Top 15 Pharma Companies by Revenue: BMS Poised for Major Leap with New Entrants on the Horizon

Pharmaceutical Network, April 10 – Despite the turbulent shifts in the global pharmaceutical industry, the giants at the forefront of the wave remain firmly entrenched. FiercePharma has compiled the latest list of the top 15 pharmaceutical companies by sales revenue, with Johnson & Johnson, Roche, Pfizer, Novartis, and Merck & Co. securing the top five positions in 2018 sales, respectively.

 

　　Top 15 Pharmaceutical Companies by Global Revenue in 2018

 

Note: FiercePharma ranked companies by converting their revenues into US dollars using the 2018 average exchange rate. The data excludes Bayer’s Crop Science division, but other healthcareHealthcareThe business units are involved in the statistics, such as Johnson & Johnson's.Medical Devices, Roche's diagnostic reagents, etc.

 

 

Compared with last year, although there were no new entrants in the Top 15 list, some ranking changes occurred—Sanofi, which ranked 5th last year, dropped to 7th place, and Gilead Sciences fell three spots to 13th place.

 

Specifically, Sanofi’s sales decreased by nearly 2% year-over-year in 2018. This decline was primarily driven by pricing pressures on its core diabetes drugs in the U.S. market in recent years, which caused a 10.5% drop in sales for its diabetes portfolio and had a significant impact on the company’s total revenue. Meanwhile, Genzyme, Sanofi’s rare disease subsidiary, delivered strong performance, with sales increasing by 37% year-over-year to reach €7.23 billion in 2018, thereby offsetting some of Sanofi’s overall downturn.

 

Gilead, which once rode the wave of explosive growth in hepatitis C drugs, saw its sales peak at $32.15 billion in 2015 before declining to $21.68 billion last year, marking the second-largest revenue drop among the Top 15 companies.Enterprise, primarily due to the significant pricing pressure on hepatitis C medications in recent years and intense market competition.

 

AstraZeneca was affected by the patent cliff last year, leading to a decline in revenue and a slight drop in ranking from 13th to 14th. However, analysts point out that AstraZeneca likely ended its period of adjustment last year and has shifted toward a growth trajectory. Last year, AZ’s anti-TumorThe business generated $6.03 billion in revenue, significantly surpassing last year’s $4.02 billion, representing a substantial 50% increase. Furthermore, the annual sales of osimertinib (Tagrisso) and fulvestrant (Faslodex) have crossed the $1 billion threshold, entering the ranks of “blockbuster” drugs.

 

Generic drug giant Teva has also been hit by pricing pressures in recent years, with its 2018 sales revenue amounting to only $18.85 billion, a year-on-year decline of nearly 16%. Following the appointment of a new CEO, Teva announced a layoff plan affecting more than 14,000 employees. Analysts point out that the company’s outlook remains bleak this year, with 2019 sales projected to slip to between $17 billion and $17.4 billion.

 

 

On the other hand, Bristol-Myers Squibb rose from 15th place last year to 12th. If the company completes its acquisition of CelgenePharmaceuticalsWith the acquisition of Celgene, its ranking is expected to surge significantly in 2019. It is reported that Celgene’s revenue in 2018 was approximately $15 billion, and the combined sales of BMS post-merger will exceed $38 billion, propelling it into the ranks of the top ten global pharmaceutical companies.

 

AbbVie achieved the most impressive growth rate among the Top 15 companies, with a 16% increase in sales; however, clouds are gathering beneath this bright surface. The company’s “blockbuster” drug adalimumab (Humira) has dominated the global top-selling drug position for many consecutive years. Yet, following the launch of its biosimilars in Europe last October, Humira’s sales in markets outside the United States declined by 17.5% in the fourth quarter, and this downward trend is expected to accelerate. To mitigate the impact of patent expiration, AbbVie’s rheumatoid arthritis medication upadacitinib is scheduled to be launched this year, with analysts predicting it will generate $2.24 billion in sales by 2024.

 

In terms of total revenue, Johnson & Johnson remains far ahead of its competitors. Last year, the pharmaceutical segment generated $40.7 billion in revenue for Johnson & Johnson, a 12% increase from $36.26 billion in 2017, making it the primary driver of sales growth. By therapeutic area, both immunology and oncology drugs contributed to this growth. The 2017 acquisition of Actelion also added revenue from several pulmonary arterial hypertension medications. However, the expiration of patent protection for multiple drugs has exerted significant pressure, prompting Johnson & Johnson to enter the biosimilars market and challenge Amgen’s anti-anemia drugs Procrit and Epogen.

 

Next year, this list will feature at least one new face—Takeda, which has completed its acquisition of Shire. However, as its 2018 financial results have not yet been released, it is not included in the current ranking.