A NEW blockbuster vaccine has boosted sales and profits at drugs giant GSK.
Last May, Arexvy became the world’s first approved vaccine for older sufferers of respiratory syncytial virus (RSV).
3
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 £1billion of sales.
It has flogged £1.2billion worth of the drug, helping 2023 sales to climb five per cent to £30.3billion and profits to rise 14 per cent to £6.1billion.
RSV is a cold-like illness which in severe cases can cause hospitalisation. GSK now hopes the US will approve Arexvy for people aged 50-59.
It’s a boost after it was beaten by rivals to a Covid jab.
READ MORE ON BUSINESS
Elsewhere, its shingles vaccine Shingrix is popular in Europe with sales of £3.4billion last year.
Bosses are in a positive mood and they expect overall sales to rise between five and seven per cent this year. They predict £38billion in 2031.
GSK has 71 products in clinical development, with 18 in the final stages of regulatory approval.
Boss Emma Walmsley said: “We are now planning for at least 12 major launches from 2025, with new vaccines and specialty medicines for infectious diseases, HIV, respiratory and oncology.”
Most read in Business
Richard Hunter, of Interactive Investor, said: “GSK remains a serious player on the global stage.” Shares rose more than two per cent.
BANK SITS PRETTY
SANTANDER UK says rising numbers of borrowers are falling behind with loan and mortgage repayments.
But that didn’t stop the Spanish-owned bank from boosting its profits through higher interest rates last year.
Profits climbed 13 per cent to £2.1billion in 2023.
CEO Mike Regnier said: “Our focus has been on supporting our customers through the higher cost of living and increased interest rates.”
He said Santander’s 450-strong branch network remains “under review”.
NEW No1 AT H&M
3
RETAIL giant H&M has hired a new boss to help boost its fortunes after profits came in below expectations.
Daniel Erver, 42, who has been with 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 by sales to Inditex, the owner of Zara.
Profits for the year were £660million while net sales grew by six per cent to £17.9billion.
But shares fell 12 per cent on news of the change at the top and the disappointing profit figures.
HOME DEALS FALL
THE number of property transactions in December slipped to 80,420, a fifth down on the same month in 2022, HMRC data shows.
Nathan Emerson, of the property professionals’ body PROPERTYMARK, said the fall was due to “rising costs and, in turn, confidence taking a dip”.
The average house price last month was up by 0.7 per cent on December, in a “little more positive” outlook for the property market, said Nationwide Building Society.
But it is 0.2 per cent lower over 12 months.
I’VE MORR CHANGE IN STORE
3
THE new boss of Morrisons says he is developing plans to “reinvigorate, refresh and strengthen” the debt-laden supermarket chain.
Rami Baitieh, who took over in November, pledged to invite shoppers to board meetings and hold monthly customer round tables in stores as part of its strategy to “start a new chapter”.
He added: “I’ve been at Morrisons for only a few months, but it’s already clear that we have talented colleagues, well-located shops, high-class food-making operations and a real point of difference.”
The Bradford-based chain has struggled since being taken over by a US private equity firm in a £7billion deal two years ago — and saw rival Aldi overtake it as the UK’s fourth biggest grocer.
It raised £2.5billion on Tuesday by flogging its forecourts to rival MFG, which is owned by the same US private equity outfit that owns Morrisons.
CAR SHOP JOBS CUT
CAR dealership Group 1 Automotive has announced plans to axe around 300 jobs.
Boss Daryl Kenningham said: “We are focused on reducing costs in the UK in the first quarter of 2024, with an expectation of reducing our headcount by approximately 10 per cent.”
The company first entered the UK market in 2007 by buying up BMW and MINI dealerships. It now operates from more than 70 locations, mostly in the South East.
PUBS’ RAIL STRIKE FEARS
THIS month’s rail strikes will cost bars and restaurants up to £350million.
The stoppages are under way, and Kate Nicholls, the head of UKHospitality, warned: “January and February are already two of the quieter months, this will make it 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 for pubs”.
READ MORE SUN STORIES
The strikes will also hit retailers, with MRI Software data showing shop footfall already down a fifth in January compared to December amid the post-Christmas slump.
But with Easter on the horizon, MRI director Jenni Matthews predicts a revival for retail in the first quarter of 2024.
