AstraZeneca, which pledged to offer its COVID-19 vaccine at no revenue at some stage in the pandemic, mentioned Thursday that losses within the first half of the 12 months on its vaccine shaved 4 cents off the pharmaceutical large’s earnings per share.
Gross sales of Vaxzevria, the corporate’s COVID-19 vaccine, generated $1.17 billion in income through the first six months of the 12 months, together with $894 million within the second quarter, based on AstraZeneca’s earnings report, launched on July 29.
However whereas these revenues narrowed AstraZeneca’s hit from providing the COVID-19 vaccine at no revenue, the corporate mentioned losses on Vaxzevria have been the principle issue that shaved seven share factors off its Reported Gross Revenue Margin, which fell to 73.5 % within the first half of the 12 months.
“The efficiency predominantly mirrored the numerous affect of the equitable provide, at no revenue to AstraZeneca, of the pandemic COVID-19 vaccine, along with an growing affect from profit-sharing preparations,” AstraZeneca mentioned within the report.
AstraZeneca mentioned losses on Vaxzevria shaved three cents off earnings per share within the first quarter, and one cent within the second quarter. According to a Wall Street Journal analysis, AstraZeneca misplaced $40 million on its COVID-19 vaccine within the first quarter, and $13 million within the second quarter.
The corporate reported a internet revenue within the second quarter of $550 million, lacking the Factset consensus forecast of $1.19 billion. AstraZeneca’s internet revenue within the second quarter of 2020 got here in at $756 million.
On the similar time, internet revenue within the first half of 2021 got here in at $2.1 billion, 42 % greater than $1.5 billion within the first half of final 12 months.
“AstraZeneca has delivered one other interval of sturdy development due to strong performances throughout all areas and illness areas,” mentioned AstraZeneca CEO Pascal Soriot, in a statement commenting on the outcomes.
On Thursday, AstraZeneca mentioned it intends to hunt U.S. approval for its COVID-19 vaccine later this 12 months. The Anglo-Swedish drugmaker mentioned the appliance has been delayed as a result of the corporate determined to ask the Meals and Drug Administration (FDA) for full regulatory approval, fairly than the fast-track emergency use authorization.
Among the many considerations AstraZeneca must deal with are reviews that the vaccine could also be linked to uncommon blood clots, which have brought about some international locations to restrict its use in youthful folks.
AstraZeneca has promoted its comparatively low-cost, easy-to-handle shot as a “vaccine for the world” and has already obtained authorization from greater than 170 international locations. The corporate mentioned it supplied about 90 % of the doses distributed by the COVAX facility for low- and middle-income international locations within the first half of the 12 months.
AstraZeneca is the second drugmaker to say it has delivered greater than 1 billion doses of COVID-19 vaccine globally, following Pfizer’s announcement on Wednesday.
The Related Press contributed to this report.