By Max Clarke
GlaxoSmithKline have increased by sales 5% across the group, returning the pharmaceutical giant to profit.
Emerging markets saw sales increase by 20%, and the USA 3%0 offsetting decline in the group’s most important market, Europe.
Turnover for the 6 months ending June stood in excess of £13.3 billion, earning some 57.3p per share. This compares to the final quarter of 2010 when the group incurred a loss approaching £ half a billion.
Much of this loss had been as a result of legal fees spent on a comprehensive restructuring intended to deliver considerable boosts to efficiency. The restructuring, to be completed by 2012, is in line with its previous estimates to cost £4.5bn, and is expected to save £2.5bn annually.
“We have had a strong second quarter, with continued underlying sales growth, new product delivery, pipeline visibility and cash generation. This progress is very much in line with our expectations and it is clear that our strategy is delivering,” said GSK’s CEO.
“As we go forward sales trends improvements together with operational leverage, financial efficiencies and cash conversion provide the basis for improving returns to shareholders through enhanced EPS and cash generation.”
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