Novo Nordisk A/s Class B · OMXCOP:NOVO_B
Novo Nordisk A/s Class B — FY2017 Earnings Presentation
21 slides from Novo Nordisk A/s Class B's earnings presentation, Feb 5, 2018
Slide 1: Full year 2017 London
Slide 1 Full year 2017 London 5 February 2018 Manato Ohara, diagnosed with type 1 diabetes Kanagawa, Japan
Slide 2: Agenda
Investor Presentation Full year 2017 Slide 2 Agenda Highlights and key events Sales update R&D update Financials and outlook
Slide 3: Forward-looking statements
Investor Presentation Full year 2017 Slide 3 Forward-looking statements Novo Nordisk’s reports filed with or furnished to the US Securities and Exchange Commission (SEC), including the company’s Annual Report 2016 and Form 20-F, which are both filed with the SEC in February 2017 in continuation of t
Slide 4: Highlights – Full year 2017
Investor Presentation Full year 2017 Slide 4 Highlights – Full year 2017 Sales development • Sales increased by 2% in local currencies and were unchanged in Danish kroner • International Operations grew by 5% in local currencies • North America Operations sales were unchanged in local currencies • T
Slide 5: Executive management as of February 2018
Investor Presentation Full year 2017 Slide 5 Executive management as of 15 February 2018 President & CEO Lars Fruergaard Jørgensen Research & Product Supply Commercial North America International Biopharm & Finance, Investor Business Development Strategy & Operations Operations Legal Affairs Relatio
Slide 6: Sales growth driven by International Operations
Investor Presentation Full year 2017 Slide 6 Sales growth driven by International Operations Sales as reported – full year 2017 Growth analysis – full year 2017 Region Region Latin America Local currencies Growth Share of growth Japan & Korea +3% North America Operations (0.2%) (5%) (2%) 3% Hereof U
Slide 7: Sales growth derived from diabetes care and obesity, driven by Tresiba, Victoza and Saxenda
Investor Presentation Full year 2017 Slide 7 Sales growth derived from diabetes care and obesity, driven by Tresiba®, Victoza® and Saxenda® Sales as reported – full year 2017 Growth analysis – full year 2017 Growth Other Local currencies Growth Share of growth hormone biopharmaceuticals New-generati
Slide 8: Basal insulin market penetration with Tresiba supported by Xultophy launches
Investor Presentation Full year 2017 Slide 8 Basal insulin market penetration with Tresiba® supported by Xultophy® launches Tresiba® value market share of basal insulin Combined value market share of Tresiba® and segment in selected countries outside the US Xultophy® in selected countries Switzerlan
Slide 9: Total Novo Nordisk basal insulin volume market share has increased to 34% in the US
Investor Presentation Full year 2017 Slide 9 Total Novo Nordisk basal insulin volume market share has increased to 34% in the US Weekly TRx volume market shares in the US Tresiba® launch in the US glargine U100 NN Total Basal Levemir® • The ambition to reach 10% Tresiba® TRx volume market Basal volu
Slide 10: Victoza continues strong growth trajectory in the US
Investor Presentation Full year 2017 Slide 10 Victoza® continues strong growth trajectory in the US driven by GLP-1 market volume growth of 23% US GLP-1 market development US GLP-1 market monthly TRx US GLP-1 volume market share MAT GLP-1 Total TRx Growth rate GLP-1 TRx Victoza® exenatide GLP-1 TRx
Slide 11: Ozempic approved in the USA and positive CHMP opinion issued in the EU
Investor Presentation Full year 2017 Slide 11 approved in the USA and positive CHMP opinion issued in the EU CHMP endorsed inclusion of CV data Ozempic® label in the USA from SUSTAIN 6 trial in Ozempic® EU label • Reduction in HbA1c vs comparators1 Ozempic® label Victoza® label Efficacy Safety • Red
Slide 12: Large cardiovascular outcomes study, SOUL, to be initiated mid 2018
Investor Presentation Full year 2017 Slide 12 Large cardiovascular outcomes study, SOUL, to be initiated mid 2018 with SOUL study design Study purpose and end-points • Purpose: To confirm that treatment with Ozempic® results in decreased cardiovascular risk compared to placebo ~13,000 Ozempic® 1.0 m
Slide 13: Phase 3a programme STEP and CV outcomes study SELECT with semaglutide 2.4 mg in obesity
Investor Presentation Full year 2017 Slide 13 Phase 3a programme STEP and CV outcomes study SELECT with semaglutide 2.4 mg in obesity to be initiated Semaglutide in obesity phase 3a programme, Cardiovascular outcomes study, SELECT, STEP, expected to include ~4,500 patients1 planned for semaglutide i
Slide 14: Key development milestones reached
Investor Presentation Full year 2017 Slide 14 Key development milestones reached • Results from onset 5 phase 3b trial with Fiasp® compared to NovoRapid® in adults with type 1 diabetes • DUAL II Japan phase 3a trial with Xultophy® completed Diabetes • Data from the DEVOTE trial submitted for inclusi
Slide 15: R&D milestones in 2018
Investor Presentation Full year 2017 Slide 15 R&D milestones in 2018 Results available1 Regulatory milestone Project Q1 2018 Q2 2018 Q3 2018 Q4 2018 DEVOTE and SWITCH Tresiba® vs insulin Tresiba® US regulatory decision glargine U300 data DUAL I Japan Phase 3a Xultophy® Japan submission DUAL II Japan
Slide 16: Financial results – full year 2017
Investor Presentation Full year 2017 Slide 16 Financial results – full year 2017 DKK million Change Change FY 2017 FY 2016 (reported DKK) (local currency) Sales 111,696 111,780 (0%) 2% Gross profit 94,064 94,597 (1%) 2% Gross margin 84.2% 84.6% Sales and distribution costs 28,340 28,377 (0%) 2% Perc
Slide 17: Unfavourable currency impact in 2017 driven by hedged and unhedged currencies
Investor Presentation Full year 2017 Slide 17 Unfavourable currency impact in 2017 driven by development in both hedged and unhedged currencies USD/DKK CNY/DKK JPY/DKK GBP/DKK CAD/DKK 120 Hedged 2016 2017 Spot Impact of a Hedging Index (1 Jan 2016= 100) Currencies average average2 rate2 5% move3 (mo
Slide 18: Financial outlook for 2018
Investor Presentation Full year 2017 Slide 18 Financial outlook for 2018 Expectations 1 February 2018 Sales growth - local currencies 2% to 5% Sales growth - reported Around 7 percentage points lower Operating profit growth - local currencies 1% to 5% Operating profit growth - reported Around 10 per
Slide 19: Cash return to shareholders in 2018
Investor Presentation Full year 2017 Slide 19 Cash return to shareholders in 2018 Annual cash return to shareholders Cash return priorities DKK Share repurchase Interim dividend Dividend • New share repurchase programme of up to DKK 14 billion billion Free cash flow Free cash flow guidance to be exe
Slide 20: Closing remarks
Investor Presentation Full year 2017 Slide 20 Closing remarks Solid leadership positions and continued market opportunities Promising pipeline and product launches 27% Novo Nordisk value market share in diabetes • The only company with a full portfolio of novel > > care and solid leadership position
Slide 21: Investor contact information
Investor Presentation Full year 2017 Slide 21 Investor contact information Share information Investor Relations contacts Novo Nordisk’s B shares are listed on the stock exchange in Novo Nordisk A/S Copenhagen under the symbol ‘NOVO B’. Its ADRs are listed on Investor Relations the New York Stock Exc