Glaxo profits jump 19%

Pharmaceuticals giant GlaxoSmithKline today posted a 19% hike in profits, in its first set of quarterly figures since its mega-merger last year.

GSK said pre-tax profits for the three months to March 31 rose to £1.39bn, while sales jumped 16% to £4.76bn.

Chief executive Jean-Pierre Garnier said: ‘‘GlaxoSmithKline has demonstrated strong momentum in this first set of results delivered by the new company.’’

He added the performance reflected ‘‘particularly healthy’’ sales in the US and strong contributions from its new products, including diabetes drug Avandia and respiratory drug Seretide.

Mr Garnier added the group was satisfied with the progress of integration following its merger - GSK was created by the marriage of Glaxo Wellcome and SmithKline Beecham, completed on December 27.

Cost savings following the merger were also in line with expectations of at least £400m in 2001.