uploads/2018/11/Graph-6-4-1.png

Otezla to Be Major Growth Driver for Celgene in 2018

By

Updated

Otezla revenue growth

In its third-quarter earnings conference call, Celgene (CELG) revised its fiscal 2018 net product sales guidance for Otezla from the previously projected $1.5 billion to $1.6 billion. This increase in guidance is based on the solid uptake of the drug across geographies in 2018.

Article continues below advertisement

Revenue breakup

In the third quarter, Otezla reported worldwide sales of $432 million, which is YoY growth of 40.26% and a 15% rise on a sequential basis. Out of these revenues, $348 million were earned from the US market, which is a YoY rise of 39.2% and a 15% rise on a sequential basis. As per the company’s third-quarter earnings conference call, the company witnessed moderate growth in prescriptions for Otezla in the US market due to seasonality. Additionally, the company also benefitted from the inventory stocking of Otezla worth $30 million to $35 million in the US market.

Otezla’s robust revenue performance in the third quarter was mainly driven by increased worldwide adoption of the drug due to expanding payer access across the world and increasing utilization in the pre-biologic patient population in the US.

Otezla currently accounts for the highest share of new-to-brand treatment-naïve moderate-to-severe plaque psoriasis patients in the US. The drug also earns 85% of its US market revenues in moderate-to-severe plaque psoriasis indication, from patients who have been previously on non-biologic therapies.

In the third quarter, Otezla reported sales worth $84 million from international markets, which is a YoY rise of 44.83% and an almost flat performance on a sequential basis. The company, however, witnessed robust demand trends for Otezla in international markets such as France and Japan in the third quarter.

In the next article, we’ll discuss lifecycle management activities for Otezla for fiscal 2018.

Advertisement

More From Market Realist