Core Insights - AstraZeneca's third-quarter 2025 core earnings reached $1.19 per American depositary share (ADS), surpassing the Zacks Consensus Estimate of $1.14 per share, with core earnings of $2.38 per share reflecting a 14% year-over-year increase on a reported basis and a 12% increase at constant exchange rates (CER) [1][2] - Total revenues amounted to $15.19 billion, a 12% increase on a reported basis and a 10% increase at CER, driven by higher product sales and alliance revenues, exceeding the Zacks Consensus Estimate of $14.87 billion [1][2] Product Sales & Alliance Revenues - Product sales increased by 9% to $14.37 billion, supported by strong demand trends across all therapy areas and major geographic regions [3] - Alliance revenues, which include royalties and profit share from partnered medicines, rose 44% to $815 million, driven by continued revenue growth from partnered medicines [3] Key Drug Performance - Tagrisso generated revenues of $1.86 billion, up 10% year over year, benefiting from strong demand across all indications and regions, surpassing the Zacks Consensus Estimate of $1.85 billion [5] - Lynparza's total revenues rose 5% to $837 million, although it missed the Zacks Consensus Estimate of $850 million due to market challenges [6] - Imfinzi sales reached $1.60 billion, a 31% increase, driven by strong growth in bladder and lung cancer indications, exceeding the Zacks Consensus Estimate of $1.53 billion [7] - Farxiga recorded product sales of $2.14 billion, up 8%, driven by demand growth in chronic kidney disease and heart failure, beating the Zacks Consensus Estimate of $2.0 billion [8] - Symbicort sales rose 4% to $742 million, benefiting from demand for an authorized generic, surpassing the Zacks Consensus Estimate of $707 million [9][10] - Fasenra achieved sales of $530 million, up 20% year over year, driven by strong demand and market share gains, exceeding the Zacks Consensus Estimate of $498 million [10] Financial Overview - Core selling, general and administrative expenses increased by 4% at CER to $3.82 billion, while core research and development expenses rose 14% to $3.55 billion [12] - Core operating profit increased by 13% to $4.99 billion, with a core operating margin of 33%, up 1 percentage point year over year at CER [12] Future Guidance - AstraZeneca maintained its financial guidance for 2025, expecting total revenues to grow by a high single-digit percentage at CER and core EPS to increase by a low double-digit percentage [13][16] - The company aims to achieve $80 billion in total revenues by 2030, with plans to launch 20 new medicines, anticipating that many will generate over $5 billion in peak-year revenues [17] Strategic Developments - AstraZeneca signed a drug pricing agreement with the Trump administration, committing to cut prescription drug prices and invest $50 billion over the next five years to enhance its U.S. research and production footprint [18] - The company is on track to achieve a mid-30s percentage core operating margin by 2026 [18]

The pharma giant just eliminated two big risks.The biggest risks facing pharmaceutical companies in recent times haven't had to do with clinical trials or winning regulatory approval. Instead, investors have worried about President Donald Trump's intention to lower drug prices and slap a tariff on pharma imports. These two efforts could weigh significantly on these companies' earnings -- and uncertainty about when and how they would be rolled out prompted investors to think twice about buying shares of drug ...