Janssen Pharmaceuticals jaunts across the drug market, offering therapeutics for mental health, neurology, pain management, infectious disease, and a number of other ailments. A US-based arm of Johnson & Johnson's global pharmaceuticals segment, the company's offerings include Risperdal for schizophrenia, anti-infective Levaquin, ADHD drug Concerta, acid reflux medication Aciphex, pain medicine Nucynta, and contraceptive Ortho Evra. Janssen Pharmaceuticals markets its products in the US through a direct sales force to doctors and pharmacies, as well as through wholesale distributors.
In addition to schizophrenia, key product Risperdal is used to treat bipolar mania and irritability associated with autism. A long-acting injectable version of the drug, called Risperdal Consta, is approved as a treatment for schizophrenia. Janssen's antipsychotic franchise also includes Invega and Invega Sustenna, two schizophrenia drugs developed using controlled oral delivery and extended-release injectable technologies. The mental health and neurology product lines have historically been major earners for J&J, but like many others before it, the segment's sales have been hit hard by patent protection losses and the rise of generic competition in the pharmaceuticals industry.
The original oral formulation of mental health drug Risperdal lost patent protection in the US in 2008, causing a 60% drop in 2009 sales of the drug alone. In response, Janssen launched an authorized generic version of Risperdal oral through J&J subsidiary Patriot Pharmaceuticals. Janssen is counting on the generic version, as well as sales of Risperdal Consta and the Invega products to make up some of those losses. In addition, neurological epilepsy drug Topamax lost patent protection in 2009 and Concerta went off-patent in 2011.
To keep its pipeline fresh, Janssen Pharmaceuticals works with the J&J research network to develop new products. With its sister company Janssen Research & Development ( formerly known as Johnson & Johnson Pharmaceutical Research & Development), the company is working on potential drugs for a range of diseases. In 2011, for instance, it received FDA approval for Xarelto, which works to protect patients from developing blood clots after undergoing surgery.
In response to competitive market challenges, as well as financial setbacks related to multiple product recall announcements, J&J moved to consolidate some of its pharmaceutical businesses in 2011 to save on administrative, manufacturing, and marketing costs. The firm combined its Janssen (mental health), Ortho-McNeil (contraceptives), Ortho Women's Health and Urology, McNeil Pediatrics, Ortho-McNeil Neurologics (central nervous system drugs), and PriCara divisions into the new Janssen Pharmaceuticals entity. Many of these units had previously been held by a J&J subsidiary named Ortho-McNeil-Janssen Pharmaceuticals.
As part of the 2011 restructuring, Janssen Pharmaceuticals became part of a broader division known as the Janssen Pharmaceutical Companies, which also includes Janssen Biotech (formerly Centocor Ortho Biotech, immunology and oncology) and Janssen Therapeutics (HIV therapies).
Shortly after the reorganization efforts were announced, Janssen Pharmaceuticals announced an agreement to sell its Ortho Dermatologics Division to Valeant Pharmaceuticals for some $345 million. Ortho Dermatologics markets prescription skin care products including Retin-A Micro, Ertaczo, and Renova.
The Janssen name originates back to 1953, when Belgian researcher Paul Janssen founded a global drug company called Janssen Pharmaceutica. That entity became part of Johnson & Johnson in 1961, and the name has since been used on a number of J&J's global pharmaceutical divisions.