GlaxoSmithKline Q4 Profit Up 66 Pct
From Associated Press (February 4, 2010)
LONDON--GlaxoSmithKline PLC, the world's
second largest drug maker by revenue, reported Thursday that its
fourth-quarter profit soared by 66 percent, boosted by strong sales
of swine flu vaccine and flu medicine.
In the three months ending Dec. 31, Glaxo turned a net profit of
1.63 billion pounds ($2.6 billion), compared to 982 million pounds
a year earlier.
The strong finish pushed full-year profits up 20 percent to 5.5
billion pounds.
Sales of Relenza, the company's drug for
treating flu, totaled 720 million pounds for the year, compared to
just 57 million pounds in 2008. In the fourth quarter, Relenza
sales rose to 256 million pounds from 13 million pounds a year
earlier.
Total vaccine sales were up 30 percent for the year to 3.7 billion,
the company said. Glaxo did not break out sales figures for swine
flu (H1H1) vaccine, but reported "substantial" sales in Europe in
the fourth quarter.
"I believe that GSK is now moving to a position where we can
deliver our goal of long-term sustainable financial performance,"
said Chief Executive Andrew Witty. "2009 saw GSK return to sales
growth and I am confident of our prospects in 2010."
The company raised its full-year dividend by 7 percent to 61
pence.
Glaxo shares were up 1.6 percent at 1,237 pence on the London Stock
Exchange.
The company said it aimed to cut expenditure by 500 million pounds
by 2012, but said it would not announce a target for job
reductions. Published reports have said that about 4,000 of
GlaxoSmithKline's 99,000 employees worldwide might be
affected.
GSK said sales for the year were up 16.5 percent to 28.4 billion
pounds.
Sales gains of 16 percent in Asia Pacific and 9 percent in Europe
helped offset a 13 percent drop in the United States, where Glaxo
said several products suffered from generic competition.
Posted: February 2010
