Narcolepsy Market to reach USD 5.23 billion by 2032

The global narcolepsy market size is currently valued at USD 2.77 billion in 2025. It is poised to reach a USD 5.23 billion valuation by 2032, displaying a CAGR of 9.5% during the forecast period (2025-2032).

The high prevalence of sleep disorders due to lifestyle changes is expected to drive the market growth exponentially. Investments in therapeutic drugs coupled with research funding in the identification of genetic mutations that lead to sleep disorders can bolster the market growth.

However, the lack of proper healthcare infrastructure for diagnosing narcolepsy in underdeveloped countries can pose a bottleneck for the market growth.

The narcolepsy market is predicted to surge owing to a rise in obesity levels, the increasing geriatric populace, and consumer health awareness.

The link between obesity and narcolepsy seems to be a major growth driver of the market. Obesity had a comorbid existence with narcolepsy as reported in SLEEP Advances, a peer-reviewed journal on sleep cycles and circadian science, in September 2024.

The deficiency in the orexin hormone can lead to narcolepsy type 1 (NT1), a chronic orphan disorder. As per a recent clinical study published in October 2024, sodium oxybate taken once at night leads to decreased weight levels and reduced cataplexy in NT1 patients.

Government initiatives to support patients with narcolepsy by providing them with subsidies will prove to be a boon for the market. This can create consumer awareness of drugs, the disease, and surrounding treatments. For instance, the National Healthcare Institute (ZIN) in the Netherlands has instructed the Minister of Health to include patients with narcolepsy and obstructive sleep apnea (OSA) in the List 2 conditions to receive solriamfetol in February 2024. Patients with narcolepsy are likely to receive reimbursement for the medicines purchased.

This is similarly echoed by the Government of Australia to subsidize armodafinil and modafinil for patients with narcolepsy in August 2024. Patients eligible for the Patient Benefits Scheme (PBS) to gain medicines under the scheme.

The high costs associated with narcolepsy drugs and treatment can pose a hurdle to the narcolepsy market. Modafinil and sodium oxybate are exorbitant in price and cause a financial burden to patients. The need for economically viable treatment options and medicines can be a boon to the market growth over the forecast period.

Axsome Therapeutics, Inc. is planning to file a new drug application for AXS-12 (reboxetine) in the second half of 2025. It is based on the success of phase 2 and phase 3 trials of AXS-12. The drug will treat cataplexy and narcolepsy in patients.