GlaxoSmithKline

GlaxoSmithKline 3Q10

3Q10 Revenues: $10.6 billion (-2%)

3Q10 Earnings: $2.1 billion (-2%)

YTD Revenues: $32.6 billion (+4%)

YTD Earnings: $3.8 billion (-38%)

Comments: Avandia sales for the quarter dropped 65% to $111 million, and will become negligible after 4Q10, a result of severe restrictions in the U.S. and withdrawal in Europe. For the year, U.S. pharma revenues have dropped 7% to $8.9 billion, primarily due to Avandia, generic Valtrex, and loss of Boniva and WellButrin XL. During the same period, pharma revenues in Europe were up 3% to $7.5 billion, while Emerging Markets were up 24% to $4.0 billion. Vaccine sales for the year were up 19% to $1.5 billion, with strong growth from Synflorix, Cervarix and Boostrix.