AstraZeneca PLC

Total revenue increased 6% in the first half of 2026; excluding the impact of Farxiga and Brilinta, total revenue grew 11%. Core EPS increased 11% in the first half. Core gross margin was 83% in the first half. Oncology total revenues grew 15% in the first half to $14.1 billion, and rare disease total revenues grew 11% to $4.9 billion; biopharmaceuticals total revenue declined 5% to $11.2 billion. Aradhana Sarin said alliance revenue increased 29%, other operating income was $341 million, capital expenditure was $1.5 billion in the first half, deal-related payments totaled $3.3 billion, and net debt increased by around $3.5 billion. For the full year, AstraZeneca reiterated expectations for total revenue to increase by a mid- to high-single-digit percentage and core EPS to increase by low double-digit percentage at constant exchange rates. It also said it expects core gross margin to be stable to slightly higher versus 2025, R&D expenses to be at the upper end of the low 20s percentage range, milestone payments of approximately $2.5 billion, CapEx to increase by around one-third in 2026, and core finance costs to be higher in the second half.

Pascal Soriot’s tone was confident and upbeat, centered on portfolio breadth and pipeline execution rather than any single asset. He emphasized that the company’s $80 billion revenue ambition for 2030 is risk-adjusted, that setbacks are expected in transformative science, and that the first half still delivered six positive Phase III readouts and multiple approvals. He also highlighted post-2030 growth, saying AstraZeneca is building a company with multiple waves of blockbusters and strong technology platforms.

Aradhana Sarin focused on disciplined investment alongside growth, citing 6% first-half revenue growth, 83% core gross margin, and 11% core EPS growth. She said alliance revenue rose 29%, R&D expense increased 6% and was 23% of revenue, SG&A also rose 6%, and other operating income was $341 million. On cash and capital allocation, she noted $1.5 billion of CapEx in the first half, deal-related payments of $3.3 billion including the $1.2 billion CSPC upfront, and net debt up around $3.5 billion, mainly due to dividends and deal payments. She also flagged a one-time tax benefit in Q2, expected seasonal gross-margin pressure in the second half, and higher finance costs later in the year after refinancing.

Analysts focused heavily on the outlook for Zegfrovy/sunvozertinib, sone-ve, camizestrant, and AVANZAR. Management said the oral PCSK9 should have a competitive profile versus Merck’s compound, that pricing would not change dramatically from the competitor’s list price, and that its broader cholesterol strategy includes combinations such as rosuvastatin and potentially elecoglipron. On sone-ve, management said the CLARITY-Gastric01 data support discussions across major markets and that the broader first-line and GI-cancer lifecycle plan could make it a broad program. For camizestrant, Susan Galbraith said SERENA-4 is designed to enrich endocrine sensitivity, but final conclusions must wait for the Phase III readout; for AVANZAR, she confirmed either the ITT or biomarker-positive population can support success, with regulators likely to scrutinize effect size and differentiation.