UK-based multinational GlaxoSmithKline plc (GSK, NYSE: GSK) has released its financial results for the first quarter of 2023, showing an 8% year-on-year (YOY) decrease in revenues in constant currency terms to GBP 6.95 billion (USD 8.67 billion). The decline is attributed to reduced demand for COVID-19 treatments, most notably the SARS-CoV-2 neutralizing antibody Xevudy (sotrovimab). Excluding COVID-related sales, GSK’s global revenues increased by 10% YOY.
Business Unit Performance and Growth Drivers
Over the quarter, the Vaccines business unit reported a growth of 15% to GBP 2.04 billion, while Specialty Medicines, which includes Xevudy, saw a 33% drop to GBP 2.2 billion. General Medicines recorded a 9% increase to GBP 2.67 billion. CEO Emma Walmsley characterized the start of the year as strong for all three business units.
New Product Launches and Global Sales Contribution
During the earnings conference call, CEO Emma Walmsley highlighted the contribution of new product launches to the company’s performance, with products launched since 2017 generating GBP 2.2 billion in Q1 alone. Key growth drivers included the Shingrix vaccine for shingles, meningitis vaccines, oral two-drug regimen, long-acting HIV medicines, immunology drug Benlysta (belimumab) for lupus, severe eosinophilic asthma treatment Nucala (mepolizumab), and COPD and asthma therapy Trelegy (fluticasone, umeclidinium, and vilanterol). These products accounted for over 40% of global sales.
China Market Recovery and Nucala’s National Reimbursement Drug List Inclusion
Chief Commercial Officer Luke Miels noted that the China market is in the ‘recovery’ stage following COVID-related disruptions. Nucala, which launched for adult eosinophilic granulomatosis with polyangiitis (EGPA) in March 2022 and was added to the National Reimbursement Drug List from March this year, has seen accelerated momentum. Miels highlighted that the NRDL listing for EGPA has set the stage for the upcoming launch in severe asthma, following Nucala’s approval for severe eosinophilic asthma in March.
Upcoming Product Developments and Expected Approvals
Walmsley also discussed upcoming product developments, including the firm’s RSV vaccine for older adults, expected to receive US FDA approval in May this year. Additionally, a combined meningitis vaccine (the pentavalent MenABCWY vaccine) for adult use has produced positive pivotal data and is set for filing.-Fineline Info & Tech
