GlaxoSmithKline profit down; selling off brands

News

Markus MacGill

pharmaphorum

GlaxoSmithKline has suffered a 26 per cent fall in its first-quarter operating profit, and is to sell off its consumer soft drink brands Ribena and Lucozade. This could raise a billion pounds for the British pharma giant.

While profits have dipped, GSK has delivered a six per cent rise in dividend payment to shareholders.

“This quarter marks continued strategic delivery for GSK with sales and earnings in line with our expectations, significant pipeline progress and further growth in our returns to shareholders through a six per cent increase in the dividend. We are also announcing additional measures to improve the group’s focus and long-term growth profile.”

Simon Dingemans, chief financial officer, GlaxoSmithKline.

GSK’s share price fell at 11.15 GMT today, by 11 pence, or 0.7 per cent, to 1,667 pence.

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