Biopharmaceuticals & Biotherapeutics Industry Financials

About 1,500 companies in the US manufacture and market medicinal drugs, with combined annual US revenue over $200 billion. Large US manufacturers include Merck, Pfizer, Bristol-Myers Squibb, Abbott, and Eli Lilly. The industry is highly concentrated: the 50 largest companies control more than 80 percent of the market.

About 10,000 companies produce chemicals in the US, with combined annual revenues of $500 billion. Although large companies like Dow and DuPont produce hundreds of chemicals, most companies specialize in one or two product lines. The typical chemical company has annual revenue under $10 million. While the industry as a whole is fragmented, the concentration in many segments is very high: just a handful of manufacturers hold 80 percent or more of the segment.

The US biotechnology industry includes about 1,000 companies, with combined annual revenue close to $50 billion. Large companies include Amgen, Monsanto, Genentech, Applera, Genzyme, and Biogen. Because many drugs are now developed using biotechnology, the biotechnology and pharmaceutical industries overlap considerably. The industry consists of a few very large companies and many very small ones, and is fragmented by type of product. Most companies have annual sales under $50 million.

Using the 2002 Census Bureau Economic Census, Hoover's has generated an industry financial summary for the Biopharmaceuticals & Biotherapeutics industry.