Proactive Investors - GSK’s (LON:GSK) first quarter should see the UK pharma in decent shape operationally says analysts though the ongoing legal battle over Zantac compensation will remain the share's main influence until resolved.
UBS notes that the first Zantac JCCP case is scheduled for 24th July (after passing the Sargon hurdle).
What investors would like, however, is some of the pipeline-driven growth long-term rival AstraZeneca (LON:AZN) has produced over the last few years.
To help deliver that was the rationale behind GSK’s spin out of consumer goods arm Haleon, but the fact remains that Astra at £190bn currently is three times the former Glaxo’s size and that gap if anything is getting larger.
In the numbers, UBS expects good momentum for the Shingrix vaccine (consensus £858mln); within HIV a focus on the uptake of newly launched injectables Cabenuva and Apretude with other growth drivers to include dolutegravir (cons £1,18bn).
Overall, that should add up to sales of around £6.57bn; an adjusted operating profit of £1.96bn at a margin of 29.9%, says the Swiss bank.
For the whole of 2023 (excluding any contribution from COVID-19 solutions), GSK expects sales to increase between 6% to 8%, with adjusted operating profit expected to increase between 10% to 12%.