Read Zacks_Analysts' blog in RSS
October 9, 2009
Share This
The vaccine unit of Sanofi-Aventis (SNY), Sanofi Pasteur, stated the effectiveness of a single dose of influenza A (H1N1) 2009 monovalent vaccines – Panenza (15 mcg dose, non-adjuvanted) and Humenza (3.8 mcg dose, adjuvanted) in children and adults.
It was observed from the results of a clinical trial held in Europe that the vaccine induced protection in 93% adults aged 18 to 59 years old and in 83% adults aged 60 years and above. In case of children aged 3 -17 years, 94% of the participants achieved protective antibody response.
Earlier in September, the US Food and Drug Administration (FDA) approved the long anticipated first "swine flu" vaccine. Four companies received the approval -- Sanofi-Aventis, Novartis Vaccines and Diagnostics Limited, the vaccine and diagnostics arm of Novartis (NVS), MedImmune LLC, a subsidiary of AstraZeneca (AZN) and CSL Limited of Australia.
However, Sanofi is yet to submit its H1N1 vaccine for European approval. In Europe, apart from Novartis, Baxter International's (BAX) Celvapan vaccine and GlaxoSmithKline’s (GSK) swine flu vaccine received approval. We believe the approval is a big opportunity for these pharmaceutical companies. The only issue of concern is supply bottlenecks.
The World Health Organization (WHO) had warned earlier that supply will be much lower than anticipated earlier. Per initial estimates from October onwards, about 94 million doses of vaccine could have been manufactured by the pharmaceutical companies, but this target has already been slashed by 50-75% due to poorer than expected yield from the virus strains.
The swine-flu pandemic is proving to be a major revenue earner for the pharmaceutical companies – there is a steady flow of orders from several governments worldwide. Yesterday, GlaxoSmithKline updated its order book status. The company now has orders for 440 million doses of the vaccine, up from 291 million doses at the beginning of August. We believe the order book is likely to grow in due course and boost its top line going forward.
Read the full analyst report on "SNY"
Read the full analyst report on "NVS"
Read the full analyst report on "AZN"
Read the full analyst report on "GSK"
Read the full analyst report on "BAX"
Zacks Investment Research