GlaxoSmithKline sees hit from China corruption scandal

GSK's worldwide sales in the quarter were $10.17 billion, generating core earnings per share (EPS) up one per cent at 26.3 pence

GlaxoSmithKline , rocked by charges of corruption in China, reported a modest two per cent rise in second-quarter group sales on Wednesday but said the bribery scandal would inevitably have an impact. "Clearly, we are likely to see some impact to our performance in China as a result of the current investigation, but it is too early to quantify the extent of this," Chief Executive Andrew Witty said.

GSK's worldwide sales in the quarter were £6.62 billion ($10.17 billion), generating core earnings per share (EPS) up one per cent at 26.3 pence. Analysts, on average, had forecast sales of £6.60 billion and core EPS, which excludes certain items, of 26.2p, according to Thomson Reuters.
 
The company reiterated that it expected sales growth for the year to be around 1 per cent in local currency terms, with EPS rising by between three and four per cent.