Increasing market share
Celgene’s (CELG) Pomalyst/Imnovid drug has managed to capture about a one-third share of the total third- and fourth-line multiple myeloma (or MM) therapy market in Europe. The drug was also launched in Japan in June 2015, where it witnessed a strong uptake in the second half of 2015.
Pomalyst’s share of the US third-line MM market increased in the second half of 2016. Celgene expects these trends to continue and result in strong revenue performance for Pomalyst in 2016. To know more about Pomalyst, please read Celgene’s Pomalyst Records Strong Revenue Growth in 3Q15.
Wall Street analysts have projected that Pomalyst revenues will rise at a CAGR (compound annual growth rate) of 32.4%, from $983 million in 2015 to around $1.7 billion in 2017. If Celgene manages to achieve the projected revenue growth rate for Pomalyst, it will also have a positive impact on the share prices of the iShares Russell 1000 Growth ETF (IWF). Celgene accounts for about 0.8% of IWF’s total portfolio holdings.
In addition to growing market share, the drug also stands to benefit from an increase in therapy duration. Clinical data have demonstrated the benefits of increasing duration of therapy across all lines of MM, which has significantly boosted the demand for Pomalyst. Pomalyst will continue to be strong competition for other MM drugs such as Amgen’s (AMGN) Kyprolis, Bristol-Myers Squibb’s (BMY) Empliciti, and Johnson & Johnson’s (JNJ) Darzalex through its subsidiary Janssen Biotech.
Clinical data from the Phase 1 trial have demonstrated that Pomalyst is more effective than the currently prescribed therapies for patients suffering with relapsed refractory MM. Celgene has also initiated a Phase 1 clinical trial for Pomalyst/durvalumab combination therapy for relapsed refractory MM. The company expects to submit data that can update Pomalyst’s label and prove the drug’s safety even for patients with renal impairment.
In the next article, we’ll take a look at growth prospects for Celgene’s oncology drug, Abraxane.