Greystone Associates Analyzes the Impact of Generics, Post-launch Complications, and New Products on Demand and Revenue

(Amherst, NH) – The transdermal patch sector has been undergoing significant market stress as two flagship products with sales accounting for more than half the total market have lost momentum. Duragesic – the single largest transdermal drug delivery patch on the market in terms of current dollar value – has come under pressure from generic versions of the fentanyl patch (Mylan, Lavipharm), and seen an almost forty percent decrease in revenue from its 2004 peak.

The contraceptive patch segment has also seen its fortunes change dramatically. Ortho McNeil’s Ortho Evra contraceptive patch sales have been adversely affected by reported health risks associated with blood clots among women using the patch. In spite of these market sector setbacks which resulted in total U.S. revenue of less than $2.2 billion in 2006, this sector should rebound to slightly more than $3 billion by the end of the decade. Growth will be driven in large part by transdermal patch therapies for new indications, primarily in the area of neurology.

 Source: Greystone Associates