Novo Hits the Panic Button, UnitedHealth Invents New Ways to Charge More, and America Puts a 15% Tip on European Drugs

Hey all,

Happy Hump Day! Apparently, gravity works in reverse when it comes to Optum Rx revenue—what goes up just keeps on going up. Since 2020, their quarterly haul has ballooned from around $21 billion to almost $40 billion, growing taller every quarter like clockwork. As healthcare costs climb, Optum Rx seems to be riding shotgun, happily grabbing a bigger slice of an ever-pricier pie. My bet is gravity will finally right itself soon in a big way. 

Enjoy The Rundown!

Best,

Jacob Brody (Co-Founder & CEO, ZorroRX)

(STAT News) Novo Nordisk names new CEO amid growth cut

Novo Nordisk has appointed Maziar Mike Doustdar, its long-time head of international operations, as CEO starting August 7 while simultaneously lowering its 2025 sales and profit growth outlook due to weaker-than-expected performance of its diabetes and obesity drugs. The leadership shakeup and outlook cut come as Novo faces falling share prices, intensified competition from Eli Lilly, and challenges from compounded obesity drugs in the U.S., prompting structural R&D changes and a renewed push for agility; investors will watch whether Doustdar’s decades of internal experience can restore momentum. And of course, nothing says “growth challenge” like the unforced error of letting a Canadian patent lapse—basically sending an engraved invitation to generic makers for next year. Full Article

(BenefitsPro) UnitedHealth: Rising Costs & Premiums Will Hit Enrollment

UnitedHealth executives warned that surging medical costs will drive up group health premiums in 2026 and 2027, likely reducing fully insured enrollment as more employers shift to self-funded or level-funded plans. The trend reflects broader cost pressures from outpatient care, orthopedic procedures, and pharmacy infusions, which are straining margins and prompting insurers to tighten networks, enhance audits, and expand AI-driven cost controls. And as many UnitedHealth customers might joke, “It’s not just the premiums that keep going up—it’s the creative new ways to be ignored, delayed, and paperworked out of getting care, too.” Full Article

(New York Times) Tariffs on European Medicines 

The U.S. and EU have agreed to a 15% tariff on medicines imported from Europe, a move expected to cost drugmakers billions and potentially drive up prices for patients and insurers. Although less severe than the 200% tariffs once threatened, the policy highlights America’s reliance on Europe’s pharmaceutical supply chain—responsible for 43% of brand-name drug ingredients—and could shift investment and manufacturing strategies in the industry. It also remains to be seen whether this level of tariff will be enough to push pharmaceutical companies away from lower-tax manufacturing hubs such as Ireland. Full Article