31 July 2024
If you are covering GSK’s Q2 results, please see a comment below from Sheena Berry, healthcare analyst at Quilter Cheviot:
“GSK has delivered another solid quarter, raising its full-year outlook despite some mixed results. The standout disappointment was Shingrix, the shingles vaccine, which saw a 4% decline due to weaker performance in the US, although it did show growth internationally.
“On a positive note, the company has revised up its full-year guidance, although it has cut its vaccines guidance. The other two divisions have been revised upwards, reflecting strong performance in those areas.
“Arexvy, the vaccine for RSV, has maintained around two-thirds of the retail vaccination share. However, demand has decreased in line with seasonal patterns. The recent Advisory Committee on Immunization meeting in June raised some concerns about the market opportunity for Arexvy, which could be smaller than initially anticipated.
“Looking ahead, GSK is offering double-digit earnings per share growth for 2024. However, the expiration of a key HIV patent in a few years presents a potential headwind. Business development to enhance the pipeline and product offering remains a clear focus, and the ongoing Zantac litigation continues to be an overhang on the company’s prospects.
“Overall, while there are challenges, GSK’s strategic adjustments and strong performance in other divisions provide a balanced outlook for the future.”
