Novo Nordisk A/s Class B · OMXCOP:NOVO_B
Novo Nordisk A/s Class B — H1 2006 Earnings Presentation
19 slides from Novo Nordisk A/s Class B's earnings presentation, Aug 2, 2006
Slide 1: A focused healthcare company
DR A FT A focused A focused healthcare health company care company First six months of 2006 conference call 2 August 2006, 13.00 CET, 12.00 UK time, 7.00 New York time
Slide 2: Agenda
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 2006 (Jesper Brandgaard, CFO) • Questions & answers 1
Slide 3: Forward-looking statements
Forward-looking statements This presentation contains forward-looking statements as the term is defined in the US Private Securities Litigation Reform Act of 1995. Forward-looking statements provide our expectations or forecasts of future events such as new product introductions, product approvals a
Slide 4: Highlights from first six months of 2006
Highlights from first six months of 2006 Market development: • Sales growth driven by insulin analogues: +59% as reported • NovoSeven® growth continues: +19% as reported • Norditropin® SimpleXx® shows strong performance: +22% as reported Research and development: • Liraglutide phase 2 dose-finding t
Slide 5: Key products continue to drive growth
Key products continue to drive growth – first six months of 2006 Sales as reported Growth analysis Other 5% Local currencies Growth Share of Norditropin® SimpleXx ® growth +22% 5% 9% Diabetes care Insulin analogues 56% 65% +21% Human insulin and 2% 5% NovoSeven® 15% insulin-related sales +19% OAD 21
Slide 6: Insulin analogues sales - solid analogue growth continues
Insulin analogues sales - solid analogue growth continues Analogue sales development Analogue sales as reported Levemir® DKK 0.6bn +58% +258% NovoRapid® 2,800 DKK 2.6bn NovoMix® 12% +43% 2,400 DKK 1.8bn +56% DKK million 2,000 36% 52% 1,600 1,200 800 400 0 Q1 Q2 Sales of DKK 5.0 billion 2002 2006 (+5
Slide 7: A continued increase in analogue market share
A continued increase in analogue market share Novo Nordisk’s analogue Analogue penetration market share 40% 38% 35% 30% Analogues 46% 25% 7% 20% 15% Human insulin 10% 5% 0% Q1 Q1 Q1 Q1 2000 2006 2000 2006 Note: Quarterly data, volume figures Source: IMS/BW 6
Slide 8: … driven by both NovoRapid and NovoMix
… driven by both NovoRapid® and NovoMix® NovoRapid® share of NovoMix® share of short-acting analogues premixed analogues 70% 70% 64% 60% 60% 51% 50% 50% 40% 40% 30% 30% 20% 20% 10% 10% 0% 0% Q1 Q1 Q1 Q1 2002 2006 2002 2006 Note: Quarterly data, volume figures Source: IMS/BW 7
Slide 9: Levemir reinforces European analogue market leadership
Levemir® reinforces European analogue market leadership Share of total analogues Novo Nordisk’s share of long- in Europe acting analogues in Europe 22% 20% 60% Novo Nordisk 20% Eli Lilly 18% 50% Sanofi-Aventis 16% 40% 14% 12% 30% 10% 8% 20% 6% 10% 4% 2% 0% 0% Q1 Q1 March May 2003 2006 2004 2006 Note
Slide 10: NovoSeven - growth continues
NovoSeven® - growth continues NovoSeven® sales development Key observations • Growth in the second quarter of 1,600 +21% 21% as reported, 20% in local currencies 1,400 1,200 • Europe and International DKK million Operations the main growth 1,000 drivers 800 • Growth driven by the congenital 600 haem
Slide 11: Norditropin SimpleXx - growth continues
Norditropin® SimpleXx® - growth continues Norditropin® SimpleXx® sales development Key observations +25% • Growth in the second quarter of 900 25% as reported, 26% in local 800 currencies 700 • Solid growth in North America, DKK million 600 Europe and International 500 Operations 400 • Continued suc
Slide 12: Sales by region
Sales by region - first six months of 2006 Sales as reported Growth analysis Japan & Oceania 0% Europe Local Growth Share of +12% currencies growth 12% International Europe 11% 27% Operations North America 24% 39% +41% 19% 38% International 34% 31% Operations Japan & Oceania 3% 3% 31% North America
Slide 13: North America - continued solid growth driven by insulin analogues
North America - continued solid growth driven by insulin analogues North America sales development Key observations Index local currencies • Strong growth in the second 350 quarter of 30% as reported, % 28% in local currencies 300 : 30 GR • Growth driven by insulin CA 250 analogues through market 20
Slide 14: R&D portfolio - diabetes care
R&D portfolio - diabetes care Compound Type Indication Phase Levemir® Insulin analogue Types 1+2 Launched in the US, Europe, etc. Filed in JP NovoMix® 50 and 70 Insulin analogue Types 1+2 Approved in Europe Phase 3 in the US Liraglutide (NN2211) GLP-1 analogue Type 2 Phase 3 AERx® iDMS (NN1998) Inha
Slide 15: R&D portfolio - biopharmaceuticals
R&D portfolio - biopharmaceuticals Compound Indication Phase NovoSeven® Acquired haemophilia Filed* NovoSeven® Trauma Phase 3 NovoSeven® Intracerebral haemorrhage Phase 3 NovoSeven® Spinal surgery (dose escalation) Phase 2 completed** NovoSeven® Traumatic brain injury (dose escalation) Phase 2 compl
Slide 16: Financial results
Financial results DKK million H1 2006 H1 2005 % change Sales 18,673 15,541 20 Gross profit 14,006 11,246 25 Sales and distribution costs 5,578 4,406 27 Research and development costs 2,917 2,303 27 Administrative expenses 1,137 953 19 Operating profit 4,509 3,853 17 Net financials (289) 278 NA Net p
Slide 17: Currency exposure
Currency exposure 9.00 Effect of 5% depreciation on 8.50 full-year operating profit in 2006* 8.00 avg = 7.88 (DKK million) USD -350 7.50 USD JPY -150 avg = 6.59 GBP -90 7.00 USD rel** -100 avg = 6.30 6.50 avg = 5.99 avg = 6.00 avg = 6.08 * Currency hedging income is recorded as financial avg = 5.68
Slide 18: Outlook 2006
Outlook 2006 • Sales growth expectations: Key currency rates • increased to 13−15% as reported DKK 2005 2006 Current • Operating profit growth expectations: per 100 avg ytd avg rate* • increased to around 13% as reported USD 600 605 589 JPY 5.45 5.23 5.09 • increased to around 15% excluding currency
Slide 19: Investor information
Investor information Share information Investor Relations contacts Novo Nordisk A/S Novo Nordisk’s B shares are Investor Relations Novo Allé, DK-2880 Bagsværd listed on the stock exchanges in Fax (+45) 4443 6633 Copenhagen and London. Its Mogens Thorsager Jensen Tel: (+45) 4442 7945 ADRs are listed