GlaxoSmithKline set to reveal its swine flu boost as orders for vaccines jump
Pharmaceutical giant GlaxoSmithKline (GSK) is expected to unveil a leap in revenues in its third quarter results on Wednesday, due to a boost in demand for its swine flu vaccine.
The world’s second biggest drugmaker recently said that governments have so far ordered 440m doses of the drug. Mass vaccinations across Europe started last week and GSK has reported that so far 150,000 people have received the vaccine.
Analysts have estimated that the drugs group is set to pocket £1.3bn from the swine flu pandemic as countries rushed to secure supplies. GSK has already made £700m for pre-orders of the vaccine this year.
And it has also sold £60m of its anti-viral flu treatment Relenza, which reduces the length and severity of the disease and is recommended for pregnant women with swine flu.
GSK Pandemrix has an edge over rival products because it contains a so-called adjuvant — an immune-stimulating compound designed to boost the effectiveness of the vaccine.
City analysts now expect GSK will register £1bn in sales for Pandemrix in the fourth quarter and £180m from Relenza in the third and fourth quarters.
Rival drug firm AstraZeneca will also update the market on Thursday, with analysts predicting another round of cost-cutting measures will be unveiled.