Latest news with #specialty medicines
Yahoo
4 days ago
- Business
- Yahoo
Mckesson lifts annual profit forecast on robust demand for specialty drugs
(Reuters) -U.S. drug distributor McKesson raised its annual profit forecast and beat Wall Street earnings estimates on Wednesday, banking on robust demand for specialty medicines. High profit margins for specialty medicines, which treat complex conditions such as rheumatoid arthritis and cancer, have encouraged companies to expand in the market. Texas-headquartered Mckesson expects per-share profit in the range of $37.10 to $37.90 for fiscal 2026, compared to its previous expectation of $36.90 to $37.70. Analysts on average expect a profit of $37.41 per share, according to data compiled by LSEG. Earlier in the day, peer Cencora also raised its annual profit forecast and posted quarterly earnings that topped Wall Street estimates. Mckesson reported first-quarter revenue of $97.83 billion, beating analysts' average estimate of $96.08 billion. The company said it benefited from increased prescription volumes from retail national account customers, growth in the distribution of specialty products and contributions from acquisitions. On an adjusted basis, McKesson earned $8.26 per share, compared with estimates of $8.15. The drug distributor's U.S. pharmaceutical unit — its largest segment by revenue — recorded sales of $89.95 billion. That was 25% higher than the year earlier and beat analysts' estimate of $89.52 billion. Last quarter, Mckesson said it would spin off its medical-surgical solutions unit into an independent company to focus on its core drug distribution business. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Times
30-07-2025
- Business
- Times
GSK profits lifted by strong cancer drug sales
Strong sales of specialty medicines during the first half of the year has led GSK to expect group revenue and profit growth towards the top end of its forecast range. The FTSE 100 company posted total second quarter sales of almost £8 billion, up 6 per cent at constant currencies and ahead of City forecasts of £7.8 billion. Specialty medicines rose 15 per cent to £3.3 billion, including cancer treatments up 42 per cent and HIV drug sales 12 per cent. Core operating profit rose 12 per cent to £2.6 billion in the quarter. • Business live: FTSE 100 drops on poor corporate results The performance led GSK to forecast revenue growth this year towards the top end of its previously-guided range of between 3 and 5 per cent. Similarly it expects core operating profit growth to be towards the top of its 6 to 8 per cent range. GSK said that its guidance reflected tariffs already enacted and the US-EU trade deal struck this week, adding that it was 'positioned to respond to the potential financial impact of tariffs, with mitigation options identified. Given the uncertain external environment, we will continue to monitor developments'. On Monday, President Trump reiterated threats to introduce tariffs on pharmaceutical imports soon as he seeks to pressure multinationals to increase manufacturing in the United States. Dame Emma Walmsley, GSK's group chief executive, said that the 'strong momentum in 2025 continues with another quarter of excellent performance driven mainly by specialty medicines, our largest business'. She added: 'We also continue to make very good progress in R&D, with three major FDA approvals achieved so far this year, 16 assets now in late-stage development, and four more promising medicines to treat cancer, liver disease and HIV expected to enter phase III and pivotal development by the end of the year.' A dividend of 16p per share was declared and GSK has spent £822 million on its £2 billion share buyback, which was announced at its full-year results earlier this year. Shares in GSK slid 8p, or 0.5 per cent, to £13.89 in early trading in London. Walmsley, 56, who has led GSK since 2017, said that the company remained confident in its its long-term outlook. GSK has set a target of generating group sales of more than £40 billion by 2031. However, there remains scepticism among some investors that it will hit that figure, with consensus forecasts instead of just £34 billion. It suffered a setback this month when the Food and Drug Administration, the regulator in America, the world's biggest drugs market, delayed a decision on approving Blenrep, a potential blockbuster blood cancer drug. The European Union, however, approved Blenrep for the treatment of adults with relapsed or refractory multiple myeloma. The UK has also given the green light. GSK, based in London's 'Knowledge Quarter', is one of Britain's two big pharma companies alongside AstraZeneca. It employs more than 65,000 people and operates in 75 markets. The group separated Haleon, its consumer healthcare business, as a standalone FTSE 100 company three years ago to focus on developing its core biopharma pipeline and to give it more firepower for bolt-on deals. On Monday it struck a $500 million deal with Hengrui Pharma, a Chinese pharmaceutical company, to develop up to a dozen new medicines as it deepens its partnerships in the country. GSK said on Wednesday that its agreement in May to pay up to $2 billion for a promising liver disease drug, the lead asset of Boston Pharmaceuticals, a US biopharma company, had been completed.
