Tuesday, February 24, 2026

Merck reshapes business ahead of Keytruda patent expiry

Merck & Co. is reorganizing its operations as it prepares for the expected patent expiry of its top-selling product Keytruda in 2030. The cancer therapy is widely seen as the world’s highest-grossing prescription medicine.

Two new divisions

Under the new setup, Merck will run two main units. One division will focus on oncology. A second division will cover specialty medicines, the broader pharma business, and infectious diseases. The latter includes products such as the HPV vaccine Gardasil, the diabetes drug Januvia, and the lung medicine Winrevair.

Merck plans to appoint Jannie Oosthuizen to lead the oncology division. The company is also bringing in Brian Foard from Sanofi to head the second unit.

High dependence on Keytruda

Keytruda remains a major revenue engine for Merck. For 2025, the company reported more than $30 billion in Keytruda sales, accounting for nearly half of total company revenue.

The reorganization comes after a cautious 2026 outlook issued earlier this month, when Merck warned that revenue and profit could come in below expectations. The company pointed to rising competition from copycat products affecting several older medicines.

Pipeline and deals to support growth

Merck says the new structure is designed to support launches across multiple disease areas while broadening the portfolio. The company highlighted around 80 late-stage Phase 3 studies and more than 20 expected new growth drivers in the coming years.

Merck also expanded its portfolio last year through acquisitions of Cidara Therapeutics and Verona Pharma.