British drugs group GlaxoSmithKline today announced an 8% rise in second-quarter pre-tax profit after strong sales for some of its key drugs, including asthma treatment Seretide.
GlaxoSmithKline said pre-tax profit rose to £1.662 billion sterling in the three months to June compared with the same time last year. Net profit rose almost 7% to £1.189 billion.
'Another excellent performance this quarter reinforces the very positive outlook for GSK in 2005,' chief executive JP Garnier said in a statement.
GSK said that sales increased by 6% to £5.246 billion in the three months to June 30, compared with a year-earlier figure of £4.971 billion.
Today's results brought relief after Australian biotechnology firm Biota Holdings said yesterday it was seeking damages of up to 430m Australian dollars from GSK for allegedly failing to support its influenza drug Relenza.
Pharmaceutical sales rose 9% in Europe. But in the US, the world's largest market, sales gained a more modest 3% after the US Food and Drug Administration halted distribution of depression and anxiety treatment Paxil CR and diabetes treatment Avandamet. Excluding that factor, US revenues climbed 7%.
Among key drugs, Seretide sales rose 22% to £725m during the quarter, while revenues from diabetes treatment Avandia rose 16% to £352m.
Biota said it suffered losses of between $308-430m due to GSK breaching its contract to promote and support Relenza, the world's first influenza antiviral drug.
GlaxoSmithKline last month said it would launch five new vaccines within the next five years in a bid to capture a bigger share of the global vaccine drugs sector. The products would help grab a further slice of market share worth around £6-10 billion, the group had said.
