Annual Report 2017
Our long-term priorities
In 2017 we set out three long-term priorities which we believe will deliver improved performance and better returns over the short and long term.
A strong patient and payer focused pipeline, with the most competitive claims and labels, and brilliant execution of our launches.
Sustained industry-leading growth with competitive costs, margin and cash flow.
Maximising our social impact, ensuring the reliable supply of our high-quality products to as many people as possible, and having highly engaged employees.
2017 Group performance*
Group turnover AER + 8% CER +3%
Total operating profit +57% CER +39%
Adjusted operating profit AER + 12% CER +5%
New product sales** AER + 51% CER +44%
Total earnings per share AER +67% CER +36%
Adjusted earnings per share AER +11% CER +4%
Net cash flow from operating activities
Free cash flow
Dividends declared for 2017
Dividend per share
GSK at a glance
Our purpose and goal
Our purpose is to help people do more, feel better and live longer.
Our goal is to be one of the world’s most innovative, best performing and trusted healthcare companies.
Bring differentiated, high-quality and needed healthcare products to as many people as possible, with our three global businesses, scientific and technical know-how and talented people.
Our values and expectations
Our values and expectations are at the heart of everything we do and form an important part of our culture.
Our values are Patient focus, Transparency, Respect, Integrity.
Our expectations are Courage, Accountability, Development, Teamwork.
Pharmaceuticals turnover: £17.3bn +7% AER, +3% CER (57% of Group turnover)
Vaccines turnover: £5.2bn +12% AER, +6% CER (17% of Group turnover)
Consumer Healthcare turnover: £7.8bn +8% AER, +2% CER (26% of Group turnover)
* Adjusted exchange rate (AER) growth rates represent growth at actual exchange rates. We use a number of adjusted, non-IFRS, measures to report the performance of our business, as described on page 58 of the Annual Report, including Adjusted results, free cash flow and constant exchange rates (CER) growth rates. These measures are used by management for planning and reporting purposes and may not be directly comparable with similarly described measures used by other companies. Adjusted results exclude a number of items and are presented as management believes that Adjusted results allow the key trends and factors driving that performance to be more easily and clearly identified by shareholders. Non-IFRS measures may be considered in addition to, but not as a substitute for or superior to, information presented in accordance with IFRS. A reconciliation of total results to Adjusted results is set out on page 67 of the Annual Report.
** As defined in 2015, new products are as follows: Pharmaceuticals: Relvar/Breo Ellipta, Incruse Ellipta, Anoro Ellipta, Arnuity Ellipta, Eperzan/Tanzeum, Nucala, Tivicay, Triumeq. Vaccines: Menveo, Bexsero, Shingrix.
The information contained on this Annual Report 2017 summary page of gsk.com is a summary of and contains extracts from the GSK Annual Report and Accounts 2017. The summary or extracts alone do not contain sufficient information to allow a full understanding of the results and state of affairs of GlaxoSmithKline PLC or the GSK Group. For further information the GSK Annual Report and Accounts 2017 should be consulted, including the cautionary statement on forward looking statements which can be found on the inside back cover.