GlaxoSmithKline Pharmaceuticals (GSK) has received setback during the first quarter ended June 2016 due to government mandatory price cuts. Its net profit declined by 23.1 per cent to Rs.72.27 crore from Rs.94.01 crore in the same period of last year. Its net sales improved by 8 per cent to Rs.685.21 crore from Rs.634.49 crore. The sales include a 4 per cent growth arising from the vaccines asset sale agreement with Novartis India that concluded in September 2015.. EPS declined to Rs.8.5 from Rs.11.1 in the last period.

The scrip declined by Rs.30 in the afternoon session on BSE to Rs.3,347.50. It reached its peak level at Rs.3,850 on March 31, 2016.

For the full year ended March 2016, GSK's net sales reached at Rs.2,753 crore and its net profit worked out to Rs.375 crore.