Key findings for top 12 biopharma companies in the Deloitte study.
The growing cost of new drugs includes buying companies for their research (outsourcing research) instead of "producing" R&D within the company. The report will not tell you this minor observation.
- R&D returns have declined to 1.9 per cent, down from 10.1 per cent in 2010 - the lowest level in nine years
- Returns have been impacted by the growing cost of bringing a drug to market which now stands at $2,168 million – almost double the $1,188 million recorded in 2010
- Forecast peak sales have declined from last year to $407 million – less than half the 2010 value of $816 million
Last February I said :
In drug industry the probability of R&D failure is 90.4%. We all know that in the drug costs we are paying also for failures, but we easily forget the figure.You'll not find any reference to this minor issue. Is there any profitable industry with such a failure rate?
Caro Emerald
