Novo Nordisk A/s Class B · OMXCOP:NOVO_B
Novo Nordisk A/s Class B — H1 2008 Earnings Presentation
20 slides from Novo Nordisk A/s Class B's earnings presentation, Aug 7, 2008
Slide 1: A focused healthcare company
Conference call 7 August 2008 A focused healthcare company First six months of 2008 conference call 7 August 2008, 13.00 CET, 12.00 UK time, 7.00 New York time
Slide 2: Agenda
Conference call 7 August 2008 First six months of 2008 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) • Q
Slide 3: Forward-looking statements
Conference call 7 August 2008 First six months of 2008 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 filed with the SEC in
Slide 4: Highlights
Conference call 7 August 2008 First six months of 2008 Slide no 3 Highlights Sales development: • Sales of modern insulins increased by 30% (21% as reported) • Sales of NovoSeven® increased by 14% (6% as reported) • Sales of Norditropin® increased by 15% (9% as reported) • Sales in North America inc
Slide 5: Key products continue to drive growth
Conference call 7 August 2008 First six months of 2008 Slide no 4 Key products continue to drive growth – first six months of 2008 Sales as reported Growth analysis HRT Norditropin -5% ® Local currencies Growth Share of +9% 4% growth 9% Modern insulins 30% 71% Diabetes care NovoSeven® +7% Human insu
Slide 6: Modern insulins exhibit steady penetration
Conference call 7 August 2008 First six months of 2008 Slide no 5 Modern insulins exhibit steady penetration World market share of total segment Modern insulin sales as reported 50% Levemir® NovoRapid® DKK 1.7bn NovoRapid® NovoMix®30 +61% DKK 3.6bn 40% Levemir® +12% 22% 30% 45% NovoMix® 20% DKK 2.6b
Slide 7: A continued increase in modern insulin market share
Conference call 7 August 2008 First six months of 2008 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% Sanofi-Aventis Eli Lilly 55% 50% 24% Modern insulin 40% 30% 20% Human insulin 10% 0% Q1
Slide 8: NovoSeven sales development
Conference call 7 August 2008 First six months of 2008 Slide no 7 NovoSeven® NovoSeven® sales development Key observations • Growth in the first six months of % : 11 2008 of 14% in local currencies 1,600 GR A C and 6% as reported 1,400 1,200 • North American and International DKK million Operations
Slide 9: Norditropin sales development
Conference call 7 August 2008 First six months of 2008 Slide no 8 Norditropin® Norditropin® sales development Key observations • Growth in the first six months of % 2008 of 15% in local currencies 1,000 13 A GR : and 9% as reported 900 C 800 • North America main contributor to growth with more than
Slide 10: Sales by region
Conference call 7 August 2008 First six months of 2008 Slide no 9 Sales by region - first six months of 2008 Sales as reported Growth analysis Japan & Oceania +2% Europe Local Growth Share of +6% currencies growth 10% International Europe 7% 21% Operations North America 19% 46% +14% 19% 39% Internat
Slide 11: Levemir reinforces modern insulin market leadership in Europe…
Conference call 7 August 2008 First six months of 2008 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%
Slide 12: … and total market leadership in the US
Conference call 7 August 2008 First six months of 2008 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
Slide 13: Development portfolio – diabetes and obesity
Conference call 7 August 2008 First six months of 2008 Slide no 12 Development portfolio – diabetes and obesity 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 PrandiMetTM OA
Slide 14: Development portfolio – haemostasis
Conference call 7 August 2008 First six months of 2008 Slide no 13 Development portfolio – haemostasis Compound Indication Phase NovoSeven® Room-temperature stable formulation Approved in US and EU NN1731 Fast-acting factor VIIa analogue Phase 2 NN71281 Long-acting factor VIIa analogue Phase 1 rFVII
Slide 15: Development portfolio - other biopharmaceuticals
Conference call 7 August 2008 First six months of 2008 Slide no 14 Development portfolio - other biopharmaceuticals Compound Indication Phase Activelle® Low Dose Hormone replacement therapy Launched in the US, Positive CHMP opinion Vagifem® Low Dose Hormone replacement therapy Filed in the US, phase
Slide 16: Financial results
Conference call 7 August 2008 First six months of 2008 Slide no 15 Financial results DKK million 6M 2008 6M 2007 % change Sales 21,724 20,381 7 Gross profit 16,757 15,703 7 Gross margin 77.1% 77.0% Sales and distribution costs 6,153 6,158 0 Percent of sales 28.3% 30.2% Research and development costs
Slide 17: Currency development
Conference call 7 August 2008 First six months of 2008 Slide no 16 Currency development Spot rates Quarterly average Annual average 650 650 Annual impact on operating USD/DKK 600 600 profit of a 5% movement in currency (DKK million) 550 550 2008 USD 470 500 500 USD-related 100 JPY 140 450 450 GBP 85
Slide 18: Outlook 2008
Conference call 7 August 2008 First six months of 2008 Slide no 17 Outlook 2008 • Sales growth expectations: Key currency rates • Between 11-13% in local currencies DKK 2007 2008 Current per 100 average average* rate* • Around 6 %-points negative currency impact USD 545 485 479 • Operating profit gr
Slide 19: Cash returned to shareholders
Conference call 7 August 2008 First six months of 2008 Slide no 18 Cash returned to shareholders Dividend and payout ratio Share repurchase programme 35% 5.0 35 5 5 4.8 4.7 Dividend per share, DKK 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
Slide 20: Investor information
Conference call 7 August 2008 First six months of 2008 Slide no 19 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 liste