Novartis aims to beat rivals in new $ 10 billion cancer treatment market
Novartis hopes to consolidate its lead in the potential $ 10 billion market for a new type of cancer treatment called novel radioligand therapy after the positive results of its trials.
Vasant NarasimhanThe CEO of Novartis said pharmaceutical companies have great manufacturing capacity and hospital relationships, that they need to invest to scale in order to provide treatment, and that competitors are replacing the company. Domination said this would lead to a “virtuous cycle” that seemed difficult.
“We believe the market could reach over $ 10 billion over the next decade,” he told the Financial Times. “When you see cancer that it can treat, you definitely have the potential to grow much, much bigger.”
First discovered by physicists at CERN, the European Organization for Nuclear Research, ligand radiation therapy irradiates tumors with targeted injections rather than blunt tools for radiation therapy. Novartis acquired the scientific company Advanced Accelerator Applications for $ 3.9 billion in 2018.
Narasimhan said the test results released last month were “quite remarkable”. In a phase 3 trial to treat prostate cancer, Novartis found a 38% reduction in the risk of death compared to standard treatment.
The company plans to submit treatments for regulatory approval in the US and the EU in the second half of this year. We are expanding the trial to the initial treatment for prostate cancer and are considering its use for other cancers, including the lungs and brain.
However, treatment requires a complex infrastructure that requires a just-in-time supply for radiation therapy and isolated patients while receiving it.
Narasimhan believes there could be tens of thousands to hundreds of thousands of prostate cancer patients and said he is encouraging the clinic to expand into the region.
“We think prostate cancer is the key to really allowing us to get a much wider interest,” he said.
Narasimhan is drawing more and more attention to innovative medicines from Novartis. This includes kimria, a transformational but difficult-to-administer treatment, and solgensuma, the world’s most expensive gene therapy drug for spinal muscular atrophy, a debilitating genetic disease.
The surge in sales of blockbuster drugs pushed Novartis above expectations in terms of sales and revenue in the second quarter. Sales of Entrest for heart failure increased 46% at constant currency, while sales of Cosentyx for the treatment of symptoms such as arthritis and psoriasis increased 21%.
Swiss pharmaceutical companies posted net sales of $ 13 billion, up 14% year-on-year, above consensus forecast of $ 12.5 billion. Basic earnings per share were $ 1.66, above analysts’ average forecast of $ 1.52. Net profit was $ 2.9 billion.
Oncology drug revenues grew 7% at constant exchange rates, with some health systems starting to approach cancer diagnostic levels before the pandemic. Was confused Focusing on the treatment of Covid-19 patients.
Novartis has reaffirmed its forecast for full year 2021 that net sales will rise from low to mid-range and basic operating income will rise to mid-figure. Restrictions on coronaviruses are expected to be relaxed in the second half of the year.
“Ultimately I think the Minister of Health is increasingly aware that in many countries there are more cardiovascular deaths than Covid and that cancer is closer to death from Covid.” Narasimhan said. Declared.
But he warned that the rebounds in treatment could be reversed due to the “ups and downs of delta mutants” leading to increased hospitalizations in many countries.
Novartis aims to beat rivals in new $ 10 billion cancer treatment market Source link Novartis aims to beat rivals in new $ 10 billion cancer treatment market