GlaxoSmithKline (GSK) reported a slide in first quarter profits but said it is on track to meet its full year earnings guidance.
Chief executive Mr JP Garnier said the group is expected to return to earnings growth in the fourth quarter of this year, after what he said would be a "challenging" period over the next six months.
GSK said it was on track to meet its guidance for the year of earnings growth "at least in line" with its "business performance last year: that is its earnings growth stripping out non-recurring items and currency fluctuations.
GSK reported first quarter pre-tax profit rose to £1.576 billion sterling from £1.658 billion a year earlier. That compared with market forecasts of £1.56 billion for the three months. Sales were £4.943 billion, down from £5.222 billion and earnings per share fell to 19.4 pence from 21.6 pence on a business performance basis.
Total pharmaceutical turnover increased 1 per cent. GSK said five key products, representing nearly 30 per cent of pharmaceutical turnover, grew in strong double digits: Seretide/Advair, for asthma, rose 22 per cent; Avandia/Avandamet, for diabetes, rose 18 per cent; Lamictal, for epilepsy/bi-polar disorder, rose 29 per cent; Valtrex, for herpes, rose 31; and Coreg, for heart disease, rose 27 per cent.