Novo Nordisk A/s Class B · OMXCOP:NOVO_B
Novo Nordisk A/s Class B — Investor Day (September 2012)
36 slides from Novo Nordisk A/s Class B's investor day presentation, Sep 19, 2012
Slide 1: Investor presentation International Operations
Investor presentation Investor presentation International Operations 19 September, 2012
Slide 2: Agenda
Investor presentation International Operations Slide no 2 Agenda Introduction by Jesper Høiland, SVP and Head of International Operations Strategy by Peter Haahr, VP Strategic Operations in International Operations Business Area Oceania and South East Asia (BAOS) by Maziar Mike Doustdar, VP of Busin
Slide 3: Forward-looking statements
Investor presentation International Operations Slide no 3 Forward-looking statements Novo Nordisk’s reports filed with or furnished to the US Securities and Exchange Commission (SEC), including this document as well as the company’s Annual Report 2011 and Form 20-F, both filed with the SEC in Februa
Slide 4: Novo Nordisk International Operations (IO)
Investor presentation International Operations Slide no 4 Novo Nordisk International Operations (IO) Key figures after first six month of 2012 Sales: 5.5 bDKK - 15% of global sales Diabetes: 76%; Biopharm: 24% of sales Insulin volume market share: 59% (MAT) 5 business areas, 136 countries 3,400 empl
Slide 5: IO relative to other Novo Nordisk regions
Investor presentation International Operations Slide no 5 IO relative to other Novo Nordisk regions A key driver of growth for Novo Nordisk Sales as reported – First six month of 2012 IO sales – 2007-2011 DKK Region China billion +25% Japan & Korea 12% +10% 8% CAGR 9% North America International 42%
Slide 6: IO relative to the world
Investor presentation International Operations Slide no 6 IO relative to the world A majority of the world with a significant growth potential IO of the World Population 20111 4.4 billion 65% Size of economy 20112 USD 19 trillion 27% GDP CAGR 2011-153 7% 38% Pharma market size 20114 USD 181 billion
Slide 7: Macro trends in IO
Investor presentation International Operations Slide no 7 Macro trends in IO Changing demographics, affluence and market dynamics Changing demographics and affluence Changing market dynamics driving need for driving growth in demand company readiness Aging population Improving access to healthcare H
Slide 8: IO growth until 2015 relative to the rest of the world
Investor presentation International Operations Slide no 8 IO growth until 2015 relative to the rest of the world IO will represent ~40% of Pharma growth until 2015 Top 5 Europe Size in 2015: ~175 bUSD Growth: 0-3 % US Size in 2015: ~350 bUSD Japan Growth: 1-4 % Size in 2015: ~115 bUSD Growth: 2-5 %
Slide 9: Diabetes prevalence, today and in the future
Investor presentation International Operations Slide no 9 Diabetes prevalence, today and in the future More than 50% of the worlds diabetic patients are living in IO Number of adults with diabetes Comments to the diabetes continues to grow prevalence in IO Million people North America Europe China •
Slide 10: Middle class population
Investor presentation International Operations Slide no 10 Middle class population The middle class population in IO is expected to grow rapidly until 2020 Middle class population Comments to expected IO middle and expected growth class population growth Million 2009 2020e 2009-2020e growth people •
Slide 11: Diabetes control
Investor presentation International Operations Slide no 11 Diabetes control Only a fraction of the people living with diabetes in IO are in good control The challenge of diagnosis and treatment in Comments to the relatively low success in IO – “the rule of halves” treating diabetes Million Share of
Slide 12: Characteristics of selected IO countries
Investor presentation International Operations Slide no 12 Characteristics of selected IO countries IO is a region consisting of diverse countries Country characteristics Country Population GDP per GDP real Health Care Average life Mobile phones (2011, capita (2011) growth rate % of GDP expectancy (
Slide 13: Access to care and reforms in IO
Investor presentation International Operations Slide no 13 Access to care and reforms in IO Governments are improving access to care while containing costs Governments are working on improving Different measures are taken to improve access to health across IO access to health • The supreme court has
Slide 14: Examples of political unrest in IO
Investor presentation International Operations Slide no 14 Examples of political unrest in IO Political agendas and economies in poor control challenges the status quo in IO • When will the unrest in Syria settle? And what will be the next development in Egypt, Yemen, Libya? • Will further US and Eu
Slide 15: Conclusion on challenges and opportunities in IO
Investor presentation International Operations Slide no 15 Conclusion on challenges and opportunities in IO Increasing health care spending Strong growth in diabetes prevalence Diverse portfolio of countries and a challenging political situation
Slide 16: Agenda
Investor presentation International Operations Slide no 16 Agenda Introduction by Jesper Høiland, SVP and Head of Region International Operations Strategy by Peter Haahr, VP Strategic Operations in International Operations Business Area Oceania and South East Asia (BAOS) by Maziar Mike Doustdar, VP
Slide 17: Diabetes care market value and market shares
Investor presentation International Operations Slide no 17 Diabetes care market value and market shares Novo Nordisk now holds 23% value market share in a growing market IO diabetes care market by IO diabetes care treatment class value market share DKK Novo Nordisk Merck Merck KGAA OAD Insulin GLP-1
Slide 18: Insulin market volume and market shares
Investor presentation International Operations Slide no 18 Insulin market volume and market shares Novo Nordisk sustains clear leadership position in the insulin segment IO insulin market by IO total insulin volume segments market share tMU Novo Nordisk Sanofi Eli Lilly 70% 70 CAGR volume: 14.2% 59%
Slide 19: GLP-1 market volume and market shares
Investor presentation International Operations Slide no 19 GLP-1 market volume and market shares The GLP-1 market in IO continuous to expand driven by Victoza® IO GLP-1 market and market Victoza® IO launch participants highlights Volume (Years of treatment) GLP-1 % of diabetes care market • GLP-1 le
Slide 20: IO Strategy
Investor presentation International Operations Slide no 20 IO Strategy Novo Nordisk has a portfolio approach to strategy in IO Portfolios in IO Comments to portfolios Market portfolio • Characteristics of the 136 IO markets differ ‘Prioritized and tailored approach to • Size and growth potential dif
Slide 21: IO Strategy – Market portfolio
Investor presentation International Operations Slide no 21 IO Strategy – Market portfolio Different types of markets requires different investment approaches IO market position plot Market portfolio groups Sales Mantra Return on Country growth investment examples Very high Strategic ‘Too big to 1-2
Slide 22: IO Strategy – Product portfolio
Investor presentation International Operations Slide no 22 IO Strategy – Product portfolio Product portfolio caters for different levels of maturity The broadest diabetes product …cater for different levels of modern insulin offering today – and tomorrow… and device maturity across IO Modern Insulin
Slide 23: IO Strategy – Initiative portfolio
Investor presentation International Operations Slide no 23 IO Strategy – Initiative portfolio Initiatives launched to cater for local needs The challenge of diagnosis and treatment in IO – “the rule of halves” Examples of initiatives Million people Diag- Access Good Reach Country nosing to care care
Slide 24: China – from opportunity to independent region
Investor presentation International Operations Slide no 24 China – from opportunity to independent region Key learnings from China Sales development China – local rates Novo Nordisk in China Index • Sales in 2011 of 5.2 Billion (>x50 in 350 10 years) • Diabetes market share from 10% in 300 1999 to 3
Slide 25: Conclusion on strategy in IO
Investor presentation International Operations Slide no 25 Conclusion on strategy in IO Double digit growth in diabetes market Novo Nordisk holds leadership position in diabetes market A portfolio approach to strategy captures growth in diverse and complex markets
Slide 26: Agenda
Investor presentation International Operations Slide no 26 Agenda Introduction by Jesper Høiland, SVP and Head of Region International Operations Strategy by Peter Haahr, VP Strategic Operations in International Operations Business Area Oceania and South East Asia (BAOS) by Maziar Mike Doustdar, VP
Slide 27: Novo Nordisk Business Area Oceania and South East Asia (BAOS)
Investor presentation International Operations Slide no 27 Novo Nordisk Business Area Oceania and South East Asia (BAOS) Key figures as of August 2012 Inhabitants: 820 million1 People with diabetes: 33 million2 Diabetes: 78%; Biopharm: 22% of sales 8 affiliates in South East Asia and Oceania Indones
Slide 28: Characteristics of key BAOS countries
Investor presentation International Operations Slide no 28 Characteristics of key BAOS countries BAOS is a region of diverse countries Country characteristics Country Population GDP per GDP real Health Care Physicians Mobile phones 2011, capita growth rate % of GDP density/1000 (2010, (millions) (20
Slide 29: Out-of-pocket funding of health care in BAOS
Investor presentation International Operations Slide no 29 Out-of-pocket funding of health care in BAOS Out-of-pocket funding remains a significant source of finance Pharmaceutical markets – estimated sources of financing - % of demand Out of pocket % Other private % (Insurance etc.) Public funding
Slide 30: The diabetes burden in BAOS
Investor presentation International Operations Slide no 30 The diabetes burden in BAOS Diabetes is a growing challenge in BAOS and only few patients are well treated The diabetes burden is growing rapidly BAOS rule of halves Million Million 2011 2030 people people ~65% ~26% ~17% ~5% Source: IDF Diab
Slide 31: Novo Nordisk position in BAOS
Investor presentation International Operations Slide no 31 Novo Nordisk position in BAOS Position build through education and training of HCPs and governments Sales development BAOS – local rates Key historic milestones in BAOS Index South East Asia Oceania • Establishment of offices in Indonesia (2
Slide 32: Indonesia – Improving access to care
Investor presentation International Operations Slide no 32 Prioritised markets – „Investing ahead of the curve‟ Indonesia – Improving access to care Sales development Indonesia – local rates Indonesian market Index • 248 million people1 and a rapidly growing middle class2 450 • Insulin use: ~1% of d
Slide 33: Vietnam – Improving access to care
Investor presentation International Operations Slide no 33 Prioritized markets – „Investing ahead of the curve‟ Vietnam – Improving access to care Sales development Vietnam – local rates Vietnamese market Index • Rapidly growing middle class (28.4%)1 1.100 • 1.7 million adults with diabetes2 1.000 •
Slide 34: Conclusion on Novo Nordisk in BAOS
Investor presentation International Operations Slide no 34 Conclusion on Novo Nordisk in BAOS Increasing demand for diabetes treatment Governments in South East Asia are improving awareness and access to healthcare Novo Nordisk continues to expand leadership position in key markets
Slide 35: Closing remarks on IO
Investor presentation International Operations Slide no 35 Closing remarks on IO Solid performance Promising outlook • 12% annual growth driven by diabetes • Strong underlying growth in diabetes prevalence prevalence in most countries • 23% market share in diabetes care and • Long history of presenc
Slide 36: Investor information
Investor presentation International Operations Slide no 36 Investor 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 Stoc