GlaxoSmithKline plc (NYSE:GSK) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 0.37%.
GlaxoSmithKline plc Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased 66.67% to $0.26 in the quarter versus EPS of $0.78 in the year-earlier quarter.
Revenue: Decreased 34.8% to $6.62 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: GlaxoSmithKline plc reported adjusted EPS income of $0.26 per share. By that measure, the company beat the mean analyst estimate of $0. It beat the average revenue estimate of $0.
Quoting Management: Simon Dingemans, CFO, outlines the UK pharma group’s Q2 performance, positive R&D pipeline news, as well as outlook and guidance for the rest of the year.
Dingemans also gives an update on his financial strategy plan, saying, “you could see in the second quarter the benefits of the restructuring programmes and some of the financial efficiencies we’ve identified really contributing to drive that leverage through the P&L and accelerate earnings per share of 4% faster than the sales growth of two per cent.”
Key Stats (on next page)…
Revenue decreased 32.7% from $9.83 billion in the previous quarter. EPS decreased 75% from $1.04 in the previous quarter.
Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a loss of $0 and has not changed. For the current year, the average estimate has moved up from a profit of $3.06 to a profit of $3.94 over the last ninety days.
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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)