Novo Nordisk A/s Class B · OMXCOP:NOVO_B
Novo Nordisk A/s Class B — Shareholder Meeting (March 2021)
59 slides from Novo Nordisk A/s Class B's shareholder meeting presentation, Mar 25, 2021
Slide 1: Novo Nordisk A/S Annual General Meeting
Novo Nordisk A/S Annual General Meeting 25 March 2021
Slide 2: novo nordisk
O oe novo nordisk
Slide 3: Board of Directors
3 Annual General Meeting 25 March 2021 Novo Nordisk® Board of Directors Helge Lund Jeppe Brian Daniels Laurence Debroux Andreas Fibig Sylvie Grégoire Liz Hewitt Christiansen Kasim Kutay Martin Mackay Anne Marie Mette Bøjer Thomas Rantzau* Stig Strøbæk* Kverneland* Jensen* Note: * marks the employee-
Slide 4: Executive Management as of 1 March 2021
4 Annual General Meeting 25 March 2021 Novo Nordisk® Executive Management as of 1 March 2021 Lars Fruergaard Jørgensen President and chief executive officer People & International Biopharm Finance, Legal & North America Development Research & Commercial Strategy Product Supply, Organisation Operatio
Slide 5: Mogens Mogensen and Mads Melgaard, PricewaterhouseCoopers
5 Annual General Meeting 25 March 2021 Novo Nordisk® Mogens Mogensen and Mads Melgaard PricewaterhouseCoopers
Slide 6: Klaus Søgaard, Gorrissen Federspiel
6 Annual General Meeting 25 March 2021 Novo Nordisk® Klaus Søgaard Gorrissen Federspiel
Slide 7: Agenda
7 Annual General Meeting 25 March 2021 Novo Nordisk® 1. The Board of Directors’ oral report on the company’s activities in the past financial year 2. Presentation and adoption of the audited Annual Report 2020 3. Resolution to distribute the profit according to the adopted Annual Report 2020 Agenda
Slide 8: How to ask a question
8 Annual General Meeting 25 March 2021 Novo Nordisk® How to ask a question If you want to ask a question 1. Click on the ‘Questions’ icon to submit a question 2. Type your question in the chat box 3. Click the ‘Send’ arrow to submit your question
Slide 9: How to vote
9 Annual General Meeting 25 March 2021 Novo Nordisk® How to vote If a poll opens, you will automatically see it on the screen. If a poll opens, you vote by: 1. Taping one of the voting options. Your response will be highlighted. 2. If there is more than one answer option, remember to press ‘Send’ to
Slide 10: Technical questions to LUMI AGM
10 Annual General Meeting 25 March 2021 Novo Nordisk® Technical questions to LUMI AGM In case of technical questions to LUMI AGM or need for support – Please call: +45 4546 0997
Slide 11: Agenda
11 Annual General Meeting 25 March 2021 Novo Nordisk® 1. The Board of Directors’ oral report on the company’s activities in the past financial year 2. Presentation and adoption of the audited Annual Report 2020 3. Resolution to distribute the profit according to the adopted Annual Report Agenda Agen
Slide 12: novo nordisk
O oe novo nordisk
Slide 13: Strategic aspirations 2025
13 Annual General Meeting 25 March 2021 Novo Nordisk® Strategic aspirations 2025 • Further raise the innovation-bar for diabetes treatment • Being respected for adding value to society • Develop a leading portfolio of superior treatment solutions for obesity • Progress towards zero environmental imp
Slide 14: Purpose and sustainability highlights for 2020
14 Annual General Meeting 25 March 2021 Novo Nordisk® Strategic aspirations 2025 - highlights for full year 2020 Adding value to society: • New social responsibility strategy ‘Defeat Diabetes’ • Expansion of US affordability offerings • Lowered ceiling price of human insulin in 76 countries Progress
Slide 15: Innovation and therapeutic focus
15 Annual General Meeting 25 March 2021 Novo Nordisk® Strategic aspirations 2025 - highlights for full year 2020 Diabetes: • Semaglutide 2.0 mg phase 3b trial successfully completed • Once-weekly insulin icodec phase 3 trial programme initiated • Rybelsus® approved in the EU, the UK and Japan therap
Slide 16: Commercial execution
16 Annual General Meeting 25 March 2021 Novo Nordisk® Strategic aspirations 2025 - highlights for full year 2020 Diabetes sales increased by 8% at CER: • Value market share leadership expanded by 0.7%-points to 29.3% Obesity sales increased by 3% at CER to DKK 5.6 billion Commercial Biopharm sales i
Slide 17: Financials
17 Annual General Meeting 25 March 2021 Novo Nordisk® Strategic aspirations 2025 - highlights for full year 2020 Sales increased by 7%, at CER, to DKK 126.9 billion • 10% sales growth in IO • 3% sales growth in NAO, with 48% of US sales transformed to products launched since 2015 Operating profit in
Slide 18: Sales growth of 7% driven by International Operations and GLP-1
18 Annual General Meeting 25 March 2021 Novo Nordisk® Sales growth of 7% driven by International Operations and GLP-1 Reported geographic sales split for 2020 DKK Insulin GLP-1 Other diabetes Obesity Biopharm billion Growth at CER 72 10% 3% 64 International Operations 56 48 40 9% 32 24 12% 11% 16 8
Slide 19: Sales growth of 7% driven by GLP-1 franchise
19 Annual General Meeting 25 March 2021 Novo Nordisk® Sales growth of 7% driven by GLP-1 franchise Added reported therapy area sales and growth North America Operations International Operations Growth at CER DKK billion 7% -3% 29% 3% 1% 10 8 32% 6 28% 4 10% 2 11% 5% 9% 0 3% -20% -1% -6% -2 -4 -6 Tot
Slide 20: Novo Nordisk increased market share in the US GLP-1 segment
20 Annual General Meeting 25 March 2021 Novo Nordisk® In the last 12 months, Novo Nordisk increased market share in the fast-growing US GLP-1 segment US GLP-1 TRx market size and market share TRx share 70% Ozempic ® Rybelsus® dulaglutide NN GLP-1 Victoza ® 60% Class growth around 30% 47.8% 49.8% 50%
Slide 21: International Operations diabetes sales growth and market share
21 Annual General Meeting 25 March 2021 Novo Nordisk® International Operations had solid diabetes sales growth across all regions and expanded Novo Nordisk market share Reported diabetes sales and growth per IO geography Diabetes value market share and share of growth in IO DKK Market billion Insuli
Slide 22: Key R&D milestones expected for 2021
22 Annual General Meeting 25 March 2021 Novo Nordisk® Key R&D milestones expected for 2021 Already achieved Phase 3 initiation of insulin icodec Diabetes care Phase 3 initiation of high dose oral semaglutide 25 mg and 50 mg Phase 1 initiations of trials for Type 1 Diabetes Obesity care Regulatory fe
Slide 23: Strategic aspirations 2025
23 Annual General Meeting 25 March 2021 Novo Nordisk® Strategic aspirations 2025 • Further raise the innovation-bar for diabetes treatment • Being respected for adding value to society • Develop a leading portfolio of superior treatment solutions for obesity • Progress towards zero environmental imp
Slide 24: novo nordisk
O oe novo nordisk
Slide 25: Consolidated income statement
25 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 2 | Consolidated income statement In DKK million 2020 2019 Change Sales 126,946 122,021 4% Cost of goods sold 20,932 20,088 4% Sales and distribution costs 32,928 31,823 3% Research and development costs 15,462 14,220 9% Administratio
Slide 26: Consolidated balance sheet per 31 December
26 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 2 | Consolidated balance sheet per 31 December 2020 Assets Equity and liabilities (DKK million) 2020 2019 (DKK million) 2020 2019 Non-current assets 79,113 63,156 Equity 63,325 57,593 Inventories, trade receivables and other 53,052 46
Slide 27: Attractive capital allocation to shareholders
27 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 2 | Attractive capital allocation to shareholders DKK Annual cash return to shareholders billion 45 30 17 17 15 15 15 7 7 8 12 12 13 14 0 1 2018 2019 2020 2021E Dividend Interim dividend Share repurchase Free cash flow Free cash flow
Slide 28: Financial outlook for 2021
28 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 2|Financial outlook for 2021 Expectations 3 February 2021 Sales growth – at CER 5% to 9% Sales growth - reported Around 4 percentage points lower Operating profit growth – at CER 4% to 8% Operating profit growth - reported Around 6 pe
Slide 29: Resolution to distribute the profit according to the Annual Report 2020
29 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 3.1|Resolution to distribute the profit according to the adopted Annual Report 2020 DKK million 2020 Net profit in the parent company, Novo Nordisk A/S 42,159 Proposed appropriation Interim dividend for the year – DKK 3.25 paid in Aug
Slide 30: novo nordisk
O oe novo nordisk
Slide 31: Presentation and advisory vote on the Remuneration Report 2020
31 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 4|Presentation and advisory vote on the Remuneration Report 2020 Executive remuneration for 2020 DKK million Base salary Benefits STI LTI1 70 60 93%3 50 40 30 94%3 20 10 0 Minimum Target Maximum Actual Minimum Target Maximum Actual Ch
Slide 32: Approval of the remuneration of the Board of Directors for 2020
32 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 5.1|Approval of the remuneration of the Board of Directors for 2020 Audit Nomination Remuneration R&D Board Committee Committee Committee Committee Multiplier DKK Multiplier DKK Multiplier DKK Multiplier DKK Multiplier DKK Chair 3.00
Slide 33: Approval of the remuneration level for 2021
33 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 5.2|Approval of the remuneration level for 2021 Audit Nomination Remuneration R&D Board Committee Committee Committee Committee Multiplier DKK Multiplier DKK Multiplier DKK Multiplier DKK Multiplier DKK Chair 3.00 2,208,000 1.00 736,0
Slide 34: novo nordisk
O oe novo nordisk
Slide 35: Agenda
35 Annual General Meeting 25 March 2021 Novo Nordisk® 1. The Board of Directors’ oral report on the company’s activities in the past financial year 2. Presentation and adoption of the audited Annual Report 2020 3. Resolution to distribute the profit according to the adopted Annual Report 2020 Agenda
Slide 36: Election of members to the Board of Directors
36 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 6|Election of members to the Board of Directors Election of members to the Board of Directors, including chair and vice chair • Item 6.1 Election of chair • Item 6.2 Election of vice chair • Item 6.3 Election of other members to the B
Slide 37: novo nordisk
O oe novo nordisk
Slide 38: Election of chair
38 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 6.1| Election of chair Helge Lund Chair
Slide 39: Election of vice chair
39 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 6.2| Election of vice chair Jeppe Christiansen Vice chair
Slide 40: Election of other members to the Board of Directors
40 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 6.3| Election of other members to the Board of Directors Laurence Debroux, Andreas Fibig, Sylvie Grégoire, Kasim Kutay and Martin Mackay
Slide 41: Election of members of Board of Directors
41 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 6.3| Election of members of Board of Directors Henrik Poulsen Position and management duties • Senior advisor to A.P. Møller Holding A/S, Denmark, and chair of Færch A/S, Denmark • Deputy chair of the board of ISS A/S and Carlsberg A/
Slide 42: Employee-elected members of the Board of Directors
42 Annual General Meeting 25 March 2021 Novo Nordisk® Employee-elected members of the Board of Directors Mette Bøjer Jensen, Anne Marie Kverneland, Thomas Rantzau and Stig Strøbæk
Slide 43: Appointment of auditor
43 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 7|Appointment of auditor Appointment of Deloitte Statsautoriseret Revisionspartnerselskab as new auditor
Slide 44: Appointment of auditor
44 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 7|Appointment of auditor Mogens Mogensen and Mads Melgaard PricewaterhouseCoopers
Slide 45: Appointment of auditor
45 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 7|Appointment of auditor Anders Dons and Jeffrey Ellis Deloitte
Slide 46: novo nordisk
O oe novo nordisk
Slide 47: Agenda
47 Annual General Meeting 25 March 2021 Novo Nordisk® 1. The Board of Directors’ oral report on the company’s activities in the past financial year 2. Presentation and adoption of the audited Annual Report 2020 3. Resolution to distribute the profit according to the adopted Annual Report 2020 Agenda
Slide 48: Proposals from the Board of Directors and/or shareholders
48 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 8|Proposals from the Board of Directors and/or shareholders Proposals from the Board of Directors and shareholders • Item 8.1 Reduction of the Company’s B share capital • Item 8.2 Authorisation to the Board of Directors to repurchase
Slide 49: Reduction of the Company’s B share capital
49 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 8.1|Reduction of the Company’s B share capital • Reduction of the Company’s B share capital from DKK 362,512,800 to DKK 354,512,800 by cancellation of part of the Company’s own holding of B shares at a nominal value of DKK 8,000,000 d
Slide 50: Authorisation to the Board to repurchase own shares
50 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 8.2|Authorisation to the Board of Directors to repurchase own shares • Authorisation of the Board of Directors, until the Annual General Meeting in 2022, to allow the Company to repurchase own shares of up to 10% of the share capital,
Slide 51: Authorisation to the Board to increase the share capital
51 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 8.3|Authorisation to the Board of Directors to increase the share capital Proposals • Cancel current authorisation allowing the issuance of new shares to employees without pre-emptive rights for shareholders, as current and future emp
Slide 52: Indemnification of the Board of Directors and Executive Management
52 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 8.4|Indemnification of the Board of Directors and Executive Management Proposals • Adoption of a scheme for indemnification of the Novo Nordisk Group’s directors and officers to the fullest extent permitted by applicable law and refle
Slide 53: Amendments to the Remuneration Policy
53 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 8.5|Amendments to the Remuneration Policy Proposals • Reflect the Indemnification Scheme in the Remuneration Policy • Allowances and benefits to support executives’ international mobility • Claw-back of short- and long-term incentives
Slide 54: Amendments to the Articles of Association
54 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 8.6|Amendments to the Articles of Association Proposals • Authorisation of the Board of Directors to decide whether General Meetings, going forward, will be held with attendance in person, virtually or as a combination of virtual and
Slide 55: Shareholder proposal
55 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 8.7|Shareholder proposal Shareholder proposal from Kritiske Aktionærer The shareholder proposes that Novo Nordisk must, together with the Novo Nordisk Foundation, make a plan for how to change the ownership to be without private share
Slide 56: novo nordisk
O oe novo nordisk
Slide 57: Any other business
57 Annual General Meeting 25 March 2021 Novo Nordisk® Agenda item 9|Any other business
Slide 58: Thank you to Brian Daniels and Liz Hewitt
58 Annual General Meeting 25 March 2021 Novo Nordisk® Thank you to Brian Daniels and Liz Hewitt
Slide 59: novo nordisk
O oe novo nordisk