Major pharma firms post weaker than expected quarterly revenue

DRUGMAKERS GlaxoSmithKline and Eli Lilly posted weaker than expected quarterly revenue, continuing an industry theme and underscoring challenges from price cuts and a lack of new products.

Novartis AG proved a standout, with sales topping estimates as the Swiss company benefited from new drugs for cancer and blood clots.

Glaxo shares fell 1% in New York after the British drugmaker warned of European price cuts and said it had received a subpoena from the US Department of Justice over its controversial Avandia diabetes drug.