New blockbuster vaccine increases sales and profits at drug giant GSK
A NEW blockbuster vaccine has boosted sales and profits at drug giant GSK.
Last May, Arexvy became the world's first approved vaccine for elderly patients with respiratory syncytial virus (RSV).
More than a fifth of adults over 60 in the US have since received a vaccine from British drugmaker GSK or US rival Pfizer – although GSK is the first to pass £1 billion in sales.
It has sold £1.2bn worth of drugs, increasing turnover by five per cent to £30.3bn in 2023 and increasing profits by 14 per cent to £6.1bn.
RSV is a common cold illness that can lead to hospitalization in severe cases. GSK now hopes the US will approve Arexvy for people aged 50 to 59.
It is a boost after being beaten by rivals with a Covid jab.
Elsewhere, shingles vaccine Shingrix is popular in Europe, with sales of £3.4 billion last year.
Bosses are in a positive mood and expect total sales to rise between five and seven percent this year. They predict £38 billion by 2031.
GSK has 71 products in clinical development, 18 of which are in the final stages of regulatory approval.
Boss Emma Walmsley said: “We are now planning at least twelve major launches from 2025, with new vaccines and specialty medicines for infectious diseases, HIV, respiratory and oncology.”
Richard Hunter of Interactive Investor said: “GSK remains a serious player on the global stage.” The shares rose more than two percent.
SOFA SITS NICELY
SANTANDER UK says more and more borrowers are falling behind on loan and mortgage repayments.
But that did not stop the Spanish bank from increasing its profits last year through higher interest rates.
Profits rose 13 percent to £2.1 billion in 2023.
CEO Mike Regnier said: “Our focus has been on supporting our customers through the higher cost of living and higher interest rates.”
He said Santander's 450-strong branch network was still “under scrutiny”.
NEW No.1 AT H&M
3
RETAIL giant H&M has hired a new boss to boost its fortunes after profits fell below expectations.
Daniel Erver, 42, who has worked at the Swedish chain for 18 years, will replace Helena Helmersson. Under her leadership, H&M lost its status as the world's largest fashion retailer after selling to Inditex, Zara's owner.
Profit for the year was £660 million, while net sales grew six percent to £17.9 billion.
But shares fell 12 percent news of the change at the top and the disappointing profit figures.
HOUSE OFFERS ARE DECREASING
THE number of property transactions in December fell to 80,420, a fifth fewer than the same month in 2022, HMRC data shows.
Nathan Emerson, from property professionals organization PROPERTYMARK, said the decline was due to “rising costs and, in turn, falling confidence”.
The average house price was up 0.7 percent last month compared to December, in a “slightly more positive” outlook for the property market, Nationwide Building Society said.
But it is down 0.2 percent over twelve months.
I have more changes in store
3
THE new boss of Morrisons says he is developing plans to revive, refresh and strengthen the debt-laden supermarket chain.
Rami Baitieh, who took over in November, promised to invite shoppers to board meetings and hold monthly customer roundtables in stores as part of the strategy to “start a new chapter”.
He added: “I've only been with Morrisons for a few months but it's already clear we have talented colleagues, well-located stores, high-quality food production and a real point of difference.”
The Bradford-based chain has struggled since being taken over by a US private equity firm in a £7 billion deal two years ago – seeing rival Aldi overtake it as Britain's fourth largest supermarket chain.
It raised £2.5 billion on Tuesday by selling its forecourts to rival MFG, which is owned by the same US private equity firm that owns Morrisons.
CAR SHOP JOBS REDUCED
CAR dealer Group 1 Automotive has announced plans to cut around 300 jobs.
Boss Daryl Kenningham said: “We are focused on reducing costs in the UK in the first quarter of 2024, with the expectation that we will reduce our workforce by around 10 percent.”
The company first entered the UK market in 2007 by purchasing BMW and MINI dealerships. It now operates from more than 70 locations, mainly in the South East.
The trail of pubs strikes fear
THIS month's train strikes costs bars and restaurants up to £350 million.
The disruptions are ongoing and Kate Nicholls, head of UKHospitality, warned: “January and February are already two of the quieter months, this will make it even more painful.”
Michael Kill of the Night Time Industries Association said: “Our industry is on the brink of collapse.”
Emma McClarkin, boss of the British Beer and Pub Association, called the strikes “a serious blow to pubs”.
The strikes will also hit retailers, with data from MRI Software showing that store footfall is already a fifth lower in January than in December, amid the post-Christmas slump.
But with Easter on the horizon, MRI director Jenni Matthews predicts a rebound for retail in the first quarter of 2024.