Novo Nordisk A/s Class B · OMXCOP:NOVO_B
Novo Nordisk A/s Class B — Investor Day (March 2024)
13 slides from Novo Nordisk A/s Class B's investor day presentation, Mar 7, 2024
Slide 1: Financials
Novo Nordisk® Financials Karsten Munk Knudsen EVP and CFO 7 MARCH NEETA JOSHI Global Business Services India
Slide 2: Forward-looking statements
2 Financials Novo Nordisk® Forward-looking statements Novo Nordisk’s reports filed with or furnished to the US Securities and Exchange Commission (SEC), including the statutory Annual Report 2023 and Form 20-F, which both were filed with the SEC in January 2024 in continuation of the publication of
Slide 3: Strategic aspirations 2025
3 Financials Novo Nordisk® Strategic aspirations 2025 • Further raise the innovation-bar for diabetes treatment therapeutic focus • Progress towards zero environmental impact • Develop a leading portfolio of superior treatment Innovation and solutions for obesity • Being respected for adding value t
Slide 4: Sales growth and investments have increased since last CMD
4 Financials Novo Nordisk® Sales growth and investments have increased since last CMD Sales growth has accelerated CAPEX investments have quadrupled Continued investments in the pipeline 14% 16% 36% 232 45 177 37 13 34 +4x 141 26 10 19 32 12 24 6 18 2021 2022 2023 2021 2022 2023 2021 2022 2023 Sales
Slide 5: Consistent performance above peer group average in 2021-2023
5 Financials Novo Nordisk® Consistent performance above peer group average in 2021-2023 Sales growth (CER) Operating margin Cash returned to shareholders Total cash return to net income +12%-points +9%-points +14%-points 22% 43% 83% 69% 34% 10% Peer group Peer group average1 average1 Peer group aver
Slide 6: Resource allocation guided by investing in future growth while delivering shareholder returns
6 Financials Novo Nordisk® Resource allocation in Novo Nordisk is guided by investing in future growth while delivering attractive shareholder returns Corporate strategy guides resource allocation Expected primary sales growth drivers towards 2032 Waves of growth ILLUSTRATIVE Diabetes Obesity Streng
Slide 7: Commercial investments (S&D) mainly allocated to diabetes and obesity
7 Financials Novo Nordisk® Commercial investments (S&D) mainly allocated to diabetes and obesity S&D ratio gradually declining Expected S&D investment development mid-term DKK billion 26,3% 26,1% 80 24,4% 1 Diabetes Obesity Increasing S&D ratio 60 57 46 2 CVD RBD Trigger-based 40 37 3 MASH RED CKD T
Slide 8: Step-up in R&D investments to expand and diversify pipeline
8 Financials Novo Nordisk® Step-up in R&D investments to expand and diversify pipeline R&D investments have increased historically Expected R&D investment development mid-term DKK billion 14.0% 40 13.6% 1 Diabetes Obesity Increasing 12.6% 32 R&D ratio 30 24 2 CVD RBD Increasing 20 18 3 MASH RED CKD
Slide 9: Investment approach aligned with strategic priorities
9 Financials Novo Nordisk® Investment approach aligned with strategic priorities with a focus on securing future returns on investments Research & early development Development Business Development R&D budget R&D budget Maximise mid-and late- Expand early pipeline and add Expand early pipeline ~1/3
Slide 10: Capital allocation allows investing in the business while maintaining shareholder returns
10 Financials Novo Nordisk® Novo Nordisk’s capital allocation allows for investing in the business while maintaining attractive shareholder returns Strategic capital allocation priorities Stable dividend pay-out ratio despite increased CAPEX and BD DKK billion 1 Internal growth opportunities: R&D an
Slide 11: Two decades of consistent cash distribution to shareholders
11 Financials Novo Nordisk® Two decades of consistent cash distribution to shareholders Share buybacks and dividends (bDKK) Total dividends per share (DKK) 80 20 ~500 billion DKK returned to shareholders since 2003 62 60 49 41 40 39 9.4 10 36 37 35 35 30 6.2 27 24 5.2 20 4.6 20 16 3.8 3.9 4.1 4.2 13
Slide 12: Expected margin developments compared to 2023
12 Financials Novo Nordisk® Expected margin developments in the coming years compared to 2023 are reflecting strategic resource allocation Gross S&D R&D Administration Operating margin cost ratio cost ratio cost ratio margin Broadly stable but Gradually increase to Gradually decline Decline driven b
Slide 13: Closing remarks
Novo Nordisk® Closing remarks Sales growth and operating profit margin above industry average Growth and return focused resource allocation Consistent financial discipline allows for investing in the business while maintaining attractive shareholder returns NEETA JOSHI Global Business Services India