GlaxoSmithKline, Europe's biggest drug-maker, has reported a 17 per cent rise in third-quarter profits.
However, the loss of an experimental diabetes drug from the late-stage pipeline takes the shine off results.
Pre-tax profits totalled €2.16 billion on sales up 13 per cent at €7.9 billion, bolstered by strong sales of drugs to treat asthma and diabetes.
Today's results underscored the safe-haven status of drugmakers in the current uncertain economic environment - and GSK demonstrated its financial flexibility by announcing a €6.4 billion share buyback programme.
But GSK said it is discontinuing development of an experimental drug for type 2 diabetes, which had reached the final Phase III stage of testing.
It was the latest in a series of new product setbacks for GSK, which included last year's withdrawal of bowel drug Lotronex following safety concerns, as well as problems in the antibiotic and cardiovascular programmes.
GSK shares, which have outperformed the Eurotop 300 index by 9 per cent since September 11th, fell 1.6 per cent to £18.74 this afternoon while the European blue chip index rose 1.9 per cent as investors focused on pipeline concerns.