Drug majors most profitable industry sector, report finds

A new analysis from researchers at West Health Policy Center and Johns Hopkins Bloomberg School of Public Health reveals high levels of profitability among large drugmakers.

The researchers found that, even with a $1 trillion reduction in sales, brand-name drugmakers would represent the most profitable industry sector, and would be able to maintain current R&D investment levels.

The research, which analyses publicly-reported financial data and builds on previous research by the US Government Accountability Office and the Congressional Budget Office (CBO), suggests that the pharmaceutical industry has among the highest profit margins and returns of any industry group.