REG - AstraZeneca PLC - AstraZeneca Full-Year and Q4 2015 Results <Origin Href="QuoteRef">AZN.L</Origin> - Part 3
04/02/2016 07:10
- Part 3: For the preceding part double click ID:nRSD0427Ob
ovarian cancer II Q4 2012
AZD2014 mTOR serine/ threonine kinase inhibitor solid tumours II Q1 2013
AZD3759 BLOOM EGFR tyrosine kinase inhibitor brain metastases in advanced EGFRm NSCLC II Q4 2015
Tagrisso (AZD9291)BLOOM EGFR tyrosine kinase inhibitor
AZD4547 FGFR tyrosine kinase inhibitor solid tumours II Q4 2011
AZD5069+durvalumab# CXCR2 + PD-L1 mAb SCCHN II Q3 2015
AZD9150#+durvalumab# STAT3 inhibitor + PD-L1 mAb
AZD5363# AKT kinase inhibitor breast cancer II Q1 2014
durvalumab# PD-L1 mAb solid tumours II Q3 2014
durvalumab# + tremelimumab PD-L1 mAb + CTLA-4 mAb gastric cancer II Q2 2015
MEDI-551# CD19 mAb diffuse B-cell lymphoma II Q1 2012
MEDI-573# IGF mAb metastatic breast cancer II Q2 2012
savolitinib/volitinib# MET tyrosine kinase inhibitor papillary renal cell carcinoma II Q2 2014
selumetinib# MEK inhibitor 2nd-line KRAS wt NSCLC II Q1 2013
AZD0156 ATM serine/threonine kinase inhibitor solid tumours I Q4 2015
AZD2811 Aurora B kinase inhibitor solid tumours I Q4 2015
AZD5312# androgen receptor inhibitor solid tumours I Q2 2014
AZD6738 ATR serine/threonine kinase inhibitor solid tumours I Q4 2013
AZD8186 PI3 kinase beta inhibitor solid tumours I Q2 2013
AZD8835 PI3 kinase alpha inhibitor solid tumours I Q4 2014
AZD9150# STAT3 inhibitor haematological malignancies I Q1 2012
Tagrisso (AZD9291) + (durvalumab# or selumetinib# or savolitinib#)TATTON EGFR tyrosine kinase inhibitor + (PD-L1 mAb or MEK inhibitor or MET tyrosine kinase inhibitor) advanced EGFRm NSCLC I Q3 2014
AZD9496 selective oestrogen receptor downregulator (SERD) ER+ breast cancer I Q4 2014
durvalumab# PD-L1 mAb solid tumours I Q3 2014
durvalumab# + MEDI0680 PD-L1 mAb + PD-1 mAb solid tumours I Q2 2014
durvalumab# + MEDI6383# OX40 agonist + PD-L1 mAb solid tumours I Q2 2015
durvalumab# + dabrafenib + trametinib2 PD-L1 mAb+ BRAF inhibitor + MEK inhibitor melanoma I Q1 2014
durvalumab# + tremelimumab PD-L1 mAb + CTLA-4 mAb solid tumours I Q4 2013
Iressa + durvalumab# PD-L1 mAb+ EGFR tyrosine kinase inhibitor NSCLC I Q2 2014
MEDI0562# humanised OX40 agonist solid tumours I Q1 2015
MEDI-551# + rituximab CD19 mAb + CD20 mAb haematological malignancies I Q2 2014
MEDI-565# CEA BiTE mAb solid tumours I Q1 2011
MEDI0639# DLL-4 mAb solid tumours I Q2 2012
MEDI0680 PD-1 mAb solid tumours I Q4 2013
MEDI1873 GITR agonist fusion protein solid tumours I Q4 2015
MEDI3617# ANG-2 mAb solid tumours I Q4 2010
MEDI4276 HER2 bispecific ADC mAb solid tumours I Q4 2015
MEDI6383# OX40 agonist solid tumours I Q3 2014
MEDI9197# TLR 7/8 agonist solid tumours I Q4 2015
MEDI9447 CD73 mAb solid tumours I Q3 2015
Infection, Neuroscience and Gastrointestinal
AZD3241 myeloperoxidase inhibitor multiple system atrophy II Q2 2015(Orphan Drug)
AZD3293# beta-secretase inhibitor Alzheimer's disease II Q4 2014
CXL# beta lactamase inhibitor / cephalosporin methicillin-resistant S. aureus II Q4 2010
MEDI7510 RSV sF+GLA-SE prevention of RSV disease in older adults II Q3 2015
MEDI8852 influenza A mAb influenza A treatment II Q4 2015
MEDI8897# RSV mAb-YTE passive RSV prophylaxis II Q1 2015 (FDA Fast Track)
MEDI4893 mAb binding to S. aureus toxin hospital-acquired pneumonia / serious S. aureus infection II Q4 2014 (FDA Fast Track)
ATM AVI# monobactam/ beta lactamase inhibitor targeted serious bacterial infections I Q4 2012
AZD8108 NMDA antagonist suicidal ideation I Q4 2014
MEDI1814 amyloid beta mAb Alzheimer's disease I Q2 2014
MEDI3902 anti-Psl/PcrV prevention of nosocomial pseudomonas pneumonia I Q3 2014 (FDA Fast Track)
Q2 2014
MEDI3902
anti-Psl/PcrV
prevention of nosocomial pseudomonas pneumonia
I
Q3 2014 (FDA Fast Track)
1 Neuromyelitis optica: Now lead indication. Multiple sclerosis trial completed in 2015.
2 MedImmune-sponsored trial in collaboration with Novartis AG.
Significant Life-Cycle Management
Respiratory, Inflammation and Autoimmunity
Duaklir Genuair# LAMA/LABA COPD 2018 Launched 2018 2018
SymbicortSYGMA ICS/LABA as-needed use in mild asthma Q4 2014 N/A 2018 2019
Symbicort ICS/LABA breath actuated Inhaler asthma/COPD 2018
Cardiovascular and Metabolic Diseases
Brilinta/Brilique1 EUCLID P2Y12 receptor antagonist outcomes trial in patients with peripheral artery disease Q4 2012 2017 2017 2017 2018
Brilinta/Brilique1 HESTIA P2Y12 receptor antagonist prevention of vaso-occlusive crises in paediatric patients with sickle cell disease Q4 2014 2020 2020
Brilinta/Brilique1 P2Y12 receptor antagonist outcomes trial in patients with prior myocardial infarction Q4 2010 Launched(Priority Review) Accepted2 Accepted H2 2016
PEGASUS-
TIMI 54
Brilinta/Brilique1 SOCRATES P2Y12 receptor antagonist outcomes trial in patients with stroke or TIA Q1 2014 H1 2016 H1 2016 H2 2016 2017
Brilinta/Brilique1 THEMIS P2Y12 receptor antagonist outcomes trial in patients with type-2 diabetes and CAD, but without a previous history of MI or stroke Q1 2014 2018 2018 2018 2019
Bydureon EXSCEL GLP-1 receptor agonist type-2 diabetes outcomes trial Q2 2010 2018 2018 2018
Bydureon weekly GLP-1 receptor agonist type-2 diabetes Q1 2013 2017 2017
suspension
EpanovaSTRENGTH omega-3 carboxylic acids outcomes trial in statin-treated patients at high CV risk, with persistent hypertriglyceridemia plus low HDL-cholesterol Q4 2014 2020 2020 2020 2020
Epanova/Farxiga/Forxiga3 omega-3 carboxylic acids/ SGLT2 inhibitor non-alcoholic fatty liver disease/non-alcoholic steatohepatitis (NASH) Q1 2015
Farxiga/Forxiga3 SGLT2 inhibitor type-2 diabetes outcomes trial Q2 2013 2020 2020
DECLARE-
TIMI 58
Farxiga/Forxiga3 SGLT2 inhibitor type-1 diabetes Q4 2014 2018 2017 2018
Kombiglyze XR/Komboglyze4 DPP-4 inhibitor/ metformin FDC type-2 diabetes Launched Launched Submitted
Onglyza SAVOR-TIMI 53 DPP-4 inhibitor type-2 diabetes outcomes trial Q2 2010 Accepted Launched H2 20165
saxagliptin/dapagliflozin FDC DPP-4 inhibitor/ SGLT2 inhibitor FDC type-2 diabetes Q2 2012 Accepted6 Accepted
Xigduo XR/Xigduo7 SGLT2 inhibitor/ metformin FDC type-2 diabetes Launched Launched
Oncology
FaslodexFALCON oestrogen receptor antagonist 1st-line hormone receptor +ve advanced breast cancer Q4 2012 H2 2016 H2 2016 H2 2016 2020
Lynparza (olaparib) SOLO-1 PARP inhibitor 1st-line BRCAm ovarian cancer Q3 2013 2017 2017 2017
Lynparza (olaparib) SOLO-2 PARP inhibitor 2nd-line or greater BRCAm PSR ovarian cancer, maintenance monotherapy Q3 2013 H2 2016 2017 2017
Lynparza (olaparib) SOLO-3 PARP inhibitor gBRCA PSR ovarian cancer Q1 2015 2018
Lynparza (olaparib) GOLD PARP inhibitor 2nd-line gastric cancer Q3 2013 2017
Lynparza (olaparib) OlympiA PARP inhibitor gBRCA adjuvant breast cancer Q2 2014 2020 2020 2020
Lynparza (olaparib) OlympiAD PARP inhibitor gBRCA metastatic breast cancer Q2 2014 H2 2016 2017 2017
Lynparza (olaparib) POLO PARP inhibitor pancreatic cancer Q1 2015 2018 2018 2018
Lynparza (olaparib) PARP inhibitor prostate cancer Q3 2014 (Breakthrough Therapy Designation)8
Tagrisso (AZD9291)ADAURA EGFR tyrosine kinase inhibitor adjuvant EGFRm NSCLC Q4 2015 2022 2022
Tagrisso (AZD9291)FLAURA EGFR tyrosine kinase inhibitor 1st-line advanced EGFRm NSCLC Q1 2015 2017 2017 2017 2020
Tagrisso (AZD9291) +dur-valumab#CAURAL9 EGFR tyrosine kinase inhibitor + PD-L1 mAb ≥2nd-line advanced EGFRm T790M NSCLC Q3 2015
Infection, Neuroscience and Gastrointestinal
Diprivan# sedative and anaesthetic conscious sedation N/A Launched Accepted Launched
linaclotide# GC-C receptor peptide agonist irritable bowel syndrome with constipation N/A N/A N/A Accepted10
(IBS-C)
Nexium proton pump inhibitor stress ulcer prophylaxis H2 2016
Nexium proton pump inhibitor paediatrics Launched Launched H2 2016 Accepted
paediatrics
Launched
Launched
H2 2016
Accepted
1 Brilinta in the US; Brilique in rest of world.
2 CHMP Positive Opinion received December 2015.
3 Farxiga in the US; Forxiga in rest of world.
4 Kombiglyze XR in the US; Komboglyze in the EU.
5 Timing of China submission dependent on US regulatory approval.
6 Complete Response Letter received October 2015.
7 Xigduo XR in the US; Xigduo in the EU.
8 Breakthrough Therapy designation granted for prostate cancer patients with BRCA1/2 or ATM gene mutated mCRPC who have
received previous taxane-based chemotherapy and one newer hormonal agent (abiraterone or enzalutamide).
9 Temporarily closed to enrolment.
10 Submission accepted January 2016.
Terminations (discontinued projects between 1 October and 31 December 2015)
NME / Line Extension Compound Reason for Discontinuation Area Under Investigation
NME AZD5847 Safety / efficacy tuberculosis
NME AZD9977 Safety / efficacy diabetic kidney disease
NME durvalumab# Strategic 3rd-line NSCLC (PD-L1 positive)
ATLANTIC
LCM durvalumab# after Tagrisso (AZD9291) or Iressa or selumetinib# +docetaxel or tremelimumab Strategic NSCLC
LCM tralokinumab Safety / efficacy idiopathic pulmonary fibrosis
Completed Projects / Divestitures
Compound Mechanism Area Under Investigation Completed/Divested Estimated Regulatory Submission Acceptance†
US EU Japan China
AZD49011 NK3 receptor antagonist polycystic ovarian syndrome Divested in Phase II
1 Divested to Millendo Therapeutics, Inc. Agreement announced January 2016.
Condensed Consolidated Statement of Comprehensive Income
Product sales 23,641 26,095
Externalisation revenue 1,067 452
Total revenue 24,708 26,547
Cost of sales (4,646) (5,842)
Gross profit 20,062 20,705
Distribution costs (339) (324)
Research and development expense (5,997) (5,579)
Selling, general and administrative costs (11,112) (13,000)
Other operating income and expense 1,500 335
Operating profit 4,114 2,137
Finance income 46 78
Finance expense (1,075) (963)
Share of after tax losses in joint ventures (16) (6)
Profit before tax 3,069 1,246
Taxation (243) (11)
Profit for the period 2,826 1,235
Other comprehensive income
Items that will not be reclassified to profit or loss
Remeasurement of the defined benefit pension liability 652 (766)
Tax on items that will not be reclassified to profit or loss (199) 216
453 (550)
Items that may be reclassified subsequently to profit or loss
Foreign exchange arising on consolidation (528) (823)
Foreign exchange arising on designating borrowings in net investment hedges (333) (529)
Fair value movements on derivatives designated in net investment hedges 14 100
Amortisation of loss on cash flow hedge 1 1
Net available for sale (losses)/gains taken to equity (32) 245
Tax on items that may be reclassified subsequently to profit or loss 87 50
(791) (956)
Other comprehensive income for the period, net of tax (338) (1,506)
Total comprehensive income for the period 2,488 (271)
Profit attributable to:
Owners of the Parent 2,825 1,233
Non-controlling interests 1 2
2,826 1,235
Total comprehensive income attributable to:
Owners of the Parent 2,488 (266)
Non-controlling interests - (5)
2,488 (271)
Basic earnings per $0.25 Ordinary Share $2.23 $0.98
Diluted earnings per $0.25 Ordinary Share $2.23 $0.98
Weighted average number of Ordinary Shares in issue (millions) 1,264 1,262
Diluted weighted average number of Ordinary Shares in issue (millions) 1,265 1,264
* 2014 comparatives restated for reclassification of Externalisation revenue (see Note 1)
Basic earnings per $0.25 Ordinary Share
$2.23
$0.98
Diluted earnings per $0.25 Ordinary Share
$2.23
$0.98
Weighted average number of Ordinary Shares in issue (millions)
1,264
1,262
Diluted weighted average number of Ordinary Shares in issue (millions)
1,265
1,264
* 2014 comparatives restated for reclassification of Externalisation revenue (see Note 1)
Condensed Consolidated Statement of Comprehensive Income
Product sales 6,207 6,683
Externalisation revenue 192 33
Total revenue 6,399 6,716
Cost of sales (1,269) (1,667)
Gross profit 5,130 5,049
Distribution costs (99) (88)
Research and development expense (1,746) (1,499)
Selling, general and administrative costs (2,668) (4,084)
Other operating income and expense 471 273
Operating profit 1,088 (349)
Finance income 13 33
Finance expense (292) (260)
Share of after tax losses of joint ventures (7) (4)
Profit before tax 802 (580)
Taxation 6 259
Profit for the period 808 (321)
Other comprehensive income
Items that will not be reclassified to profit or loss
Remeasurement of the defined benefit pension liability 618 (268)
Tax on items that will not be reclassified to profit or loss (187) 89
431 (179)
Items that may be reclassified subsequently to profit or loss
Foreign exchange arising on consolidation (169) (411)
Foreign exchange arising on designating borrowings in net investment hedges (11) (237)
Fair value movements on derivatives designated in net investment hedges (10) 64
Net available for sale gains taken to equity 31 172
Tax on items that may be reclassified subsequently to profit or loss 3 20
(156) (392)
Other comprehensive income for the period, net of tax 275 (571)
Total comprehensive income for the period 1,083 (892)
Profit attributable to:
Owners of the Parent 808 (321)
Non-controlling interests - -
808 (321)
Total comprehensive income attributable to:
Owners of the Parent 1,083 (892)
Non-controlling interests - -
1,083 (892)
Basic earnings/(loss) per $0.25 Ordinary Share $0.63 ($0.25)
Diluted earnings/(loss) per $0.25 Ordinary Share $0.63 ($0.25)
Weighted average number of Ordinary Shares in issue (millions) 1,264 1,263
Diluted weighted average number of Ordinary Shares in issue (millions) 1,265 1,265
* 2014 comparatives restated for reclassification of Externalisation revenue (see Note 1)
Basic earnings/(loss) per $0.25 Ordinary Share
$0.63
($0.25)
Diluted earnings/(loss) per $0.25 Ordinary Share
$0.63
($0.25)
Weighted average number of Ordinary Shares in issue (millions)
1,264
1,263
Diluted weighted average number of Ordinary Shares in issue (millions)
1,265
1,265
* 2014 comparatives restated for reclassification of Externalisation revenue (see Note 1)
Condensed Consolidated Statement of Financial Position
ASSETS Non-current assets
Property, plant and equipment 6,413 6,010
Goodwill 11,868 11,550
Intangible assets 22,646 20,981
Derivative financial instruments 446 465
Investments in joint ventures 85 59
Other investments 458 502
Other receivables 907 1,112
Deferred tax assets 1,294 1,219
44,117 41,898
Current assets
Inventories 2,143 1,960
Trade and other receivables 6,622 7,232
Other investments 613 795
Derivative financial instruments 2 21
Income tax receivable 387 329
Cash and cash equivalents 6,240 6,360
16,007 16,697
Total assets 60,124 58,595
LIABILITIES Current liabilities
Interest-bearing loans and borrowings (916) (2,446)
Trade and other payables (11,663) (11,886)
Derivative financial instruments (9) (21)
Provisions (798) (623)
Income tax payable (1,483) (2,354)
(14,869) (17,330)
Non-current liabilities
Interest-bearing loans and borrowings (14,137) (8,397)
Derivative financial instruments (1) -
Deferred tax liabilities (2,733) (1,796)
Retirement benefit obligations (1,974) (2,951)
Provisions (444) (484)
Other payables (7,457) (7,991)
(26,746) (21,619)
Total liabilities (41,615) (38,949)
Net assets 18,509 19,646
EQUITY
Capital and reserves attributable to equity holders of the Company
Share capital 316 316
Share premium account 4,304 4,261
Other reserves 2,036 2,021
Retained earnings 11,834 13,029
18,490 19,627
Non-controlling interests 19 19
Total equity 18,509 19,646
18,490
19,627
Non-controlling interests
19
19
Total equity
18,509
19,646
Condensed Consolidated Statement of Cash Flows
Cash flows from operating activities
Profit before tax 3,069 1,246
Finance income and expense 1,029 885
Share of after tax losses in joint ventures 16 6
Depreciation, amortisation and impairment 2,852 3,282
(Increase)/decrease in working capital and short-term provisions (49) 2,508
Gains on disposal of intangible assets (961) -
Non-cash and other movements (782) 865
Cash generated from operations 5,174 8,792
Interest paid (496) (533)
Tax paid (1,354) (1,201)
Net cash inflow from operating activities 3,324 7,058
Cash flows from investing activities
Movement in short-term investments and fixed deposits 283 34
Purchase of property, plant and equipment (1,328) (1,012)
Disposal of property, plant and equipment 47 158
Purchase of intangible assets (1,460) (1,740)
Disposal of intangible assets 1,130 -
Purchase of non-current asset investments (57) (130)
Disposal of non-current asset investments 93 59
Payments to joint ventures (45) (70)
Upfront payments on business acquisitions (2,446) (3,804)
Payment of contingent consideration on business acquisitions (579) (657)
Interest received 123 140
Payments made by subsidiaries to non-controlling interests - (10)
Net cash outflow from investing activities (4,239) (7,032)
Net cash (outflow)/inflow before financing activities (915) 26
Cash flows from financing activities
Proceeds from issue of share capital 43 279
Issue of loans 5,928 919
Repayment of loans (884) (750)
Dividends paid (3,486) (3,521)
Hedge contracts relating to dividend payments (51) (14)
Repayment of obligations under finance leases (42) (36)
Payments to acquire non-controlling interest - (102)
Movement in short-term borrowings (630) 520
Net cash inflow/(outflow) from financing activities 878 (2,705)
Net decrease in cash and cash equivalents in the period (37) (2,679)
Cash and cash equivalents at the beginning of the period 6,164 8,995
Exchange rate effects (76) (152)
Cash and cash equivalents at the end of the period 6,051 6,164
Cash and cash equivalents consists of:
Cash and cash equivalents 6,240 6,360
Overdrafts (189) (196)
6,051 6,164
6,360
Overdrafts
(189)
(196)
6,051
6,164
Condensed Consolidated Statement of Changes in Equity
Share Share Other Retained Total Non- Total
capital premium reserves* earnings $m controlling equity
$m account $m $m interests $m
$m $m
At 1 Jan 2014 315 3,983 1,966 16,960 23,224 29 23,253
Profit for the period - - - 1,233 1,233 2 1,235
Other comprehensive income - - - (1,499) (1,499) (7) (1,506)
Transfer to other reserves - - 40 (40) - - -
Transactions with owners:
Dividends - - - (3,532) (3,532) - (3,532)
Issue of Ordinary Shares 1 278 - - 279 - 279
Share-based payments - - - (93) (93) - (93)
Transfer from non-controlling interests to payables - - - - - (5) (5)
True-up to Astra AB non-controlling interest buy out - - 15 - 15 - 15
Net movement 1 278 55 (3,931) (3,597) (10) (3,607)
At 31 Dec 2014 316 4,261 2,021 13,029 19,627 19 19,646
Share Share Other Retained Total Non- Total
capital premium reserves* earnings $m controlling equity
$m account $m $m interests $m
$m $m
At 1 Jan 2015 316 4,261 2,021 13,029 19,627 19 19,646
Profit for the period - - - 2,825 2,825 1 2,826
Other comprehensive income - - - (337) (337) (1) (338)
Transfer to other reserves - - 15 (15) - - -
Transactions with owners:
Dividends - - - (3,537) (3,537) - (3,537)
Issue of Ordinary Shares - 43 - - 43 - 43
Share-based payments - - - (131) (131) - (131)
Net movement - 43 15 (1,195) (1,137) - (1,137)
At 31 Dec 2015 316 4,304 2,036 11,834 18,490 19 18,509
* Other reserves include the capital redemption reserve and the merger reserve.
Notes to the Interim Financial Statements
1 BASIS OF PREPARATION AND ACCOUNTING POLICIES
The preliminary announcement for the year ended 31 December 2015 has been prepared in accordance with International
Financial Reporting Standards (IFRSs) as adopted by the European Union (EU) and as issued by the International Accounting
Standards Board (IASB).
The annual financial statements of the Group are prepared in accordance with IFRSs as adopted by the EU and as issued by
the IASB. Except as detailed below, the preliminary announcement has been prepared applying the accounting policies and
presentation that were applied in the preparation of the Group's published consolidated financial statements for the year
ended 31 December 2014.
Externalisation revenue
As announced on 6 March 2015, the Group updated its revenue accounting policy with effect from 1 January 2015. The Group's
business model includes externalisation as a component of our portfolio management strategy. Externalisation stems from our
increased R&D productivity and our focus on three main therapy areas. Historically, reported revenue reflected only product
sales, with externalisation revenue forming part of other operating income presented below gross profit. From 1 January
2015 externalisation revenue, alongside product sales, is included in total revenue. Externalisation revenue includes
development, commercialisation and collaboration revenue, such as royalties and milestone receipts, together with income
from services or repeatable licences. Income is recorded as externalisation revenue when the Group has a significant
ongoing interest in the product and/or it is repeatable business and there is no derecognition of an intangible asset.
Disposals of assets and businesses, where the Group does not retain an interest, will continue to be recorded in other
operating income. The updated financial presentation reflects the Group's entrepreneurial approach and provides a clearer
picture of this additional revenue stream. The updated revenue accounting policy results in a presentational change to the
Statement of Comprehensive Income only, and has no impact on the Group's net results or net assets. The prior period
Condensed Consolidated Statement of Comprehensive Income has been restated accordingly, resulting in $452m of income being
reclassified from other operating income to externalisation revenue for the year ended 31 December 2014, and $33m for the
quarter ended 31 December 2014.
New accounting standards
The Group has adopted the amendments to IAS 19 Employee Benefits, issued by IASB in November 2013 and effective for periods
beginning on or after 1 July 2014. The adoption has not had a significant impact on the Group's profit for the period, net
assets or cash flows. There have been no other significant new or revised accounting standards applied in the year ended 31
December 2015.
Legal proceedings
The information contained in Note 7 updates the disclosures concerning legal proceedings and contingent liabilities
included in the Group's Annual Report and Form 20-F Information 2014 and Interim Financial Statements for the year ended 31
December 2015.
Going concern
The Group has considerable financial resources available. As at 31 December 2015 the Group has $8.3bn in financial
resources (cash balances of $6.2bn and undrawn committed bank facilities of $3.0bn which are available until April 2020,
with only $0.9bn of debt due within one year). Although no liability was recognised at 31 December 2015, the Group had
entered into an agreement to invest in a majority equity stake in Acerta with an upfront payment of $2.5bn which was paid
on 2 February 2016. The Group's revenues are largely derived from sales of products which are covered by patents which
provide a relatively high level of resilience and predictability to cash inflows, although our revenue is expected to
continue to be significantly impacted by the expiry of patents over the medium term. In addition, government price
interventions in response to budgetary constraints are expected to continue to adversely affect revenues in many of our
mature markets. However, we anticipate new revenue streams from both recently launched medicines and products in
development, and the Group has a wide diversity of customers and suppliers across different geographic areas. Consequently,
the Directors believe that, overall, the Group is well placed to manage its business risks successfully.
On the basis of the above paragraph and after making enquiries, the Directors have a reasonable expectation that the
Company and the Group have adequate resources to continue in operational existence for the foreseeable future. Accordingly,
the preliminary announcement has been prepared on a going concern basis.
Financial information
The financial information contained in the preliminary announcement does not constitute statutory accounts of the Group for
the years ended 31 December 2015 and 2014 but is derived from those accounts. Statutory accounts for 2014 have been
delivered to the registrar of companies and those for 2015 will be delivered in due course. Those accounts have been
reported on by the Group auditor; their report was (i) unqualified, (ii) did not include a reference to any matters to
which the auditor drew attention by way of emphasis
- More to follow, for following part double click ID:nRSD0427OdRecent news on AstraZeneca
See all newsRCS - LHH - LHH, EZRA's AI Leadership Transformation Program
AnnouncementREG - AstraZeneca PLC - Baxdrostat met primary endpoint in Bax24 Ph3 trial
AnnouncementREG - AstraZeneca PLC - Datroway improved OS and PFS in TROPION-Breast02
AnnouncementREG - AstraZeneca PLC - Total Voting Rights
AnnouncementREG - AstraZeneca PLC - Enhertu improved IDFS in early BC in DB-05
Announcement