The Size of the 340B Program: Patient and Payer Spending on Drugs Purchased through the 340B Program Reached $244 Billion in 2025

In 2025, 340B Drug Pricing Program (“340B program”) sales totaled $102.1 billion measured at the discounted 340B price. This represents significant growth over prior years, with 340B sales growing by 152 percent between 2020 and 2025, during which period net sales of all drugs in the US grew by only 56 percent.

Despite this growth, metrics focused on sales at the 340B price substantially understate the true size of the program. In 2025, 340B prices were, on average, 57 percent below list prices, and the discounted 340B price for some products was as low as one cent. This study calculates the total amount the US healthcare system spends on drugs purchased at the 340B price along with the margin earned by covered entities and their partners (pharmacies, technology vendors, etc.) on those sales.

We estimate that covered entities received approximately $244.3 billion in reimbursement from payers and patients in 2025 for drugs purchased through the 340B program. This reimbursement is distributed among Medicare, private/commercial insurance, Medicaid Fee-for-Service (FFS), Medicaid managed care organizations (MCOs), self-pay (cash) customers, and others.

This study was funded by the Pharmaceutical Research and Manufacturers of America.