GlaxoSmithKline enjoys big windfall as pound slides

LONDON, Oct (HKSE: 3366-OL.HK - news) 26 (Reuters) - Drugmaker GlaxoSmithKline said on Wednesday it expected even bigger profit gains in 2016 thanks to a weak pound, which has continued to fall after Britain's vote in June to leave the European Union, as quarterly results beat expectations.

GSK, which is in the middle of a CEO handover that will see consumer healthcare head Emma Walmsley take change in 2017, now sees the currency's slide pumping up full-year earnings per share by 21 percent, against 19 percent seen three months ago.

The group generates more than 95 percent of its sales outside Britain while many of its costs are in pounds, making it a big winner from sterling's tumble.

Quarterly sales, in sterling terms, rose 23 percent to 7.54 billion pounds in the third quarter, generating core earnings per share (EPS) up 39 percent at 32.0 pence.

Analysts, on average, had forecast sales of 7.28 billion pounds and core EPS, which excludes certain items, of 29.6p, according to Thomson Reuters (Dusseldorf: TOC.DU - news) . (Reporting by Ben Hirschler; Editing by Martinne Geller)