GSK Q3 profit tops estimates on oncology sales; declares dividend

Overview

• UK pharma firm's Q3 sales rose 5% CER, slightly beating analyst expectations

• Q3 adjusted EPS beat analyst expectations, driven by higher sales and product mix

• Company declared Q3 dividend of 17p per share

Outlook

• GSK reaffirms 2026 guidance: turnover growth of 3%-5% at upper half of range

• Core operating profit expected to rise 7%-9% at upper half of range in 2026

• Core EPS expected to grow 7%-9% at lower half of range in 2026

Result Drivers

• SPECIALTY MEDICINES - Co said strong growth in Specialty Medicines, particularly HIV, Respiratory, Immunology & Inflammation, and Oncology, drove sales and core operating profit

• PRODUCT AND REGIONAL MIX - Co attributed core operating profit growth to higher sales, favourable product and regional mix, and higher royalty income

• VACCINES DECLINE - Co said vaccine sales fell in Q3, with declines in Shingrix and Arexvy partly offset by growth in Meningitis vaccines

Company press release:

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 9 "strong buy" or "buy", 14 "hold" and 3 "sell" or "strong sell"

• The average consensus recommendation for the pharmaceuticals peer group is "buy."

• Wall Street's median 12-month price target for GSK plc is GBp2,100.00, about 9.2% above its October 27 closing price of GBp1,923.50

• The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 11 three months ago

Reuters Recommended Reads

• Oct 27 - GSK to nearly double cancer medicines in clinical trials next year

• Oct 26 - GSK, Hansoh's bone cancer drug delays disease progression in late-stage China study

• Oct 27 - Novartis books $2.2 billion hit from drug trial setbacks, but lifts guidance

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)