Novo Nordisk A/s Class B · OMXCOP:NOVO_B
Novo Nordisk A/s Class B — Shareholder Meeting (March 2023)
55 slides from Novo Nordisk A/s Class B's shareholder meeting presentation, Mar 23, 2023
Slide 1: Novo Nordisk A/S Annual General Meeting
Novo Nordisk A/S Annual General Meeting 23 March 2023 Erik Hageman (on the right) is one of Denmark’s longest-living people with type 1 diabetes, pictured here with his son Lars, who also has type 1 diabetes, and his grandchildren (from the left) Clara, Emilie and Holger.
Slide 2: novo nordisk
O oe novo nordisk
Slide 3: Board of Directors
Novo Nordisk® Board of Directors Helge Lund Henrik Poulsen Jeppe Christiansen Laurence Debroux Andreas Fibig Sylvie Grégoire Kasim Kutay Martin Mackay Christina Law Elisabeth Dahl Christensen Liselotte Hyveled Thomas Rantzau Mette Bøjer Jensen
Slide 4: Executive Management
Novo Nordisk® Executive Management Lars Fruergaard Jørgensen President and chief executive officer (CEO) International Rare Disease Finance, Legal & North America Development Corporate People & Research & Commercial Strategy Product Supply, Operations Procurement Operations Development Organisation
Slide 5: Anders Dons, Deloitte
Novo Nordisk® Anders Dons Deloitte
Slide 6: Klaus Søgaard and Louise Korpela, Gorrissen Federspiel
Novo Nordisk® Klaus Søgaard and Louise Korpela Gorrissen Federspiel
Slide 7: Agenda
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 2022 3. Resolution to distribute the profit according to the adopted Annual Report 2022 Agenda Agenda 4. Presentation of and advisory
Slide 8: Shareholders participating in person: how to log in using the QR code
Novo Nordisk® Shareholders participating in person l How to log in using the QR code Log in to the meeting 1. Scan the QR code with the camera on your mobile phone or the provided device to log in into the meeting. Please note that the QR code is personal. Connect to Wi-Fi To connect to the Wi-Fi ne
Slide 9: Shareholders participating in person: how to vote
Novo Nordisk® Shareholders participating in person l How to vote 1. When voting motions are put forward, the motion will automatically appear on your screen. 3. Your vote has been 2. To vote, simply select cast when the green your voting direction check mark appears. from the options shown on screen
Slide 10: Shareholders participating virtually: how to submit a question via Q&A
Novo Nordisk® Shareholders participating virtually l How to submit a question via Q&A 1. Click on the Q&A icon. 2. Type your question and press ‘Send’.
Slide 11: Shareholders participating virtually: how to vote (part 1)
Novo Nordisk® Shareholders participating virtually l How to vote (part 1) 1. When voting motions are put forward, a bar with a link to the voting tab will automatically appear on your screen. Click on the link or on the “Vote” icon. 2. To vote, simply select your voting direction from the options sh
Slide 12: Shareholders participating virtually: how to vote (part 2)
Novo Nordisk® Shareholders participating virtually l How to vote (part 2) 3. Your vote has been cast when the green check mark appears. You can change your vote as long as the vote is open by clicking ‘Click here to change your vote’.
Slide 13: Agenda
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 2022 3. Resolution to distribute the profit according to the adopted Annual Report 2022 Agenda Agenda 4. Presentation of and advisory
Slide 14: Agenda
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 2022 3. Resolution to distribute the profit according to the adopted Annual Report 2022 Agenda Agenda 4. Presentation of and advisory
Slide 15: novo nordisk
O oe novo nordisk
Slide 16: Strategic aspirations 2025
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 sustainability • Being respected for adding value
Slide 17: Strategic aspirations 2025 - highlights for full year 2022: sustainability
Novo Nordisk® Strategic aspirations 2025 - highlights for full year 2022 Progress towards zero environmental impact: • Carbon emissions decreased by 29% vs 20191 Adding value to society: • Medical treatment provided to 36.3 million people living with diabetes • Reaching more than 41,000 children in
Slide 18: Strategic aspirations 2025 - highlights: Innovation and therapeutic focus
Novo Nordisk® Strategic aspirations 2025 - highlights for full year 2022 Further raise innovation bar for Diabetes treatment: • Approval of Ozempic® 2.0 mg in the US • Completion of phase 3a trials with once-weekly insulin icodec • Completion of phase 2 trial with CagriSema in T2D Develop superior t
Slide 19: Strategic aspirations 2025 - highlights: Commercial execution
Novo Nordisk® Strategic aspirations 2025 - highlights for full year 2022 Strengthen diabetes leadership to more than one-third: • Diabetes value market share increased by 1.8 percentage points to 31.9% (MAT1) More than DKK 25 billion in Obesity care sales by 2025: • Obesity care sales increased by 8
Slide 20: Strategic aspirations 2025 - highlights: Financials
Novo Nordisk® Strategic aspirations 2025 - highlights for full year 2022 Sales growth of 16% (CER) and Operating profit growth of 15% (CER) • Sales in International Operations grew by 13% (CER) • Sales in the US grew by 19% (CER) with 73% of sales coming from products launched since 2015 Gross margi
Slide 21: Sales growth of 16% driven by GLP-1 based treatments in diabetes and obesity
Novo Nordisk® Sales growth of 16% driven by GLP-1 based treatments in diabetes and obesity Reported therapy area sales and growth for 2022 DKK Billion 250 16% 42% -11% 84% 1% 200 150 100 50 0 Total1 GLP-1 diabetes Insulin Obesity care Rare disease International Operations North America Operations Gr
Slide 22: Obesity care sales grew by 84% in 2022 driven by US and IO
Novo Nordisk® Obesity care sales grew by 84% in 2022 driven by US and IO NN sales and value market share Branded AOM TRx in the US within Obesity care DKK billion TRx count (‘000s) 6 3%1 55%1 84%1 100% 120 87% 101 5 100 70% 4 80 76 3 40% 60 2 40 10% 1 17 20 0 -20% 0 2020 2021 2022 June Mar 2021 2023
Slide 23: Key R&D milestones expected for 2023
Novo Nordisk® Key R&D milestones expected for 2023 Regulatory submission of insulin icodec Phase 3 results for oral semaglutide (25/50mg) Diabetes care Phase 2 results for FDC semaglutide/GIP OW Phase 3a initiation for cagrisema T2D Phase 4 results for Wegovy® (HFpEF) Phase 3b initiation for semaglu
Slide 24: Step-up in CAPEX to meet demand for current and future products
Novo Nordisk® Step-up in CAPEX to meet demand for current and future products DKK billion Investments in the future 30 ~25 24 9% 7% 7% 7% 18 5% 4% 12 12 10 9 8 6 6 Construction of new production facility in Kalundborg 6 0 2017 2018 2019 2020 2021 2022 2023E CAPEX Expected CAPEX CAPEX to sales ratio
Slide 25: Strategic aspirations 2025
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 sustainability • Being respected for adding value
Slide 26: novo nordisk
O oe novo nordisk
Slide 27: Consolidated income statement
Novo Nordisk® Agenda item 2 | Consolidated income statement In DKK million 2022 2021 Change Sales 176,954 140,800 26% Cost of goods sold (28,448) (23,658) 20% Sales and distribution costs (46,217) (37,008) 25% Research and development costs (24,047) (17,772) 35% Administration costs (4,467) (4,050)
Slide 28: Consolidated balance sheet per 31 December
Novo Nordisk® Agenda item 2 | Consolidated balance sheet per 31 December 2022 Assets Equity and liabilities (DKK million) 2022 2021 (DKK million) 2022 2021 Non-current assets 133,063 108,913 Equity 83,486 70,746 Inventories, trade receivables and other 95,541 74,875 Non-current liabilities 36,831 24
Slide 29: Financial outlook for 2023
Novo Nordisk® Agenda item 2|Financial outlook for 2023 Expectations 1 February 2023 Sales growth – at CER 13% to 19% Sales growth - reported Around 4 percentage points lower Operating profit growth – at CER 13% to 19% Operating profit growth - reported Around 5 percentage points lower Financial item
Slide 30: Resolution to distribute the profit according to the adopted Annual Report 2022
Novo Nordisk® Agenda item 3|Resolution to distribute the profit according to the adopted Annual Report 2022 DKK million 2022 Net profit in the parent company, Novo Nordisk A/S 55,338 Proposed appropriation Interim dividend for the year – DKK 4.25 paid in August 2022 9,613 Proposed final dividend – D
Slide 31: novo nordisk
O oe novo nordisk
Slide 32: Presentation and advisory vote on the Remuneration Report 2022
Novo Nordisk® Agenda item 4|Presentation and advisory vote on the Remuneration Report 2022 Remuneration Policy Remuneration Report CEO remuneration 2022 2022 for 2022 Note regarding the CEO remuneration for 2022: The graph does not reflect the potential adjustment after three-years vesting. STI: Sho
Slide 33: The incentive programmes are supporting the Strategic Aspirations 2025
Novo Nordisk® Agenda item 4| The incentive programmes are supporting the Strategic Aspirations 2025 Short-term incentive programme 2022 2022 Long-term incentive programme 2022 2022 2023 2024 2025 2026
Slide 34: Approval of the remuneration of the Board of Directors for 2022
Novo Nordisk® Agenda item 5.1|Approval of the remuneration of the Board of Directors for 2022 Audit Nomination Remuneration R&D Board Committee Committee Committee Committee Multiplier DKK Multiplier DKK Multiplier DKK Multiplier DKK Multiplier DKK Chair 3.00 2,265,000 1.00 755,000 0.50 377,500 0.50
Slide 35: Approval of the remuneration level of the Board of Directors for 2023
Novo Nordisk® Agenda item 5.2|Approval of the remuneration level of the Board of Directors for 2023 Audit Nomination Remuneration R&D Board Committee Committee Committee Committee Multiplier DKK Multiplier DKK Multiplier DKK Multiplier DKK Multiplier DKK Chair 4.00 3,136,000 1.00 784,000 0.50 392,00
Slide 36: Amendment to the Remuneration policy
Novo Nordisk® Agenda item 5.3|Amendment to the Remuneration policy Background • Change conducted as a consequence of the adoption of the proposal under item 5.2, i.e. to increase the fee of the chair to 4 times the base fee Proposal • The Board of Directors proposes, as the only amendment, to reflec
Slide 37: novo nordisk
O oe novo nordisk
Slide 38: Agenda
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 2022 3. Resolution to distribute the profit according to the adopted Annual Report 2022 Agenda Agenda 4. Presentation of and advisory
Slide 39: Election of members to the Board of Directors
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 Board of Directors
Slide 40: novo nordisk
O oe novo nordisk
Slide 41: Election of chair
Novo Nordisk® Agenda item 6.1| Election of chair Helge Lund Chair
Slide 42: Election of vice chair
Novo Nordisk® Agenda item 6.2| Election of vice chair Henrik Poulsen Vice chair
Slide 43: Election of other members to the Board of Directors
Novo Nordisk® Agenda item 6.3| Election of other members to the Board of Directors Laurence Debroux Andreas Fibig Sylvie Grégoire Kasim Kutay Christina Law Martin Mackay
Slide 44: Employee-elected members of the Board of Directors
Novo Nordisk® Employee-elected members of the Board of Directors Elisabeth Dahl Christensen* Liselotte Hyveled* Mette Bøjer Jensen* Thomas Rantzau* Note: * marks the employee-elected members of the Board of Directors
Slide 45: Appointment of auditor
Novo Nordisk® Agenda item 7|Appointment of auditor Re-appointment of Deloitte Statsautoriseret Revisionspartnerselskab as auditor
Slide 46: novo nordisk
O oe novo nordisk
Slide 47: Agenda
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 2022 3. Resolution to distribute the profit according to the adopted Annual Report 2022 Agenda Agenda 4. Presentation of and advisory
Slide 48: Proposals from the Board of Directors and/or shareholders
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 own shares • Item 8.3 Authorisation to t
Slide 49: Reduction of the Company's B share capital
Novo Nordisk® Agenda item 8.1|Reduction of the Company’s B share capital Proposal • Reduction of the Company’s B share capital from DKK 348,512,800 to 343,512,800 by cancellation of part of the Company’s own holding of B shares at a nominal value of DKK 5,000,000 divided into 25,000,000 B shares of
Slide 50: Authorisation to the Board of Directors to repurchase own shares
Novo Nordisk® Agenda item 8.2|Authorisation to the Board of Directors to repurchase own shares Proposal • Authorisation of the Board of Directors, until the Annual General Meeting in 2024, to allow the Company to repurchase own shares of up to 10% of the share capital, subject to a holding limit of
Slide 51: Authorisation to the Board of Directors to increase the share capital
Novo Nordisk® Agenda item 8.3|Authorisation to the Board of Directors to increase the share capital Proposal • Extend the Board of Directors' authorisations of issuing new shares with or without pre- emptive rights for existing shareholders by one year until 25 March 2025 and to limit the maximum sh
Slide 52: Shareholder proposal on product pricing
Novo Nordisk® Agenda item 8.4|Shareholder proposal on product pricing Shareholder proposal from Kritiske Aktionærer • The shareholder proposes that Novo Nordisk Novo Nordisk must reduce the prices of vital medicines, so that the profit (operating profit) is aimed at being reduced by DKK 25 billion.
Slide 53: novo nordisk
O oe novo nordisk
Slide 54: Any other business
Novo Nordisk® Agenda item 9|Any other business
Slide 55: novo nordisk
O oe novo nordisk