Replies to post #383934 on Amarin Corp Plc (AMRN)

[Number sleven]

Kiwi, Generic companies are doing just fine. I read the earnings reports of the generic companies selling Icosapent ethyl. Amarin has significantly reduced costs for selling Vascepa in the US. You are correct. These deals make Vascepa a defacto generic. The market will first stabilize then grow. In my opinion this almost guarantees a profitable market.
Sleven,

[HDGabor]

K-

Why would Kaiser ( known for driving costs down by using generic ) be using brand V instead of generic V ?

Because
1) they know their CAD patients like me are only using it for the R-It indication … so don’t want to be dragged into a HealthNet like court case
2) AMRN gave them a lower price then the generics
3) combination of 1) and 2)

Too late for me - 2:35 AM - to jump into a long discussion .. so let assume you are right re. 2.)

The exclusivity deals are de facto generic deals .

Name any Co making significant profit selling generics

Amarin had $130 / bottle Net Revenue (NR) before the exclusive deals. In Q1 had $116 / bottle Net Revenue ... as 45% is exclusive and 55% isn't it "suggests" the exclusive NR is $100 / bottle. The COGS is app. $27 / bottle ... so the Gross Profit is still $73 / bottle meanwhile the deal is exclusive.

Furthermore I am pretty sure the generics' COGS is significantly higher than Amarin has ... and (IIRC) at least the first (and the second?) generic did not offer significantly lower price than Amarin.

Best,
G

[dukesking]

Kiwi, Just to be clear, AMRN doesn’t have exclusivity with Kaiser. V and GV are both available through Kaiser on T2 and no PA. They also have GL on T2. (Page 25 I believe). Kaiser is using V at T2 because its free for many of their prescribers(study participants) and costs them similar or less than the generic for any others outside the study.
We do have exclusivity with 3 of the 4 largest PBM’s in the US(CVS 33%, AMRN Cigna/express scripts 26%, and Humana 8%) and they account for 67% of all prescriptions written in the US in 2021. UnitedHealth is the only one of the top 4 that doesn’t have exclusivity and they have 21%.

https://healthy.kaiserpermanente.org/content/dam/kporg/final/documents/formularies/medicare/2022/comprehensive-formulary.pdf