GlaxoSmithKline 2Q Net Profit Fell Despite Higher Sales; Backs 2021 Outlook -- Update
July 28 2021 - 8:52AM
Dow Jones News
By Cecilia Butini
GlaxoSmithKline PLC said Wednesday that second-quarter net
profit fell from the previous year, though sales grew, and backed
its outlook for the full year.
The British pharmaceutical major posted net profit of 1.40
billion pounds ($1.94 billion) for the period, down from GBP2.26
billion the year prior. Adjusted earnings per share were 28.1 pence
compared with 19.2 pence for the same period a year earlier.
Sales came in at GBP8.09 billion, up from GBP7.62 billion for
the second quarter of 2020, when both pharmaceuticals and vaccine
sales were affected by the coronavirus pandemic.
Pharmaceuticals sales rose 3%, driven by growth in new products
and specialty products and as a result of favorable comparables
with the previous year, which was hit by destocking following
pent-up demand in the first quarter, the company said.
Vaccine turnover grew 39% on year, GlaxoSmithKline said.
However, the company said that its performance continued to be hurt
by lower demand for routine adult vaccination due to Covid-19
vaccination programs taking priority. GlaxoSmithKline said it
expects vaccine revenue for 2021 to be broadly flat.
The company backed a previously given outlook for 2021, saying
that it expects adjusted EPS to decline by mid-to-high single-digit
percentage at constant exchange rates. Regarding 2022, it said it
expects meaningful improvements in revenues and margins.
GlaxoSmithKline declared a dividend of 19 pence a share for the
second quarter and said it continues to expect a dividend of 80
pence a share for the full year 2021.
The company said it expects sales of its solutions for Covid-19,
including vaccine adjuvants and monoclonal-antibody treatment
sotrovimab, to contribute approximately between 4% and 6% to
full-year adjusted EPS growth.
Write to Cecilia Butini at cecilia.butini@wsj.com
(END) Dow Jones Newswires
July 28, 2021 08:37 ET (12:37 GMT)
Copyright (c) 2021 Dow Jones & Company, Inc.
GSK (NYSE:GSK)
Historical Stock Chart
From Mar 2024 to Apr 2024
GSK (NYSE:GSK)
Historical Stock Chart
From Apr 2023 to Apr 2024
