Covid-vaccine maker AstraZeneca has revealed that profits fell sharply in the first half on increasing costs linked to its takeover of U.S. biotech firm Alexion.
The pharmaceutical group added that sales of its Covid-19 vaccine Vaxzevria also slumped 49% in the second quarter of 2022.
The group added that annual revenue from Covid-19 medicines is anticipated to be broadly flat compared with 2021.
Net profit slumped 64 percent to $746 million compared with the first six months of last year, AstraZeneca said in a statement.
Operating expenses jumped 33 percent, “reflecting the addition of Alexion, and continued investment in new launches and the pipeline” of drugs, the group said.
That offset a 48-percent jump in revenue to more than $22 billion.
Revenue rose strongly thanks to sales of Alexion medicines.
The group said annual revenue from Covid-19 medicines is anticipated to be broadly flat compared with 2021.
Astra said the majority of Vaxzevria revenue this year was set to come from initial contracts struck as the pandemic took hold.