Subscribe Login
DE4CC0DE-5FC3-4494-BCBF-4D50B00366B5
A-Brands

GSK Profit Misses Expectations As Vaccine Sales Disappoint, Stockpiling Eases

Britain's GSK fell short of quarterly expectations for profit on Wednesday, as sales of its existing vaccines fell and stockpiling of pain and lung medication tapered as countries eased coronavirus-induced lockdowns.

The company said it still expects adjusted earnings per share for the year to decline in the range of 1% to 4%, with the outcome dependent on the timing of a recovery in vaccination rates, particularly in the United States.

Rather than developing its own vaccine in the global race to combat the pandemic, GSK has instead focused on contributing its adjuvant technology to at least seven other global firms, including Sanofi and China's Clover.

COVID-19 Vaccine

GSK also signed a deal with Britain for up to 60 million doses of a possible COVID-19 vaccine being developed by the company and Sanofi. The company said discussions are underway with the EU and United States.

Vaccine sales fell 29% to £1.1 billion, below consensus of £1.26 billion. Sales of Shingrix, its blockbuster and recent growth driver, fell to £323 million, but was above estimates.

Turnover fell 3% to £7.62 billion in the three months ended 30 June on a constant currency basis, while adjusted earnings stood at 19.2 pence per share, the company said. GSK maintained its 2020 forecast.

The consumer healthcare division saw a 25% growth in sales to £2.4 billion.

Fourteen analysts on average expected second-quarter adjusted earnings of 20.1 pence per share and sales of £7.72 billion, according to a company-compiled consensus.

News by Reuters, additional reporting by ESM. Click subscribe to sign up to ESM: European Supermarket Magazine.

Stay Connected With Our Weekly Newsletter

Processing your request...

Thanks! please check your email to confirm your subscription.

By signing up you are agreeing to our Terms & Conditions and Privacy Policy
Enjoy unlimited digital access for 30 days
Get exclusive access to the latest grocery retail & FMCG news, interviews with industry leading executives, and expert analysis on the trends shaping the sector today
Enjoy unlimited digital access for 30 days
Enjoy unlimited digital access for 30 days
Get exclusive access to the latest grocery retail & FMCG news, interviews with industry leading executives, and expert analysis on the trends shaping the sector today
Enjoy unlimited digital access for 30 days