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Year-To-Date and Q3 2017 Results Conference call and webcast for investors and analysts 09 November 2017

Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

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Page 1: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

Year-To-Date and Q3 2017 Results

Conference call and webcast for investors and analysts 09 November 2017

Page 2: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

In order, among other things, to utilise the 'safe harbour' provisions of the US Private Securities Litigation Reform Act 1995, we are providing the following cautionarystatement:This document contains certain forward-looking statements with respect to the operations, performance and financial condition of the Group, including, among otherthings, statements about expected revenues, margins, earnings per share or other financial or other measures. Although we believe our expectations are based onreasonable assumptions, any forward-looking statements, by their very nature, involve risks and uncertainties and may be influenced by factors that could causeactual outcomes and results to be materially different from those predicted. The forward-looking statements reflect knowledge and information available at the date ofpreparation of this document and AstraZeneca undertakes no obligation to update these forward-looking statements. We identify the forward-looking statements byusing the words 'anticipates', 'believes', 'expects', 'intends' and similar expressions in such statements. Important factors that could cause actual results to differmaterially from those contained in forward-looking statements, certain of which are beyond our control, include, among other things: the loss or expiration of, orlimitations to, patents, marketing exclusivity or trademarks, or the risk of failure to obtain and enforce patent protection; effects of patent litigation in respect of IP rights;the impact of any delays in the manufacturing, distribution and sale of any of our products; the impact of any failure by third parties to supply materials or services; therisk of failure of outsourcing; the risks associated with manufacturing biologics; the risk that R&D will not yield new products that achieve commercial success; the riskof delay to new product launches; the risk that new products do not perform as we expect; the risk that strategic alliances and acquisitions, including licensing andcollaborations, will be unsuccessful; the risks from pressures resulting from generic competition; the impact of competition, price controls and price reductions; therisks associated with developing our business in emerging markets; the risk of illegal trade in our products; the difficulties of obtaining and maintaining regulatoryapprovals for products; the risk that regulatory approval processes for biosimilars could have an adverse effect on future commercial prospects; the risk of failure tosuccessfully implement planned cost reduction measures through productivity initiatives and restructuring programmes; the risk of failure of critical processes affectingbusiness continuity; economic, regulatory and political pressures to limit or reduce the cost of our products; failure to achieve strategic priorities or to meet targets orexpectations; the risk of substantial adverse litigation/government investigation claims and insufficient insurance coverage; the risk of substantial product liabilityclaims; the risk of failure to adhere to applicable laws, rules and regulations; the risk of failure to adhere to applicable laws, rules and regulations relating to anti-competitive behaviour; the impact of increasing implementation and enforcement of more stringent anti-bribery and anti-corruption legislation; taxation risks; exchangerate fluctuations; the risk of an adverse impact of a sustained economic downturn; political and socio-economic conditions; the risk of environmental liabilities; the riskof occupational health and safety liabilities; the risk associated with pensions liabilities; the impact of failing to attract and retain key personnel and to successfullyengage with our employees; the risk of misuse of social medial platforms and new technology; and the risk of failure of information technology and cybercrime. Nothingin this presentation / webcast should be construed as a profit forecast.

2

Forward-looking statements

Page 3: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

3

Presenters

Pascal SoriotExecutive Director andChief Executive Officer

Mark MallonExecutive Vice President, Global Products & Portfolio Strategy, Global Medical Affairs, Corporate Affairs

Dave FredricksonExecutive Vice President andHead, Oncology Business Unit

Marc DunoyerExecutive Director andChief Financial Officer

Sean BohenExecutive Vice President, Global Medicines Development and Chief Medical Officer

Page 4: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

4

Agenda

Overview

Growth Platforms

Oncology

Finance

Pipeline and news flow

Closing and Q&AAntibody that blocks inhibitory signals

from the tumour to cells of the immune system, resulting in enhanced anti-

tumour immunity

Page 5: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

Business & financials

Total Revenue decreased by 3% with the decline in Product Sales decelerating (-2% Q3 vs -8% YTD)

Growth Platforms improved• Emerging Markets: Up 7%; accelerating in Q3

• China: Up 10%; five additional medicines reimbursed• Respiratory: Quarterly improvement; continued impact from US Symbicort• New CVMD1: Brilinta (+31%); Farxiga (+24%)• Japan: Up 5%; lapping price cuts and strong Tagrisso• New Oncology2: Lynparza US Q3 growth; Tagrisso strength ($651m)

EPS as expected and supporting updated 2017 guidance

Sustainable business• Ranked in the Dow Jones Sustainability Index (DJSI) World and Europe• One of only 25 companies worldwide to be awarded a position on CDP’s annual ‘A List’ for climate and water

YTD 2017: Performance in line with expectations

5

Highlights

1. New Cardiovascular & Metabolic Diseases comprises Brilinta and Diabetes.2. New Oncology comprises Lynparza, Tagrisso, Iressa US, Imfinzi and Calquence.Absolute values at actual exchange rates; change at Constant Exchange Rates (CER) and for YTD 2017, unless otherwise stated. Guidance at CER.

Page 6: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

Pipeline developments

Oncology • Faslodex breast cancer 1L Approval (US)• Lynparza ovarian cancer 2L, 4L/tablets Approval (US)

breast cancer Regulatory submission, Priority Review (US, JP)• Tagrisso lung cancer 1L Breakthrough Therapy Designation (US)• Imfinzi lung cancer Stage III unresect. Regulatory submission (US/Priority Review, EU, JP)

Breakthrough Therapy Designation (US)• Calquence mantle cell lymphoma 2L Approval (US)

Breakthrough Therapy Designation (US)• moxetumomab hairy cell leukaemia 3L Phase III trial met primary endpoint

Cardiovascular & • Brilinta Prior MI1 Approval (CN)Metabolic Diseases • Farxiga + Bydureon type-2 diabetes Approval (US, EU)

• Bydureon BCise type-2 diabetes Approval (US), regulatory submission acceptance (EU)

Respiratory • Symbicort COPD2 exacerbations Approval (US)• Duaklir COPD Phase III trial met primary endpoint• tralokinumab severe, uncontrolled Phase III trials did not meet primary endpoints

asthma

Q3 2017: Unprecedented pipeline news flow

6

Highlights, continued

1. Myocardial infarction.2. Chronic obstructive pulmonary disease.Status since 27 July 2017.

Page 7: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

20,000

YTD 2012 YTD 2013 YTD 2014 YTD 2015 YTD 2016 YTD 2017

A new AstraZeneca is emerging from the patent losses

7

Product Sales: An inflection point approaching

Absolute values and change at CER.

$m

+5%YTD 2017

(+6% Q3 2017)

US patent losses(Crestor/Nexlum/Seroquel)

Other out-of-patent medicines(outside Emerging Markets)

Externalisation

Emerging Markets (established medicines)

Respiratory

Oncology

New CVMD(Brilinta & Diabetes)

Page 8: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

8

2017: Already a defining year

2012 2013 2014 2015 2016 2017

benralizumab

Launches of new medicinesfrom main therapy areas

Some of the key news flowopportunities in 2017

Imfinzi /Imfinzi + treme

NSCLC 1L MYSTIC PFS

Imfinzibladder cancerreg. decision

TagrissoNSCLC 1LFLAURA

benralizumabasthma

reg. decision

Lynparzamultiple cancers

data readouts

Calquenceblood cancersfast-to-market

opportunity

ZS-9hyperkalaemiareg. decision

1. Non-small cell lung cancer.

✘PDUFAQ4 2017 ✓

ImfinziNSCLC1 Stage III

PACIFIC PFS

✓ ✓✘✓✓

Page 9: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

9

Agenda

Overview

Growth Platforms

Oncology

Finance

Pipeline and news flow

Closing and Q&AAntibody that blocks inhibitory signals

from the tumour to cells of the immune system, resulting in enhanced anti-

tumour immunity

Page 10: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

Q3 2017 $m % change % Total

Revenue% Product

SalesYTD 2017

$m % change % TotalRevenue

% Product Sales

Growth Platforms 3,760 6 60 77 11,055 4 66 75

Emerging Markets 1,515 10 - - 4,519 7 - -

Respiratory 1,092 (2) - - 3,372 (3) - -

New CVMD 873 7 - - 2,543 5 - -

Japan 578 4 - - 1,645 5 - -

New Oncology 339 73 - - 876 97 - -

10

Growth Platforms: Solid Q3 with improving performance

Total Product Sales for Growth Platforms are adjusted to remove duplication on a medicine and regional basis.Product Sales values at actual exchange rates; change at CER.

Page 11: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

• Mid to high single-digit growth continued• Growth impacted by economic conditions in

LatAm/MEA1

• Underlying growth ~5% higher when adjusting for partnerships/divestments

• Oncology +22%: Zoladex (+10%), Iressa (+8%), Faslodex (+23%) benefited from greater access; Tagrisso ($85m) already making a real difference

• New CVMD +23%: Key growth medicines Brilinta(+32%) and Forxiga (+72%) continued to perform

• Respiratory +9%: Continued double-digit growth for Pulmicort (+19%; 59% of total); Symbicort (+8%)

Strong China growth

11

Emerging Markets

Solid Emerging Markets;China growth increased

Product Sales acceleratedLong-term target: Mid to high single-digit

1. Latin America and Middle-East & Africa.Change at CER.

4%

8%

12% 12%

6%

FY 2012

FY 2013

FY 2014

FY 2015

FY 2016

Emer

ging

Mar

kets

17% 19% 22%

15% 10%

FY 2012

FY 2013

FY 2014

FY 2015

FY 2016

Chi

na

10%

7%

Q3 2017 YTD 2017

Emer

ging

Mar

kets

14%

10%

Q3 2017 YTD 2017

Chi

na

Page 12: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

0

1,000

2,000

3,000

YTD 2017

US -13%• Symbicort pricing pressure

continued as expected despite some relief in Q3

• Growth in new medicines• Daliresp (+23%); Bevespi

continued to progress

Europe -6%• Overall stable Symbicort volume• Growth in new medicine

• Duaklir (+25%)

Emerging Markets +9%

Continued challenging market for Symbicort

12

Respiratory

Global focus: Emphasis on Symbicort’s competitive profile

Overall US and Europemarket share stabilitySteady Pulmicort growth

NBRx = New-to-brand prescriptions.Source: QuintilesIMS.

Chart legend: Symbicort Pulmicort Others

Absolute values at actual exchange rates; change at CER.

$m

0

500

1,000

Q3 2017

0%

7%

-8%

-3%

32.1%

Jan-17

Mar-17

May-17

Jul-17

Sep-17

US

5-w

eek

NB

Rx

mar

ket

shar

e

Symbicort

31.1%

Aug-16

Sep-16

Oct-16

Nov-16

Dec-16

Jan-17

Feb-17

Mar-17

Apr-17

May-17

Jun-17

Jul-17

Aug-17

Euro

pe v

olum

em

arke

t sh

are

Symbicort

-4%

9%

-4%

-2%

Page 13: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

0

500

1,000

1,500

2,000

YTD 20170

250

500

750

YTD 2017

Brilinta +31%• Continued solid growth across all

geographies

Farxiga +24%• US (+4%) back to growth due to

reduced affordability programmes and supported by scientific rollout of CVD-REAL study

• Ex-US (54% of total)Continued growth, e.g. Europe (+27%), Emerging Markets (+72%)

Strong Brilinta and Farxiga performance

13

New CVMD

Commercial focus continued on the two differentiated medicines

Diabetes: Farxiga global leadership continued

Brilinta: Strong performance;US NBRx continued upwards

Chart legend: Farxiga Onglyza Bydureon Byetta Others

Source: QuintilesIMS. Farxiga: Includes fixed-dose combinations.

$m

Chart legend: US Europe Emerging Markets Established Rest of World

Absolute values at actual exchange rates; change at CER.

$m

0

100

200

300

Q3 20170

200

400

600

Q3 2017

46%24%

-3%

-25%

-2%13%

32%

14.7%

4.4%

Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Sep-17

Brilinta Competitor

40.2%

18.8%

33.4%

Jun-16 Sep-16 Dec-16 Mar-17 Jun-17

Farxiga Competitor 1 Competitor 2

67%

12%

24%

29%

-3%

-25%-12%

Page 14: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

Up to 1.4%HbA1c1 reduction

Up to 3.1lbsWeight loss

Will help compete in a dynamic diabetes market

14

Bydureon BCise now approved in the US

1. Glycated haemoglobin.Source: US prescribing information.

New, easy-to-use, once-weekly medicine for type-2 diabetes

Unique, continuous-release microsphere delivery system

Page 15: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

0

400

800

1,200

1,600

YTD 2017

US +5

• SymbicortGrowth and market leadership; partner buying patterns

• TagrissoContinued strong growth; encouraging testing rate and penetration (~80%)

• NexiumGrowth slightly ahead of market; remained a leader in the class

• CrestorGrowth slowed ahead of increased competition

Steady growth supported by Tagrisso

15

Japan

Tagrisso: Q3 reduced by Ryotanki1 lift in Q2 2017

Growth continued+4% Q3; +5% YTD

Chart legend: Crestor Nexium Tagrisso Symbicort Other

Absolute values at actual exchange rates; change at CER.

$m$m

0

200

400

600

Q3 2017

n/m

8%

2%

-11%

5%

0

15

28

39 39

64

55

0

10

20

30

40

50

60

70

Q1 2016

Q2 2016

Q3 2016

Q4 2016

Q1 2017

Q2 2017

Q3 2017

1. Ryotanki: Regulation in Japan that restricts prescriptions formedicines in their first year on the market to just two weeks.

Key medicines grew well and continued to lead their markets

n/m

0%

1%

-3%

-7%

Page 16: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

Quarterly sales now >$1bn

16

Oncology

• Total Oncology +19%

• Already 20% of total Product Sales

• Six new medicines 2014-2020 with four delivered

• Lynparza

• Tagrisso

• Imfinzi: Strategic US launch May 2017 in bladder

cancer 2L enabling awareness, account openings and

formulary access. Steady progress; mid-single digit

share of new patients / shared 3rd market position

• Calquence: Entry into blood cancers

Oncology Product SalesNew medicines boosting growth$m

Absolute values at CER.

0

200

400

600

800

1,000

1,200

Q1 2014

Q2 2014

Q3 2014

Q4 2014

Q1 2015

Q2 2015

Q3 2015

Q4 2015

Q1 2016

Q2 2016

Q3 2016

Q4 2016

Q1 2017

Q2 2017

Q3 2017

Other Oncology Zoladex Faslodex Iressa Lynparza Tagrisso Imfinzi

Page 17: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

Global leader in DNA damage response

17

Lynparza

Absolute values at actual exchange rates.

• Joint Steering Committee and subteams created and agreed commercial and development plans

• Collaboration infrastructure set up and agreed

• MRK sales reps will start promoting Lynparza in early 2018

• EuropeSteady progress in 2L ovariancancer, despite capsule label

• USReturned to growth in Q3; stronglaunch of tablets and new broad label in OC1

• Next commercial milestones• Tablets in Europe (H1 2018)• BC2 launch in US (H1 2018)• First launch in Japan; OC (H1• 2018 followed by BC (H2 2018)

Back to strong growth US returned to growth in Q3 MRK collaboration status since H1 2017 Results announcement

Chart legend: Europe US Established Rest of World Emerging Markets

Absolute values at actual exchange rates.

0

20

40

60

80

100

Q1 2015

Q3 2015

Q1 2016

Q3 2016

Q1 2017

Q3 2017

1. Ovarian cancer.2. Breast cancer.

$m

Page 18: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

Quickly progressing with making medicines available to patients

18

Lung cancer: Tagrisso and Imfinzi

• USHigher testing rates underpinned growth

• EuropePositive reimbursement decisionin Germany

• JapanTesting rates >90%, 2L T790M penetration ~80%

• Emerging MarketsChina launch progressing well

Tagrisso ImfinziLocally-advanced, unresectable NSCLC

Chart legend: Emerging Markets Established Rest of World US Europe

Absolute values at actual exchange rates.

7Regulatory submissions1

Other Q3 achievements• ESMO presentation/NEJM

publication• Global early-access

programme initiated

0

50

100

150

200

250

300

Q1 2016

Q2 2016

Q3 2016

Q4 2016

Q1 2017

Q2 2017

Q3 2017

Imfinzi is not yet approved in lung cancer.

1. US, EU, Japan, Switzerland, Canada, Australia, Brazil.

$m

Page 19: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

For adult patients with previously-treated mantle cell lymphoma

19

Calquence

40%Complete response rate

80%Objective response rate

Source: US prescribing information.

Page 20: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

20

Agenda

Overview

Growth Platforms

Oncology

Finance

Pipeline and news flow

Closing and Q&AAntibody that blocks inhibitory signals

from the tumour to cells of the immune system, resulting in enhanced anti-

tumour immunity

Page 21: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

YTD 2017$m % change % Total

RevenueQ3 2017

$m % change % Total Revenue

Total Revenue 16,688 (3) 100 6,232 10 100

- Product Sales 14,665 (8) 88 4,882 (2) 78

- Externalisation Revenue 2,023 50 12 1,350 n/m 22

Gross Margin 80.3% (2) pp1 - 77.7% (4) pp -

R&D Expenses 4,206 (1) 25 1,404 1 23

SG&A Expenses 7,155 (9) 43 2,497 5 40

Other Operating Inc. & Exp. 982 86 6 143 29 2

Tax Rate 12% - - 13% - -

EPS $1.34 (4) $0.54 (33)

21

Reported Profit & Loss

1. Percentage points.Absolute values at actual exchange rates; change at CER.Gross Margin reflects Gross Profit derived from Product Sales, divided by Product Sales.

Page 22: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

YTD 2017$m % change % Total

RevenueQ3 2017

$m % change % Total Revenue

Total Revenue 16,688 (3) 100 6,232 10 100

- Product Sales 14,665 (8) 88 4,882 (2) 78

- Externalisation Revenue 2,023 50 12 1,350 n/m 22

Gross Margin 81.8% (1) pp - 79.6% (4) pp -

R&D Expenses 3,956 (2) 24 1,339 - 21

SG&A Expenses 5,678 (5) 34 1,950 4 31

Other Operating Inc. & Exp. 1,101 94 7 143 32 2

Tax Rate 18% - - 17% - -

EPS $2.98 (7) $1.12 (17)

22

Core Profit & Loss

Absolute values at actual exchange rates; change at CER.Gross Margin reflects Gross Profit derived from Product Sales, divided by Product Sales.

Page 23: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

Sustainable income increased

23

Externalisation Revenue

• Sustainable and Ongoing Externalisation Revenue

annualising at >$500m in 2017

• MRK collaboration expected to provide further and

increasing income in the years to come

• $1.6bn this year - $1bn in Externalisation Revenue

• $750m option payments in 2017-2019

• Regular milestones; approval (~1/3) and sales-

related (~2/3); mono and combo therapy

• First milestone anticipated in 2018

Key observations

0

200

400

600

800

1,000

1,200

1,400

1,600

Q1 2014

Q2 2014

Q3 2014

Q4 2014

Q1 2015

Q2 2015

Q3 2015

Q4 2015

Q1 2016

Q2 2016

Q3 2016

Q4 2016

Q1 2017

Q2 2017

Q3 2017

Total Sustainable and Ongoing Externalisation Revenue MRK Collaboration Initial Revenue

Increasing contribution from Sustainable and Ongoing Externalisation Revenue, incl. MRK$m

Absolute values at actual exchange rates.

Page 24: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

• Reduction in Core R&D costs

• YTD 2017: Down by 2%

• FY 2017: Core R&D costs are expected to be broadly

in line with those in FY 2016

• Significant reduction in Core SG&A costs

• YTD 2017: Down by 5%

• Q3 2017: Continued cost discipline; increase of 4%

reflects comparative period, early investment in

upcoming launches and Emerging Markets/China

0

500

1,000

1,500

Q1 2014

Q2 2014

Q3 2014

Q4 2014

Q1 2015

Q2 2015

Q3 2015

Q4 2015

Q1 2016

Q2 2016

Q3 2016

Q4 2016

Q1 2017

Q2 2017

Q3 2017

24

Continued progress and focus on cost discipline

Absolute values at actual exchange rates; change at CER.

Significant reduction in Core SG&A costs

Reduction in Core R&D costs

(5)%YTD

(2)%YTD

Continued reduction in Core costs$m

0

1,000

2,000

3,000

4,000

Q1 2014

Q2 2014

Q3 2014

Q4 2014

Q1 2015

Q2 2015

Q3 2015

Q4 2015

Q1 2016

Q2 2016

Q3 2016

Q4 2016

Q1 2017

Q2 2017

Q3 2017

$m

Page 25: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

Detailed breakdown

25

Focus: Cash flow

$m

Absolute values at actual exchange rates.

2,581 2,185

622

162 244

537 194

157 30 28

YTD 16 net cash inflow from operating activities

Reported operating profit

Depreciation, amortisation

and impairment

(Increase)/decrease in working

capital and short-term provisions

(Gains)/losses on disposal

of intangible assets

Fair value movement on contingent consideration

arising from business combinations

Non-cash and other movements

Interest paid Tax paid YTD 17 net cash inflow from operating activities

Page 26: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

26

FY 2017 guidance and capital-allocation priorities

Guidance at CER.

Guidance

Investment in the business

Progressive dividend policy

Strong, investment-grade credit rating

Immediately earnings-accretive, value-enhancing opportunities

Total RevenueLow to mid single-digit percentage decline

Core EPS

Towards the favourable end of a low to mid teens percentage decline

Capital-allocation priorities

Page 27: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

Antibody that blocks inhibitory signals from the tumour to cells of the immune

system, resulting in enhanced anti-tumour immunity

27

Agenda

Overview

Growth Platforms

Oncology

Finance

Pipeline and news flow

Closing and Q&A

Page 28: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

• Symbicort - COPD exacerbations: Approval (US)

• Duaklir - COPD: Phase III trial met primary endpoint

• tralokinumab - severe, uncontrolled asthma: Phase III STRATOS 2 trial did not meet primary endpoint

• Brilinta - prior MI: Approval (CN)

• Farxiga + Bydureon - type-2 diabetes: Approval (US, EU)

• Bydureon BCise (autoinjector) -type-2 diabetes: Approval (US), regulatory submission acceptance (EU)

• roxadustat - anaemia: Completion of rolling regulatory submission (CN)3

• Faslodex - breast cancer 1L: Approval (US)

• Lynparza- ovarian cancer 2L, 4L/tablets: Approval(US)- breast cancer: Regulatory submission, Priority Review (US, JP)

• Tagrisso - lung cancer 1L (FLAURA): Breakthrough Therapy Designation (US)

• Imfinzi - lung cancer Stage III (PACIFIC):RSA1 (US / Priority Review, EU, JP)Breakthrough Therapy Designation (US)

• Calquence - MCL2 2L: Approval (US), Breakthrough Therapy Designation (US)

• Moxetumomab pasudotox - hairy cell leukaemia 3L: Phase III met primary endpoint

28

Q3 2017 late-stage pipeline update

RespiratoryCardiovascular &Metabolic DiseasesOncology

1. Regulatory submission acceptance.2. Mantle cell lymphoma.3. By partner Fibrogen.Status since 27 July 2017.

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Highlights from ESMO

29

Oncology

Tagrisso FLAURA• Regulatory submission

acceptances anticipated during Q4 2017

Imfinzi PACIFIC• Regulatory submissions and/or

acceptances in US (Priority Review), EU, Japan, Switzerland, Canada, Australia, Brazil

• Anticipate first regulatory decisions H1 2018

• Imfinzi - locally-advanced (Stage III), unresectable NSCLC

• Tagrisso - EGFRm 1L NSCLC (FLAURA)

Regulatory progressEuropean Society for Medical Oncology (ESMO)Potential new standards of care in lung cancer

FLAURA regulatory sub-mission acceptances Q4 2017

PACIFIC regulatorysubmissions accepted

Sources: ESMO 2017 and Antonia S. J. et al., Durvalumab afterChemoradiotherapy in Stage III Non–Small-Cell Lung Cancer, NEJM 2017.

Randomisation in the PACIFIC trial occurred up to 6 weeks after concurrent chemoradiation therapy (cCRT)

and cCRT typically lasted at least 6 weeks. If the PFS had been measured prior to cCRT, it would add

approximately 3 months or longer to the PFS value for each arm.

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Highlights from ESC and EASD

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Cardiovascular & Metabolic Diseases

• Forxiga - type-1 diabetes (Phase III DEPICT 1 trial):Significant and clinically-relevant reductions from baseline in HbA1c, weight and lowered daily insulin dose at 24 weeks vs. placebo

• Bydureon - type-2 diabetes (Phase III EXSCEL cardiovascular outcomes trial):Met primary safety objective; did not meet primary efficacy objective. Subgroup analyses ongoing

• Sub-analysis of Phase III PEGASUS trial showed that 60mg Brilinta twice daily reduced the risk of cardiovascular death by 29% vs. placebo in combination with aspirin

European Association forthe Study of Diabetes (EASD)

European Societyof Cardiology (ESC)

Source: ESC 2017, EASD 2017.

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• Severe, uncontrolled asthma• Pooled analysis characterising predictors of enhanced response• Regulatory decision: Q4 2017 (US); and H1 2018 (EU, JP)

• Severe, uncontrolled asthma• Positive Phase IIb PATHWAY trial• Potential to help a broad group of patients; irrespective of biomarkers as it

works on an upstream mechanism in the inflammatory cascade

Tezepelumab annual asthma exacerbation rate vs. placebo at week 52 irrespective of baseline biomarker status

Benralizumab Q8W annual asthma exacerbation rate reduction by eosinophil ranges (full analysis set, pooled)

Highlights from ERS1

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Respiratory

1. European Respiratory Society.

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Unlocking and realising the potential of new medicines

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Late-stage pipeline news flow in 2017 and 2018

Q4 2017 H1 2018 H2 2018Regulatory decision benralizumab - severe, uncontrolled asthma (US) Lynparza

- ovarian cancer 2L (EU, JP)- breast cancer (US)

Imfinzi - lung cancer (PACIFIC) (US)

benralizumab - severe, uncontrolled asthma (EU, JP)

Lynparza - breast cancer (JP)

Imfinzi - lung cancer (PACIFIC) (EU, JP)

Bydureon BCise - type-2 diabetes (EU)

Bevespi - COPD (EU)

Regulatory submission Tagrisso - lung cancer 1L Lynparza - breast cancer (EU)

Imfinzi +/- treme - lung cancer 3L (ARCTIC)

moxetumomab pasudotox - hairy cell leukaemia 3Lselumetinib - thyroid cancer

Bevespi - COPD (JP)Duaklir - COPD (US)

Lynparza - ovarian cancer 1L

Imfinzi + treme - lung cancer 1L (NEPTUNE)Imfinzi +/- treme- lung cancer 1L (MYSTIC)- head & neck cancer 1L, 2L (KESTREL, EAGLE)

roxadustat - anaemia (US)

benralizumab - COPDPT010 - COPD (JP)

Key Phase III data readouts

- Lynparza - ovarian cancer 1L

Imfinzi +/- treme- lung cancer 3L (ARCTIC)- lung cancer 1L (MYSTIC) (final OS)- head & neck cancer 1L, 2L (KESTREL, EAGLE)

selumetinib - thyroid cancer

PT010 - COPD

Imfinzi + treme - lung cancer 1L (NEPTUNE)

Farxiga - type-2 diabetes (DECLARE)

benralizumab - COPD

anifrolumab - lupus

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33

Agenda

Overview

Growth Platforms

Oncology

Finance

Pipeline and news flow

Closing and Q&AAntibody that blocks inhibitory signals

from the tumour to cells of the immune system, resulting in enhanced anti-

tumour immunity

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• YTD and Q3 2017 in line with expectations• Financials on track• Guidance reiterated/updated• Unprecedented pipeline news flow

• Business execution• Lynparza back to US growth, Tagrisso excels, Imfinzi PACIFIC regulatory

submissions, Calquence entry into blood cancers• Emerging Markets, Brilinta and Farxiga continued solidly

• 11 new potential medicines in Phase III/under registration ahead of busy news flow

A new AstraZeneca is steadily emerging from 2017

34

Pipeline-driven transformation gathers pace

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35

Q&A

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• YTD and Q3 2017 in line with expectations• Financials on track• Guidance reiterated/updated• Unprecedented pipeline news flow

• Business execution• Lynparza back to US growth, Tagrisso excels, Imfinzi PACIFIC regulatory

submissions, Calquence entry into blood cancers• Emerging Markets, Brilinta and Farxiga continued solidly

• 11 new potential medicines in Phase III/under registration ahead of busy news flow

A new AstraZeneca is steadily emerging from 2017

36

Pipeline-driven transformation gathers pace

Page 37: Year-To-Date and Q3 2017 Results - AstraZeneca 10 20 30 40 50 60 70 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 1. Ryotanki: Regulation in Japan that restricts prescriptions

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Year-To-Date and Q3 2017 Results

Conference call and webcast for investors and analysts 09 November 2017