NOVO NORDISK

Company announcement

Thu, 04 May 2023 05:34:00 -0400

Thu, 04 May 2023 05:34:00 -0400

Novo Nordisk's sales increased by 27% in Danish kroner and by 25% at constant exchange rates to USD 7.7 billion in the first three months of 2023

Financial report for the period 1 January 2023 to 31 March 2023

  • Operating profit increased by 31% in Danish kroner and by 28% at constant exchange rates (CER) to USD 3.6 billion. 
  • Sales in North America Operations increased by 47% in Danish kroner (41% at CER). Wholesaler inventory movements in the US positively impacted sales growth. Sales in International Operations increased by 9% in Danish kroner (10% at CER).
  • Sales within Diabetes and Obesity care increased by 33% in Danish kroner to USD 7.0 billion (31% at CER), mainly driven by GLP-1 diabetes sales growth of 54% in Danish kroner (50% at CER). Rare disease sales decreased by 15% measured in Danish kroner (16% at CER) reflecting a temporary reduction in manufacturing output.
  • Obesity care sales grew by 131% in Danish Kroner to USD 1.1 billion (124% at CER) mainly driven by the uptake of Wegovy® in the US. A second contract manufacturer for Wegovy® initiated production in April 2023.
  • Within R&D, Novo Nordisk successfully completed the PIONEER PLUS phase 3 trial with oral semaglutide 25 mg and 50 mg demonstrating superior reductions in HbA1c and body weight versus 14 mg in people with type 2 diabetes.
  • On 13 April 2023, the 2023 outlook was raised with sales and operating profit growth at CER now expected to be 24-30% and 28-34%, respectively. Sales and operating profit growth reported in Danish kroner are now expected to be 6 and 9 percentage points lower than at CER, respectively. The ongoing share repurchase programme is expanded by USD 0.3 billion to USD 4.4 billion

     

    PROFIT AND LOSS

    Q1 2023

    Q1 2022

    Growth

    as reported

    Growth

    at CER*

    USD million

     

     

     

     

    Net sales

    7,693

    6,339

    27%

    25%

    Operating profit

    3,605

    2,888

    31%

    28%

     

     

     

     

     

    Net profit

    2,856

    2,143

    39%

    N/A

    Diluted earnings per share (in USD)

    1.27

    0.94

    41%

    N/A
     

    * CER: Constant exchange rates (average 2022).

    **For convenience, Danish kroner has been translated to USD in this release, using the average exchange rate of USD 1.0 = DKK 6.93735 and the period-end exchange rate of USD 1.0 = DKK 6.84920.

    Lars Fruergaard Jørgensen, president and CEO: "We are very pleased with the sales growth in the first three months of 2023. The growth is driven by increasing demand for our GLP-1-based diabetes and obesity treatments, particularly in the US where the prescription trend for Wegovy® highlights the high unmet need for people living with obesity. The sales momentum and continued expansion of the supply capacity have enabled us to raise the outlook for the full year."

    On 4 May 2023 at 13.00 CEST, corresponding to 07.00 am EDT, an earnings call will be held. Investors will be able to listen in via a link on novonordisk.com, which can be found under ‘Investors’.