Johnson & Johnson touts new therapies to fill sales void – News


Johnson & Johnson aims to make up for lost revenue from its planned consumer division by filing 14 new therapies in the coming years and expanding its existing portfolio, the drugmaker said Thursday.

The company, which is expected to emerge as “the new J&J” in 18 to 24 months when a spin-off of its consumer unit is just announced, will not have iconic over-the-counter brands like Band-Aid bandages. and pain. med Tylenol to fall back on longer.

As J&J focuses on pharmaceuticals and medical devices, the loss of the consumer division – a $ 14 billion-a-year company – is particularly troubling, given that its older pharmaceutical drugs are about to be attacked by a wave of patent expiries.

How will he make up for the shortfall? During a review of pharmaceutical business this morning, executive vice president and global president of J & J’s pharmaceutical unit Jennifer Taubert said the company plans to file 14 new drugs, each with blockbuster potential. – and a handful with a cap of $ 5 billion – over the next four years.

Among the main assets in the pipeline are the amivantamab-plus-lazertinib combination, for non-small cell lung cancer; the milvexian anticoagulant, which J&J is co-developing with Bristol Myers Squibb; cilta-cel, a CAR-T cell therapy for multiple myeloma; and the monoclonal antibody nipocalimab, for diseases caused by autoantibodies. Part of the value will come from the licensing of external compounds and other partnership agreements.

36 product extensions are also underway, the top 10 of which will reach peak annual sales of over $ 1 billion, Taubert said. Consider additional indications, new formulations and combination regimens.

Eight of the drugs currently marketed by J&J are expected to see double-digit growth, with 14 sales exceeding $ 1 billion, she added, including cancer drugs Darzelex and Imbruvica and ulcerative colitis drug Tremfya.

J&J spent $ 9.6 billion on R&D in 2020 – “more than 100% more than what we spent on sales and marketing“, noted Taubert. This is a level of investment that the company plans to maintain, according to the information.

This is all on top of a compound annual growth rate of “at least” 5% through 2025, she said. This would overtake the global pharmaceutical market, which will grow by just 3% per year during this period, according to J&J estimates.

“By 2025, we expect to be a $ 60 billion pharmaceutical company,” Taubert said, adding that the expected growth may “more than offset” the impacts of potential losses of exclusivity on older brands of drugs.

Nonetheless, patent expirations have reduced sales of mega-rockbusters – like Remicade, previously J&J’s bestseller. The infusion of immunology saw its first biosimilar rival in 2016, although the company held off competition from Pfizer’s mimic drug with aggressive contracts. Remicade’s replacement drug, the biologic drug Stelara, is expected to lose its exclusivity in the period 2025/2026.

After the planned separation of its mainstream business, the largest brand reshuffle in J&J’s 135-year history, the lean organization will not be as large as it is today. For example, it will not be able to fall back on its OTC base to cope with the vagaries of the other two business segments.

CEO Alex Gorsky reiterated during the business review that he anticipates the spin-off will leave biopharmaceutical companies and medical devices in a better position.

“We have always wondered and challenged ourselves if a large-scale approach… truly meets the best long-term needs of all of our stakeholders,” he said. “While this approach has undoubtedly served us well for decades, we believe that today’s consumer environment now demands a different kind of emphasis on innovation and agility. “

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