Generic Drugs affect Pharma Profits [FwHkvgiqZ]

Generic Drugs affect Pharma Profits [FwHkvgiqZ]

Eli Lillys CEO David Ricks downplayed the financial impact of compounded versions of the companys weight loss drug Zepbound being sold on the market. Compounding, which allows pharmacies to make altered versions of brand-name drugs with FDA approval, has led to the sale of cheaper alternatives to Eli Lillys blockbuster medication. While some digital health companies and online pharmacies are profiting from the sale of these off-brand drugs, Ricks believes it won't have a significant financial impact on Eli Lilly. The company is instead working to increase its production capacity to meet growing demand for Zepbound. Meanwhile, the FDA has marked several popular GLP-1 treatments, including Ozempic and Wegovy, as eligible for compounding, sparking concerns about regulatory oversight and the risk of a "backdoor generic" market. Eli Lillys top leader on weight loss drugs, Patrik Jonsson, noted that these off-brand drugs are often prescribed off-label and paid for in cash. As a result, companies like Novo Nordisk are working to curb the sale of these alternatives and ensure a steady supply of their own products.

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