Revenue grew 6.4% YoY to $15.4B in 2026Q2, but operating margin contracted to 20.6% from 24.3% a year earlier, as R&D and SG&A expenses rose 17% and 16% YoY, respectively.
AstraZeneca PLC (AZN) annual income statement — 30-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Sales/Revenue | 61.37B | 58.74B | 54.07B | 45.81B | 44.35B | 37.42B | 26.62B | 24.38B | 22.09B | 22.46B | 23B | 24.71B | 26.55B | 25.81B | 27.97B | 33.59B | 33.27B | 32.8B | 31.6B | 29.56B | 26.48B | 23.95B | 21.43B | 18.85B | 17.84B | 16.48B | 18.12B | 15.13B | 11.32B | 8.59B | 9.18B |
| Revenue Growth % | 8.61% | 8.63% | 18.04% | 3.29% | 18.53% | 40.58% | 9.16% | 10.38% | -1.67% | -2.33% | -6.9% | -6.93% | 2.87% | -7.75% | -16.72% | 0.97% | 1.42% | 3.81% | 6.91% | 11.65% | 10.54% | 11.78% | 13.67% | 5.65% | 8.26% | -9.03% | 19.7% | 33.72% | 31.82% | -6.51% | 21.35% |
| Cost of Goods Sold | 11.12B | 10.63B | 10.21B | 8.27B | 12.39B | 12.44B | 5.3B | 4.92B | 4.94B | 4.32B | 4.13B | 4.65B | 5.84B | 5.26B | 5.39B | 6.03B | 6.39B | 5.78B | 6.6B | 6.42B | 5.56B | 5.36B | 5.19B | 4.46B | 4.52B | 4.46B | 0 | 3.25B | 2.03B | 0 | 0 |
| COGS % of Revenue | - | 18.1% | 18.88% | 18.05% | 27.94% | 33.24% | 19.91% | 20.18% | 22.35% | 19.22% | 17.94% | 18.8% | 22.01% | 20.39% | 19.28% | 17.94% | 19.2% | 17.6% | 20.88% | 21.72% | 21% | 22.36% | 24.24% | 23.68% | 25.33% | 27.04% | - | 21.46% | 17.94% | - | - |
| Gross Profit | 50.25B | 48.11B | 43.87B | 37.54B | 31.96B | 24.98B | 21.32B | 19.46B | 17.15B | 18.15B | 18.88B | 20.06B | 20.7B | 20.55B | 22.58B | 27.57B | 26.88B | 27.03B | 25B | 23.14B | 20.92B | 18.59B | 16.23B | 14.39B | 13.32B | 12.02B | 18.12B | 11.89B | 9.29B | 0 | 0 |
| Gross Margin % | 81.88% | 81.9% | 81.12% | 81.95% | 72.06% | 66.76% | 80.09% | 79.82% | 77.66% | 80.78% | 82.06% | 81.2% | 77.99% | 79.61% | 80.72% | 82.06% | 80.8% | 82.4% | 79.12% | 78.28% | 79% | 77.64% | 75.76% | 76.32% | 74.67% | 72.96% | 100% | 78.54% | 82.06% | - | - |
| Gross Profit Growth % | - | 9.67% | 16.84% | 17.47% | 27.94% | 17.18% | 9.53% | 13.46% | -5.47% | -3.86% | -5.91% | -3.11% | 0.78% | -9.01% | -18.08% | 2.55% | -0.55% | 8.1% | 8.05% | 10.63% | 12.49% | 14.54% | 12.84% | 7.99% | 10.79% | -33.63% | 52.41% | 27.99% | - | - | - |
| Operating Expenses | 36.27B | 34.36B | 33.86B | 29.35B | 28.2B | 23.92B | 16.16B | 16.54B | 13.77B | 14.47B | 13.97B | 15.95B | 18.57B | 16.83B | 14.43B | 14.77B | 15.39B | 15.49B | 15.86B | 15.05B | 12.7B | 12.09B | 11.69B | 10.38B | 9.31B | 7.87B | 14.45B | 8.46B | 6.86B | 6.8B | 7.4B |
| OpEx % of Revenue | - | 58.5% | 62.62% | 64.07% | 63.59% | 63.94% | 60.7% | 67.83% | 62.32% | 64.41% | 60.75% | 64.55% | 69.94% | 65.23% | 51.59% | 43.97% | 46.25% | 47.21% | 50.19% | 50.9% | 47.97% | 50.49% | 54.54% | 55.06% | 52.21% | 47.74% | 79.77% | 55.87% | 60.61% | 79.15% | 80.55% |
| Selling, General & Admin | 21.73B | 20.51B | 20.22B | 18.22B | 17.98B | 15.59B | 11.9B | 11.98B | 10.98B | 10.54B | 9.74B | 11.52B | 13.32B | 12.51B | 10.16B | 11.51B | 10.78B | 11.63B | 11.2B | 10.61B | 9.32B | 8.91B | 8.45B | 7.55B | 6.14B | 5.55B | 0 | 4.92B | 3.94B | 0 | 0 |
| SG&A % of Revenue | - | 34.92% | 37.4% | 39.78% | 40.55% | 41.67% | 44.69% | 49.15% | 49.71% | 46.93% | 42.34% | 46.61% | 50.19% | 48.48% | 36.32% | 34.26% | 32.4% | 35.45% | 35.45% | 35.9% | 35.21% | 37.19% | 39.41% | 40.08% | 34.41% | 33.67% | - | 32.48% | 34.78% | - | - |
| Research & Development | 15.07B | 14.23B | 13.58B | 10.94B | 9.76B | 9.74B | 5.99B | 6.06B | 5.93B | 5.76B | 5.89B | 6B | 5.58B | 4.82B | 5.24B | 5.52B | 5.32B | 4.41B | 5.18B | 5.16B | 3.9B | 3.38B | 3.47B | 3.01B | 3.07B | 2.69B | 2.89B | 2.47B | 2.1B | 1.08B | 1.03B |
| R&D % of Revenue | - | 24.23% | 25.12% | 23.87% | 22.01% | 26.02% | 22.51% | 24.85% | 26.85% | 25.63% | 25.61% | 24.27% | 21.02% | 18.68% | 18.74% | 16.44% | 15.98% | 13.44% | 16.39% | 17.46% | 14.74% | 14.11% | 16.18% | 15.98% | 17.2% | 16.3% | 15.98% | 16.33% | 18.58% | 12.57% | 11.23% |
| Other Operating Expenses | -4M | -381M | 56M | 193M | 457M | -1.4B | -1.73B | -1.5B | -3.15B | -1.83B | -1.66B | -1.56B | -335M | -500M | -970M | -2.26B | -712M | -553M | -524M | -728M | -524M | -193M | -226M | -188M | 107M | -368M | 11.56B | 1.07B | 821M | 5.72B | 6.37B |
| Operating Income | 13.97B | 13.74B | 10B | 8.19B | 3.76B | 1.06B | 5.16B | 2.92B | 3.39B | 3.68B | 4.9B | 4.11B | 2.14B | 3.71B | 8.15B | 12.79B | 11.49B | 11.54B | 9.14B | 8.09B | 8.22B | 6.5B | 4.55B | 4.01B | 4.01B | 4.16B | 3.67B | 3.43B | 2.43B | 1.79B | 1.79B |
| Operating Margin % | 22.77% | 23.4% | 18.5% | 17.88% | 8.47% | 2.82% | 19.39% | 11.99% | 15.33% | 16.37% | 21.31% | 16.65% | 8.05% | 14.38% | 29.13% | 38.09% | 34.55% | 35.19% | 28.94% | 27.38% | 31.03% | 27.15% | 21.22% | 21.26% | 22.45% | 25.22% | 20.23% | 22.66% | 21.44% | 20.85% | 19.45% |
| Operating Income Growth % | - | 37.39% | 22.09% | 118.07% | 255.78% | -79.54% | 76.54% | -13.67% | -7.89% | -24.99% | 19.15% | 92.51% | -42.43% | -54.44% | -36.32% | 11.32% | -0.42% | 26.24% | 12.97% | -1.48% | 26.36% | 43% | 13.48% | 0.03% | -3.61% | 13.39% | 6.86% | 41.33% | 35.56% | 0.23% | 39.44% |
| EBITDA | 20.33B | 19.48B | 15.07B | 13.13B | 9.01B | 5.16B | 8.06B | 6.69B | 7.14B | 6.71B | 7.26B | 6.97B | 5.42B | 8.29B | 10.67B | 15.35B | 14.23B | 13.63B | 11.76B | 9.95B | 9.56B | 7.83B | 5.82B | 5.3B | 4.97B | 5.02B | 4.59B | 4.5B | 3.25B | 2.15B | 2.16B |
| EBITDA Margin % | 33.12% | 33.16% | 27.87% | 28.65% | 20.32% | 13.79% | 30.27% | 27.42% | 32.32% | 29.88% | 31.56% | 28.19% | 20.41% | 32.14% | 38.13% | 45.68% | 42.79% | 41.55% | 37.23% | 33.66% | 36.11% | 32.69% | 27.14% | 28.12% | 27.83% | 30.44% | 25.36% | 29.73% | 28.7% | 25.01% | 23.49% |
| EBITDA Growth % | 22.98% | 29.25% | 14.79% | 45.68% | 74.7% | -35.99% | 20.52% | -6.36% | 6.36% | -7.52% | 4.21% | 28.55% | -34.67% | -22.23% | -30.49% | 7.8% | 4.44% | 15.86% | 18.23% | 4.07% | 22.12% | 34.63% | 9.72% | 6.73% | -1% | 9.18% | 2.12% | 38.52% | 51.25% | -0.48% | 36.5% |
| D&A (Non-Cash Add-back) | 6.36B | 5.73B | 5.07B | 4.93B | 5.25B | 4.1B | 2.9B | 3.76B | 3.75B | 3.04B | 2.36B | 2.85B | 3.28B | 4.58B | 2.52B | 2.55B | 2.74B | 2.09B | 2.62B | 1.86B | 1.34B | 1.33B | 1.27B | 1.29B | 960M | 860M | 929.02M | 1.07B | 821M | 357.07M | 371.61M |
| EBIT | 14.32B | 14.1B | 10.37B | 8.49B | 3.83B | 1.01B | 5.19B | 2.95B | 3.36B | 3.59B | 4.92B | 4.11B | 2.21B | 3.76B | 8.16B | 12.84B | 12B | 11.86B | 10B | 8.09B | 8.22B | 6.5B | 4.55B | 4.01B | 4.01B | 4.16B | 3.98B | 3.43B | 2.43B | 1.89B | 1.78B |
| Net Interest Income | -1.37B | -1.33B | -1.34B | -1.29B | -1.25B | -1.23B | -1.19B | -1.24B | -1.23B | -1.25B | -1.31B | -1B | -930M | -460M | -477M | -508M | -529M | -591M | -463M | 0 | 0 | 0 | 0 | 0 | 0 | 149.32M | 137.41M | -2M | -69.72M | -24.8M | -37.68M |
| Interest Income | 361M | 360M | 345M | 301M | 81M | 43M | 83M | 165M | 138M | 109M | 59M | 36M | 33M | 32M | 42M | 46M | 42M | 462M | 854M | 0 | 0 | 0 | 0 | 0 | 0 | 284.13M | 268.85M | 164.92M | 36.52M | 76.04M | 71.93M |
| Interest Expense | 1.73B | 1.69B | 1.68B | 1.59B | 1.33B | 1.28B | 1.27B | 1.4B | 1.37B | 1.36B | 1.37B | 1.04B | 963M | 492M | 519M | 554M | 1.02B | 1.05B | 1.32B | 0 | 0 | 0 | 0 | 0 | 0 | 134.81M | 131.44M | 166.92M | 106.23M | 100.84M | 109.6M |
| Other Income/Expense | -1.39B | -1.34B | -1.31B | -1.29B | -1.26B | -1.32B | -1.25B | -1.38B | -1.39B | -1.45B | -1.35B | -1.04B | -891M | -445M | -502M | -512M | -517M | -736M | -463M | -111M | 327M | 165M | 297M | 70M | 357M | 102M | 185.21M | 126M | 697M | -3.31M | -116.45M |
| Pretax Income | 12.59B | 12.4B | 8.69B | 6.9B | 2.5B | -265M | 3.92B | 1.55B | 1.99B | 2.23B | 3.55B | 3.07B | 1.25B | 3.27B | 7.65B | 12.28B | 10.98B | 10.81B | 8.68B | 7.98B | 8.54B | 6.67B | 4.84B | 4.08B | 4.36B | 4.26B | 3.85B | 3.56B | 3.12B | 1.79B | 1.67B |
| Pretax Margin % | 20.51% | 21.11% | 16.07% | 15.06% | 5.64% | -0.71% | 14.71% | 6.35% | 9.02% | 9.91% | 15.44% | 12.42% | 4.69% | 12.66% | 27.33% | 36.57% | 32.99% | 32.94% | 27.47% | 27.01% | 32.27% | 27.84% | 22.61% | 21.63% | 24.45% | 25.84% | 21.25% | 23.5% | 27.6% | 20.81% | 18.18% |
| Income Tax | 2.13B | 2.17B | 1.65B | 938M | -792M | -380M | 772M | 321M | -57M | -641M | 146M | 243M | 11M | 696M | 1.38B | 2.33B | 2.9B | 3.26B | 2.55B | 2.36B | 2.48B | 1.94B | 1.16B | 1.03B | 1.18B | 1.15B | 1.3B | 1.05B | 903M | 570.32M | 548M |
| Effective Tax Rate % | 16.95% | 17.49% | 18.99% | 13.6% | -31.67% | 143.4% | 19.71% | 20.74% | -2.86% | -28.78% | 4.11% | 7.92% | 0.88% | 21.3% | 18% | 18.99% | 26.38% | 30.19% | 29.39% | 29.51% | 29.03% | 29.14% | 23.97% | 25.34% | 26.98% | 27.08% | 33.75% | 29.47% | 28.91% | 31.91% | 32.82% |
| Net Income | 10.45B | 10.26B | 7.04B | 5.96B | 3.29B | 112M | 3.2B | 1.33B | 2.15B | 3B | 3.5B | 2.83B | 1.23B | 2.56B | 6.24B | 9.92B | 8.05B | 7.52B | 6.1B | 5.59B | 6.04B | 4.71B | 3.66B | 3.04B | 2.84B | 4.16B | 2.54B | 1.14B | 1.19B | 1.21B | 1.1B |
| Net Margin % | 17.02% | 17.46% | 13.01% | 13% | 7.41% | 0.3% | 12.01% | 5.47% | 9.76% | 13.36% | 15.21% | 11.43% | 4.64% | 9.9% | 22.31% | 29.52% | 24.21% | 22.93% | 19.31% | 18.93% | 22.83% | 19.65% | 17.1% | 16.11% | 15.9% | 25.22% | 14.02% | 7.55% | 10.47% | 14.05% | 11.99% |
| Net Income Growth % | 25.93% | 45.77% | 18.14% | 81.11% | 2835.71% | -96.5% | 139.4% | -38.05% | -28.19% | -14.23% | 23.86% | 129.12% | -51.76% | -59.04% | -37.08% | 23.15% | 7.07% | 23.27% | 9.04% | -7.41% | 28.41% | 28.44% | 20.69% | 7% | -31.73% | 63.59% | 122.39% | -3.6% | -1.79% | 9.59% | 112.09% |
| Net Income (Continuing) | 10.45B | 10.23B | 7.04B | 5.96B | 3.29B | 115M | 3.14B | 1.23B | 2.05B | 2.87B | 3.41B | 2.83B | 1.24B | 2.57B | 6.27B | 9.95B | 8.08B | 7.54B | 6.13B | 5.59B | 6.04B | 4.71B | 3.66B | 3.02B | 3.19B | 3.1B | 2.55B | 2.51B | 2.22B | 1.22B | 1.12B |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 74.91M | 52M | 85M | 23M | 21M | 19M | 16M | 1.47B | 1.58B | 1.68B | 1.81B | 19M | 19M | 29M | 215M | 226M | 197M | 161M | 148M | 137M | 112M | 94M | 93M | 79M | 54M | 51.85M | 20.91M | 39.98M | 53.12M | 52.9M | 178.1M |
| EPS (Diluted) | 6.70 | 13.08 | 9.00 | 7.62 | 4.22 | 0.16 | 4.88 | 2.06 | 3.40 | 4.74 | 5.52 | 4.46 | 1.96 | 4.08 | 9.86 | 14.60 | 11.14 | 10.38 | 8.40 | 7.46 | 7.70 | 5.82 | 436.00 | 356.00 | 3.28 | 3.30 | 2.86 | 1.28 | 2.92 | 2.54 | 2.32 |
| EPS Growth % | -22.03% | 45.33% | 18.11% | 80.57% | 2537.5% | -96.72% | 136.89% | -39.41% | -28.27% | -14.13% | 23.77% | 127.55% | -51.96% | -58.62% | -32.47% | 31.06% | 7.32% | 23.57% | 12.6% | -3.12% | 32.3% | -98.67% | 22.47% | 10753.66% | -0.61% | 15.38% | 123.44% | -56.16% | 14.96% | 9.48% | 110.91% |
| EPS (Basic) | - | 13.20 | 9.08 | 7.62 | 4.24 | 0.16 | 4.88 | 2.06 | 3.40 | 4.74 | 5.54 | 4.46 | 1.96 | 4.08 | 9.98 | 14.66 | 11.20 | 10.38 | 8.40 | 7.48 | 7.72 | 5.82 | 436.00 | 356.00 | 3.28 | 3.30 | 2.86 | 1.28 | 2.94 | 2.54 | 2.32 |
| Diluted Shares Outstanding | 1.56B | 781M | 781.5M | 781M | 780M | 713.5M | 656.5M | 650.5M | 633.5M | 633.5M | 633M | 632.5M | 632M | 627M | 632M | 683.5M | 723M | 725M | 726.5M | 749M | 785M | 809M | 836.5M | 854.5M | 867.5M | 879M | 884M | 888M | 466.8M | 475.5M | 473.5M |
| Basic Shares Outstanding | 1.55B | 775M | 775M | 781M | 774M | 709M | 656M | 650.5M | 633.5M | 633M | 632.5M | 632M | 631M | 626M | 630.5M | 680.5M | 719M | 724M | 726.5M | 747.5M | 782M | 808.5M | 836.5M | 854.5M | 866.5M | 879M | 884M | 888M | 466.8M | 474M | 473.5M |
| Dividend Payout Ratio | - | 48.47% | 65.8% | 75.25% | 132.73% | 3442.86% | 111.76% | 269.06% | 161.67% | 117.26% | 101.77% | 123.4% | 285.56% | 135.41% | 58.73% | 37.95% | 41.74% | 39.58% | 44.89% | 47.2% | 36.74% | 36.49% | 37.61% | 40.25% | 43.49% | 29.74% | - | - | 83.95% | - | - |
Quick answers to the most common questions about buying AZN stock.
For fiscal year 2025, AstraZeneca PLC (AZN) reported total revenue of $58.74B. This represents a 539.6% increase compared to $9.18B in 1996.
AstraZeneca PLC (AZN) is profitable, generating $10.26B in net income for the fiscal year ending 2025 with a net profit margin of 17.5%.
AstraZeneca PLC (AZN) reported an operating income of $13.74B, resulting in an operating profit margin of 23.4%. This margin reflects the operational efficiency of the business before interest and taxes.
AstraZeneca PLC (AZN) generated $48.11B in gross profit for the year, representing a gross profit margin of 81.9%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
IRA pricing and China exposure
Steady Growth Amidst Mixed Drivers
AstraZeneca's revenue grew 6.4% YoY in 2026Q2, decelerating from 12.5% in 2026Q1, yet maintaining a stable trajectory above 4% for the last four quarters, as per recent financial statements.
The deceleration in the latest quarter suggests a normalization after a strong Q1, possibly reflecting lumpy externalization revenue or timing of collaborations. However, the consistent mid-single-digit growth indicates durable demand across oncology and rare disease portfolios, though investors should monitor the impact of China's NRDL pricing and IRA negotiations on future growth.
Gross Margin Resilience with Operating Pressure
Gross margin expanded to 83.6% in 2026Q2, up from 82.9% a year earlier, but operating margin contracted to 20.6% from 24.3%, reflecting higher R&D and SG&A intensity, as reported in quarterly filings.
The gross margin improvement suggests a favorable product mix shift toward biologics and rare disease therapies, which carry higher pricing power. However, the operating margin compression indicates increased investment in pipeline and commercialization, possibly for the GLP-1 entry and ADC assets. This trade-off may be intentional to sustain long-term growth, but investors should watch for margin recovery as these investments mature.
Operating Leverage Stalled by Rising Costs
Operating income grew only 9% in 2026Q2 despite 6.4% revenue growth, as R&D and SG&A expenses rose 17% and 16% YoY respectively, indicating limited operating leverage, based on income statement data.
The disproportionate increase in operating expenses suggests that AstraZeneca is in an investment phase, possibly scaling up for new launches and pipeline advancement. This may limit near-term margin expansion, but if these investments translate into revenue acceleration, operating leverage could improve. The lack of SBC data suggests no dilution impact, but the high fixed-cost base remains a structural feature.
Earnings Volatility Masks Underlying Strength
Net income fell 49.4% YoY in 2026Q2 to $2.5B, despite stable revenue, while EPS dropped to $1.59 from $3.14, indicating non-operating items or tax effects, as per reported figures.
The sharp decline in EPS contrasts with the modest revenue growth, suggesting one-off charges or higher effective tax rates. The absence of SBC data implies no dilution, but the volatility in EPS across quarters (e.g., $3.74 in 2025Q1 vs $1.48 in 2025Q4) points to non-recurring items. Investors should adjust for these to assess core earnings power, which appears more stable.
R&D and SG&A Escalation Pressures Margins
R&D spending reached $4.1B in 2026Q2, up 17% YoY, while SG&A rose to $5.8B, up 16%, collectively consuming 64% of revenue, as per income statement data.
The elevated R&D intensity (26.6% of revenue) reflects AstraZeneca's commitment to pipeline innovation, particularly in oncology and metabolic diseases. SG&A growth suggests increased commercialization efforts, possibly for new launches. While these investments are necessary for long-term growth, they compress current margins and require successful pipeline execution to justify the cost.
Margin Compression and Growth Sustainability Risks
Despite strong gross margins, operating margin at 20.6% lags peers like Merck (36.2%) and Lilly (45.6%), and the 6.4% revenue growth may decelerate further due to IRA price cuts and China regulatory pressures, as per comparative data.
Short-sellers could argue that AstraZeneca's growth is not as robust as it appears, given the reliance on collaboration revenue and externalization deals. The upcoming IRA negotiations on Farxiga could significantly impact revenue, and China's pricing environment may erode emerging market growth. Additionally, the high R&D spend may not yield commensurate returns if pipeline assets fail. These factors warrant close monitoring.