Press Releases
Profits Soar for Drug Company Suing to End Biden Cost-Lowering Program
WASHINGTON, DC — Today, Novartis—one of several pharmaceutical companies suing the Biden administration to block implementation of Medicare’s ability to lower prescription drug costs—announced nearly $15 billion in FY 2023 earnings, doubling the previous year. Novartis’ medication, Entresto, a drug used to treat heart failure, is one of the first 10 prescription drugs the Biden administration listed. Today’s earnings are bolstered by Entresto’s high cost which was the biggest contributor to net sales for the year. Meanwhile, Americans pay significantly more than other wealthy nations for the same medication even as 3-in-10 Americans say they cannot afford life saving medicine.
Big drug company CEOs and lobbyists who at the same time argue they can’t afford to lower costs for seniors are announcing huge profits. It strains credulity. The Inflation Reduction Act signed by President Biden finally giving Medicare the power to negotiate prices is a major step towards lowering drug costs. The Biden administration’s crackdown on drug company price-gouging is necessary after years of the industry prioritizing profits over the health of millions.”
Accountable.US’ Tony Carrk
As of 2022, 521,000 Medicare Part D beneficiaries have prescriptions for Entresto, with Novartis bringing in just under $7 billion from Medicare payments.
Novartis filed suit against the Biden administration last September. In the face of industry objections, the Inflation Reduction Act is expected to save nearly 19 million seniors and other Medicare Part D enrollees $400 a year by 2025.
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