CRO Industry Outlook

Investor’s Business Daily: Upturn In Biotech Spending Drives Covance’s Growth: “Growth in the CRO sector is driven by biopharmaceutical research, development spending and a robust biotech funding environment, which hit $20.1 billion last year.”

As large pharmaceutical companies struggle with their cost structures they turn increasingly to outsourcing. Development stage biotechs often choose not to build their own infrastructure from the start to avoid the fixed costs. It’s driving CRO growth, where I currently work.