AstraZeneca PLC (AZN) capped off fiscal year 2024 with solid momentum, posting total revenue of $54.1 billion, up 18% year-over-year, driven by continued strength in oncology and cardiovascular drugs. The company remains one of the world’s leading biopharmaceutical players, with operations in more than 100 countries and a pipeline of over 100 clinical-stage programs spanning oncology, rare diseases, and immunology.
CEO Pascal Soriot called 2024 a “catalyst-rich year” as AstraZeneca advanced nine new high-value Phase III trials and launched 22 approved medicines globally. Oncology was again the standout, delivering 24% growth, with newer treatments for lung, ovarian, and prostate cancer outperforming expectations. Meanwhile, cardiovascular and renal medicines under the CVRM portfolio grew 20%, underscoring AstraZeneca’s diversification beyond oncology.
The company’s core EPS rose 19% to $8.21, while reported EPS grew 18% to $4.54, reflecting steady profitability despite increasing R&D investment and currency headwinds. Net income rose to $7.0 billion, and AstraZeneca declared a total annual dividend of $3.10 per share, up 7% from the prior year. With management targeting $80 billion in total revenue by 2030, AstraZeneca is now balancing aggressive pipeline expansion with investor expectations for continued capital discipline.
Shares have climbed 21.7% year-to-date in 2025, helped by renewed optimism in the company’s late-stage drug pipeline and strong interim results. Yet the question remains: can AstraZeneca sustain double-digit growth through the end of the decade, or has much of the good news already been priced in?
Financial Story: A Reset year, Not a Lost One
AstraZeneca’s 2024 financial story was one of balanced growth. Revenue surged 18% year-over-year to $54.1 billion, exceeding analyst estimates by roughly 1.4%, while earnings per share missed forecasts by 16% due to increased R&D spending and currency translation effects. Still, the underlying performance reflected a company firing on all operational cylinders, bolstered by demand for next-generation cancer therapies and expanding alliance revenues.
| Metric | Period | Value (USD) | YoY Change | Commentary |
|---|---|---|---|---|
| Total Revenue | FY 2024 | $54.1 billion | +18% | Driven by strong oncology and CVRM sales |
| Net Income | FY 2024 | $7.04 billion | +18% | Reflects broad-based operational strength |
| Reported EPS | FY 2024 | $4.54 | +18% | Up from $3.84 in FY 2023 |
| Core EPS | FY 2024 | $8.21 | +19% | Supported by product mix and lower costs |
| Profit Margin | FY 2024 | 13.0% | Flat | Margin stability despite higher R&D |
| Free Cash Flow | FY 2024 | $8.9 billion | +10% | Operating leverage offset by investments |
| R&D Expense | H1 2025 | $3.55 billion | +18% | Reflects 24% of total revenue |
| Dividend per Share | FY 2024 | $3.10 | +7% | Consistent payout growth |
| Phase III Trials | FY 2024 | 38 | — | Robust late-stage pipeline |
| Approved Drugs (FY 2024) | FY 2024 | 22 | — | Continued product-cycle refresh |
Growth in oncology and rare diseases more than offset softer vaccine and respiratory results, and the company benefited from stronger-than-expected contributions from its Alexion rare disease unit. Gross margins remained firm at 83%, while operating profit improved 28% to $3.5 billion in the first half of 2025. With more than $8.9 billion in free cash flow and low net leverage, AstraZeneca continues to fund innovation while maintaining shareholder-friendly capital allocation.
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Looking ahead, management guided for high single-digit revenue growth in FY 2025 and low double-digit EPS growth, citing new product launches and continued expansion in immuno-oncology. The challenge now lies in sustaining that pace amid intensifying competition from Pfizer, Merck, and Eli Lilly, each chasing similar high-margin therapeutic areas.
1. Oncology and Cardiovascular Drive the Engine
Oncology remains AstraZeneca’s crown jewel, accounting for nearly half of total revenue growth in 2024. Flagship therapies like Tagrisso, Imfinzi, and Lynparza delivered robust double-digit gains, supported by label expansions and increased penetration in emerging markets. Meanwhile, the company is advancing new indications across breast and gastrointestinal cancers, solidifying its position as a global oncology leader.
The cardiovascular, renal, and metabolic (CVRM) segment also maintained momentum, with sales climbing 20% thanks to blockbuster drugs Farxiga and Brilinta. Together, these two therapeutic areas provide AstraZeneca with predictable, recurring revenues, critical as R&D costs rise and competition intensifies. Management noted that the company’s focus on precision medicine and targeted biologics continues to differentiate it from larger pharma peers still dependent on broader-spectrum treatments.
2. Pipeline Power: Depth and Diversity
AstraZeneca’s R&D strength remains its defining feature. As of mid-2025, the company counted 109 active clinical programs, including 38 Phase III trials and 19 pre-registration drugs. Several high-impact candidates, such as gefurulimab, baxdrostat, and datopotamab deruxtecan, are now entering pivotal stages, with commercial launches expected between 2026 and 2028.
The company’s “Ambition 2030” strategy aims to deliver $80 billion in total revenue by the end of the decade, with roughly 70% coming from new or recently launched medicines. AstraZeneca’s heavy investment in next-generation modalities such as radioconjugates, cell therapy, and AI-enabled drug design could reinforce its innovation moat. Still, they also carry substantial execution risk and long lead times. For investors, that means patience remains a requirement.
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3. Balancing Growth and Investor Expectations
Despite its stellar track record, AstraZeneca’s valuation reflects much of its success. The stock trades at roughly 24× forward earnings, above the sector median, implying investor confidence in sustained growth. Yet near-term pressures, from elevated R&D costs to currency fluctuations, could limit margin expansion through 2026.
Analysts generally view the company as a high-quality compounder with limited downside but tempered upside. With dividend growth steady and guidance conservative, AstraZeneca seems to be prioritizing stability over surprise. In that context, maintaining high single-digit growth while preserving double-digit EPS momentum would be a favorable outcome heading into the next cycle of clinical milestones.
The TIKR Takeaway
AstraZeneca’s recent results showcase a company in command of its operations and confident in its scientific direction. With revenue up double digits, a well-funded pipeline, and disciplined capital management, AstraZeneca remains one of the most durable growth stories in global pharmaceuticals. The steady dividend growth adds further appeal for long-term holders.
Still, the narrative is shifting from acceleration to consistency. While the company’s innovation engine remains unmatched in its scope, the easy gains of post-pandemic expansion are likely behind it. For investors, AstraZeneca’s story heading into 2026 is less about discovery and more about delivery.
Should You Buy, Sell, or Hold AstraZeneca?
AstraZeneca’s fundamentals remain solid, with strong revenue growth, pipeline progress, and a healthy balance sheet. The company’s ability to fund innovation while maintaining consistent shareholder returns places it among the more resilient names in the sector.
However, with valuation already reflecting much of that optimism and EPS growth expected to moderate, the stock may be best viewed as a hold for now, an attractive core position for those seeking steady exposure to global healthcare innovation, but not an obvious bargain for new entrants.
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Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!