![](http://investorshub.advfn.com/images/default_ih_profile2_4848.jpg?cb=0)
Tuesday, August 23, 2016 6:12:12 PM
In the latest quarter, IPCI only made $0.6 million on the two doses of Focalin. Annualized that would be $2.4 million. Pricing pressure has steadily reduced IPCI's Focalin revenue. Generic is currently around 50% discount to brand name. What would IPCI's revenue be if Focalin were selling at a 90% discount like Effexor?
Do you think that IPCI's partner... being 1 of 11 wholesalers can capture 5% market share??? a lamb's share of the pie???
It depends on the partner. Par does not have generic Effexor XR. But even if 5% or $33.5 million in revenue is captured, the profit margin must be pretty low if the drug is priced at under $1 per pill.
Tylenol sells for 8 cents a pill, but it brings in $1.8 Billion a year for J&J.
But generic competition does not sell it for much less. Walgreens brand or CVS brand maybe sells for 5 to 7 cents a pill. Profit margin must be pretty low for the both J&J and generic manufacturers. Also, you are comparing an over-the-counter drug to the pricing of a prescription drug. Most blockbuster drugs are expensive.
but I believe Focalin split with Par is probably 30% to 40%
Focalin market for the 2 doses was around $205 million. With 50% generic discount, the market drops to around $102 million. Assuming generics took 90% of market share, the generic market is around $91 million for the 2 doses. IPCI said they have about 33% market share. So Par Pharma maybe does $30 million revenue a year on the 2 doses. I have no idea what profit margin Par Pharma makes. I would guess maybe 50%-80% profit margin since it is $6 per pill and probably cost 20 cents to make.
Recent IPCI News
- Suspension de la négociation par l'Organisme canadien de réglementation des investissements - IPCI • PR Newswire (Canada) • 03/06/2024 12:55:00 PM
- Canadian Investment Regulatory Organization Trading Halt - IPCI • PR Newswire (Canada) • 03/06/2024 12:51:00 PM
FEATURED Element79 Gold Corp Announces 2024 Clover Work Plans & Nevada Portfolio Updates • Sep 10, 2024 11:00 AM
Kona Gold Beverage Inc. Reports $1.225 Million in Revenue and $133,000 Net Profit for the Quarter • KGKG • Sep 10, 2024 1:30 PM
Nightfood Holdings Inc. Completes Major Step on Uplist Journey by Closing Strategic All-Stock Acquisition of CarryoutSupplies.com • NGTF • Sep 10, 2024 8:15 AM
Element79 Gold Corp. Announces Sale of 100% Interest in Elder Creek, North Mill Creek, and Elephant Projects to 1472886 B.C. Ltd. • ELEM • Sep 9, 2024 9:34 AM
North Bay Resources Commences Gold Shipments, Fran Gold Project, British Columbia; Enters Taber Gold Mine JV, Sierra County, California • NBRI • Sep 9, 2024 9:15 AM
Simple Stock Loans Announces Unique Solutions For Investors Looking for Alternative Liquidity Amidst Recent Small Cap Rally Sep 6, 2024 9:30 AM