GSK eyes sharper, faster drug development as new CEO signals growth plan

Core Viewpoint - GSK forecasts slower sales growth in 2026 while maintaining a long-term sales target of over 40 billion pounds ($55 billion) by 2031, amid challenges from patent expiries for its top-selling HIV drugs [1] Group 1: Financial Performance - GSK reported core earnings per share of 25.5 pence for the three months ended December 31, with sales rising 8% to 8.62 billion pounds, exceeding expectations [3] - The company expects revenue growth of 3% to 5% in 2026, down from a 7% increase in 2025, attributed to foreign exchange pressures [4] Group 2: Leadership and Strategy - New CEO Luke Miels faces challenges in delivering commercial success while managing U.S. tariffs and patent expiries for HIV drugs in 2028 [2] - Miels emphasized that 2026 will be a key year for execution and operational delivery [3] Group 3: Market Reaction - GSK's shares initially fell about 1% but later rose by 2.3% to 1,990 pence, marking their highest level in over 24 years [2] Group 4: Business Segments - The specialty medicines business is expected to report low-double-digit growth, while sales from the vaccines business and general medicines unit are projected to decline by a low-single-digit percentage or remain stable [6] - GSK's recent $2.2 billion offer for RAPT Therapeutics for an experimental food allergy drug and five regulatory approvals for new treatments are crucial for sustaining growth [5]