Novo Nordisk A/s Class B · OMXCOP:NOVO_B
Novo Nordisk A/s Class B — Investor Day (November 2017)
152 slides from Novo Nordisk A/s Class B's investor day presentation, November 2017
Slide 1: Welcome to Capital Markets Day 2017
Welcome to Capital Markets Day 2017
Slide 2: Welcome and strategy update
Slide 1 Welcome and strategy update Lars Fruergaard Jørgensen President and CEO
Slide 3: Forward-looking statements
Capital Markets Day 2017 Welcome and strategy update Slide 2 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 c
Slide 4: Addressing the disease burden of diabetes and obesity
Capital Markets Day 2017 Welcome and strategy update Slide 3 Novo Nordisk addresses the significant disease burden of diabetes and obesity through a patient centric mind-set Significant and growing disease burden within Triple bottom-line supports Novo Nordisk’s both diabetes and obesity global resp
Slide 5: R&D and commercial achievements since Capital Markets Day 2015
Capital Markets Day 2017 Welcome and strategy update Slide 4 Significant R&D and commercial achievements since our Capital Markets Day in November 2015 Strategic priorities R&D achievements Commercial achievements Filing and successful adcom with semaglutide Tresiba® launched in 56 countries Fiasp®
Slide 6: Strategic priorities remain focused and core purpose unchanged
Capital Markets Day 2017 Welcome and strategy update Slide 5 Our strategic priorities remain focused and our core purpose unchanged STRATEGIC PRIORITIES CORE CAPABILITIES Engineering, Deep disease Efficient Global Expand leadership in formulating, understanding large-scale commercial DIABETES leader
Slide 7: Commercial priorities to ensure focus on execution
Capital Markets Day 2017 Welcome and strategy update Slide 6 Commercial priorities in place to ensure focus on execution of the global strategy and increase innovation height Diabetes Obesity and Biopharm Innovation Maximise our insulin franchise by Build the global obesity market Drive commercial i
Slide 8: R&D strategy
Slide 7 R&D strategy Mads Krogsgaard Thomsen EVP and Chief Science Officer ZIHAO LI AND HIS MOTHER BING HAN, China Zihao has haemophilia A
Slide 9: Forward-looking statements
Capital Markets Day 2017 R&D strategy Slide 8 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
Slide 10: R&D advanced early and late-stage projects since last CMD
Capital Markets Day 2017 R&D strategy Slide 9 9 R&D organisation successfully advanced early and late-stage projects since last Capital Markets Day1 Project2 Phase 1 Phase 2 Phase 3 Submitted Approved Xultophy® US approval Fiasp® US/EU approval semaglutide – QW GLP-1 Submitted in US/EU/JP oral semag
Slide 11: Innovation bar raised due to maturity of core areas
Capital Markets Day 2017 R&D strategy Slide 10 Innovation bar has been raised due to increased maturity of core areas and market access challenges High level of innovation Raised innovation bar for the achieved within basal insulin GLP-1 franchise Growing market challenges Second generation oral GLP
Slide 12: R&D strategy and priorities
Capital Markets Day 2017 R&D strategy Slide 11 Novo Nordisk R&D Corporate strategy Strategy and priorities STRATEGIC PRIORITIES R&D PRIORITIES • Develop disruptive insulin and GLP-1 based products with distinct clinical and/or delivery advantages Strengthen leadership in DIABETES CARE • Develop nove
Slide 13: Expansion into other serious chronic diseases
Capital Markets Day 2017 R&D strategy Slide 12 Expansion into other serious chronic diseases with high unmet medical needs and market attractiveness Serious chronic diseases are often associated New therapeutic areas represent patient with diabetes and obesity populations with high unmet medical nee
Slide 14: R&D strategy focuses on innovation and expansion
Capital Markets Day 2017 R&D strategy Slide 13 The R&D strategy focuses on innovation and expansion of current patient base Haemo- Diabetes Obesity philia Raise the innovation level within CVD our core therapy areas Innovation CKD NASH Expand into new therapy areas spearheaded by semaglutide Expansi
Slide 15: Research strategy and priorities
Slide 14 Research strategy and priorities Peter Kurtzhals SVP Global Research ALEX SILVERBERG, Sweden Alex has type 1 diabetes
Slide 16: Strengthening leadership in diabetes by improving outcomes
Capital Markets Day 2017 Research strategy and priorities Slide 15 Strengthening leadership in diabetes by improving patient outcomes Significant unmet needs remain within diabetes Research priorities Current activities Pursue next-generation insulin and • Once-weekly insulin 287 Need for reducing G
Slide 17: Expanding the obesity pipeline with new targets
Capital Markets Day 2017 Research strategy and priorities Slide 16 Expanding the obesity pipeline with new targets High growth and unmet needs in the obesity market Research priorities Current activities Unmet medical needs in an Pursue all relevant options with immature pharmaceutical >15% weight r
Slide 18: Expanding into other serious chronic diseases
Capital Markets Day 2017 Research strategy and priorities Slide 17 Improving patient outcomes by expanding into other serious chronic diseases The opportunity of other Dedicated area for serious serious chronic diseases Research priorities chronic diseases established Cardiovascular disease High unm
Slide 19: Global Research organised to execute revised R&D strategy
Capital Markets Day 2017 Research strategy and priorities Slide 18 Global Research organised to ensure successful execution of the revised R&D strategy Research investment reflects Strengthened externalisation Increasing global presence revised R&D strategy within academia and biotech ensures access
Slide 20: Late-stage product portfolio
Slide 19 Late-stage product portfolio Peter Kristensen SVP Global Development KELLY HECTOR, USA Kelly has type 1 diabetes
Slide 21: Severe hypoglycemia and increased mortality risk
Capital Markets Day 2017 Late-stage product portfolio Slide 20 Post-approval trials support the association between severe hypoglycemia and increased mortality risk Lower rates of severe hypoglycaemia Post-hoc analyses suggest higher all-cause demonstrated in DEVOTE mortality following severe hypogl
Slide 22: SUSTAIN phase 3a trials with semaglutide completed
Capital Markets Day 2017 Late-stage product portfolio Slide 21 SUSTAIN phase 3a trials with semaglutide successfully completed SUSTAIN 1 2 3 4 5 6 Baseline 8.1% 8.1% 8.3% 8.2% 8.4% 8.7% 0.0 -0.1 -0.5 Change in -0.8 -0.4 -0.9 HbA1c (%) -1.1 -1.3 -1.2 -1.4 -1.4 -1.6 -1.5 -1.5 * -1.6 * -1.6 * * * -1.8
Slide 23: Semaglutide superiority vs dulaglutide in SUSTAIN 7
Capital Markets Day 2017 Late-stage product portfolio Slide 22 Semaglutide demonstrated superiority on both glucose control and weight loss vs dulaglutide in SUSTAIN 7 trial dulaglutide 0.75 mg dulaglutide 1.5 mg semaglutide 0.5 mg semaglutide 1.0 mg HbA1c (%) Weight loss (kg) 8.5 0.0 8.0 -2.3 kg -2
Slide 24: More semaglutide patients reached glucose target in SUSTAIN 7
Capital Markets Day 2017 Late-stage product portfolio Slide 23 Significantly more semaglutide patients reached target for glucose control in the SUSTAIN 7 trial vs dulaglutide Percentage of patients achieving the ADA recommended HbA1c target below 7.0% Conclusion and next steps % of patients at • Cl
Slide 25: PIONEER programme for oral semaglutide
Capital Markets Day 2017 Late-stage product portfolio Slide 24 PIONEER programme for oral semaglutide investigates the entire treatment cascade PIONEER trial 2 SGLT-2 vs empagliflozin 3 4 6 Monotherapy 9 DPP-IV GLP-1 CVOT vs Placebo and vs sitagliptin vs liraglutide 1.8 mg vs Placebo liraglutide 1 7
Slide 26: Full PIONEER programme expected to read out during 2018
Capital Markets Day 2017 Late-stage product portfolio Slide 25 Full PIONEER programme expected to read out during 20181 PIONEER trial 6 CVOT2 vs Placebo 3 8 DPP-IV Add-on to insulin vs sitagliptin vs Placebo 2 4 9 Monotherapy SGLT-2 GLP-1 vs Placebo and vs empagliflozin vs liraglutide 1.8 mg liraglu
Slide 27: Semaglutide trials in obesity and other chronic diseases
Capital Markets Day 2017 Late-stage product portfolio Slide 26 Trials in obesity and other serious chronic disease areas building on the semaglutide molecule Planned or ongoing trials with semaglutide Ongoing phase 2 trial with daily semaglutide vs addressing other serious chronic diseases placebo i
Slide 28: Regulatory update
Slide 27 Regulatory update Robin Evers SVP Medical Affairs, Regulatory and Safety REN YANXIA, China Yanxia has type 2 diabetes
Slide 29: Global regulatory organisation submissions and approvals
Capital Markets Day 2017 Regulatory update Slide 28 The global regulatory organisation handled over 300 submissions and obtained ~200 approvals in 2016 HQ • ~440 employees North America Japan & Korea • ~60 employees Europe • ~20 employees • 14 submissions • 1 submission • 2 approvals • ~65 employees
Slide 30: Medical Affairs ahead of product launches
Capital Markets Day 2017 Regulatory update Slide 29 Medical Affairs is responsible for early scientific dialogue ahead of product launches Medical Affairs activities Key preparations ahead of a product launch Ensure scientific dialogue Clinical KOL Publication activities engagement planning Secure c
Slide 31: Regulatory review for semaglutide progressing
Capital Markets Day 2017 Regulatory update Slide 30 Regulatory review for semaglutide is progressing as planned Regulatory status - USA Regulatory status – rest of world • USA EU • Semaglutide advisory committee meeting held on 18 • CHMP opinion expected in Q4 2017, followed by final October with a
Slide 32: R&D milestones in 2018
Capital Markets Day 2017 Regulatory update Slide 31 R&D milestones in 2018 Results available 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 and DUAL II Japan Xultophy® Japan submission Phase
Slide 33: Closing remarks
Capital Markets Day 2017 R&D update Slide 32 Closing remarks Innovation bar raised following increased maturity of core areas and market access challenges Significant unmet needs remain within core therapy areas and other serious chronic diseases Semaglutide demonstrated unprecedented clinical benef
Slide 34: Q&A - R&D update
Slide 27 33 Q&A - R&D update On stage • Mads Krogsgaard Thomsen, EVP and Chief Science Officer • Peter Kurtzhals, SVP Global Research • Peter Kristensen, SVP Global Development • Robin Evers, SVP Medical Affairs, Regulatory and Safety ZIHAO LI AND HIS MOTHER BING HAN, China Zihao has haemophilia A
Slide 35: Driving insulin growth
CARLA PRISCO, Brazil Slide 34 Carla Prisco has type 1 diabetes Driving insulin growth Mike Doustdar EVP International Operations
Slide 36: Forward-looking statements
Capital Markets Day 2017 Driving insulin growth Slide 35 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 conti
Slide 37: Global diabetes prevalence is increasing
Capital Markets Day 2017 Driving insulin growth Slide 36 Global diabetes prevalence is increasing and 629 million people are expected to have diabetes by 2045 Around 10% of all adults have diabetes The number of people with diabetes is expected globally in 2017 to increase by 48% by 2045 Region AAME
Slide 38: Driving global insulin growth by increasing users
Capital Markets Day 2017 Driving insulin growth Slide 37 Focus on driving global insulin growth by increasing the number of people who are using Novo Nordisk products Around 26 million people are currently treated Only 6% of all people with diabetes are treated with Novo Nordisk insulin and GLP-1 pr
Slide 39: Broad insulin portfolio with three generations
Capital Markets Day 2017 Driving insulin growth Slide 38 Novo Nordisk holds a broad insulin portfolio with three generations of products covering the treatment cascade Novo Nordisk product portfolio includes three Commercial focus depends on market maturity generations of insulin products and market
Slide 40: New-generation insulins improve glycaemic control
Capital Markets Day 2017 Driving insulin growth Slide 39 Novo Nordisk’s new-generation insulins enable people with diabetes to achieve improved glycaemic control Aspiration for new-generation insulins is to set Achieving glycaemic control remains a global a new standard for insulin treatment challen
Slide 41: Fear of hypoglycaemia remains a challenge
Capital Markets Day 2017 Driving insulin growth Slide 40 Fear of hypoglycaemia remains a challenge in achieving optimal insulin treatment for people with diabetes People experiencing a hypoglycaemic episode Fear of hypoglycaemia leads to poor glycaemic tend to reduce their insulin dose control and l
Slide 42: Severe hypoglycaemia linked to death risk and healthcare cost
Capital Markets Day 2017 Driving insulin growth Slide 41 Severe hypoglycaemia episodes are associated with increased risk of death and large healthcare cost In DEVOTE people with a severe hypoglycaemia Severe hypoglycaemia episodes are associated episode were at 2.5 times higher risk of death with l
Slide 43: Tresiba sets new standard for basal insulin initiation
Capital Markets Day 2017 Driving insulin growth Slide 42 Tresiba® sets a new standard for basal insulin initiation by lowering the risk of hypoglycaemia Tresiba® is a leap on the innovation ladder by Tresiba® has consistently demonstrated further reducing nocturnal hypoglycaemia relevant reductions
Slide 44: Simplified communication to improve hypoglycaemia awareness
Capital Markets Day 2017 Driving insulin growth Slide 43 Focus on simplified communication to improve hypoglycaemia awareness among general practitioners Low variability and hypoglycaemia reduction is Hypoglycaemia campaign initiated to improve currently not a prescription driver for GPs awareness a
Slide 45: Increased basal insulin value market share
Capital Markets Day 2017 Driving insulin growth Slide 44 Increased total basal insulin value market share in countries with broad market access The level of market access determines the Novo Nordisk has gained market share in most uptake of Tresiba® countries since Tresiba® and Xultophy® launch Swit
Slide 46: Portfolio of new-generation insulins
Capital Markets Day 2017 Driving insulin growth Slide 45 Novo Nordisk holds a portfolio of new-generation insulins covering treatment options along the treatment cascade
Slide 47: Closing remarks
Capital Markets Day 2017 Driving insulin growth Slide 46 Closing remarks Global insulin growth driven by increased number of people using Novo Nordisk’s products Full portfolio of new-generation insulins with Tresiba® setting new standard for basal initiation Fear of hypoglycaemia remains a challeng
Slide 48: Winning with GLP-1
Slide 47 Winning with GLP-1 Lars Fruergaard Jørgensen President and CEO ALEXANDRE DE GREGORIO, Brazil Alexandre has type 2 diabetes
Slide 49: Forward-looking statements
Capital Markets Day 2017 Winning with GLP-1 Slide 48 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 continuat
Slide 50: GLP-1 penetration rate has increased over time
Capital Markets Day 2017 Winning with GLP-1 Slide 49 GLP-1 penetration rate has increased over time driven by more efficacious and now once-weekly products Global GLP-1 market value and share of total diabetes care market value DKK exenatide Victoza® dulaglutide albiglutide1 lixisenatide GLP-1 share
Slide 51: US and Europe account for majority of Victoza sales
Capital Markets Day 2017 Winning with GLP-1 Slide 50 The US and Europe account for majority of Victoza® sales as GLP-1 penetration remains low in the rest of the world GLP-1 value and patient share of Victoza® sales and GLP-1 value market share the total diabetes care market DKK Victoza® GLP-1 value
Slide 52: GLP-1 patients switch from OADs; untapped potential is large
Capital Markets Day 2017 Winning with GLP-1 Slide 51 GLP-1 patients primarily switch from OADs and untapped potential is large with many OAD patients not in control GLP-1 source of business Share of patients on OADs achieving (new-to-brand prescription market share) HbA1c below 7% in major European
Slide 53: CV benefits demonstrated set new treatment standard
Capital Markets Day 2017 Winning with GLP-1 Slide 52 CV benefits recently demonstrated in phase 3 trials set new treatment standard for people living with T2D and CVD Despite advancements in the treatment of type 2 diabetes, Only NN GLP-1s have shown adults with diabetes experience significantly mor
Slide 54: Positive Victoza market share trend after CV promotion
Capital Markets Day 2017 Winning with GLP-1 Slide 53 Positive Victoza® market share trend observed following recently initiated promotion of Victoza® CV benefit Victoza® CV campaign rolled out in Positive NBRx trend observed in the US second half of 2017 following label updates following approval of
Slide 55: Semaglutide clinical benefits; expected launch as Ozempic
Capital Markets Day 2017 Winning with GLP-1 Slide 54 Semaglutide has demonstrated unprecedented clinical benefits and is expected to launch by the name Ozempic® Unprecedented clinical results Ozempic® - intended brand name for once-weekly semaglutide for once-weekly semaglutide SUPERIOR SUPERIOR AND
Slide 56: Ozempic to launch in first countries in 2018
Capital Markets Day 2017 Winning with GLP-1 Slide 55 Ozempic® to launch in first countries in 2018 with ambition to expand GLP-1 market by targeting new GLP-1 starts Ozempic® expected to be launched in the US, Ozempic® to target ‘new GLP-1 starts’ Canada, Japan and first EU countries in 2018 and exp
Slide 57: Oral semaglutide positioned earlier in treatment cascade
Capital Markets Day 2017 Winning with GLP-1 Slide 56 Oral semaglutide expected to be positioned earlier in treatment cascade than injectable GLP-1 as a superior OAD Oral semaglutide expected to compete as Oral semaglutide primarily expected to first treatment option post-metformin compete with SGLT-
Slide 58: Ambition for Ozempic to become leading weekly GLP-1
Capital Markets Day 2017 Winning with GLP-1 Slide 57 Ambition for Ozempic® to become leading weekly GLP-1, with daily GLP-1 use shifting to oral semaglutide Promotional focus to shift from Victoza® towards Aim for Ozempic® and oral semaglutide Ozempic® as market access emerges to replace Victoza® as
Slide 59: Closing remarks
Capital Markets Day 2017 Winning with GLP-1 Slide 58 Closing remarks Victoza® and semaglutide CV benefits set new standard as cardiovascular disease and type 2 diabetes should be treated together Victoza® relaunched with CV data in EU label and CV indication in the US Ozempic® expected to launch in
Slide 60: Obesity patient ambassador Reneé
Slide 59 Obesity patient ambassador Reneé
Slide 61: Strengthen leadership in obesity
YASMIN FIEDLER Slide 60 Germany Yasmin has type 1 diabetes Strengthen leadership in obesity Mads Krogsgaard Thomsen EVP and Chief Science Officer Camilla Sylvest EVP Commercial Strategy and Corporate Affairs MARY EDWARDS, USA Mary’s BMI is 44
Slide 62: Forward-looking statements
Capital Markets Day 2017 Strengthen leadership in obesity Slide 61 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 201
Slide 63: Obesity is a chronic disease that requires treatment
Capital Markets Day 2017 Strengthen leadership in obesity Slide 62 Obesity is a chronic disease that requires treatment The set-point theory portrays how metabolic The body fights weight loss for changes affect the ability to lose weight people with obesity • The body “remembers” its highest body we
Slide 64: Obesity pipeline addressing appetite and energy expenditure
Capital Markets Day 2017 Strengthen leadership in obesity Slide 63 The obesity pipeline consists of projects addressing both appetite reduction and energy expenditure How to address obesity from a medical perspective Novo Nordisk obesity products and pipeline Projects: Status: 2018 expected: Saxenda
Slide 65: Promising phase 1a results for single-dose amylin
Capital Markets Day 2017 Strengthen leadership in obesity Slide 64 Promising phase 1a results for single-dose amylin Long-acting amylin analogue single-dose phase 1a trial Key results and next steps Change in body weight (%) • Long-acting amylin analogue single dose considered safe 2 Placebo and wel
Slide 66: Semaglutide unprecedented weight loss in phase 2 obesity trial
Capital Markets Day 2017 Strengthen leadership in obesity Slide 65 Semaglutide demonstrated unprecedented weight loss in phase 2 obesity trial 16.2% weight reduction with the highest semaglutide dose in phase 2 obesity trial Key results and next steps Change in sema 0.05 mg sema 0.1 mg • Participant
Slide 67: Phase 3 trials with 2.4 mg semaglutide in obesity
Capital Markets Day 2017 Strengthen leadership in obesity Slide 66 Phase 3 trials with 2.4 mg once-weekly semaglutide in obesity to be initiated in the first half of 2018 Semaglutide in obesity phase 3a programme, Cardiovascular landmark study planned for STEP, expected to include ~4,500 patients1 s
Slide 68: Despite obesity being a chronic disease, the reality is…
Capital Markets Day 2017 Strengthen leadership in obesity Slide 67 Despite obesity being a chronic disease, the reality is… It is a There is no Physicians are Patients are Patients lack significant specialty not taught how discriminated treatment cost burden managing it to treat it against for optio
Slide 69: Healthcare cost associated with obesity expected to increase
Capital Markets Day 2017 Strengthen leadership in obesity Slide 68 The healthcare cost associated with obesity expected to increase Global healthcare costs related to obesity Increase in healthcare costs primarily driven expected to increase by 50% by 2025 by obesity-related comorbidities • Today, 6
Slide 70: Treatment rate is low; change of mindset needed
Capital Markets Day 2017 Strengthen leadership in obesity Slide 69 Treatment rate is low and an increase requires a change of mindset and physician engagement Only 2% of the 650 million people with obesity are treated with medication Key barriers to effective obesity management All people with • Bel
Slide 71: Market development initiatives for obesity barriers
Capital Markets Day 2017 Strengthen leadership in obesity Slide 70 Market development initiatives focus on overcoming the barriers to effective obesity management Increase physician Change of mindset engagement Improve patient access ACTION study Rethink Obesity® platform Treat and Reduce Obesity Ac
Slide 72: Patients with high BMI can benefit from Saxenda
Capital Markets Day 2017 Strengthen leadership in obesity Slide 71 Patients with high BMI and high degree of obesity-related comorbidities can benefit from Saxenda® Number of comorbidities almost three-fold for people with BMI >40 vs normal weight Target population for Saxenda® Average number of obe
Slide 73: US accounts for vast majority of Saxenda sales
Capital Markets Day 2017 Strengthen leadership in obesity Slide 72 The US accounts for vast majority of Saxenda® sales with opportunity for further global penetration Saxenda® launched in 24 countries Countries with highest Saxenda® sales in 20171 DKK Saxenda® value market share million Saxenda® vol
Slide 74: Closing remarks
Capital Markets Day 2017 Strengthen leadership in obesity Slide 73 Closing remarks Ambitious and progressive obesity pipeline to address patient needs Treatment rate is low and an increase requires a change of mindset and physician engagement Saxenda® value market share leadership in key countries
Slide 75: International Operations update
Slide 74 International Operations update Mike Doustdar EVP International Operations YASMIN FIEDLER, Germany Yasmin has type 1 diabetes
Slide 76: Forward-looking statements
Capital Markets Day 2017 International Operations update Slide 75 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
Slide 77: Over 90% of people with diabetes live in International Operations
Capital Markets Day 2017 International Operations update Slide 76 More than 90% of all people with diabetes live in International Operations International Operations consists of five 590 million people in International Operations different regions are expected to have diabetes by 2045 Region AAMEO R
Slide 78: Insulin sales and volume composition across regions
Capital Markets Day 2017 International Operations update Slide 77 The composition of insulin sales and volume differs across the regions within International Operations Insulin sales and volume composition across regions1 New-generation insulin Modern insulin Human insulin 5% 1% 2% 6% 13% 19% 9% 35%
Slide 79: Sales growth in International Operations historically 5-7%
Capital Markets Day 2017 International Operations update Slide 78 Sales growth in International Operations has historically been 5-7%, this year driven by NovoRapid® and Tresiba® Sales growth in IO has been stable around Top five product growth drivers in 2017 in 5-7% despite regional fluctuations1
Slide 80: Outperform competition with broad product portfolio
Capital Markets Day 2017 International Operations update Slide 79 Novo Nordisk aspires to outperform competition with a broad and innovate product portfolio Market access and intensified competition are Market fit and dedicated growth initiatives are the key challenges in International Operations in
Slide 81: Challenges and opportunities in the five regions
Capital Markets Day 2017 International Operations update Slide 80 Examples of challenges and opportunities in each of the five regions within International Operations Region Region Region Region Region Europe Japan & Korea AAMEO China Latin America Challenges Challenges Challenges Challenges Challen
Slide 82: Improving market access for Tresiba in Region Europe
Capital Markets Day 2017 International Operations update Slide 81 Improving market access for Tresiba® remains a key priority in Region Europe Modest market access for Tresiba® in Region EU approval of Tresiba® label update supports Europe despite being launched in 22 countries the ongoing market ac
Slide 83: Strong uptake of Ryzodeg in Japan
Capital Markets Day 2017 International Operations update Slide 82 Strong market uptake of Ryzodeg® in Japan has resulted in improved Novo Nordisk premix volume market share Successful conversion of premix volume from NovoRapid® and NovoMix® will be subject to NovoMix® to Ryzodeg® in Japan statutory
Slide 84: Local investments in Iran overcome market access challenges
Capital Markets Day 2017 International Operations update Slide 83 Local commitment and investments in Iran have enabled Novo Nordisk to overcome market access challenges Sales growth in Iran is predominantly driven Local manufacturing strategically established by NovoMix® and NovoRapid® in Iran to i
Slide 85: Victoza reimbursement in China a growth opportunity
Capital Markets Day 2017 International Operations update Slide 84 The reimbursement of Victoza® in China constitutes a significant growth opportunity National reimbursement for Victoza® obtained GLP-1 only accounts for 1% of the value in the in China in 2017 Chinese diabetes care market GLP-1 value
Slide 86: Saxenda roll-out in Brazil
Capital Markets Day 2017 International Operations update Slide 85 The successful roll-out of Saxenda® in Brazil continues and the value market share is 29% after 15 months The Saxenda® volume sold in Brazil since Dedicated investments in building the obesity launch is similar to the volume sold in t
Slide 87: Closing remarks
Capital Markets Day 2017 International Operations update Slide 86 Closing remarks Sales growth in International Operations has been stable around 5-7% the last five years Improving market access for Tresiba® is a key priority in Region Europe Local investments can enable Novo Nordisk to overcome mar
Slide 88: US update
Slide 87 US update Doug Langa EVP North America Operations and President Novo Nordisk Inc David Moore SVP US Commercial ANTHONY ANDERSON, USA Anthony has type 2 diabetes
Slide 89: Forward-looking statements
Capital Markets Day 2017 US update Slide 88 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 th
Slide 90: US diabetes care market growth driven by novel treatments
Capital Markets Day 2017 US update Slide 89 Growth of US diabetes care market is driven by novel treatment options US diabetes care market is growing modestly GLP-1 is largest contributor to diabetes care despite declining modern insulin sales growth followed by new-generation insulin DPP-IV SGLT-2
Slide 91: Integration, localisation and focus
Capital Markets Day 2017 US update Slide 90 Integration, localisation and focus are key for Novo Nordisk to succeed in the growing diabetes and obesity care market Integrate Localise Focus semaglutide Aligning functions for stronger Tailoring approach to local needs Dedicating resources to commercia
Slide 92: Localised approach to heterogeneous US healthcare system
Capital Markets Day 2017 US update Slide 91 Succeeding in the US market requires a localised approach to serve the needs of a heterogeneous healthcare system Different geographies have distinct local healthcare systems and different approaches must be applied Controlled Developing High payer influen
Slide 93: Localised approach: local leadership discretion
Capital Markets Day 2017 US update Slide 92 Succeeding in the US market requires a localised approach to serve the needs of a heterogeneous healthcare system Local leadership given discretion on how to market brands and invest differentially Boston, Massachusetts – Controlled Birmingham, Alabama – T
Slide 94: Three must-win battles in US
Capital Markets Day 2017 US update Slide 93 Novo Nordisk is focusing on three must-win battles to succeed in the US diabetes and obesity care market Grow volume share Grow value share in the basal insulin market in the GLP-1 market Grow the US obesity market semaglutide
Slide 95: Steady market share gains for Tresiba
Capital Markets Day 2017 US update Slide 94 Steady market share gains for Tresiba® with contract win and increased focus offering opportunity for further growth Basal insulin market share development Actions taken to drive further market share since Tresiba® launch gains for Tresiba® in 2018 Basal T
Slide 96: Tresiba adoption higher among endocrinologists
Capital Markets Day 2017 US update Slide 95 Adoption of Tresiba® higher among endocrinologists as avoiding hypoglycaemia is a key prescription driver Tresiba market share Prescription drivers - ® Focus on importance of development since launch Endocrinologist vs PCP reducing hypo risk is crucial Bas
Slide 97: CV launch in US for Victoza
Capital Markets Day 2017 US update Slide 96 CV launch in the US as Victoza® is now indicated to reduce the risk of major cardiovascular events as the only GLP-1 Campaign linking HbA1c and the life saving Engagement of key stakeholders to drive CV benefit of Victoza® launched increased Victoza® uptak
Slide 98: Increased Victoza NBRx after CV launch
Capital Markets Day 2017 US update Slide 97 Increased Victoza® NBRx after CV launch, while once-weekly growth remains high with large opportunity for semaglutide Growth of once-weekly GLP- Strong Victoza® NBRx growth Further NBRx growth required following label update to defend total market share 1
Slide 99: Semaglutide expected to launch in US in Q1 2018
Capital Markets Day 2017 US update Slide 98 Semaglutide expected to launch in the US in Q1 2018 with promotion intensifying as market access emerges Semaglutide to be launched in the US in the Semaglutide market access expected to first quarter of 2018, pending approval improve gradually similar to
Slide 100: Saxenda growing value share; market development required
Capital Markets Day 2017 US update Slide 99 Saxenda® has rapidly grown value market share, but market development efforts are required to expand the market Despite strong Saxenda® growth, US obesity Novo Nordisk is investing in overcoming the care market remains small at USD ~700 million barriers pr
Slide 101: Closing remarks
Capital Markets Day 2017 US update Slide 100 Closing remarks Integration, localisation and focus are imperative for Novo Nordisk to succeed in the US market Tresiba® growth to be sustained with increased hypoglycaemia focus and dedicated sales force GLP-1 leadership to be maintained with Victoza® CV
Slide 102: Biopharm dynamics
Slide 101 Biopharm dynamics Christian Kanstrup SVP Biopharm operations Mads Krogsgaard Thomsen EVP and Chief Science Officer ADMIRE MUSHURWA, UK Admire has haemophilia A with inhibitors
Slide 103: Forward-looking statements
Capital Markets Day 2017 Biopharm dynamics Slide 102 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 continuat
Slide 104: Biopharm 17% of sales; strategy to return to growth
Capital Markets Day 2017 Biopharm dynamics Slide 103 Biopharm constitutes 17% of Novo Nordisk sales and a strategy has been defined to return to growth NovoSeven® and Norditropin® ‘Return to Growth’ strategy builds on organic, account for 84% of Biopharm sales1 non-organic and organisational initiat
Slide 105: Unique market characteristics across regions
Capital Markets Day 2017 Biopharm dynamics Slide 104 Unique characteristics of individual markets represent different opportunities and challenges Biopharm share of regional sales differs by region Key regional differences Reimbursement 1 Tender vs non-tender market North America and public vs priva
Slide 106: NovoSeven sales exposed to competition
Capital Markets Day 2017 Biopharm dynamics Slide 105 ~50% of historic NovoSeven® sales to be exposed to competition, but opportunities remain in other indications Opportunities and challenges for Estimated NovoSeven® sales by indication1 NovoSeven® franchise CHwI PPx (A&B) CHwI on demand (A&B) Chall
Slide 107: NovoEight volumes continue to grow
Capital Markets Day 2017 Biopharm dynamics Slide 106 NovoEight® volumes continue to grow despite increasing penetration of long-acting FVIII products NovoEight® roll-out continues and the NovoEight® has potential to increase volume number of patients has steadily increased share in select segments a
Slide 108: Refixia/Rebinyn set for launch in EU and US
Capital Markets Day 2017 Biopharm dynamics Slide 107 Strong growth among long-acting haemophilia B products as Refixia®/Rebinyn® is set for launch in the EU and the US Reported recombinant FIX sales Refixia®/Rebinyn® launched in first countries Sales Benefix® Alprolix® Idelvion® • Launched in the fi
Slide 109: Novo Nordisk positioned to lead growth hormone market
Capital Markets Day 2017 Biopharm dynamics Slide 108 Novo Nordisk well-positioned to remain the leader in the DKK 18 billion human growth Norditropin has a broad label covering most ® deficiency market Ease of use and less frequent dosing key to indications in the growth deficiency market drive adhe
Slide 110: Search for bolt-on acquisitions and in-licensing
Capital Markets Day 2017 Biopharm dynamics Slide 109 Continued search for bolt-on acquisitions and in-licensing to support ‘Return to Growth’ strategy Aim to identify bolt-ons and partnerships Bolt-on acquisitions needed to support return to in adjacent areas growth and help build strategic capabili
Slide 111: Biopharm R&D efforts satisfy unmet patient needs
Capital Markets Day 2017 Biopharm dynamics Slide 110 Biopharm R&D efforts reflect Novo Nordisk’s commitment to satisfy unmet patient needs Aim to develop subcutaneous haemophilia products and long-acting growth hormone Novo Nordisk Biopharm portfolio Haemophilia Growth hormone Pursue subcutaneous de
Slide 112: Subcutaneous N8-GP potential for FVIII delivery
Capital Markets Day 2017 Biopharm dynamics Slide 111 Subcutaneous N8-GP holds the potential to become first FVIII replacement product for subcutaneous delivery Human pharmacokinetic model of Phase 1/2 trial with sc N8-GP evaluates subcutaneous N8-GP safety and PK of single and multiple doses FVIII I
Slide 113: Encouraging concizumab phase 1 results
Capital Markets Day 2017 Biopharm dynamics Slide 112 Encouraging concizumab results with positive efficacy trends observed in blinded multiple dose phase 1 trial Thrombin levels appeared exposure dependent in phase 1 trial Safety profile confirmed in phase 1 trial Peak thrombin • Changes in coagulat
Slide 114: Phase 2 trial for concizumab in haemophilia
Capital Markets Day 2017 Biopharm dynamics Slide 113 Ongoing phase 2 proof-of-concept trial for concizumab in haemophilia patients with and without inhibitors explorer 5: Phase 2 haemophilia A trial with concizumab administered sc once-daily Trial objectives and endpoints Bleeding episode Dose escal
Slide 115: Somapacitan phase 3 extension and phase 2 trials
Capital Markets Day 2017 Biopharm dynamics Slide 114 Phase 3 extension trial in adults and phase 2 trial in children for once-weekly somapacitan to conclude in 2018 Somapacitan IGF-1 levels similar to daily Phase 3a AGHD trial succesfully completed, Norditropin® in REAL 1 phase 3 AGHD trial phase 2
Slide 116: Closing remarks
Capital Markets Day 2017 Biopharm dynamics Slide 115 Closing remarks NovoEight®, N8-GP and Refixia®/Rebinyn® sales growth expected to partly offset NovoSeven® sales erosion Subcutaneous N8-GP and concizumab hold potential as a new generation of haemophilia agents Novo Nordisk well-positioned within
Slide 117: Oral semaglutide and production expansion
YASMIN FIEDLER Slide 116 Germany Yasmin has type 1 diabetes Oral semaglutide and production expansion Henrik Wulff EVP Product Supply Peter Kristensen SVP Global Development
Slide 118: Forward-looking statements
Capital Markets Day 2017 Oral semaglutide and production expansion Slide 117 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 Fe
Slide 119: Succeeding with an oral formulation of a protein
Capital Markets Day 2017 Oral semaglutide and production expansion Slide 118 Succeeding with an oral formulation of a protein requires multiple factors to be in place Challenge Solution 1 Need for a capable carrier technology Effective formulation using SNAC carrier created 2 Low absorption of pro
Slide 120: SNAC carrier facilitates semaglutide absorption
Capital Markets Day 2017 Oral semaglutide and production expansion Slide 119 1 SNAC carrier facilitates semaglutide absorption Gastric mucosa Stomach SNAC: Sodium N-[8-(2-hydroxybenzoyl) Amino] Caprylate semaglutide SNAC
Slide 121: Long half-life and molecular stability
Capital Markets Day 2017 Oral semaglutide and production expansion Slide 120 2 Long half-life and molecular stability Lower day-to-day variability at steady state with once-daily semaglutide Semaglutide peptide characteristics Simulated Once-daily semaglutide sc Long half life semaglutide Once-weekl
Slide 122: Simple dosing instructions to avoid food-drug interaction
Capital Markets Day 2017 Oral semaglutide and production expansion Slide 121 3 Simple dosing instructions to avoid food-drug interaction + Wake up and take your tablet Wait at least 30 minutes Have breakfast with half a glass of water before eating or drinking
Slide 123: Global filing of oral semaglutide expected during 2019
Capital Markets Day 2017 Oral semaglutide and production expansion Slide 122 Preparation of global filing of oral semaglutide expected during 2019 pending successful completion of phase 3 trials 2018 2018 2018 2018 2016 2017 Q11 Q21 Q31 Q41 2019 2020+ PIONEER 1: Monotherapy PIONEER 2: vs empaglifloz
Slide 124: Two new facilities for oral semaglutide production
Capital Markets Day 2017 Oral semaglutide and production expansion Slide 123 4 Two new facilities under construction for production of oral semaglutide API production in North Carolina and tablet production in Måløv Production sites Process steps North Carolina, USA Måløv, Denmark • API production f
Slide 125: API the majority of direct production cost
Capital Markets Day 2017 Oral semaglutide and production expansion Slide 124 API constitute the majority of direct production cost for oral semaglutide The unit cost composition differs between Oral semaglutide gross margin expected to be on oral semaglutide and Victoza® par with the current Novo No
Slide 126: Capital expenditure in 2018 broadly unchanged
Capital Markets Day 2017 Oral semaglutide and production expansion Slide 125 Capital expenditure in 2018 expected to be broadly unchanged compared to 2017 level Increased CAPEX level in 2017-2018 reflecting investments in oral semaglutide capacity CAPEX expected to decline after 2018 CAPEX Expected
Slide 127: Closing remarks
Capital Markets Day 2017 Oral semaglutide and production expansion Slide 126 Closing remarks Effective formulation using SNAC carrier Long half-life and molecular stability enabling protein absorption Simple dosing instructions to avoid food-drug interaction USD 2 billion production ramp-up for oral
Slide 128: Region AAMEO and Region China
PIHU KUMARI, India Slide 127 Pihu Kumari has type 1 diabetes Region AAMEO and Region China Mike Doustdar EVP International Operations Camilla Sylvest Former SVP Region China Frederik Kier SVP Region AAMEO
Slide 129: Forward-looking statements
Capital Markets Day 2017 Region China and Region AAMEO Slide 128 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
Slide 130: 471 million people with diabetes expected in AAMEO and China
Capital Markets Day 2017 Region China and Region AAMEO Slide 129 471 million people with diabetes are expected to live in Region AAMEO or Region China by 2045 Number of people with diabetes in Top 10 countries with most people with Region China and Region AAMEO diabetes in 2017 and 2045 Region China
Slide 131: Region China
GUISHAN HAN, China Slide 130 Guishan Han has type 2 diabetes Region China Camilla Sylvest Former SVP Region China
Slide 132: Chinese healthcare reform to increase quality and reduce cost
Capital Markets Day 2017 Region China and Region AAMEO Slide 131 The purpose of the recent Chinese healthcare reform is to increase quality of treatment and reduce cost Access to innovation Cost management Public hospital reform • More frequent updates of • Provincial biddings • Implementation of ti
Slide 133: Committed to solving diabetes challenge in China
Capital Markets Day 2017 Region China and Region AAMEO Slide 132 Novo Nordisk is committed to solve the diabetes challenge in China through better access to care NN supports the aspiration of doubling the total A wide range of initiatives to improve of number of people treated for diabetes in China
Slide 134: Novo Nordisk market leader in China insulin market
Capital Markets Day 2017 Region China and Region AAMEO Slide 133 Novo Nordisk remains the market leader within the growing insulin market in China The insulin market volume growth in China is Novo Nordisk is the overall leader of the insulin driven by modern insulin market in China Insulin market in
Slide 135: Growth outperforms competition in modern insulin segments in China
Capital Markets Day 2017 Region China and Region AAMEO Slide 134 Novo Nordisk current growth outperforms competition in all modern insulin segments in China Modern short-acting Modern long-acting Modern premix insulin growth insulin growth insulin growth Volume growth Novo Nordisk Volume growth Novo
Slide 136: Victoza reimbursement in China a growth opportunity
Capital Markets Day 2017 Region China and Region AAMEO Slide 135 The reimbursement of Victoza® in China constitutes a significant growth opportunity National reimbursement for Victoza® obtained GLP-1 only accounts for 1% of the value in the in China in 2017 diabetes care market in China GLP-1 value
Slide 137: Tresiba approved in China; advancing pipeline
Capital Markets Day 2017 Region China and Region AAMEO Slide 136 Novo Nordisk obtained approval of Tresiba® in China in 2017 and is advancing the pipeline of key products Regulatory approval of Tresiba® obtained Indicative timelines for key products in China in China in 2017 and potential NDRL revie
Slide 138: Region AAMEO
JANE WANJIRA, Kenya Slide 137 Jane has type 2 diabetes Region AAMEO Frederik Kier SVP Region AAMEO
Slide 139: Region AAMEO largest and most diverse region
Capital Markets Day 2017 Region China and Region AAMEO Slide 138 Region AAMEO is the largest and the most diverse region which entails large opportunities and challenges Region AAMEO covers High GDP growth in several Region AAMEO holds +110 countries countries in Region AAMEO significant challenges
Slide 140: Insulin accounts for around 40% of AAMEO diabetes market
Capital Markets Day 2017 Region China and Region AAMEO Slide 139 In Region AAMEO the insulin segment accounts for around 40% of the expanding diabetes care market The diabetes market value Modern insulin accounts for the Novo Nordisk insulin market has grown 10% on average majority of the insulin se
Slide 141: Sales growth in 2017 driven by modern and new-generation insulin
Capital Markets Day 2017 Region China and Region AAMEO Slide 140 Sales growth in 2017 is driven by modern insulin, new- generation insulin and GLP-1 in Region AAMEO Insulin accounts for 73% of sales in 20171 Sales growth in Danish kroner (million)1 New-generation insulin Modern insulin Human insulin
Slide 142: Growth driven by footprint expansion and new-generation insulin
Capital Markets Day 2017 Region China and Region AAMEO Slide 141 Growth in Region AAMEO is driven by footprint expansion and roll-out of new-generation of insulin Investing ahead of the curve in countries with 62 launches of new-generation insulin planned highest growth potential in Region AAMEO tow
Slide 143: Victoza and Saxenda to contribute to future sales growth
Capital Markets Day 2017 Region China and Region AAMEO Slide 142 Victoza® and Saxenda® are expected to contribute significantly to future sales growth Victoza® constitutes a significant growth Focus on establishing the obesity market opportunity in Region AAMEO with Saxenda® Market opportunity Unmet
Slide 144: Closing remarks
Capital Markets Day 2017 Region China and Region AAMEO Slide 143 Closing remarks Novo Nordisk growth exceeds competition in all modern insulin segments in China Reimbursement of Victoza® in China constitutes a significant growth opportunity Region AAMEO growth is driven by footprint expansion and ro
Slide 145: Financial update and closing remarks
Slide 144 Financial update and closing remarks Jesper Brandgaard EVP and CFO RAFAEL DE JESÚS FLORES, Mexico Rafael has haemophilia A
Slide 146: Forward-looking statements
Capital Markets Day 2017 Financial update and closing remarks Slide 145 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 Februar
Slide 147: Plans to drive sales growth in diabetes and obesity care
Capital Markets Day 2017 Financial update and closing remarks Slide 146 Ambitious plans in place to drive sales growth within diabetes and obesity care Drive insulin value and volume market share Win with GLP-1 Build the global obesity market
Slide 148: Operating margin expected largely unchanged
Capital Markets Day 2017 Financial update and closing remarks Slide 147 Operating margin expected to be largely unchanged due to lower gross margin offset by prudent cost management Sales & Distribution costs and Gross margin administration costs Research & Development costs • Gross margin expected
Slide 149: Long-term financial targets
Capital Markets Day 2017 Financial update and closing remarks Slide 148 Long-term financial targets support focus on profitable growth, capital allocation and cash conversion Operating profit after tax to Cash to earnings Operating profit growth net operating assets (three-year average) Current long
Slide 150: Return of free cash flow via dividends and buybacks
Capital Markets Day 2017 Financial update and closing remarks Slide 149 Continued return of free cash flow through twice yearly dividends and share repurchase programmes Increased CAPEX level in 2017-2018 reflecting Organic growth enables steady cash return investments in oral semaglutide capacity v
Slide 151: High ambitions for the coming years
Capital Markets Day 2017 Financial update and closing remarks Slide 150 We have high ambitions for the coming years Strategic priorities R&D ambitions Commercial ambitions Obtain approval of semaglutide World class launch of Ozempic® Obtain approval of SWITCH/DEVOTE in the US Continue global roll-ou
Slide 152: Closing remarks
Capital Markets Day 2017 Financial update and closing remarks Slide 151 Closing remarks Maintain global leadership within insulin and expand leadership within GLP-1 Expand leadership within obesity and return to growth in Biopharm Solid platform for growth to deliver on long-term financial targets a