AstraZeneca Faces Investigation in China

AstraZeneca has reported a robust 19% increase in total revenue for the first nine months of 2024, driven by strong sales in cancer and heart care, prompting an upward revision of its full-year guidance for earnings per share and revenue growth. Despite these positive results, the company is facing scrutiny in China, where investigations into allegations of medical insurance fraud and data breaches have led to the detention of its China president, Leon Wang. CEO Pascal Soriot emphasized AstraZeneca's commitment to cooperating with Chinese authorities while maintaining its operations in the country, which accounted for 12% of global revenues in the third quarter. The company's core earnings per share rose 11% to $6.12, reflecting the underlying momentum in its business. AstraZeneca aims to continue this growth trajectory into 2025 and is focused on delivering innovative medicines to patients. The ongoing investigations, however, pose potential challenges as the firm navigates its responsibilities in the key Chinese market.