Champix has the lowest sales in 5 years

The second quarter sales were ₩5.1 billion. The sales decline is expected to accelerate from 3Q with the release of generic drugs

Champix

Sales of Pfizer's stop-smoking aid, 'Champix (Varenicline)' declined.

 

In the second quarter of this year, sales fell 26% compared to the previous quarter.

 

Quarterly sales are the lowest since the third quarter of 2015.

 

Despite the aggressive patent defense strategy, the number of applicants for the government's smoking cessation project steadily declined, and in the first half of this year, the COVID-19 outbreak led to a decline in sales.

 

Moreover, since the generics were released in earnest after July, when the material patent expired, sales are expected to decrease significantly from 3Q.

 

According to IQVIA on the 26th, 2Q sales of Champix amounted to ₩5.1 billion.

 

It decreased by 8% compared to the second quarter of last year (₩5.5 billion), and It decreased by 26% compared to the first quarter of this year (₩6.9 billion).

 

There is a big difference from what was once (Q1 2017) quarterly sales of ₩21.4 billion.

 

Champix's sales surged as the government expanded its smoking cessation business.

 

However, starting in the first quarter of 2017, the number of participants in the smoking cessation project steadily declined.

 

In November 2018, with the release of generics, the drug price was reduced by 38.9% (₩1,100 ←₩1,800).

 

In order to prevent a decline in sales, Pfizer has devoted all efforts to patent defense.

 

In January 2019, the Supreme Court's ruling on Solifenacin was decisive.

 

The Supreme Court ruled that it was illegal to evade a patent for salt-modified drugs.

 

Most of the pharmaceutical companies that released generics for Champix withdrew from the market.

 

This is because the legal dispute with Pfizer was a burden as the loss in the future became influential.

 

In the end, in December of the same year, the Patent Court ruled the same on the salt-modifying drug for Champix.

 

Even some of the generics that had not been withdrawn from the market were banned from selling.

 

Pfizer's patent defense seemed to have some effect.

 

In fact, sales rose slightly until the first quarter of this year after ruling on Solifenacin.

 

Quarterly sales from ₩5.5 billion in the second quarter of 2019 recovered to ₩5.7 billion in the third quarter, ₩6.5 billion in the fourth quarter, and ₩6.9 billion in the first quarter of 2020.

 

However, in the second quarter, sales decreased again to ₩5.1 billion.

 

It is the lowest since the third quarter of 2015 (₩4.9 billion).

 

This was before the government launched a smoking cessation support project.

 

It is expected that sales will decline more sharply from 3Q.

 

This is the effect of the massive release of generics as patent of Champix expired on July 20th.

 

According to the MFDS, it is confirmed that as of August 25, 34 companies launched 66 generic items.

 

An official from the pharmaceutical industry said, "The number of participants in the smoking cessation business drastically declined due to the COVID-19 incident in the first half, and the effect appeared in the second quarter.

 

It will be greatly reduced."