AstraZeneca profit rises 23% on cancer drug sales as it unveils major savings plan

AstraZeneca, Britain’s biggest pharmaceutical company, reported a 23% jump in profit after tax for the July-September period, reaching $3.12 billion (€2.79bn). The sharp acceleration from just over 2% growth in the previous quarter was driven largely by strong sales of its cancer treatments. Oncology, the company’s largest business, accounted for 48% of total revenue. Sales in this segment grew 17% to $7.8 billion (€6.99bn), led by the lung cancer drug Tagrisso and the immunotherapy Imfinzi. Core earnings per share rose 17% to $2.79, excluding restructuring costs and amortisation of acquired drugs.

Major savings plan to reinvest in pipeline

The company also announced a plan called “Reshaping for Sustainable Growth” to generate $1.5 billion (€1.34bn) in annual savings. The savings will be reinvested mainly in drugs in development, with one-off restructuring charges of up to $2 billion (€1.79bn) expected, largely complete by the end of 2029. AstraZeneca plans to “redeploy resources” across its existing business, supporting more than 180 projects in development.

CEO Pascal Soriot said: “With multiple potential blockbuster assets in late-stage development and transformative technologies scaling rapidly, we are on track to deliver our 2030 ambition.” While restructuring could lead to job cuts, none have been announced. The company confirmed its 2026 outlook, expecting mid-to-high single-digit revenue growth and low double-digit core EPS growth, excluding currency swings.

Sales of Farxiga, a treatment for diabetes, heart and kidney disease, fell 25% to $1.6 billion (€1.43bn) after cheaper generics entered the US market. The blood thinner Brilinta also lost patent protection. AstraZeneca faces volume-based procurement in China, where a state bulk-buying scheme forces drugmakers to cut prices for large orders. Shares rose over 4.5% in early trading Friday.