GSK plc (NYSE: GSK), the UK pharmaceutical giant, announced its financial results for the first quarter of 2024, with revenues increasing by 10% year-on-year (YOY) to GBP 7.4 billion (USD 9.3 billion), excluding COVID-19-related sales. Core operating profit also showed a robust performance, rising 27% YOY in constant currency terms to GBP 2.44 billion (USD 3.1 billion).
Vaccine sales were a significant growth driver, increasing by 16% (or 22% excluding COVID) to GBP 2.27 billion. The shingles vaccine Shingrix saw an 18% increase in sales, reaching GBP 900 million (USD 1.13 billion), with international regions playing a more prominent role following approvals in 39 markets. China stands out in the vaccine’s growth story, with the first sales recorded in partnership with Chongqing Zhifei Biological. Under the contract, GSK is set to sell GBP 400 million of Shingrix in China this year, increasing to GBP 800 million next year, and GBP 1.2 billion in 2026.
GSK also highlighted the successful launch of its respiratory syncytial virus (RSV) vaccine, Arexvy, which generated GBP 200 million (USD 251 million) in sales. The company is in direct competition with Pfizer’s RSV vaccine, Abryvso, and claims that Arexvy is leading the race, accounting for two-thirds of all retail prescriptions. For comparison, Pfizer reported Q1’24 sales of Abryvso at USD 145 million. Both companies noted a seasonal dip in RSV vaccine sales from Q4’23 to Q1’24.
The chronic obstructive pulmonary disorder (COPD) drug Trelegy (fluticasone furoate, umeclidinium, vilanterol) also performed well, with sales up 33% YOY to GBP 600 million (USD 754 million). The specialty medicines segment, excluding COVID, grew by 19%, with HIV drugs contributing significantly to this growth, up 14%.
Geographically, the US market saw a 14% increase, Europe was up 3%, and international markets grew by 18% YOY. This strong performance has led GSK to slightly upgrade its full-year performance forecasts. Full-year sales are now expected to reach towards the top end of a 5%-7% range, core operating profit growth is forecasted at 9%-11% (from 7%-10%), and earnings per share are expected to grow at 8%-10% (from 6%-9%).- Flcube.com
