AstraZeneca (AZN, Financial) reported a revenue of $50.49 billion in China for the first three quarters of 2024, marking a 15% increase compared to the previous year. This growth surpassed Merck's (MRK) China revenue, which reached $46.06 billion during the same period. Globally, AstraZeneca achieved total revenues of $391.82 billion, showing a 19% year-over-year increase.
The release of AstraZeneca's quarterly report coincided with the news that Wang Lei, Executive Vice President and President of International Markets and China, is under investigation. The reasons for this investigation remain unclear, although there is speculation about potential involvement in drug smuggling.
Simultaneously, AstraZeneca's popular cancer drug, Tagrisso (osimertinib), faces allegations of insurance fraud. Despite these challenges, CEO Pascal Sorio reassured investors that all projects in China are progressing smoothly, driven by new product launches. He emphasized the company’s long-term commitment to the Chinese market and its mission to continue addressing current challenges.
Since 2023, AstraZeneca has received approval for ten new products or indications in China, including cancer and diabetes medications. Notably, its ADC drug Enhertu received four new indications. Sorio highlighted the importance of China both in meeting patient needs and driving industry innovation, with a focus on enhancing the supply chain for China and emerging markets.
Aradhana Sarin, AstraZeneca's CFO, echoed the commitment to the Chinese market, ensuring the continuous supply of medications and ongoing support for Chinese employees.
