revenue 15,384 6 5 15,384 6 5 * See Tables 5 and 6 for Total Revenue by Therapy Area and by region Gross Margin (%) 84 +1pp - 84 +1pp +1pp + Variations in Gross Margin can be expected between periods due to various factors, including fluctuations in foreign exchange rates, product seasonality and Collaboration Revenue − Pricing headwinds, including those driven by loss of exclusivity and VBP in China R&D expense 4,053 14 13 3,662 6 5 * Core R&D: 24% of Total Revenue + Increasing number of trials, and patients in those trials + Investments in transformative technologies + Addition of R&D projects from business development + Positive data readouts for high value pipeline opportunities that have ungated large late-stage trials SG&A expense 5,651 16 14 4,050 7 4 * Core SG&A: 26% of Total Revenue + Investment to support ongoing and future launches Other operating income and expense4 152 92 93 152 >2x >2x + Various partner milestones Operating profit 3,164 (10) (13) 5,158 12 10 Operating Margin (%) 21 -4pp -4pp 34 +2pp +2pp Net finance expense 355 (4) (8) 340 13 8 + Lower interest income on short-term deposits − Reported Net finance expense benefitted from a lower discount unwind on contingent consideration liabilities Tax rate (%) 10 -11pp -11pp 15 -6pp -6pp − Benefit from adjustments to deferred tax assets, as a result of certain internal legal entity changes. * Variations in the tax rate can be expected between periods EPS ($) 1.61 2 (2) 2.63 21 18 For dollar values in this table, the unit of change is percent. For Gross Margin, Operating Margin and Tax rate, the unit of change is percentage points (pp). In the table above, R&D expense, SG&A expense and Net finance expense are displayed as positive numbers. The plus and minus symbols next to comments denote the directional impact of the item being discussed. For example, a plus symbol next to a comment about an R&D item indicates that the item increased R&D expenditure relative to the prior year period. Corporate and business development Dizal Pharmaceutical Co In July 2026, AstraZeneca entered into an exclusive license agreement with Dizal Pharmaceutical Co (Dizal), Ltd for Zegfrovy (sunvozertinib), a novel oral irreversible EGFR inhibitor for patients with lung cancer. AstraZeneca will acquire worldwide rights to develop and commercialise Zegfrovy, which is approved in the US and China for the treatment of adult patients with locally advanced or metastatic NSCLC with EGFR exon 20 insertion mutations, whose disease has progressed on or after platinum-based chemotherapy. AstraZeneca will make an upfront payment to Dizal of $600m and additional payments of up to $900m upon achievement of specific development, regulatory and sales-related milestones. Additionally, Dizal will receive tiered royalties on the global sales of Zegfrovy. The transaction is expected to close in the second half of 2026, subject to customary closing conditions and regulatory clearances. Sino Biopharmaceutical In July 2026, AstraZeneca and Chia Tai Tianqing Pharmaceutical Group Co., Ltd. (CTTQ), a subsidiary of Sino Biopharmaceutical Limited, entered into an exclusive licence agreement for the development, manufacturing and commercialisation of CTTQ's PDE3/4 inhibitor, TQC3721, which is being developed for respiratory indications. Sino Biopharmaceutical Limited is eligible to receive an upfront payment of $200m, with additional development, regulatory and sales milestones up to $1.9bn, as well as tiered royalties ranging up to double-digit percentages based on the annual net sales of TQC3721 products. The agreement is subject to customary closing conditions, including regulatory clearances. Sustainability highlights In July 2026, AstraZeneca hosted a call for investors to discuss the latest developments in its Sustainability strategy. A replay of the call is available on astrazeneca.com. Reporting calendar The Company intends to publish its 9M and Q3 2026 results on 30 October 2026. Conference call A conference call and webcast for investors and analysts will begin today, 27 July 2026, at 11:45 UK time. Details can be accessed via astrazeneca.com. Notes Constant exchange rates. The differences between Actual Change and CER Change are due to foreign exchange movements between periods in 2026 vs. 2025. CER financial measures are not accounted for according to generally accepted accounting principles (GAAP) because they remove the effects of currency movements from Reported results. Core financial measures are adjusted to exclude certain items. The differences between Reported and Core measures are primarily due to costs relating to the amortisation of intangibles, impairments, legal settlements and restructuring charges. A full reconciliation between Reported EPS and Core EPS is provided in Tables 10 and 11 in the Financial Performance section of this document. The Company is unable to provide guidance on a Reported basis because it cannot reliably forecast material elements of the Reported results, including any fair value adjustments arising on acquisition-related liabilities, intangible asset impairment charges and legal settlement provisions. Please refer to the Cautionary statements section regarding forward-looking statements at the end of this announcement. Income from disposals of assets and businesses, where the Group does not retain a significant ongoing economic interest, is recorded in Other operating income and expense in the Group's financial statements. To read AstraZeneca's H1 & Q2 2026 Financial Results press release in full, read here .