6th Mar 2015 07:18
LONDON (Alliance News) - AstraZeneca PLC Friday guided that it expects its total revenue to decline by a mid-single digit percentage at constant exchange rates in 2015, in line with previous sales revenue guidance it gave at the time of its full-year results, as it announced changes to the way it presents its revenue.
AstraZeneca has maintained its core earnings per share guidance.
At the time of its full-year results in February the company guided that it expects its overall sales revenue to decline by mid single-digit percent at constant exchange rates in 2015, while core EPS is expected to increase by low single-digit percent, also at constant rates.
On Friday, AstraZeneca said that based on current exchange rates, total revenue is expected to decline by low double-digit percent at actual exchange rates, and core earnings per share is expected to be broadly in line with 2014.
The pharmaceutical giant said that, from its first quarter financial results, revenue from externalisation will be included in total revenue, instead of in 'other operating income', which the company expects to enhance transparency for investors.
AstraZeneca noted that the change is presentational, and will not change reported or core profit.
Externalisation revenue includes "development, commercialisation, partnership and out-licence revenue, such as royalties and milestone receipts, together with income from services or repeatable licences."
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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