President Donald Trump has criticized drug companies, and Pfizer by name, for recently increasing the prices of more than 100 drugs.
This was the second hike by Pfizer—which raised the prices of 41 drugs—after several drugmakers increased list prices of dozens of labels in January, according to Wells Fargo analyst David Maris.
Pfizer responded by saying it also lowered prices on five drugs by as much as 44 percent and most of its 400-drug portfolio didn’t grow more expensive.
Moreover, the company said, net prices of its drugs didn’t budge in the first quarter “due to the growing amount of rebates paid back to stakeholders in the biopharmaceutical supply chain.”
The rebates go to insurance companies and their contracted negotiators, pharmacy benefit managers, and the process is not transparent enough to tell how much actually reaches the patients.
“Our plan will end the dishonest double-dealing that allows the middleman to pocket rebates and discounts that should be passed on to consumers and patients,” Trump said.
Maris said on Tuesday that drug companies “are among the most profitable in the U.S. but something has got to give.”