British pharmaceutical firm GlaxoSmithKline Plc. is banking on the rollout of new vaccines and specialty medicines to bring sales up to £33 billion by 2031, the company announced in a statement.
- In the next five years, GSK targets sales to reach sales growth of 5% and adjusted operating profit growth of over 10%. This will be driven by improved operational performance and benefits from its recent transformation, and excludes COVID-19 related revenues.
- GSK targets £33 billion sales by 2031 which will be driven by the execution of its late-stage pipeline. Assets in development are estimated to drive over £20 billion in peak year sales.
- GSK hiked its cost savings target to £1 billion from £800 million, after identifying an additional £200 million savings from the Separation Preparation program. Restructuring programs will be completed next year.
- GSK expects to release 55p per share dividends in 2022, assuming a new consumer healthcare dividend. It targets a dividend payout of 45p per share in 2023, equivalent to 40-60% ratio.
GSK’s specialty products are now reaching £10 billion in annual sales, following its transformation efforts that started in 2017. GSK is up 3.68%.