10/15/2024 | Press release | Distributed by Public on 10/15/2024 11:19
New data released by the HDA Research Foundation reveal that total prescription sales through traditional pharmaceutical distributors grew by 13.7 percent in 2023. As highlighted in the 95th Edition HDA Factbook, pharmaceutical distributor sales reached $758 billion amid some of the lowest profit margins in the study's 95-year history - 0.3 percent (net after taxes) and 1.7 percent (gross) in 2023.
Prescription drugs make up the majority (98 percent) of distributors' sales, split among sales of brand-name drugs (53 percent), branded specialty (38 percent), generic drugs (6 percent), biosimilar products (0.6 percent) and generic specialty (0.7 percent). Chain drug stores (36 percent) remain distributors' largest customer segment, followed by hospitals and HMOs (20 percent) and independent pharmacies (13 percent).
View an executive summary of key HDA Factbook data for the 2023 operating year.
"For almost a century, the Factbook has reported performance benchmarks illustrating the productivity that goes into delivering millions of prescription medicines and healthcare products each and every day," said Perry Fri, Executive Vice President, Industry Relations and Member Services; and COO, HDA Research Foundation. "This year's edition highlights the efficiency of healthcare distributors in a challenging and rapidly evolving business environment."
Published annually since 1929, the HDA Factbook is based on surveys collected at the corporate level of HDA traditional distributor member companies with annual sales greater than $1 billion. Secondary data from leading healthcare industry organizations complement original data to illustrate overall distributor demographics as well as trends in operations, information technology, market characteristics, customers and product mix, among other sections.
As reported within the new Factbook:
The 95th Edition HDA Factbook: The Facts, Figures and Trends in Healthcare (2024-2025) is available as a complimentary download from HDA.org. The publication was made possible through the support of gold sponsors Apotex Corp and Real Value Rx; silver sponsors IQVIA and R&S Northeast LLC; and bronze sponsors Ascend Laboratories, LLC; Pharmacy First; and Teva Pharmaceuticals.