GSK's Q4 2024 Earnings Call: Unpacking Contradictions in Vaccine Dynamics, Market Share, and HIV Growth

These are the key contradictions discussed in GSK's latest 2024Q4 earnings call, specifically including: Vaccine Dynamics, Market Share and Competitive Dynamics, and HIV Growth Channel Mix Dynamics:



Revenue and Profit Growth:
- GSK reported sales growth of 8% to over £31 billion, with core operating profit up 13% and core EPS up 12% for 2024.
- Growth was driven by strong contributions from specialty medicines, particularly in oncology and respiratory immunology, as well as continued strong performance in HIV.

Specialty Medicines Momentum:
- Specialty medicines showed 19% growth, with oncology sales nearly doubling to more than £1.4 billion for the year.
- The growth was driven by the high performance of products like Jemperli, Zeluja, and Ojepaara, as well as new indications like the approval of Nucala for COPD.

HIV Portfolio Performance:
- HIV sales continued to grow, up 13% for the full year, driven by strong patient demand for oral two-drug regimens like Dovato and long-acting injectables.
- This growth was supported by significant market share gains, with Cabenuva and Apretude benefiting over 70,000 people living with HIV globally.

Vaccine Sales Challenges:
- Total vaccine sales were down 3%, primarily due to lower sales of Arexvy in the U.S. and reduced Shingrix sales in the U.S.
- The decline was attributed to external pressures like new ACIP recommendations and a slower U.S. immunization rate.

2031 Outlook and Pipeline Development:
- GSK increased its outlook, expecting risk-adjusted sales to exceed £40 billion by 2031.
- This was influenced by significant progress in Phase 3 studies, potential approvals like Blenrep, and the inclusion of new assets from business development activities.

{}