Long‑acting HIV injections Apretude and Cabenuva surged 75% and 48% in the quarter, helping GSK post Q3 2025 revenue of $11.52bn and core earnings of $1.48 per American depositary share (ADS), both above Zacks consensus. Sales rose 8% at constant exchange rates, led by speciality medicines — notably long‑acting HIV treatments and oncology launches — amid a management reset under CEO Luke Miels.
Speciality medicines power the top line
GSK’s third quarter showed clear momentum in its speciality medicines division. The company said overall quarterly revenues climbed 7% on a reported basis and 8% at constant exchange rates to $11.52bn (£8.55bn). Core earnings rose to $1.48 per American depositary share, up 11% year on year on a reported basis and 14% at constant exchange rates.
The company groups sales into General Medicines, Specialty Medicines and Vaccines. The segment performance for the quarter was:
- Specialty Medicines: +16% year on year
- General Medicines: +4% year on year
- Vaccines: +2% year on year
That shift toward faster‑growing speciality sales — where margins are typically higher — helped lift adjusted profit for the quarter.
HIV: long-acting drugs reshape the franchise
HIV products were a standout. GSK said HIV sales increased 12% in the quarter, led by the dolutegravir franchise and a surge in long‑acting therapies. Dovato grew 24% as patient demand rose, while long‑acting injections Apretude and Cabenuva jumped 75% and 48% respectively; those two drugs accounted for more than three quarters of HIV growth and now represent roughly a quarter of total HIV revenue.
Not every product rose: Triumeq fell 26% and Juluca slipped 2%, with Tivicay broadly flat. The pattern shows new medicines adding sales quickly while older regimens face pressure from competition and switching.
Oncology lifts sales with label expansions and launches
Oncology sales rose 39%, driven by higher uptake of Jemperli and the new blood‑cancer drug Ojjaara/Omjjara. Jemperli jumped 79% after label expansions in the US and Europe broadened its use in endometrial cancer patients. Ojjaara generated £146m in the quarter, up from £138m in the prior quarter, as uptake built in the US and initial launches continued in Europe and elsewhere.
ZEJULA sales fell 4%, reflecting tougher competition outside the US. The split — strong gains for newly expanded or launched drugs and pressure on older products — underscores the changing mix of GSK’s sales.
Costs, royalties and the profit mix
GSK said the profit beat was helped by a favourable product mix, higher royalty income and lower net finance costs. Those factors, combined with revenue gains, lifted core earnings per ADS above the Zacks estimate of $1.26. Partnering and licensing royalties are providing a steadier earnings stream alongside product sales.
Management has been reshaping the group’s focus toward higher‑growth speciality medicines; when higher‑margin speciality sales rise faster than lower‑margin volumes, adjusted earnings tend to advance more quickly than revenue.
Management and market reaction
CEO Luke Miels has pushed for a faster reshape of the company, saying he wants greater nimbleness and "more scientific courage." Investors appear to have taken note as sentiment around the stock has improved since his appointment.
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GSK said its Q3 2025 core earnings were $1.48 per ADS and revenue was $11.52bn (£8.55bn).
This article was created with AI assistance.
