Novo Nordisk A/s Class B · OMXCOP:NOVO_B
Novo Nordisk A/s Class B — FY2007 Earnings Presentation
21 slides from Novo Nordisk A/s Class B's earnings presentation, Jan 31, 2008
Slide 1: A focused healthcare company
Conference call 31 January 2008 A focused healthcare company Full year 2007 conference call 31 January 2008, 13.00 CET, 12.00 UK time, 7.00 New York time
Slide 2: Agenda
Conference call 31 January 2008 Full year 2007 Slide no 1 Agenda • Introduction (Lars Rebien Sørensen, CEO) • Sales update (Lars Rebien Sørensen, CEO) • Pipeline update (Mads Krogsgaard Thomsen, CSO) • Financial results (Jesper Brandgaard, CFO) • Outlook for 2008 (Jesper Brandgaard, CFO) • Questions
Slide 3: Forward-looking statements
Conference call 31 January 2008 Full year 2007 Slide no 2 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 2007 and Form 20-F both expected to be filed with the
Slide 4: Highlights
Conference call 31 January 2008 Full year 2007 Slide no 3 Highlights Market performance • Sales growth driven by modern insulins: +35% in local currencies • NovoSeven® growth continued: +10% in local currencies • Norditropin® increased : +11% in local currencies Research and Development performance
Slide 5: Key products continue to drive growth
Conference call 31 January 2008 Full year 2007 Slide no 4 Key products continue to drive growth – full year 2007 Sales as reported Growth analysis HRT Norditropin® +4% Local currencies Growth Share of +6% 4% growth 8% Modern insulins 35% 76% Diabetes care NovoSeven® +9% Human insulins -3% -8% +4% 14
Slide 6: Modern insulins
Conference call 31 January 2008 Full year 2007 Slide no 5 Modern insulins World market share of total segment Modern insulin sales as reported 50% Levemir® NovoRapid® DKK 2.6bn NovoRapid® NovoMix® +84% DKK 6.7bn 40% Levemir® 18% +20% 30% NovoMix® DKK 4.7bn 34% 48% +24% 20% 10% 0% November November S
Slide 7: A continued increase in modern insulin market share
Conference call 31 January 2008 Full year 2007 Slide no 6 A continued increase in modern insulin market share IMS world modern insulin Modern insulin penetration market shares, volume 70% Novo Nordisk 60% Eli Lilly Sanofi-Aventis 52% 50% 21% Modern insulin 40% 30% Human insulin 20% 10% 0% Q3 Q3 Q3 Q
Slide 8: NovoSeven sales development
Conference call 31 January 2008 Full year 2007 Slide no 7 NovoSeven® NovoSeven® sales development Key observations for 2007 • Growth in 2007 of 10% in local 1.600 currencies and 4% as reported % : 11 1.400 CA GR • North American sales main 1.200 contributor to growth DKK million 1.000 • Spontaneous
Slide 9: Norditropin sales development
Conference call 31 January 2008 Full year 2007 Slide no 8 Norditropin® Norditropin® sales development Key observations for 2007 • Growth in 2007 of 11% in local currencies and 6% as reported 1.000 900 11 % • North American sales main : A GR contributor to growth 800 C DKK million 700 • US approval f
Slide 10: Sales by region
Conference call 31 January 2008 Full year 2007 Slide no 9 Sales by region - full year 2007 Sales as reported Growth analysis Japan & Oceania -5% Europe Local Growth Share of +7% currencies growth 11% International Europe 7% 21% Operations North America 22% 53% +12% 17% 39% International 18% 23% Oper
Slide 11: Levemir reinforces modern insulin market leadership in Europe…
Conference call 31 January 2008 Full year 2007 Slide no 10 Levemir® reinforces modern insulin market leadership in Europe… Share of total modern insulin Novo Nordisk’s share of long- sales in Europe acting modern insulin in Europe 30% 80% Novo Nordisk Eli Lilly 70% Sanofi-Aventis 25% 60% 20% 50% 40%
Slide 12: … and total market leadership in the US
Conference call 31 January 2008 Full year 2007 Slide no 11 … and total market leadership in the US US total insulin market Novo Nordisk’s share of long- share development acting modern insulin in the US 80% 10% 70% Novo Nordisk 9% Eli Lilly 60% Sanofi-Aventis 8% 7% 50% 6% 40% 5% 30% 4% 3% 20% 2% 10%
Slide 13: Development portfolio – diabetes
Conference call 31 January 2008 Full year 2007 Slide no 12 Development portfolio – diabetes Compound Type Indication Phase NovoMix® 50 Modern insulin Type 1+2 Launched in Europe, filed in the US NovoMix® 70 Modern insulin Type 1+2 Launched in Europe, filed in Japan Liraglutide Once-daily GLP-1 analo
Slide 14: Encouraging results from Japanese phase 3 studies - expected filing Q3 2008
Conference call 31 January 2008 Full year 2007 Slide no 13 Encouraging results from Japanese phase 3 studies - expected filing Q3 2008 Monotherapy Combination with SU • Study design • Study design • 24-week study with 411 • 24-week study with 267 Japanese type 2 patients Japanese type 2 patients • H
Slide 15: Development portfolio – haemostasis
Conference call 31 January 2008 Full year 2007 Slide no 14 Development portfolio – haemostasis Compound Indication Phase NovoSeven® Heat-stable formulation Filed NovoSeven® Trauma Phase 3 NovoSeven® Spinal surgery (dose escalation) Phase 2 completed NovoSeven® Cardiac surgery (dose escalation) Phase
Slide 16: Development portfolio - other biopharmaceuticals
Conference call 31 January 2008 Full year 2007 Slide no 15 Development portfolio - other biopharmaceuticals Compound Indication Phase Activelle® Low Dose Hormone replacement therapy Launched in the US, filed in Europe1 Vagifem® Low Dose Hormone replacement therapy Filed in the US, phase 3 in Europe
Slide 17: Financial results
Conference call 31 January 2008 Full year 2007 Slide no 16 Financial results DKK million 2007 2006 % change Sales 41,831 38,743 8 Gross profit 32,038 29,158 10 Gross margin 76.6% 75.3% Sales and distribution costs 12,371 11,608 7 Percent of sales 29.6% 30.0% Research and development costs 8,538 6,31
Slide 18: Currency development and hedging gains from USD
Conference call 31 January 2008 Full year 2007 Slide no 17 Currency development and hedging gains from USD Annual impact on operating Spot rates profit of a 5% movement in currency (DKK million) Quarterly hedging gains or losses 2008 660 300 USD 470 250 630 USD-related 100 200 JPY 140 600 150 USD/DK
Slide 19: Outlook 2008
Conference call 31 January 2008 Full year 2007 Slide no 18 Outlook 2008 • Sales growth expectations: Key currency rates DKK 2006 2007 Current • Slightly more than 10% in local currencies per 100 average average rate* • Around 3.5 percentage points lower as reported USD 595 545 505 JPY 5.11 4.62 4.73
Slide 20: Cash returned to shareholders
Conference call 31 January 2008 Full year 2007 Slide no 19 Cash returned to shareholders Dividend and payout ratio Share repurchase programme 35% 35 5 5 4.8 4.5 Dividend per share, DKK 4.2 4.5 33 4 4 Payout ratio, % DKK billion 3.0 31 3 3 29 2 2 Payout ratio 27 Dividend per share 1 1 25 0 0 2003 200
Slide 21: Investor information
Conference call 31 January 2008 Full year 2007 Slide no 20 Investor information Share information Investor Relations Novo Nordisk’s B shares are listed contacts on the stock exchanges in Novo Nordisk A/S Investor Relations Copenhagen and London. Its ADRs Novo Allé, DK-2880 Bagsværd are listed on the