GSK posts blowout RSV vaccine sales, raises outlook as shots give big pharma a boost

Key Points

• GlaxoSmithKline (GSK) raises its long-term sales outlook after the successful launch of its RSV vaccine, Arexvy, generating approximately £1.2 billion ($1.5 billion) in sales within six months, surpassing the initial 2023 sales forecast of £900 million to £1 billion ($1.1 billion to $1.26 billion).
• GSK anticipates sales to exceed £38 billion ($48 billion) by 2031, up from the previous forecast of £33 billion ($41.8 billion). The RSV vaccine, targeting respiratory syncytial virus, contributed to this higher forecast. GSK expects sales to rise by more than 7% on a compounded annual growth rate between 2021 and 2026, with adjusted operating profit increasing more than 11% during that period.
• Arexvy, approved for adults aged 60 and older, holds a 70% market share for RSV, making it a blockbuster vaccine. GSK’s main rival in the market, Pfizer’s RSV vaccine Abrysvo, achieved about $890 million in sales last year. GSK’s optimistic outlook contrasts with Pfizer’s less successful launch, and Moderna is also planning to launch its own RSV vaccine this year. RSV, causing mild symptoms, results in severe or life-threatening outcomes for seniors and young children, leading to 6,000 to 10,000 senior deaths and several hundred deaths among children under 5 in the U.S. annually, according to the CDC.