Britain-based drugmaker GlaxoSmithKline has reported a drop in earnings in the first full quarter since its deal to swap some assets with Swiss rival Novartis.
Second-quarter net income fell to 149 million pounds ($232 million) from 654 million pounds a year earlier. Core operating profit fell 4 percent to 1.35 billion pounds. Sales rose 6 percent to 5.89 billion pounds.
Continue Reading Below
CEO Andrew Witty described the performance as encouraging, with integration and restructuring plans on track. Synergy benefits are expected from the Novartis transaction.
GSK, the world's No. 7 drugmaker, has been trying to grow or eliminate noncore investments to focus on their strengths amid pressure from generic drugmakers.
Those deals included GSK's sale of its cancer-drug business to Novartis in a swap for the Swiss company's vaccines business and cash.