Business & Finance
GSK's first quarter results exceed forecast backed by sales of COVID-19 treatment and post-pandemic demand for Shingrix vaccine
27 April 2022 -

British healthcare company GlaxoSmithKline Plc (GSK) (LON:GSK) has exceeded expectations for its first-quarter results 2022 results, Reuters news agency on Wednesday .

GSK said that turnover in the three months to 31 March 2022 was boosted by GBP1.3bn in sales from its COVID-19 antibody treatment, Xevudy, developed with Vir Biotechnology, as well as sales of its shingles vaccine, Shingrix.

Xevudy sales beat analysts' expectations for GBP1.1bn and were in line with what the treatment made in the whole of 2021, with the majority of sales expected from GSK's "COVID-19 solutions" recorded in quarter.

Known chemically as sotrovimab, Xevudy was shown to have worked against the Omicron variant, but recent data suggested it was unlikely effective against the BA.2 sub variant dominant in the US, the treatment's biggest buyer. As a result, US regulators have pulled Xevudy off the market because of its lack of effectiveness against the sub variant.

Shingrix, GSK's top selling vaccine, saw resurgence in demand after a disruption to adult immunisations at the height of the COVID-19 pandemic. It generated GBP698m in sales, beating analyst estimates of GBP528m.

GSK's adjusted earnings stood at GBP0.328 per share for the first quarter, while turnover rose 32% to GBP9.78bn. This compares with analyst expectations of earnings of GBP0.30 per share on revenues of GBP9.15b.