On February 3, 2021 GlaxoSmithKline reported that Strong growth of new and specialty products; on track to deliver two exciting new companies (Press release, GlaxoSmithKline, FEB 3, 2021, View Source [SID1234574532])

Schedule your 30 min Free 1stOncology Demo!
Discover why more than 1,500 members use 1stOncology™ to excel in:

Early/Late Stage Pipeline Development - Target Scouting - Clinical Biomarkers - Indication Selection & Expansion - BD&L Contacts - Conference Reports - Combinatorial Drug Settings - Companion Diagnostics - Drug Repositioning - First-in-class Analysis - Competitive Analysis - Deals & Licensing

                  Schedule Your 30 min Free Demo!

Strong sales performance from key growth drivers in HIV, Respiratory, Oncology and Consumer Healthcare offset disruption from COVID-19 to adult vaccinations
Pharmaceuticals £17 billion -3% AER, -1% CER; new and specialty products £9.7 billion +11% AER, +12% CER
Vaccines £7 billion -2% AER, -1% CER. Shingrix £2 billion +10% AER, +11% CER
Consumer Healthcare £10 billion +12% AER, +14% CER (pro-forma -2% CER*)
New Biopharma product portfolio strengthened with 9 approvals in 2020 and Cabenuva in the US in January 2021
Effective cost control supports delivery of adjusted earnings per share in line with FY 2020 guidance
Total Group operating margin 22.8%. Total EPS 115.5p +23% AER, +26% CER
Adjusted Group operating margin 26.1%. Adjusted EPS 115.9p -6% AER, -4% CER
Q4 net cash flow from operations £4 billion. Free cash flow £3 billion
Significant progress on Biopharma pipeline with over 20 assets now in late-stage clinical trials
20+ new product launches planned by 2026, 10+ with potential peak annual revenues in excess of $1 billion
Pivotal study starts/data expected in 2021 for RSV vaccine in older adults, COVID-19 assets, long-acting anti IL-5 antagonist, daprodustat and dostarlimab
Oncology momentum building: 15 potential medicines in trials, including 9 immuno-oncology and 3 cell therapies
20+ deals executed, including acquisitions of new antibody, mRNA and genetics/genomics technologies
On track for separation into new standalone Biopharma and Consumer Healthcare companies in 2022
2020 targets met with £0.3 billion annual cost savings and £1.1 billion divestment proceeds achieved
Biopharma investor update in June to set out progress on innovation, commercial execution and growth outlook together with capital allocation priorities
Sustained progress and leadership in ESG
Sector leading in key indices, including DJSI and Sustainalytics, and #1 rank in 2021 Access to Medicines Index
New environmental targets set to achieve net zero impact on climate and net positive impact on nature by 2030
2021 Adjusted EPS expected to decline by a mid to high-single digit percentage in CER
Reflects further growth in new and specialty products and Consumer Healthcare, increased investment in our pipeline and deferral of strong growth in Vaccines performance due to impact of COVID-19 immunisation programmes
2022 outlook remains unchanged. Continue to expect meaningful improvement in revenues and margins
Dividend of 23p/share declared for Q4 2020; 80p/share for FY 2020. Expected dividend of 80p/share for FY 2021
Distribution policy for new GSK to be implemented in 2022 to support growth and investment. Aggregate distributions expected to be lower than at present
Emma Walmsley, Chief Executive Officer, GSK said:
"2020 was an extraordinary year for all of us, and one of significant ogress for GSK. We invested in our pipeline and new launches, readied the company for separation, and had to rapidly mobilise and respond to the pandemic. I am extremely proud of the agility and resilience our teams have shown. We delivered our guidance for the year, offsetting the significant impact of COVID-19 on adult vaccinations, with strong performances of new products and effective cost control.

"Importantly, progress against our strategic goals remains firmly on track. We are building a high value biopharma pipeline, have substantially integrated our Consumer JV and have delivered all our first year targets for our two year separation programme. This means we are in a strong position to launch new competitive, standalone Biopharma and Consumer healthcare companies in 2022. In doing so, we have high confidence that we can achieve meaningful global impact to health and significant value creation for shareholders."