Compounding Chemotherapy Market Report 2025

The compounding chemotherapy market size has grown strongly in recent years. It will grow from $5.74 billion in 2024 to $6.11 billion in 2025 at a compound annual growth rate (CAGR) of 6.3%. The growth during the historical period is driven by rising cancer rates, expanded use of hospital pharmacies, increased utilization of antineoplastic drugs, heightened emphasis on personalized dosing, and the expanding influence of oncology specialty clinics.

The compounding chemotherapy market size is expected to see strong growth in the next few years. It will grow to $7.74 billion in 2029 at a compound annual growth rate (CAGR) of 6.1%. The expected growth during the forecast period is fueled by an increasing focus on precision medicine, growing demand for oral and injectable chemotherapy compounds, expanded use of hormonal and biologic oncology agents, heightened efforts to minimize drug waste, and rising demand for targeted cancer therapies. Key trends anticipated include the adoption of automated compounding technologies, development of personalized chemotherapy dosing protocols, creation of mobile apps to support chemotherapy workflows, integration of electronic health records (EHRs) with compounding systems, and the implementation of barcode verification within compounding procedures.

The rising number of cancer cases is expected to drive the growth of the compounding chemotherapy market in the future. Cancer encompasses a group of diseases marked by the uncontrolled growth and spread of abnormal cells within the body. This increase in cancer cases is mainly linked to unhealthy lifestyle factors such as poor diet, lack of exercise, smoking, heavy alcohol use, and prolonged exposure to environmental pollutants, all of which raise the risk of developing various cancers. Compounding chemotherapy supports cancer treatment by creating personalized medication formulations tailored to individual patient requirements, enhancing effectiveness while reducing side effects. For example, in July 2024, the Australian Institute of Health and Welfare reported that cancer diagnoses in Australia reached 160,570 in 2022, an increase of 3,789 cases compared to 156,781 in 2021. Thus, the growing prevalence of cancer is fueling the expansion of the compounding chemotherapy market.

Leading companies in the compounding chemotherapy market are developing advanced solutions like robotic chemotherapy automation systems to improve precision, safety, and efficiency in preparing personalized cancer treatments. These robotic systems automate the compounding of chemotherapy doses, reducing human error and contamination risks. For instance, in February 2024, Simplivia Healthcare Ltd., an Israeli healthcare technology firm, introduced Smart Compounders Advanced Systems, which automate and optimize the preparation of cytotoxic chemotherapy drugs. These systems can prepare 20 to 40 doses per hour, featuring automatic gravimetric verification and documentation to ensure accuracy. They also significantly reduce pharmacy staff’s exposure to hazardous substances and are designed to integrate seamlessly with existing laminar airflow cabinets or isolators without modification.

In June 2025, H.I.G. Capital LLC, a US-based investment firm, acquired ITH Group Limited for $70 million. This acquisition aims to support ITH Group’s organic growth, increase its production capabilities, and enhance its digital pharmacy services. ITH Group Limited is a UK-based company specializing in aseptic compounding services, including chemotherapy preparation.

Major players in the compounding chemotherapy market are Baxter International Inc., Fresenius Kabi AG, Grifols S.A., Option Care Health Inc., ICU Medical Inc., Dedalus S.p.A., Fagron NV, BioScrip Inc., B. Braun Melsungen AG, Medisca Pharmaceutique Inc., Central Admixture Pharmacy Services Inc., Icon Group Holdings Pty Ltd, Avella Specialty Pharmacy, Stokes Healthcare Inc, McGuff Compounding Pharmacy Services Inc., Accord Healthcare Limited, Epicur Pharma LLC, Simplivia Healthcare Ltd., AmerisourceBergen Corporation, Kapsam Health Products Ltd., and PharMEDium Services LLC.

North America was the largest region in the compounding chemotherapy market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in compounding chemotherapy report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the compounding chemotherapy market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The compounding chemotherapy market consists of revenues earned by entities by providing services such as labeling and packaging services, dose verification and clinical review, home infusion support services, cold chain logistics and delivery services, and clinical trials drug support. The market value includes the value of related goods sold by the service provider or included within the service offering. The compounding chemotherapy market also includes sales of chemotherapy drugs, compounding devices, infusion bags and syringes, personal protective equipment, and cleanroom and isolator systems. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The sudden escalation of U.S. tariffs and the consequent trade frictions in spring 2025 are severely impacting the pharmaceutical companies contend with tariffs on APIs, glass vials, and lab equipment inputs with few alternative sources. Generic drug makers, operating on razor-thin margins, are especially vulnerable, with some reducing production of low-profit medicines. Biotech firms face delays in clinical trials due to tariff-related shortages of specialized reagents. In response, the industry is expanding API production in India and Europe, increasing inventory stockpiles, and pushing for trade exemptions for essential medicines.

The compounding chemotherapy market research report is one of a series of new reports that cover compounding chemotherapy market statistics, including compounding chemotherapy global market size, regional shares, competitors with compounding chemotherapy market share, detailed compounding chemotherapy market segments, market trends and opportunities, and any further data you may need to thrive in the compounding chemotherapy industry. The compounding chemotherapy market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

Compounding chemotherapy involves the personalized preparation of chemotherapy medications by skilled pharmacists or technicians to meet the unique dosage, formulation, or combination needs of individual patients. This process requires careful handling, mixing, and labeling of cytotoxic drugs within a sterile, controlled environment to maintain precision and ensure patient safety.

The primary types of drugs involved in compounding chemotherapy include cytotoxic agents, hormonal therapies, immunomodulatory drugs, targeted treatments, and supportive care medications. Cytotoxic drugs work by killing or damaging cells and are frequently used to target rapidly dividing cancer cells. These drugs can be administered through multiple routes such as intravenous, oral, subcutaneous, intramuscular, and intrathecal methods. The compounding process may employ both robotic-assisted and manual technologies. Distribution occurs through hospital pharmacies, retail pharmacies, and online pharmacies, and the compounding is performed in various settings including hospital compounding units, specialty pharmacies, clinics, and homecare environments.

The revenues for a specified geography are consumption values and are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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