Investing.com – Shares of AstraZeneca (NASDAQ:AZN) (LON:AZN) dropped on Thursday after the company reported that other operating income is expected to "decrease substantially". This forecast contrasts with FY 2023, which included a $241 million gain from the disposal of Pulmicort Flexhaler US rights and a $712 million one-time gain related to updates in contractual arrangements for Beyfortus.
The pharmaceutical giant reported a solid second quarter with total revenue surpassing analyst expectations, driven by robust performance across its key therapeutic areas. Analysts from BMO (TSX:BMO) Capital Markets said that the company's flagship products, Farxiga and Tagrisso, outperformed consensus estimates, contributing significantly to overall revenue growth.
Higher-than-expected SG&A and R&D expenses tempered earnings growth, resulting in EPS in line with consensus, said analysts from BofA Global Research.
While the company achieved double-digit growth in most therapeutic areas, Imfinzi underperformed expectations, raising questions about its future trajectory. Additionally, collaboration revenues declined sharply, contrary to previous guidance, BMO added.