AstraZeneca (AZN) comprises four business segments—Cardiovascular and Metabolic Diseases (or CVMD), Oncology, Respiratory, and Other Products. At constant exchange rates, AstraZeneca reported an 8% decline in its product sales of ~$4.9 billion during 2Q17.
The segment-wise performance for AstraZeneca’s four business segments follows:
The Oncology segment reported revenues of $993.0 million during 2Q17, representing 19.6% growth in revenues at constant exchange rates compared to 2Q16. The Oncology segment contributes more than 19% of AstraZeneca’s total revenues in 2Q17.
The CVMD segment reported revenues of ~$1.8 billion during 2Q17, a 17% decrease in revenues at constant exchange rates compared to 2Q16. CVMD is the largest revenue contributor for AstraZeneca, with a contribution of more than 35% of total revenues during 2Q17.
The Respiratory segment reported revenues of $1.1 billion during 2Q17, a 9% decrease in revenues at constant exchange rates compared to 2Q16. The Respiratory segment contributes more than 21.7% of AstraZeneca’s total revenues.
The Other Products segment includes drugs from the infection, neuroscience, and gastrointestinal franchise. The Other Products segment reported revenues of ~$1.1 billion during 2Q17, a 12% decrease in revenues at constant exchange rates compared to 2Q16.
This segment includes blockbuster drugs like Nexium and Synagis. However, Synagis has lost its market share since the drug received restrictive guidelines from the American Academy of Pediatrics Committee on Infectious Disease, which directly impacted the number of patients who were eligible for preventive therapy using Synagis.
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