GlaxoSmithKline Pharmaceuticals shares hit 20% upper circuit as profit jumps fivefold in Q3FY25

Shares of GlaxoSmithKline Pharmaceuticals hit the 20 per cent upper circuit at ₹2,421.30 per share on the BSE on Monday, February 17, following an impressive financial performance in the quarter ended December 2024 (Q3FY25). The pharmaceutical company reported a five-fold surge in net profit, driven by strong operational performance and the absence of one-time charges that impacted the previous year’s earnings.

Robust Financial Performance

GlaxoSmithKline Pharmaceuticals posted a 400 per cent jump in consolidated net profit to ₹230 crore, compared to ₹46 crore in the corresponding quarter last year. Meanwhile, the company’s revenue grew 18 per cent year-on-year (YoY) to ₹949.42 crore from ₹805.26 crore in Q3FY24.

The sharp rise in net profit was partly due to the absence of an exceptional charge of ₹163 crore in the year-ago quarter, which was related to a one-time voluntary retirement scheme (VRS).

Commenting on the results, Bhushan Akshikar, MD of GlaxoSmithKline Pharmaceuticals, highlighted the company’s strategic initiatives in strengthening its market presence and enhancing access to medicines and vaccines.

“Our strong third-quarter results reflect our unwavering commitment to delivering innovative healthcare solutions to patients across India. By focusing on our core brands and accelerating digital transformation through innovative go-to-market strategies, we continue to expand our reach and strengthen our market position,” he stated.

The company reported strong performance across key product portfolios, with flagship brands such as Augmentin, Ceftum, and T-Bact gaining market share in the general medicines segment. Additionally, GSK’s innovative respiratory portfolio, led by Nucala and Trelegy, saw robust growth, expanding patient access across India.

In the vaccines segment, GlaxoSmithKline Pharmaceuticals maintained leadership in the self-pay private market for pediatric vaccines. Meanwhile, its adult vaccines division continued to gain momentum, particularly with Shingrix (Herpes Zoster Vaccine – recombinant, adjuvanted), as the company focuses on expanding adult immunization in India.

GlaxoSmithKline Pharmaceuticals Limited is a subsidiary of GSK plc, a global healthcare company dedicated to leveraging science, technology, and talent to address disease challenges worldwide.

Stock Performance and Trends

Following the strong Q3 results, the pharma stock surged, but it remains 21.5 per cent below its 52-week high of ₹3,087.95, recorded in August 2024. However, it has jumped over 32 per cent from its 52-week low of ₹1,825.05, hit in April 2024.

Despite the recent rally, the stock has lost over 10 per cent in the last year. The stock has rebounded in February, gaining 22 per cent so far, after facing five consecutive months of declines from September 2024 to January 2025. During this period, it shed 12 per cent in January, 8 per cent in December, 9.5 per cent in November, 1.4 per cent in October, and 0.26 per cent in September.

With its latest financial performance, investors will be keen to see whether GSK Pharmaceuticals can sustain its growth momentum in the coming quarters.

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