GlaxoSmithKline profits increased 16pc in the first quarter, driven by better-than expected swine flu vaccine sales.
Pre-tax profits climbed to £1.93bn in the first three months of the year as turnover jumped 13pc to £7.36bn, the pharmaceuticals group said on Wednesday.
Sales of its H1N1 vaccine amounted to £698m on the back of last year's swine flu crisis. Glaxo forecast another £200m in related sales in the remaining nine months of the year, with the threat of a pandemic having receded.
Andrew Witty, chief executive, said he was encouraged by underlying revenue growth of 4pc – excluding pandemic flu products – which reflected success in diversifying into emerging markets and consumer health.
Sales from conventional "white pills" in Western markets accounted for just 27pc of first-quarter sales, down from 32pc a year ago.
Mr Witty also reassured investors that Glaxo would be able absorb the cost of Barack Obama's US healthcare reforms through an ongoing efficiency drive.
GSK shares rose 15p to £12.29 in afternoon trading.
Glaxo's strong performance follows better-than-expected quarterly results and resilient outlooks from rival European drugmakers Roche, Novartis and Novo Nordisk.
No comments:
Post a Comment