CRO Revenue Growth Strong, Topping Consensus Estimates
CROs grew their revenue by 10.2 percent in the fourth quarter of 2020, topping consensus estimates by 4.3 percentage points, according to Baird, a financial services firm.
Meanwhile, a survey of biopharma executives found that in considering the top three potential benefits of partnering with a CRO, 75 percent of the respondents who used a CRO’s services cited faster cycles in the performance of a clinical trial, while 66 percent cited receiving scientific expertise and 62 percent cited reduced operating costs.
Of the 85 respondents who said their companies hired a CRO, 79 percent said their decision was based on the perceived quality of a CRO’s services as one of the top three reasons to choose a CRO. Sixty-four percent of respondents cited a CRO’s scientific background among the top three reasons, as did 49 percent who considered a CRO’s reputation.
Of the 143 respondents who said they were concerned about using a CRO, 43 percent cited quality, followed by capability and capacity (20 percent), IP protection (15 percent), experience (13 percent) and results control (6 percent).
The survey was conducted by Informa Pharma Intelligence and WuXi AppTec. Read the survey here: https://bit.ly/3twJ1ra.