Impact of Drug Price Cuts and Healthcare Cost Containment Measures on Selling Prices and Investment Recovery
First written in FY2024. 1 of 3 entries say "Restated". Latest entry: FY2025.
Chordia Therapeutics moved to the "Worse" side of this theme in 2025, 5 years after the typical company in this theme (2020).
The whole theme swung hardest in 2018: 20 of 65 companies on the "Worse" side.
13 other companies' latest entry also says "Worsened".
- FY2025WorsenedAnnual report
「In the United States, the Inflation Reduction Act (IRA) was passed by Congress in 2022, significantly changing the coverage terms for medicines under the Medicare program. These changes included imposing penalties on pharmaceutical companies whose drug price increases exceeded the rate of inflation, setting an out-of-pocket spending cap for Medicare beneficiaries, and granting the federal government authority from 2026 to set prices for certain medicines covered by Medicare. In May 2025, an executive order was also issued concerning the introduction of a “most-favored-nation” (MFN) pricing mechanism, which would link U.S. prescription drug prices to the lowest prices in selected “equally developed countries.”」
In addition to conventional drug price reductions and healthcare cost-containment measures, the U.S. IRA and the executive order concerning the introduction of MFN pricing in May 2025 were specifically described, broadening the scope of pricing and investment recovery risks. - FY2025-H1RestatedAnnual report
「Major global pharmaceutical companies are proposing measures to address the lack of transparency in the drug price revision system.」
The lack of transparency in the drug price revision system continues to be identified as an external factor affecting the pharmaceutical and biotechnology industries. - FY2024First statedAnnual report
「Depending on future developments in healthcare insurance systems and other relevant systems, the selling prices or drug prices we anticipate may not be approved, making it impossible to recover our investment and potentially having a material impact on our business performance and financial position.」
The risk was disclosed that healthcare cost-containment measures in Japan and overseas, drug price reductions and promotion of generic drugs could make it difficult to achieve the anticipated drug prices or recover investments.