AstraZeneca issues sales and profits slowdown warning

Reporting results for 2000, AstraZeneca's chief executive, TomMcKillop, warned that the "next two years will be challenging as we shift our reliance on hugely successful, yet maturing products like Losec (omeprazole) and Zestril (lisinopril), to the equally exciting new generation of medicines with high potential that will form the basis for future growth." He added that "delivery of our current plans for 2001 would result in mid-single-digit sales growth and earnings per share growth slightly ahead of this." The firm's share price slid 126 pence to L28.78 in early trading on February 8, the day the results were released, but moved to L29.06 by mid-day.

Sales up 8%, pretax 16% higher

For the full year, AstraZeneca's sales increased 8% to $15.80 billion, with operating profit 14% higher at $3.98 billion and pretax profits jumping 16% to $4.11 billion. Earnings per share rose 18% to $1.64. The strength of the US dollar reduced sales 4% and operating profit 2%.