Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  Equities  >  Tokyo  >  Takeda Pharmaceutical Co Ltd    4502   JP3463000004

TAKEDA PHARMACEUTICAL CO LTD (4502)
Mes dernières consult.
Most popular
  Report  
SummaryChartsNewsAnalysisCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsofficial PublicationsSector newsTweets

Sanofi pegs U.S. drug price rises to below healthcare inflation

share with twitter share with LinkedIn share with facebook
share via e-mail
0
05/09/2017 | 04:33pm CEST
FILE PHOTO - A logo is seen in front of the entrance at the headquarters of French drugmaker Sanofi in Paris

(Reuters) - French drugmaker Sanofi (>> Sanofi) has pledged to peg U.S. drug price rises to below healthcare inflation in a move that limits increases for any product this year to 5.4 percent, unless there are exceptional circumstances.

(Reuters) - French drugmaker Sanofi (>> Sanofi) has pledged to peg U.S. drug price rises to below healthcare inflation in a move that limits increases for any product this year to 5.4 percent, unless there are exceptional circumstances.

The price promise goes one step beyond action taken by a number of other large pharmaceutical companies that have undertaken to keep 2017 price increases below 10 percent.

Drugmakers are under fire worldwide over prices as a wave of new treatments for cancer and other serious conditions reach the market, some costing tens or hundreds of thousands of dollars per patient.

The row is particularly fierce in the United States, where prices are higher than in Europe and where there have been highly publicised increases in some older products, such as Mylan's (>> Mylan NV) EpiPen for allergic reactions.

The complex U.S. supply chain has led to a blame game between drugmakers, health insurers and intermediaries known as pharmacy benefit managers.

"This complexity is undermining the reputation of an entire industry whose purpose is to make a positive change in patients’ lives," Sanofi Chief Executive Olivier Brandicourt said.

Sanofi will take as its pricing benchmark the national health expenditures (NHE) growth projection, which is calculated by the Department of Health and Human Services and covers spending by all U.S. payers, including individuals.

"By limiting our price increases to the NHE growth projection, we ensure that Sanofi is not contributing to further medical inflation," Brandicourt said.

This would cap price increases for any product to 5.4 percent in 2017, but Sanofi said there might be times when there was a "sound reason" for a higher increase, in which case it promised to demonstrate publicly the rationale for such a rise.

Sanofi said it would disclose the gross and net prices for its medicines in future, adding that in 2016 its average aggregate list prices increased by 4.0 percent but net prices fell by 2.1 percent.

Other companies, including Merck & Co (>> Merck & Co., Inc.) and Johnson & Johnson (>> Johnson & Johnson), have also released gross and net prices. But the picture is particularly stark for Sanofi, which is being hit hard by competition in its core diabetes treatment business.

The competition is driving down its prices, notably for its long-lasting insulin Lantus.

Responding to criticism about high drug prices, other firms such as AbbVie (>> AbbVie Inc), Allergan (>> Allergan, Inc.), Novo Nordisk (>> Novo Nordisk A/S) and Takeda Pharmaceutical (>> Takeda Pharmaceutical Co Ltd) have promised to keep all drug price increases in 2017 in single digits.

Sanofi believes pegging prices to an independent measure like the NHE is more objective and less arbitrary than such a single-digit promise.

The NHE is currently projected to increase by an average 5.6 percent annually between now and 2025. NHE inflation has generally hovered around the mid-single digits level, with the increase hitting a historic low of 2.9 percent in 2013.

In the past, Sanofi has received mixed reviews for its drug pricing.

The company surprised many investors in March when it set a lower-than-expected price for its new injectable eczema drug Dupixent, developed with long-time partner Regeneron Pharmaceuticals (>> Regeneron Pharmaceuticals Inc).

But it has been accused by a group of patients of colluding with rivals over diabetes drug prices going back several years. Sanofi denies the charge.

(Editing by Mark Potter and Edmund Blair)

By Ben Hirschler

Stocks mentioned in the article
ChangeLast1st jan.
ABBVIE -0.44% 92.6 Delayed Quote.-3.83%
ALLERGAN PLC -0.05% 158.51 Delayed Quote.1.22%
JOHNSON & JOHNSON -0.70% 126.66 Delayed Quote.-8.59%
MERCK AND COMPANY 0.32% 58.83 Delayed Quote.4.21%
MYLAN NV -0.22% 40.72 Delayed Quote.-3.71%
NOVO NORDISK A/S -1.17% 284.2 Delayed Quote.-14.04%
REGENERON PHARMACEUTICALS -0.50% 314.25 Delayed Quote.-14.19%
SANOFI -0.49% 65.28 Real-time Quote.-8.70%
share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on TAKEDA PHARMACEUTICAL CO L
04/20Japan's Takeda sweetens $62 billion Shire offer
RE
04/20SHIRE PLC SHIRE PLC : Statement Re Proposal From -2-
DJ
04/20SHIRE PLC SHIRE PLC : Statement Re Proposal From Takeda Pharmaceutical Company L..
DJ
04/20TAKEDA PHARMACEUTICAL : ups Shire offer to 47 pounds-a-share
RE
04/20TAKEDA PHARMACEUTICAL : Statement -2-
DJ
04/20TAKEDA PHARMACEUTICAL : Statement Regarding Improved Proposal for Shire
DJ
04/20TAKEDA PHARMACEUTICAL : weighs raising Shire bid to more than 47 pounds per shar..
RE
04/20Shire rejects third Takeda bid, Allergan mulling offer
AQ
04/20Shire rejects third Takeda bid, as Allergan drops out
AQ
04/20Shire Attracts Flurry Of Suitors -- WSJ
DJ
More news
News from SeekingAlpha
04/20ALLERGAN : The Shire Deal Is DOA And So Is The Stock 
04/20Takeda sweetens offer for Shire to £47/share 
04/20Shire perks up premarket on rumored new Takeda bid 
04/20WALL STREET BREAKFAST, APRIL 20TH : Tough Trade Talk With China And Canada, Russ.. 
04/20WALL STREET BREAKFAST : Spring Meetings For IMF, World Bank 
Financials ( JPY)
Sales 2018 1 770 B
EBIT 2018 -
Net income 2018 170 B
Debt 2018 721 B
Yield 2018 3,53%
P/E ratio 2018 23,42
P/E ratio 2019 26,39
EV / Sales 2018 2,69x
EV / Sales 2019 2,63x
Capitalization 4 049 B
Chart TAKEDA PHARMACEUTICAL CO L
Duration : Period :
Takeda Pharmaceutical Co L Technical Analysis Chart | 4502 | JP3463000004 | 4-Traders
Technical analysis trends TAKEDA PHARMACEUTICAL CO L
Short TermMid-TermLong Term
TrendsBearishBearishBearish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 8
Average target price 6 378  JPY
Spread / Average Target 25%
EPS Revisions
Managers
NameTitle
Christophe Weber President, CEO & Representative Director
Costa Saroukos Chief Financial Officer
Andrew S. Plump Director, Chief Medical & Scientific Officer
Shinji Ninomiya Manager-Research & Development
Yasuhiko Yamanaka Director
Sector and Competitors
1st jan.Capitalization (M$)
TAKEDA PHARMACEUTICAL CO LTD-25.28%37 601
JOHNSON & JOHNSON-8.59%342 627
PFIZER0.75%217 064
NOVARTIS-6.21%213 465
ROCHE HOLDING LTD.-12.17%193 713
MERCK AND COMPANY4.21%158 813