The biotech sector in four established areas — the US, Europe, Canada, and Australia — performed well financially in 2011, says a new report from Ernst & Young. However, Reuters adds that smaller companies are having a hard time finding funding. "The revenue growth of public companies in the four established clusters returned to double-digit territory for the first time since the advent of the [financial] crisis," the report says, adding that "while this is still a far cry from the high double-digit growth rates the industry delivered through much of the last decade, companies are also operating in a new reality now, with more cautious regulators and increased pricing pressure from payers." Spending, which Reuters notes is a sign of companies' confidence in the future, rose 9 percent in 2011, though companies' net income fell 5 percent, which may be due to higher spending after cost-cutting in 2009 and 2010.
Not Too Bad
Jun 20, 2012