Post by vark on May 10, 2016 9:18:30 GMT -5
investopedia:
Cynical investors retorted that Abbott’s board of directors constructed as a repository in which to dump some of its imminently expiring patents. (For more, see: Abbott Labs Spins Off : Which is the Better ?)
Product Line
Many of those patents, although set to vanish into oblivion by 2017 (slightly later in Europe), are among the most valuable in existence. ’s entire product line consists of 27 drugs, a few of which have become household names – among them Vicodin (an industrial-strength painkiller), Androgel (a testosterone booster) and Marinol (cannabis without the baggage). But the company’s featured attraction, its undisputed heavyweight champion, is an anti-inflammatory drug that just happens to be the world’s best seller.
sold $11 billion worth of Humira last year, and if you’ve never used it, thank the deity of your choice. Physicians use Humira to treat such devastating ailments as Crohn’s disease and rheumatoid arthritis, a far more damaging and painful counterpart to common, non-inflammatory osteoarthritis. A standard prescription costs about $3,000, which means sells about 3.6 million prescriptions a year. Humira means almost as much to as tires do to Michelin. That one drug is responsible for 63% of revenue. So maybe both management and investors are both right with regard to the reasons behind the spinoff....
The more ambitious the drug and the more serious the ailments it counters, the better for the manufacturer. is testimony to that, generating profit margins of 21%. As long as can bring its new drugs to market faster than its patents expire, the company should be in great position in the long run.
Read more: How Makes its Money (ABBV) (ABV, ABT) | Investopedia www.investopedia.com/articles/markets/040115/how--makes-its-money-abbv.asp#ixzz48GMF9j2T
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I just got a screening for a study that I think will involve a generic equivalent to humera. So I'm doing a little research. I may add to this thread as i learn more. Humera is a monoclonal antibody ("mab") and the science behind those is a little over my head, so i'm focused more on the economics of it right now.
www.forbes.com/sites/simonking/2013/07/15/the-best-selling-drugs-since-1996-why-s-humira-is-set-to-eclipse-s-lipitor/#45245e1f2055
The Illinois-based firm generates the bulk of its revenue from its anti-inflammatory drug Humira, used to treat arthritis, and from AndroGel, a topical testosterone replacement therapy (TRT) drug designed to treat low testosterone (“Low T”) in men with a medical condition.
Inc. is a research-based specialty biopharmaceuticals company that spun off from Abbott Laboratories on Jan. 1, 2013. The fledgling company netted $18.8 billion in sales in its first year, growing to $20 billion in 2014. Now, it markets more than 30 products and plans to seek approval from the U.S. Food and Drug Administration (FDA) to sell at least 15 more in the next few years.
The company’s commitment to its testosterone product also could cost it money. is fighting accusations that it failed to warn the public about AndroGel’s heart risks for men, soing that has led to legal action against the drugmaker.
www.drugwatch.com/testosterone/lawsuit/
Cynical investors retorted that Abbott’s board of directors constructed as a repository in which to dump some of its imminently expiring patents. (For more, see: Abbott Labs Spins Off : Which is the Better ?)
Product Line
Many of those patents, although set to vanish into oblivion by 2017 (slightly later in Europe), are among the most valuable in existence. ’s entire product line consists of 27 drugs, a few of which have become household names – among them Vicodin (an industrial-strength painkiller), Androgel (a testosterone booster) and Marinol (cannabis without the baggage). But the company’s featured attraction, its undisputed heavyweight champion, is an anti-inflammatory drug that just happens to be the world’s best seller.
sold $11 billion worth of Humira last year, and if you’ve never used it, thank the deity of your choice. Physicians use Humira to treat such devastating ailments as Crohn’s disease and rheumatoid arthritis, a far more damaging and painful counterpart to common, non-inflammatory osteoarthritis. A standard prescription costs about $3,000, which means sells about 3.6 million prescriptions a year. Humira means almost as much to as tires do to Michelin. That one drug is responsible for 63% of revenue. So maybe both management and investors are both right with regard to the reasons behind the spinoff....
The more ambitious the drug and the more serious the ailments it counters, the better for the manufacturer. is testimony to that, generating profit margins of 21%. As long as can bring its new drugs to market faster than its patents expire, the company should be in great position in the long run.
Read more: How Makes its Money (ABBV) (ABV, ABT) | Investopedia www.investopedia.com/articles/markets/040115/how--makes-its-money-abbv.asp#ixzz48GMF9j2T
Follow us: Investopedia on Facebook
I just got a screening for a study that I think will involve a generic equivalent to humera. So I'm doing a little research. I may add to this thread as i learn more. Humera is a monoclonal antibody ("mab") and the science behind those is a little over my head, so i'm focused more on the economics of it right now.
www.forbes.com/sites/simonking/2013/07/15/the-best-selling-drugs-since-1996-why-s-humira-is-set-to-eclipse-s-lipitor/#45245e1f2055
The Illinois-based firm generates the bulk of its revenue from its anti-inflammatory drug Humira, used to treat arthritis, and from AndroGel, a topical testosterone replacement therapy (TRT) drug designed to treat low testosterone (“Low T”) in men with a medical condition.
Inc. is a research-based specialty biopharmaceuticals company that spun off from Abbott Laboratories on Jan. 1, 2013. The fledgling company netted $18.8 billion in sales in its first year, growing to $20 billion in 2014. Now, it markets more than 30 products and plans to seek approval from the U.S. Food and Drug Administration (FDA) to sell at least 15 more in the next few years.
The company’s commitment to its testosterone product also could cost it money. is fighting accusations that it failed to warn the public about AndroGel’s heart risks for men, soing that has led to legal action against the drugmaker.
www.drugwatch.com/testosterone/lawsuit/
