A recent publication in JAMA compared the sales of prescription drugs five years after launch and found that those with Orphan Drug Act designation were just as lucrative for their manufacturers as those without. The paper also speculated on whether the incentives for developing orphan drugs – including tax breaks, longer exclusivity and exclusion from Medicare price renegotiation – should continue.
Stock Watch: Orphan Drug Profitability Under Threat
High Launch Prices Put Emphasis On Volume For Orphan Drug Sales Growth
The difficulty of finding and retaining patients with orphan diseases translates into higher marketing costs and adds to other restrictions that limit the attractiveness of some orphan drugs. Will the IRA exacerbate matters?
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