Guidance all at CER

The Total results are presented in summary above and on page 7 and Core results reconciliations are presented on pages 19 and 20. Core results are a non-IFRS measure that may be considered in addition to, but not as a substitute for, or superior to, information presented in accordance with IFRS. The following terms are defined on pages 44-45: Core results, AER% growth, CER% growth, turnover; and other non-IFRS measures. GSK provides guidance on a Core results basis only for the reasons set out on page 17. All expectations, guidance and targets regarding future performance and dividend payments should be read together with 'Guidance and outlooks, assumptions and cautionary statements' on page 46. Abbreviations are defined on page 50.

2025 Guidance

GSK affirms its full-year 2025 guidance at constant exchange rates (CER).

This guidance is supported by the following turnover expectations for full-year 2025 at CER

Core operating profit is expected to grow between 6 to 8 per cent at CER. GSK expects to deliver leverage at a gross margin level due to improved product mix from Specialty Medicines growth and continued operational efficiencies. In addition, GSK anticipates further leverage in Operating profit as we continue to take a returns-based approach to SG&A investments. Royalty income is now expected to be higher than previously guided at £750-800 million, including an IP settlement agreed in April. This additional income will be reinvested in the pipeline this year.

Core earnings per share is expected to increase between 6 to 8 per cent at CER, in line with Core operating profit growth, reflecting higher interest charges and the tax rate which is expected to rise to around 17.5%, offset by the expected benefit of up to 1% from the share buyback programme. Expectations for non-controlling interests remain unchanged relative to 2024.

Tariffs

GSK notes that the US Administration has initiated an investigation under Section 232 of the Trade Expansion Act to determine the effects on national security of imports of pharmaceutical products. The company is well positioned to respond to the potential financial impact of sector-specific tariffs, should they be implemented, with mitigation options identified in the supply chain and productivity initiatives. The company will continue to monitor and review developments related to this situation.

Dividend policy

The Dividend policy and the expected pay-out ratio remain unchanged. Consistent with this, GSK has declared a dividend for Q1 2025 of 16p per share. GSK's future dividend policy and guidance regarding the expected dividend pay-out in 2025 are provided on page 31.

GSK has commenced a £2 billion share buyback programme, to be implemented over the period to the end of Q2 2026.

2021-2026 and 2031 Outlooks

In February 2025 GSK set out improved outlooks for 2031. Please see 2024 full year and fourth quarter results on gsk.com(1). 

Exchange rates

If exchange rates were to hold at the closing rates on 24 April 2025 ($1.33/£1, €1.17/£1 and Yen 190/£1) for the rest of 2025, the estimated impact on 2025 Sterling turnover growth for GSK would be -2% and if exchange gains or losses were recognised at the same level as in 2024, the estimated impact on 2025 Sterling Core Operating Profit growth for GSK would be -4%.

Results presentation

A conference call and webcast for investors and analysts of the quarterly results will be hosted by Emma Walmsley, CEO, at 12 noon BST (US EDT at 07.00 am) on 30 April 2025. Presentation materials will be published on www.gsk.com prior to the webcast and a transcript of the webcast will be published subsequently.

Notwithstanding the inclusion of weblinks, information available on the company's website, or from non GSK sources, is not incorporated by reference into this Results Announcement.

(1) https://www.gsk.com/media/11776/fy-2024-results-announcement.pdf

Specialty Medicines sales grew by double-digit percentages in the quarter, reflecting continued growth across disease areas, with strong performances in HIV, Respiratory, Immunology and Inflammation, and Oncology.

HIV sales grew by 7% this quarter with the US growing at 9%. This was driven by a 9 percentage point increase in patient demand from Cabenuva, Apretude and Dovato reflecting strong market share growth. Growth in the quarter also benefited from customer ordering patterns, offset by unfavourable price impacts from channel mix adjustments and the impact of IRA Medicare Part D redesign.

Sales of Oral 2DR now represent 42% of the total HIV portfolio. Dovato, the first and only once-daily Oral 2DR for the treatment of HIV infection in both treatment naive and virally suppressed adults and adolescents continues to be the largest product in the HIV portfolio with sales of £570 million in the quarter and growing 19%.

Long-Acting sales in the quarter now represent 22% of the total HIV portfolio (29% in the US) and contributed 100% of the total HIV growth in Q1 2025. Cabenuva, the only complete long-acting injectable regimen for HIV treatment reached sales of £294 million in the quarter, growing 38% due to strong patient demand across US and Europe. Apretude, the first long-acting injectable option for HIV prevention delivered sales of £89 million in the quarter, growing 63% compared to Q1 2024.

Sales primarily comprised contributions from Nucala in respiratory and Benlysta in immunology. Double-digit sales growth in the quarter was delivered for both Nucala and Benlysta, driven by patient demand globally across US, European and International markets. Growth in the quarter was also positively affected by the impacts of channel inventory reductions in the US in Q1 2024 for both Nucala and Benlysta.

Sales of Zejula, a PARP inhibitor treatment for ovarian cancer, decreased in the quarter, driven largely by a double-digit decrease in the US. Performance in the US was adversely impacted by price unfavourability, driven in part by ongoing channel pricing pressure, and also from impacts of favourable Q1 2024 comparator channel mix adjustments.

Vaccines sales decreased in the quarter, primarily impacted by lower demand for Arexvy related to a more limited ACIP recommendation combined with lower demand for Shingrix in the US and International. Meningitis vaccines continued to show strong demand with double-digit sales growth.

The US cumulative immunisation rate reached 41%, up five percentage points compared to 12 months earlier(1). Sales decreased by 21% in the quarter due to the continuing slowdown in the pace of penetration of harder-to-reach unvaccinated consumers, as well as higher channel inventory consumption.

Sales of Shingrix decreased in International in the quarter, reflecting a strong Q1 2024 comparator driven by rapid uptake from the national immunisation programme in Australia. Performance was also impacted by lower current quarter supply to our co-promotion partner in China.

In Europe, Shingrix sales grew in the quarter driven by new launch uptake in France together with expanded public funding and higher private market demand across several countries.

Shingrix is now launched in 54 countries, with markets outside the US representing 57% of Q1 2025 global sales (2024: 50%). The overwhelming majority of ex-US Shingrix opportunity is concentrated in 10 markets where the average immunisation rate is around 8% with significantly higher uptake in funded cohorts.

In the quarter, both key Meningitis vaccines continued to grow strongly, achieving double-digit growth. Bexsero, a vaccine against meningitis B, grew 20% primarily driven by continued uptake following the recommendation in Germany together with the implementation of mandatory newborn vaccination in France and public funding in Switzerland. Menveo, a vaccine against meningitis ACWY, grew mainly due to the timing of deliveries in International.

Footnote: (1)  Based on data from IQVIA up until the end of Q4 2024

Arexvy sales decreased in the quarter. US sales declined due to lower demand partly related to a more limited recommendation from ACIP for individuals aged 60 to 74. Arexvy maintained the market leading position in retail where the overwhelming majority of doses are administered.

Growth in Europe was driven by launch uptake following recommendation and reimbursement in Germany offset by a decrease in International reflecting lower demand in Saudi Arabia and Canada. While Arexvy is approved in 66 markets globally, 18 countries had national RSV vaccination recommendations for older adults and 6, including the US, had reimbursement programmes for Arexvy in place at the quarter end.

Established Vaccines sales decreased primarily in International, which was impacted by 2024 sales of AS03 adjuvant and divested brands as well as competitive pressure and supply phasing for Cervarix. This was partially offset by higher orders for MMR vaccines in the US due to measles outbreaks.

Sales include contributions from both the Respiratory and Other General Medicine portfolios.  Sales were broadly stable in the quarter at CER, with strong growth delivered across all regions by Trelegy offset by decreases in Seretide/Advair, other respiratory and Other General Medicine products. Sales in the quarter at AER declined driven by exchange movements in a number of International markets.

Sales grew low single-digit in the quarter, with strong growth delivered across all regions by Trelegy offset by declines in Seretide/Advair and other respiratory products. Declines in the quarter for Seretide/Advair and Flixotide/Flovent included the impacts of adverse inventory movements in the US compared to Q1 2024. Decreases in the quarter at AER were driven by exchange movements in a number of International markets.

Trelegy sales continued to grow in the quarter, with strong volume growth continued across all regions reflecting patient demand, SITT class growth, and increased market share. Specifically in the US, continued strong volume growth is partially offset by price unfavourability resulting from channel mix and pricing pressures and the impact of IRA Medicare Part D redesign.

Other General Medicines sales decrease was driven by continued generic competition across the portfolio. Decreases in the quarter at AER were driven by exchange movements in a number of International markets.

By Region

Specialty Medicines double-digit sales growth in the quarter was driven by strong Oncology and HIV performance, and continued growth for Nucala and Benlysta. The growth of Nucala and Benlysta was positively affected by the impacts of channel inventory reductions that occurred in Q1 2024.

Vaccines sales decreased in the quarter due to lower demand for both Shingrix driven by the continued challenge of activating harder-to reach consumers and Arexvy due to a more limited ACIP recommendation for RSV vaccination.

General Medicines sales low single-digit growth in the quarter was primarily driven by increased demand for Trelegy, with strong volume growth from higher patient demand, partially offset by price unfavourability resulting from continued channel pricing pressures and mix. Strong growth in Trelegy sales was partially offset by decreases across other general medicine products.

US performance in the quarter reflected the introduction of the IRA Medicare Part D redesign, which adversely impacted a number of products across Specialty Medicines, Vaccines and General Medicines.

Specialty Medicines sales grew by double-digits in the quarter due to continued strong performance in Oncology, Benlysta and Nucala including the benefit from new indication launches. Strong HIV growth continued in the quarter at a mid-single digit percentage.

Vaccines sales growth was driven by Shingrix new launch uptake in France together with expanded public funding and higher private market demand across several countries. Bexsero and Arexvy sales also grew strongly mainly in Germany following recommendations.

General Medicines sales decreased low single-digit in the quarter, with double-digit growth for Trelegy and Anoro being more than offset by decreases across other general medicine products.

Specialty Medicines double-digit sales growth in the quarter was driven by Nucala in respiratory, Benlysta in immunology, and Oncology.  HIV delivered broadly stable sales in the quarter.

Vaccines sales decreased in the quarter with lower Shingrix sales due to a strong comparator period which included rapid uptake from the national immunisation programme in Australia together with lower current quarter supply to our co-promotion partner in China. Established Vaccines sales were also negatively impacted by 2024 sales of AS03 adjuvant and divested brands as well as Cervarix competitive pressure and supply phasing.

General Medicines sales decreased low single-digit in the quarter, with double-digit growth for Trelegy and Anoro being more than offset by decreases across other general medicine products.

Total and Core cost of sales as a percentage of sales decreased in Q1 2025 primarily driven by mix benefits from growth in Specialty Medicines, particularly Nucala and Benlysta, and regional margin mix from higher US and Europe sales.

Total SG&A growth in the quarter was primarily driven by higher Core SG&A spend, partly offset by lower Significant legal expenses. Q1 2025 Core SG&A growth includes a 4 percentage point impact driven by the Q1 2024 reversal of the legal provision related to the Zejula royalty dispute, following a successful appeal.

Core SG&A growth in the quarter was driven by disciplined investment to support the launch of new assets including depemokimab, Penmenvy and Blenrep, and growth of key assets including Ojjaara/Omjjara, Nucala, and Shingrix, as well as investment behind long-acting HIV medicines.

In Q1 2025, Total and Core R&D investment increased in the quarter driven by continued progression across the portfolio.

In Specialty Medicines, investment increased to support late-stage clinical development programmes for camlipixant, the long acting TSLP asset, and bepirovirsen. HIV investment increased on next-generation long-acting treatment and preventative medicines. In Oncology, increased investment reflects acceleration in work on antibody-drug-conjugates. 

In Vaccines, clinical trial programmes associated with the pneumococcal MAPS and mRNA continued to drive investment.

These increases were partly offset by lower spend on depemokimab, following filing for severe asthma and CRSwNP indications, and in Blenrep (multiple myeloma) and Zejula (endometrial cancer) as studies progress to completion.

The increase in Total and Core royalty income in Q1 2025 primarily reflected increases in Kesimpta and Biktarvy royalties.

Q1 2025 other operating expense included a charge of £2 million (Q1 2024: £685 million) arising from the remeasurement of contingent consideration liabilities (CCL) and the liabilities for the Pfizer, Inc. (Pfizer) put option. The charge in the current quarter primarily reflected discount unwind as well as changes to sales forecasts, partly offset by favourable foreign exchange movements. See page 21 for further details.

Total operating profit margin was higher in the quarter mainly due to lower CCL charges, partly offset by lower other net operating income.

Core operating profit growth in the quarter primarily reflected higher turnover, favourable product mix and royalty income, partly offset by increased investment in R&D, new asset launches and growth assets.  Growth was also offset by the Q1 2024 reversal of the legal provision related to the Zejula royalty dispute, following a successful appeal.

The decrease in net finance costs in Q1 2025 was mainly driven by higher income from net investment hedges, higher interest income on cash and lower interest expense on tax.

The effective tax rate on Total results reflected the different tax effects of the various Adjusting items included in Total results.

The effective tax rate on Core profits is broadly in line with expectations for the year. Issues related to taxation are described in Note 14, 'Taxation' in the Annual Report 2024. The Group continues to believe it has made adequate provision for the liabilities likely to arise from periods that are open and not yet agreed by relevant tax authorities. The ultimate liability for such matters may vary from the amounts provided and is dependent upon the outcome of agreements with relevant tax authorities.

The increase in Total and Core NCIs in the quarter was primarily driven by higher core profit allocations from ViiV Healthcare, and a lower remeasurement loss on the CCL impacting Total NCIs.

The increase in the Q1 2025 Total EPS is driven by lower CCL movements.

The increase in the Core EPS in the quarter primarily reflected the growth in Core operating profit as well as lower net finance costs, partly offset by a higher effective taxation rate and higher non-controlling interests.

Currency impact on results

The results for Q1 2025 are based on average exchange rates, principally $1.26/£1, €1.20/£1 and Yen193/£1. The period-end exchange rates were $1.29/£1, €1.20/£1 and Yen193/£1. Comparative exchange rates are given on page 32.

In Q1 2025, the adverse currency impact primarily reflected the strengthening of Sterling against the Euro, Yen and emerging market currencies. Exchange losses on the settlement of intercompany transactions in Q1 2024 resulted in a favourable impact of three percentage points on Total EPS and two percentage points on Core EPS growth at AER.

Q1 2025

Cash generated from operations for the quarter was £1,301 million (Q1 2024: £1,126 million). The increase primarily reflected higher operating profit and a favourable timing impact from higher returns and rebates in comparison to lower returns and rebates in Q1 2024 including the impact of the removal of the AMP cap. This was partly offset by an adverse movement in receivables driven by higher Arexvy and Shingrix collections in Q1 2024.

Total contingent consideration cash payments in the quarter were £341 million (Q1 2024: £309 million). £338 million  (Q1 2024: £306 million) of these were recognised in cash flows from operating activities, including cash payments made to Shionogi & Co. Ltd (Shionogi) of £331 million (Q1 2024: £300 million).

Free cash inflow was £697 million for the quarter (Q1 2024: £289 million). The increase was primarily driven by higher cash generated from operations, lower capital expenditure on intangible assets and property, plant and equipment, higher proceeds from the sale of intangible assets, and lower dividends paid to non-controlling interests. 

Total Net debt

At 31 March 2025, net debt was £13,947 million, compared with £13,095 million at 31 December 2024, comprising gross debt of £18,432 million and cash and liquid investments of £4,485 million. See net debt information on pages 34 and 35.

Net debt increased by £852 million primarily due to the net acquisition costs of IDRx, Inc. (IDRx) and Cellphenomics GmbH totalling £800 million, dividends paid to shareholders of £612 million, and shares purchased as part of the 2025 share buyback programme of £247 million. This was partly offset by free cash inflow of £697 million and exchange gain on net debt of £187 million.

At 31 March 2025, GSK had short-term borrowings (including overdrafts and lease liabilities) repayable within 12 months of £1,958 million and £2,192 million repayable in the subsequent year.

Contents

*CALM-1 results will be disclosed together with CALM-2

Trust: progress on our six priority areas for responsible business

Building Trust by operating responsibly is integral to GSK's strategy and culture. This will support growth and returns to shareholders, reduce risk, and help GSK's people thrive while delivering sustainable health impact at scale. The Company has identified six Responsible Business focus areas that address what is most material to GSK's business and the issues that matter the most to its stakeholders. Highlights below include activity since Q4 2024 results. For more details on annual updates, please see GSK's Responsible Business Performance Report 2024(1).

Access

Commitment: to make GSK's vaccines and medicines available at value-based prices that are sustainable for the business and implement access strategies that increase the use of GSK's vaccines and medicines to treat and protect underserved people.

Progress since Q4 2024:

Global health and health security

Commitment: develop novel products and technologies to treat and prevent priority diseases, including pandemic threats.

Progress since Q4 2024:

Environment

Commitment: committed to a net zero, nature-positive, healthier planet with ambitious goals set for 2030 and 2045.

Progress since Q4 2024:

Inclusion

Commitment: meet patients' needs with research that includes those impacted by the disease under study, attract and retain the best talent regardless of background, and support all GSK people to thrive.

Ethical standards

Commitment: promote ethical behaviour across GSK's business by supporting its employees to do the right thing and working with suppliers that share GSK's standards and operate responsibly.

Product governance

Commitment: maintain robust quality and safety processes and responsibly use data and new technologies.

Responsible Business rating performance

Detailed below is how GSK performs in key Responsible Business ratings.

Footnotes:

Total and Core results

Total reported results represent the Group's overall performance.

GSK uses a number of non-IFRS measures to report the performance of its business. Core results and other non-IFRS measures may be considered in addition to, but not as a substitute for, or superior to, information presented in accordance with IFRS. Core results are defined below and other non-IFRS measures are defined on pages 44 and 45.

GSK believes that Core results, when considered together with Total results, provide investors, analysts and other stakeholders with helpful complementary information to understand better the financial performance and position of the Group from period to period, and allow the Group's performance to be more easily compared against the majority of its peer companies. These measures are also used by management for planning and reporting purposes. They may not be directly comparable with similarly described measures used by other companies.

GSK encourages investors and analysts not to rely on any single financial measure but to review GSK's quarterly results announcements, including the financial statements and notes, in their entirety.

GSK is committed to continuously improving its financial reporting, in line with evolving regulatory requirements and best practice. In line with this practice, GSK expects to continue to review and refine its reporting framework.

Core results exclude the following items in relation to our operations from Total results, together with the tax effects of all of these items:

Costs for all other ordinary course smaller scale restructuring and legal charges and expenses from operations are retained within both Total and Core results.

As Core results include the benefits of Major restructuring programmes but exclude significant costs (such as Significant legal, major restructuring and transaction items) they should not be regarded as a complete picture of the Group's financial performance, which is presented in Total results. The exclusion of other Adjusting items may result in Core earnings being materially higher or lower than Total earnings. In particular, when significant impairments, restructuring charges and legal costs are excluded, Core earnings will be higher than Total earnings.

GSK has undertaken a number of Major restructuring programmes in response to significant changes in the Group's trading environment or overall strategy or following material acquisitions. Within the Pharmaceuticals sector, the highly regulated manufacturing operations and supply chains and long lifecycle of the business mean that restructuring programmes, particularly those that involve the rationalisation or closure of manufacturing or R&D sites are likely to take several years to complete. Costs, both cash and non-cash, of these programmes are provided for as individual elements are approved and meet the accounting recognition criteria. As a result, charges may be incurred over a number of years following the initiation of a Major restructuring programme.

Significant legal charges and expenses are those arising from the settlement of litigation or government investigations that are not in the normal course and materially larger than more regularly occurring individual matters. They also include certain major legacy matters.

Reconciliations between Total and Core results, providing further information on the key Adjusting items, are set out on pages 19 and 20.

GSK provides earnings guidance to the investor community on the basis of Core results. This is in line with peer companies and expectations of the investor community, supporting easier comparison of the Group's performance with its peers. GSK is not able to give guidance for Total results as it cannot reliably forecast certain material elements of the Total results, particularly the future fair value movements on contingent consideration and put options that can and have given rise to significant adjustments driven by external factors such as currency and other movements in capital markets.

ViiV Healthcare

ViiV Healthcare is a subsidiary of the Group and 100% of its operating results (turnover, operating profit, profit after tax) are included within the Group income statement.

Earnings are allocated to the three shareholders of ViiV Healthcare on the basis of their respective equity shareholdings (GSK 78.3%, Pfizer 11.7% and Shionogi 10%) and their entitlement to preferential dividends, which are determined by the performance of certain products that each shareholder contributed. As the relative performance of these products changes over time, the proportion of the overall earnings allocated to each shareholder also changes. In particular, the increasing proportion of sales of dolutegravir and cabotegravir-containing products has a favourable impact on the proportion of the preferential dividends that is allocated to GSK. Adjusting items are allocated to shareholders based on their equity interests. GSK was entitled to approximately 85% of the Total earnings and 83% of the Core earnings of ViiV Healthcare for 2024.

As consideration for the acquisition of Shionogi's interest in the former Shionogi-ViiV Healthcare joint venture in 2012, Shionogi received the 10% equity stake in ViiV Healthcare and ViiV Healthcare also agreed to pay additional future cash consideration to Shionogi, contingent on the future sales performance of the products being developed by that joint venture, dolutegravir and cabotegravir. Under IFRS 3 'Business combinations', GSK was required to provide for the estimated fair value of this contingent consideration at the time of acquisition and is required to update the liability to the latest estimate of fair value at each subsequent period end. The liability for the contingent consideration recognised in the balance sheet at the date of acquisition was £659 million. Subsequent remeasurements are reflected within other operating income/(expense) and within Adjusting items in the income statement in each period.

Cash payments to settle the contingent consideration are made to Shionogi by ViiV Healthcare each quarter, based on the actual sales performance and other income of the relevant products in the previous quarter. These payments reduce the balance sheet liability and hence are not recorded in the income statement. The cash payments made to Shionogi by ViiV Healthcare in the three months ended 31 March 2025 were £331 million.

As the liability is required to be recorded at the fair value of estimated future payments, there is a significant timing difference between the charges that are recorded in the Total income statement to reflect movements in the fair value of the liability and the actual cash payments made to settle the liability.

Further explanation of the acquisition-related arrangements with ViiV Healthcare are set out on pages 89 and 90 of the Annual Report 2024.

The reconciliations between Total results and Core results for Q1 2025 and Q1 2024 are set out below.

Three months ended 31 March 2025