GSK lifts 2022 forecast again after stronger than expected quarter

By Natalie Grover

Nov 2 (Reuters) - GSK GSK.L on Wednesday GSK GSK.L on Wednesday smashed analysts' estimates for third-quarter earnings, driven by higher sales of its blockbuster shingles vaccine, Shingrix.

This quarter, Shingrix blew past expectations by generating sales of 760 million pounds ($872.86 million) compared to the GSK-compiled consensus of 685 million pounds.

Although demand for the vaccine suffered as adult immunisations took a hit during the first pandemic years, sales have rebounded as COVID-19 pressures have eased.

The British drugmaker - now solely focused on vaccines and medicines months after executing a rehaul of the business with the spinoff of its consumer health unit - also reported stronger than expected quarterly sales in the quarter ended Sept. 30.

GSK reported third-quarter adjusted profit of 46.9 pence on sales of about 7.83 billion pounds, compared with a company-compiled analyst consensus of 40.1 pence on sales of 7.32 billion pounds.

The company also raised its forecast once again for 2022. It now expects sales to rise between 8% and 10% and adjusted operating profit to increase by 15% to 17%, excluding any contributions from the company's COVID-19 solutions business.

Previously in July, GSK had predicted that 2022 sales would rise 6% to 8% and adjusted operating profit to climb by 13% to 15%, boosting a forecast for 2022 guidance issued in February. ($1 = 0.8707 pounds)
Reporting by Natalie Grover in London, Editing by Louise Heavens

Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.

All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.

Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.

We are using cookies to give you the best experience on our website. Read more or change your cookie settings.

Risk Warning: Your capital is at risk. Leveraged products may not be suitable for everyone. Please consider our Risk Disclosure.