GlaxoSmithKline Third Quarter Profit Up 11 Percent

JANE WARDELL

LONDON (AP) — GlaxoSmithKline PLC, the world's second largest drug maker by revenue, forecast a big boost from its swine flu vaccines before the end of the year as it reported an 11 percent rise in third quarter earnings on Wednesday.

London-based Glaxo posted net profit of 1.44 billion pounds ($2.35 billion) for the three months to Sept. 30, compared to 1.29 billion pounds a year earlier, helped by strong sales of its flu drug Relenza and gains in its consumer healthcare division.

Revenue rose 15 percent to 6.76 billion pounds, underpinned by surging sales in emerging markets.

Total sales lifted 3 percent, marking the first growth in two years, as the company made progress in breaking its reliance on the "white pill western market" by diversifying its business across geographical and product markets.

"This is the quarter that shows a build in momentum at GlaxoSmithKline," said Chief Executive Andrew Witty.

Glaxo's shares, however, dropped 0.9 percent to 1,245 pence after the overall earnings for the quarter just missed consensus forecasts of around 1.47 billion pounds.