AstraZeneca reports strong FY 2024 results with robust revenue growth driven by oncology and biopharmaceuticals

AstraZeneca‘s financial performance for fiscal year 2024 reflects impressive growth, with the pharmaceutical giant reporting a 21% surge in total revenue, reaching $54.1 billion. This growth was underpinned by the strong performance of its oncology and biopharmaceutical portfolios, alongside a strategic focus on expanding its rare disease treatments. Core earnings per share (EPS) climbed 19% to $8.21, reflecting solid operational execution, robust product demand, and strategic investments across key therapeutic areas.

What drove AstraZeneca’s revenue growth in FY 2024?

The key driver of AstraZeneca’s revenue growth in 2024 was the strong sales performance across its oncology, cardiovascular, renal, metabolic (CVRM), and rare disease segments. Product sales grew by 19%, reaching $50.9 billion, while alliance and collaboration revenues saw exceptional increases of 55% and 54% respectively, underscoring the success of partnerships, including those with Daiichi Sankyo and Amgen.

Oncology remained the cornerstone of AstraZeneca’s growth, contributing 41% to total revenue. The company’s oncology portfolio grew by 24% year-on-year, fuelled by blockbuster drugs such as Tagrisso, Imfinzi, Calquence, and Enhertu. Tagrisso alone generated $6.6 billion in revenue, marking a 16% increase at constant exchange rates (CER), while Enhertu’s sales soared by 54% to nearly $2 billion, reflecting strong demand in breast cancer treatments.

How did key therapies contribute to AstraZeneca’s strong financial results?

AstraZeneca’s oncology segment delivered exceptional growth in 2024, driven by the strong uptake of therapies across multiple indications. Oncology sales performance remained a key revenue driver, with Imfinzi generating $4.7 billion in revenue, reflecting an 18% growth rate. Calquence achieved a 20% increase in sales, securing its position as a leading treatment for chronic lymphocytic leukaemia (CLL).

Enhertu’s performance was particularly notable, with revenues nearly doubling due to strong global demand in HER2-positive and HER2-low metastatic breast cancer treatments. The success of clinical trials such as DESTINY-Breast03 and DESTINY-Breast06 has bolstered Enhertu’s adoption, with AstraZeneca benefitting from its collaboration with Daiichi Sankyo.

The biopharmaceuticals division also delivered strong results, with revenue climbing 21% to $21.9 billion. Farxiga led the CVRM portfolio, posting a 31% revenue increase, driven by its expanding role in treating heart failure and chronic kidney disease. In the respiratory and immunology segment, Tezspire and Saphnelo experienced rapid growth, with Tezspire’s sales nearly doubling due to expanded market access and strong demand.

AstraZeneca’s rare disease business, managed through its Alexion subsidiary, contributed $8.8 billion in revenue, up 16% from the previous year. Growth was driven by the strong performance of Ultomiris, which saw a 33% revenue increase, reflecting robust demand for its neurology indications.

What regions contributed to AstraZeneca’s global revenue growth?

Geographically, AstraZeneca experienced broad-based growth, with the United States accounting for 43% of total revenue, increasing 22% year-on-year. Europe followed closely with a 27% growth rate, supported by strong oncology and biopharmaceutical sales. Emerging markets delivered solid growth, with revenues up 22% outside of China. However, sales in China faced challenges due to regulatory scrutiny and hospital budget constraints, resulting in modest growth of 11%.

Despite these challenges, AstraZeneca’s strategic focus on emerging markets continues to yield results. The company’s sustained presence in these regions provides a competitive advantage, particularly as healthcare access and expenditure improve across key markets.

What is AstraZeneca’s financial outlook for 2025?

Looking ahead, AstraZeneca anticipates continued growth in 2025. The company projects total revenue to rise by a high single-digit percentage, with core EPS expected to increase by a low double-digit percentage at CER. This growth outlook is supported by a strong product pipeline, with several Phase III data readouts and regulatory approvals anticipated in the coming year.

Pascal Soriot, AstraZeneca’s Chief Executive Officer, expressed optimism about the company’s future: “This year marks the beginning of an unprecedented, catalyst-rich period for our company, an important step on our Ambition 2030 journey to deliver $80 billion in total revenue by the end of the decade.” Soriot highlighted the company’s investment in transformative technologies and its focus on expanding its portfolio beyond 2030.

AstraZeneca also plans to increase its annual dividend by 3% to $3.20 per share, reflecting confidence in its long-term growth prospects. Additionally, capital expenditures are expected to rise by approximately 50%, driven by manufacturing expansion projects and investments in IT systems to support future growth.

How is AstraZeneca navigating regulatory challenges in China?

Despite its strong global performance, AstraZeneca faces regulatory challenges in China. In January 2025, the company received a Notice of Transfer to the Prosecutor and an Appraisal Opinion from the Shenzhen City Customs Office concerning alleged unpaid importation taxes of approximately $0.9 million related to its oncology products Imfinzi and Imjudo. If found liable, AstraZeneca could face fines ranging from one to five times the unpaid tax amount.

The company has stated that it is fully cooperating with Chinese authorities as the investigation continues. While this development has introduced some uncertainty in the region, AstraZeneca remains committed to maintaining its growth trajectory in China and across other emerging markets.