Drug Prices Will See More Moderate Increase But Specialty Million-Dollar Therapies Still Driving Costs Higher
"Hospitals and patients are still getting killed by new million-dollar drugs that won't see any competition for decades," said Dan Kistner, group senior vice president of pharmacy solutions for Vizient. In other pharmaceutical news: Roche posts its growth report, Novartis' gene therapy for infants continues to perform well, CVS figures out a way to help with diabetes medication costs, and scientists dig into the phenomenon of biotech's "missing girls."
Modern Healthcare:
Drug Price Inflation Slows, But Problems Persist
Drug prices will rise an estimated 3.59% through next year, continuing a recent trend of moderate increases, although the high cost of some pharmaceuticals still rankle health systems and patients, according to research by one group purchasing organization. Advocacy and awareness as well as a more competitive market have contributed to more modest price increases over recent years, according to Vizient's outlook from July 2019 through June 2021. (Kacik, 1/29)
The Wall Street Journal:
Cancer-Drug Giant Roche Posts Growth As Diversification Efforts Pay Off
New drugs for multiple sclerosis and hemophilia drove growth at Roche Holding last year, a sign the company’s efforts to move beyond cancer treatments are paying off. The Swiss health-care giant on Thursday said sales rose 8% to 61.5 billion Swiss francs ($63.2 billion) in 2019. Core operating profit, a closely watched measure that strips out some one-time items, rose 10% to 22.5 billion francs. Net income climbed 30% to 14.1 billion francs, partly because of an impairment charge in the prior-year. (Roland, 1/30)
Stat:
Novartis Gene Therapy For Fatal Disease Delivers Strong Sales
Zolgensma, the Novartis gene therapy for infants and the world’s most expensive medicine, continues to perform well commercially, bringing in $186 million during the fourth quarter, topping analyst expectations on Wednesday. Last June, Novartis secured U.S. approval for Zolgensma as a one-time treatment for spinal muscular atrophy, a rare and deadly neurological disease. It carries a record price tag of $2.1 million, or an annualized cost of $425,000 per year for five years. (Feuerstein, 1/29)
Modern Healthcare:
CVS: Insurers Can Cover Out-Of-Pocket Drug Costs And Still Save Money
CVS Health said it has worked out a way for employers and insurers to cover the out-of-pocket costs of their members' diabetes medications while also saving money. Despite shouldering the added cost of their members' drugs, CVS' pharmacy benefit manager, CVS Caremark, said its clients will ultimately save money through its new plan, called RxZERO. CVS claimed the savings will come from a combination of adopting its formulary that steers patients toward generic drugs as well as simply having less expensive members. (Bannow, 1/29)
Stat:
Scientists' Plan Aims To Solve Biotech's 'Missing Women' Problem
They are the biotech equivalent of the “missing girls” in countries with a skewed gender ratio: 40 to 50 companies that would have been spun out of research at MIT labs headed by women were it not for … That’s the multibillion-dollar question: Why don’t women biologists found biotech companies at the same rate as men? For the last year, three prominent Massachusetts Institute of Technology scientists have been collecting statistics, questioning venture capital partners, and meeting with leaders in academia, science, and business to find answers. (Begley, 1/29)
