LONDON (dpa-AFX) - GlaxoSmithKline plc (GSK, GSK.L) reported a loss for the second-quarter, compared to profit last year, reflecting impact of significant Sterling currency adjustment to valuations of liabilities associated with Consumer Healthcare and HIV businesses.
As a consequence of the momentum seen so far this year, GSK now expects to deliver core earnings per share at the upper end of the guidance given to investors at the first quarter, with core earnings per share percentage growth of 11-12% or CER.
The Group has declared a dividend of 19 pence for the quarter. The Board continues to expect to pay a full year dividend of 80 pence for 2016 and for 2017.
Loss attributable to shareholders for the second-quarter was 435 million pounds or 9.0 pence per share, compared to profit of 149 million pounds or 3.1 pence per share in the same quarter last year.
Loss before taxation was 318 million pounds, compared to pre-tax profit 152 million pounds in the prior year.
Core earnings per share for the quarter was up 16% CER to 24.5 pence.
Turnover for the quarter grew to 6.532 billion pounds from 5.888 billion pounds in the prior year.
The company now expects 2016 core earnings per share percentage growth to be 11%-12% on a CER basis.
If exchange rates were to hold at the June closing rates (£1/$1.33, £1/€1.20 and £1/Yen 137) for the rest of 2016, the estimated positive impact on 2016 Sterling turnover growth would be around 9% and if exchange losses were recognised at the same level as in 2015, the estimated positive impact on 2016 Sterling core earnings per share growth would be around 19%.
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