AstraZeneca and GSK, two of the UK's largest pharmaceutical companies, reported first-quarter 2026 profits that exceeded analyst expectations. AstraZeneca posted core earnings per share of $2.58, surpassing the FactSet consensus of $2.53, while GSK reported a core EPS of £0.47 ($0.63), ahead of the expected £0.43. AstraZeneca's revenue for the quarter reached $15.3 billion, an 8% year-on-year increase and above the anticipated $14.9 billion. GSK's revenue was £7.63 billion ($10.3 billion), up 5% year-on-year and in line with expectations [1].
The strong financial results come as pharmaceutical CEOs, including those from Novartis, AstraZeneca, Roche, and Boehringer Ingelheim, warn that U.S. President Donald Trump's proposed most-favored-nation (MFN) drug pricing policy could limit Europe's access to new medicines. The policy aims to tie U.S. drug prices to those in comparable countries, which executives argue may discourage launches of novel medicines in Europe unless the continent addresses competitiveness issues. Novartis CEO Vas Narasimhan noted that the impact of MFN has not yet materialized but is expected to do so within the next 18 months [1].
AstraZeneca CEO Pascal Soriot highlighted a 'catalyst-rich' period for the company, referencing recent positive clinical trial results. In April, AstraZeneca announced that a late-stage trial for a combination treatment with its cancer drug Imfinzi showed meaningful improvement for liver cancer patients. Additionally, in late March, the company reported a successful outcome from an experimental lung disease medicine in two late-stage trials, outperforming rivals in the same therapeutic area [1].
Both AstraZeneca and GSK have significantly outperformed broader market indices over the past 12 months. GSK shares have risen 42% and AstraZeneca 30%, compared to a 15% increase in the Stoxx 600 and a 22% gain in the FTSE 100 during the same period. AstraZeneca remains on track to achieve its goal of $80 billion in revenue by 2030, according to Soriot [1].
CONCLUSION
AstraZeneca and GSK delivered robust first-quarter results, beating earnings expectations and demonstrating strong revenue growth. Despite positive momentum, both companies face potential challenges from U.S. drug pricing reforms, which could impact future European drug launches. Nevertheless, their recent clinical successes and market outperformance underscore investor confidence in their growth trajectories.