Price revisions, new products should add to GSK Pharma's top-line growth

Brands, vaccines to drive margins for GSK Pharma

GlaxoSmithKline (GSK) Pharmaceuticals, which had a subdued September quarter, is expected to improve its profitability on the back of portfolio rationalisation, price hikes and an expanding vaccines business.

While GSK will continue to make and sell over 70 brands, growth is expected to be driven by 20 key brands in areas where there is significant unmet patient need. The firm’s strategy of rationalising its portfolio is looked at in positive light by analysts as it will lead to better margins. Ranjit Kapadia of Centrum Broking expects profitability to improve due to price revision for products that are not under price