New AstraZeneca blockbuster drugs will drive record growth in next six years
As it celebrates 10 years in Cambridge, the company has set out its aim to deliver $80 billion in revenue and launch 20 new medicines by 2030.
CEO Pascal Soriot heaved a truck load of icing on this particular cake by revealing that many of the proposed new medicines had the potential to generate more than $5 billion in peak year revenues.
The UK share price rose 130p a share to 12,226p – fairly modest for a company whose market cap tops £189bn but nevertheless welcome for a beleaguered London Stock Exchange, of which AZ remains the darling.
Soriot said AZ expected to mine significant growth from its existing oncology, biopharmaceuticals and rare disease portfolios. He said the company was investing in disruptive innovation that will shape the future of medicine as well as driving the company’s long-term growth.
AstraZeneca is also decoupling carbon emissions from revenue growth in the process.
To drive sustained growth beyond 2030, the company says it will continue investing in transformative new technologies and platforms that will shape the future of medicine.
AstraZeneca, a key sponsor in the annual Business Weekly Awards, has pledged to maintain its strategic commitment to R & D while focusing on productivity throughout the company, driving operating leverage and enabling the delivery of its ambition for a mid-30s percentage core operating margin by 2026.
Beyond 2026, core operating margin will be influenced by portfolio evolution and the company will target at least the mid-30s percentage range.
Soriot said: “AstraZeneca announces a new era of growth. In 2023 we delivered the ambitious $45bn revenue goal set a decade ago. With the exciting growth of our innovative pipeline, which has the potential to transform millions of lives, we are now aiming for $80bn by 2030.
“We are planning to launch 20 new medicines by 2030, many with the potential to generate more than $5bn in peak year revenues. The breadth of our portfolio together with continued investment in innovation supports sustained growth well past the end of the decade.”
As AstraZeneca continues to grow across all therapy areas, it will continue to decouple its carbon emissions from its increase in revenue. The company has already reduced its greenhouse gas emissions by 68 per cent from its 2015 baseline while growing total revenue by 85 per cent over the same period.
By 2026 the Company will be carbon zero for Scope 1 and 2 emissions and by 2030 halve its Scope 3 emissions, on the way to science-based net zero by 2045 at the latest.
