Annual Report
2025
Management review
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Lundbeck Foundation Annual Report 2025 Page 2
In Brief
At a glance 3
Letter from the Chair and the CEO 5
Financial highlights 7
Five-year summary 8
Strategy
The 2030 strategy: ‘Bringing Discoveries to Lives’ 9
Our business model 12
Partner to Society
Grants & Prizes 13
Lundbeck Foundation Parkinson’s Disease
Research Centre (PACE) 17
Research Centre in Clinical Psychiatry 18
Active public voice 19
Strategic ownerships
The portfolio of strategic ownerships 20
H. Lundbeck A/S 21
ALK-Abelló A/S 23
Falck A/S 25
Ellab, Ferrosan Medical Devices and WS
Audiology 27
Asset management
Lundbeckfonden BioCapital 29
Lundbeckfonden Invest 32
Group performance & Sustainability
Financial performance 34
Sustainability 37
Governance
Risk management 41
Foundation Governance 45
Grant policy 49
Board of Directors 51
Management 54
Financial statements Lundbeckfonden Group 57
Financial statements of the Parent Foundation 128
Management statement 137
Independent Auditor’s Report 138
Sustainability Report
Our 2025 Sustainability Report provides detailed information
on our sustainability efforts and responsible business behaviour.
Read the report
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Discoveries
to Lives
Management review
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Lundbeck Foundation Annual Report 2025 Page 3
The purpose of the Lundbeck
Foundation is to create powerful
ripple effects that bring
discoveries to lives through
investing actively in business
and science at the frontiers of
their fields.
We live our purpose every day through engaged ownership
of our strategic ownerships and biotech portfolio
companies, all of which strive to improve patients’ lives.
Our investment activities enable us to continuously award
significant independent research grants to advance
Danish-based biomedical research with a specific focus on
neuroscience. Established in 1954, the Lundbeck Foundation
is one of Denmark’s largest enterprise foundations, with a
net wealth at the end of 2025 of DKK 81bn.
At a
Revenue
DKK
43,437m
of which in DKKm
Lundbeck 24,630
ALK 6,312
Falck 12,495
The increase in revenue
of 9%
was primarily attributable to
Lundbeck (
+2,626m) and ALK
(
+775m).
Operating
profit
DKK
7,046m
of which in DKKm
Lundbeck 5,275
ALK 1,654
Falck 333
Foundation -216
The increase in operating profit
of
54%
was primarily attributable
to
Lundbeck (+2,005m).
P
rofit
for the year
DKK 6,
111m
of which in DKKm
Lundbeck 3,192
ALK 1,197
Falck 195
Foundation 1,527
Overall profit for the Group was
DKK 6,
111m, corresponding to a
de
crease of 7%, attributable to
the Foundation’s investments
.
Net wealth
DKK
80,709m
of which in DKKm
Strategic
Ownership
54,211
Invest 26,321
BioCapital 2,576
Other net
assets
-2,399
Net wealt
h increased by 13%,
significantly affected by an
increase in Lundbeck’s and ALK’s
share price
and the profit in
Invest.
+9%
+54%
-7%
+13%
Grants and Prizes
825DKKm
grants awarded in 2025
Invest
2,905DKKm
generated return in 2025 primarily driven
by listed equities. Total market value at
31 December 2025 amounted to DKK 26,321m
BioCapital
265DKKm
in negative net return in 2025. Total market value
at 31 December 2025 amounted to DKK 2,576m
Management review
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Lundbeck Foundation Annual Report 2025 Page 4
In 2025, the Lundbeck Foundation
maintained its strong support for
outstanding biomedical research,
with continued emphasis on talent
development and both basic and
clinical brain research.
Total payouts
748DKKm
Grants paid out in 2025
Total support for brain research
740DKKm
Corresponding to 90% of total grants in 2025
Number of full-time employees
funded
736
Research in
neuroscience
DKK 421m
Research
benefitting
neuroscience
DKK 203m
Research in
biomedical
science
DKK 127m
Prizes
DKK 13m
Science
engagement and
communication
DKK 31m
Various grants
DKK 30m
Distribution of total grants in 2025
DKK 825m
A year with
strong scientific contributions …
In
2025, research supported by the Lundbeck Foundation resulted in 687 scientific
publications. The examples below are based on articles published in Nature
.
The age of diagnosis reflects different course of autism
. The genetic profile differs
between patients diagnosed early with autism versus late, suggesting different
underlying pathophysiology manifested in at least two different developmental
trajectories. These insights come from researchers at Aarhus Universi
ty.
Special brain cells ensure safe behaviour in mice. Researchers from the University of
Copenhagen have uncovered a previously unknown network of nerve cells that
prioritise survival over both food and mating in mice. This might one day benefit
people with movement disorders
.
Parkinson’s disease can spread by three routes
. Researchers from Aarhus University
have shown that Parkinson’s disease can start in the brain or in the body and enter the
brain via two different routes
.
Read the full stories on Lundbeckfonden.com
… and new strategic initiatives.
The Danish Sleep Center for Children and Adolescents
has been established to
advance knowledge of how sleep affects children’s development, disease
progression and recovery. The centre is supported by a DKK 20
m grant from the
Lundbeck Foundation and is a collaboration between the
Departments of
Paediatrics at Herlev and Gentofte Hospitals and Mary Elizabeth’s Hospital. It will
open in 2027
.
Management review
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Lundbeck Foundation Annual Report 2025 Page 5
Group revenue grew by 9% to DKK 43,437m and our
operating profit grew by 54% to DKK 7,046m, both
exceeding expectations and at an all-time high. The
Foundation’s financial investment activities delivered
solid returns for the year of DKK 2,905m, and the profit
for the year thus amounted to DKK 6,111m. As of 31
December 2025, the Foundation’s net wealth amounted
to DKK 81bn, an increase of 13% compared to year-end
2024.
At the Lundbeck Foundation, we are driven by a clear
purpose: Bringing discoveries to lives – for the benefit of
people and society. This guides our decisions, shapes our
priorities and constantly reminds us of the
responsibility that follows from being one of Denmark’s
largest enterprise foundations.
In a time when society faces growing health challenges,
not least in the area of brain diseases, there is a strong
need for scientific progress. We therefore genuinely
believe that our long-term commitment matters more
than ever – in business, in science and in society. Within
all three areas, progress takes time, patience and
willingness to invest ahead of outcomes.
In 2025, the Foundation awarded grants totalling DKK
825m. A significant share (63%) of the grants was
awarded through open calls, which remain the backbone
of our support for public Denmark-based biomedical
research with a specific focus on neuroscience.
We aim to nurture talent, support ambitious research
projects and foster strong scientific environments that
encourage bold ideas and collaboration across
disciplines in a shared effort to find new answers. For
researchers and institutions, the ability to rely on stable
and predictable funding is essential, and we aim to
provide that continuity.
At the same time, we pursue strategic philanthropic
initiatives where scale and long-term engagement can
help move entire fields forward. During the year, we
reached important milestones, including the
inauguration of the Lundbeck Foundation Parkinson’s
Disease Research Centre (PACE) and the decision to
establish a new national research centre for clinical
psychiatry in partnership with the Capital Region of
Denmark.
Letter from the Chair and the CEO
In 2025, we delivered solid financial results and maintained our grant
-
making at a
high level, while continuing to invest actively at the
frontiers of business and science
.
Lene Skole, CEO and Søren Skou, Chair
Following the Annual Meeting in March 2025, Søren Skou was
elected new Chair of the Board of the Lundbeck Foundation and
Lundbeckfond Invest A/S. Søren Skou joined both boards in 2024, where he was
elected Deputy Chair. Also in March 2025, Lars
Holmqvist, who joined the boards in 2015, was
elected new Deputy Chair.
Management review
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Lundbeck Foundation Annual Report 2025 Page 6
These initiatives are guided by our ambition to translate
scientific insight into better understanding, prevention
and treatment in areas of high unmet medical need.
Meanwhile, initiatives such as The Brain Prize and
Neurotorium serve as platforms for recognising
excellence and advancing knowledge-sharing and
collaboration within brain research.
Together, our open calls and strategic initiatives form a
philanthropic approach shaped by our belief in scientific
excellence, collaboration and the value of thinking
across disciplines and institutions.
Financial strength is our basis for philanthropy
Our philanthropic aspirations rest on our ability to
create value both as a long-term business owner and
investor.
Through engaged ownership and disciplined financial
and venture investments, we build financial strength
that enables us to support stable grant-making and
ambitious strategic initiatives – supporting continued
investment in research, talent and scientific progress,
while contributing to Denmark’s position as a strong life
science nation.
In 2025, our strategic ownerships each took important
steps to strengthen their businesses for the future and
secure their long-term growth and value creation.
H. Lundbeck delivered significant growth driven by
strong commercial performance and continued clinical
advancement of its pipeline. At the same time, the
company reshaped parts of its business and established
new commercial partnerships. It also completed the
integration of the recently acquired Longboard
Pharmaceuticals, reinforcing its strategic focus on
differentiated neuroscience and future growth
opportunities.
ALK also continued its positive development in 2025,
delivering solid growth and a steady margin increase.
The strong execution in its core allergy immunotherapy
business, including approvals for paediatric treatments
and ongoing clinical progress, further strengthened
confidence in the company’s strategy and growth
prospects.
Falck saw a year of significant organisational changes.
During the year, the company implemented a new
structure aimed at reducing complexity and increasing
efficiency, strengthening its operational foundation and
regional anchoring.
Across our minority investments, Ellab, Ferrosan
Medical Devices and WS Audiology, different measures
were implemented during the year to counter weaker
demand in key markets and currency headwinds from a
predominant exposure to US-dollar revenues.
In 2025, Lundbeckfonden BioCapital continued to drive
clinical and scientific progress across its biotech
portfolio, while also adding new companies, including
Denmark-based Epoqe Pharma and QuantumCell.
Reflecting the inherent risks associated with late-stage
biotech development, certain investments did not
develop as expected. BioCapital, however, maintained
focus on the long-term development of the portfolio,
facilitating access to new funding where needed. We
remain convinced that supporting ambitious biotech
ventures is an important part of our purpose of
translating scientific discoveries into potential new
therapies.
The financial investment arm of the Lundbeck
Foundation continued to deliver solid returns well above
benchmark, despite sustained geopolitical unrest and
volatility in financial markets. Building on previous
years’ consistent value creation, in 2025 we further
strengthened the Foundation’s financial robustness and
capacity to support its long-term philanthropic and
ownership ambitions.
Looking forward, we will continue to pursue new life
science business opportunities and nurture scientific
excellence and collaboration through our philanthropic
work and engaged ownership.
We believe that strong governance structures and
transparency are essential to the way we work at the
Lundbeck Foundation and to the enterprise foundation
model, and we will continue to engage openly in
discussions about ownership, transparency and
governance to ensure continued recognition of the
Foundation’s valuable contribution to Danish society.
So, with confidence and aspirations for the future, we
extend our sincere thanks to our partners for their close
and valued collaboration throughout the year, and to
the employees of the Lundbeck Foundation for their
continued dedication and strong sense of purpose.
Søren
Skou,
Chair of the Board
Lene Skole,
CEO
Strong governance structures
and transparency are essential
to the way we work at the
Lundbeck Foundation
.
Management review
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Lundbeck Foundation Annual Report 2025 Page 7
Revenue (DKKm) and revenue growth (%)
Profit for the year (DKKm)
Lundbeckfonden’s share of equity (DKKm)
Revenue reached DKK 43,437m representing a growth of 9.5% compared to 2024
Profit for the year decreased from DKK 6,567m to DKK 6111m
Lundbeckfonden’s share of equity increased by DKK 1,773m in 2025
Operating profit (DKKm) and operating profit margin (%)
Return on equity (%)
Average number of employees (FTEs)
Operating profit
increased from DKK 4,569m in 2024 to DKK 7,046m,
representing a profit margin of 16.2%
Return on equity
decreased from 11.3% in 2024 to 9.8%
Average number of employees
was on par with 2024
43.437
0%
1%
2%
3%
4%
5%
6%
7%
8%
9%
10%
34.000
36.000
38.000
40.000
42.000
44.000
2021 2022 2023 2024 2025
6.111
0
2.000
4.000
6.000
8.000
2021 2022 2023 2024 2025
52.053
25.000
30.000
35.000
40.000
45.000
50.000
55.000
2021 2022 2023 2024 2025
7.046
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
0
1.000
2.000
3.000
4.000
5.000
6.000
7.000
8.000
2021 2022 2023 2024 2025
10%
0%
2%
4%
6%
8%
10%
12%
14%
16%
2021 2022 2023 2024 2025
27.632
20.000
22.500
25.000
27.500
30.000
2021 2022 2023 2024 2025
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Lundbeck Foundation Annual Report 2025 Page 8
For the definitions of key figures, please see note 36.
Five-year summary
DKKm
2025
2024
2023
2022
2021
Revenue 43,437 39,675 36,659 35,426 35,403
Operating profit 7,046 4,569 3,790 3,427 3,872
Profit for the year
6,111 6,567 6,273 1,211 6,928
Lundbeckfonden's share of profit 4,335 5,068 5,159 -126 5,880
Financial items, Invest etc. 2,916 3,102 2,832 -1,430 4,608
Financial items, BioCapital
-265 108 772 -565 -141
Net financial items
1,687 3,420 3,200 -1,662 3,872
Grants awarded 825 1,074 592 550 803
Dividends from subsidiaries
652 481 545 1,286 343
Cash flow from operating activities 8,312 5,598 5,584 3,974 4,569
Cash flow from investing activities
-1,254 -17,263 -1,731 -2,096 -1,368
Cash flow from operating and investing activities (free
cash flow)
7,058 -11,665 3,853 1,878 3,201
Cash flow from financing and grant-making activities
-7,314 11,491 -2,348 -1,610 -4,840
Subsidiaries' acquisitions 12 15,862 101 1,079 680
Investments in intangible assets
200 1,134 298 516 255
Investments in property, plant and equipment
1,240 1,157 800 912 738
Equity 63,505 61,043 55,146 50,164 49,422
Lundbeckfonden's share of equity
52,053 50,280 45,859 41,571 41,621
Total assets
102,587 106,111 81,732 77,633 78,022
Debt to financial institutions and others
15,794 21,635 8,625 9,669 9,310
Net wealth
80,709 71,739 58,807 51,608 67,114
Key figures
2025
2024
2023
2022
2021
Revenue growth
9.5% 8.2% 3.5% 0.1% 5.6%
Operating profit margin 16.2% 11.5% 10.3% 9.7% 10.9%
Return on equity
9.8% 11.3% 11.9% 2.4% 15.0%
Average number of employees (FTE)
27,632 27,437 27,350 28,086 28,932
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Lundbeck Foundation Annual Report 2025 Page 9
Discoveries to Lives’
2025 marked the fifth year since the launch of the Foundation’s 2030
strategy, ‘Bringing Discoveries to Lives’. With the strategy, the
Foundation strives to create value across five key themes
.
Top-tier neuroscience
Close collaboration between
research and business
Leading healthcare companies
Active public voice
Attractive financial returns
We create value when we fund Danish-
based research that results in a better
understanding of the brain and better
prevention, diagnosis and treatment of
brain diseases
.
We create value when we invest in research
talents, entrepreneurs and innovation in
Danish healthcare, and when we strengthen
the collaboration between universities,
hospitals and companies in Denmark
.
We create value when, as a competent
and engaged owner, we develop and
grow healthcare companies to become
international market leaders within
their categories
.
We create value when we develop and
internationalise Danish healthcare research
and business culture and when we improve
society's understanding of the brain and
its diseases
.
We create value when our return on
investment enables us to increase our
grants to society and secures our long
-term
financial
robustness and growth.
Our ambition is that, by 2030, Lundbeck
Foundation
-
funded research will have led to a better
understanding of the brain and to groundbreaking
new programmes and treatments in clinical trials or
on their way to the market.
Our ambition is that, by 2030, the Lundbeck
Foundation will have contributed to innovative
healthcare solutions and/or started new healthcare
companies in Denmark.
Our ambition is that, by 2030, we will be a
long
-term and significant owner of a portfolio
of five to eight small or large healthcare
companies, preferably in Denmark, that are
international market leaders or on their way to
becoming
leaders.
Our ambition for 2030 is that the Foundation has
increased public understanding of the importance
of brain health, improved the conditions for research
in Denmark and further developed the
role of enterprise foundations
.
Our
ambition for 2030 is for our investment
activities to deliver a competitive return equal to or
better than that of relevant peers to at least double
our net wealth, and double our average annual
grants to at least DKK 1bn
.
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Delivering on our strategy
towards 2030
The Lundbeck Foundation is an enterprise foundation
engaged in a diverse range of commercial and
philanthropic activities. While these activities vary
greatly, they are interconnected and mutually
reinforcing. The Foundation’s strategy provides a clear
roadmap for value creation, with specific goals and
ambitions across five thematic areas. In 2025, the
Foundation continued to make progress across all
themes, achieving several key milestones.
Top-tier neuroscience
The Foundation’s scientific focus in 2025
remained centred on the tremendous
complexity of the brain, one of
humanity’s most challenging scientific
topics. The lack of basic knowledge about
the brain – both in terms of its normal functioning and
its disorders – underscores the pressing need for new
insights. By 2030, the Foundation therefore aims to
double its average annual grants to at least DKK 1bn,
with a strategic focus on neuroscience to generate
knowledge that can improve prevention, diagnosis and
treatment of brain disorders.
In 2025, the Foundation awarded DKK 825m. Of this
total, 90% was dedicated to neuroscience research
across all levels – from PhD students to professors –
through strategic programmes, open calls and talent
development initiatives. These efforts aim to generate
knowledge that benefits patients, doctors and
therapists while further strengthening Denmark’s
neuroscience community. This is achieved through a
range of grants to support– or with the potential to
support – research in neuroscience, and grants
supporting talent development in biomedical and
health-related science.
In 2025, the Foundation announced the first step in the
Lundbeck Foundation’s National Strategy in
Psychiatry Research, the establishment of a national
centre for clinical psychiatry with its primary base at
Bispebjerg Hospital in Copenhagen and satellite units
across all regions of Denmark. The Foundation’s
national strategy for psychiatry research has the
overarching aim of providing better treatments for
patients living with mental illness. The initiative
comprises three closely aligned and collaborative
centres: a national centre for clinical psychiatry research
and two centres dedicated to basic biological psychiatry,
with a focus on identifying the underlying mechanisms
of psychiatric disorders.
This strategic initiative follows the first strategic
initiative launched in 2024 to integrate basic and clinical
research for better prevention, diagnosis and treatment
of brain diseases with the establishment of the
Lundbeck Foundation Parkinson’s Disease Research
Center (PACE) at Aarhus University Hospital. In 2026,
discussions are continuing with Danish universities and
hospitals on Neurohubs and national strategic
initiatives supporting translational research in
neuroscience.
The Foundation also partnered with other foundations,
universities and hospitals in 2025 to establish or
strengthen several centres, including Brain Health
Centre of Excellence, Danish Centre for Paediatric Sleep
Disorders, the Nordic Centre for Glymphatic Biology and
the Apollo Ancient Genomics Initiative for Evolutionary
Understanding of Human Diseases.
The open knowledge platform Neurotorium, which
develops and shares educational materials about the
brain and its diseases, continued to grow strongly. In
2025, the platform attracted approximately 314,000
visits from 186 countries only three years after its
launch in 2022. All content is curated by an
international board of renowned neurologists and
psychiatrists, ensuring high-quality resources.
Professor Michelle Monje and Professor Frank Winkler
were awarded The Brain Prize for their pioneering
contributions in incorporating neuroscience into cancer
research, forming what is now called ‘Cancer
Neuroscience’. The Brain Prize was again complemented
by a series of seminars as part of the Foundation’s
global scientific outreach programme.
Close collaboration between
research and business
Healthcare innovation and
entrepreneurship require a strong
connection between the scientific
research community and the
commercial business world. This
dynamic is evident in the world’s most innovative
healthcare ecosystems, where talents seamlessly
transition between science and business. However, this
journey can be challenging in Denmark. Strengthening
the dialogue and collaboration between Denmark’s
academic research institutions and the local biotech
and pharmaceutical communities is a key aspiration for
the Foundation. The goal is to empower academic talent
to explore, innovate and ultimately make the leap from
science to business, enabling discoveries to scale and
transform lives. The Foundation employs several
instruments to achieve this ambition.
To bridge the gap between basic research and
commercial viability, the Foundation introduced
Frontier Grants in 2022. These grants support the
transition of early-stage research projects into
opportunities attractive to biotech investors. In 2025,
four Frontier Grants were awarded to scientists working
on projects related to exploring a new obesity drug,
genome stability in neurodegenerative disorders, breast
cancer and osteoporosis. In 2025, Seed Grants were
introduced to support maturing projects to potentially
receive a Frontier Grant with two projects in Parkinson’s
and Alzheimer’s disease being supported.
Launched in 2022, Lundbeckfonden BioCapital is an
evergreen life science venture fund that builds on the
Foundation’s decade-long commitment to creating and
financing biotech companies. Its focus is on translating
pioneering research into innovations that address areas
of high unmet medical need through novel and/or
superior treatments.
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In 2025, Lundbeckfonden BioCapital continued to
prioritise the local Danish biotech ecosystem, including
two new seed investments in Denmark, Epoqe Pharma
and QuantumCell. The portfolio consist of 18 companies.
Leading healthcare companies
The engaged ownership of Danish
healthcare companies lies at the core of
the Foundation’s value creation. These
companies develop products and
treatments that benefit patients
worldwide while generating financial returns that enable
new investments in science and business development.
As part of the 2030 strategy, the Foundation set a clear
goal of expanding its portfolio to include five to eight
Danish healthcare companies by 2030.
In 2025, the Foundation’s portfolio of strategic
ownerships includes a total of six listed and private
healthcare companies headquartered in Denmark with
majority stakes in H. Lundbeck, ALK-Abelló, Falck, and
significant minority stakes in Ellab, Ferrosan Medical
Devices and WS Audiology.
The Foundation’s ambition is to grow and develop its
ownerships on a global scale, helping these companies
become leaders in their respective industrial segments
while bringing innovations, products and treatments to
patients worldwide.
Active public voice
The aim of a proactive public presence is
to enable our strategic objectives by
raising awareness of brain health
amongst decision makers and support
better research conditions in Denmark
and advance the enterprise foundation model as a
responsible, sustainable approach to business
ownership. To achieve this, the Foundation engages in a
variety of activities spanning communication,
partnerships and public affairs across its entire value
chain.
As an enterprise foundation with significant ownership
interests and a mission-driven investment approach,
the Foundation operates at the intersection of research,
business and society, and active engagement in public
dialogue is therefore a strategic necessity.
From a business perspective, public affairs engagement
helps safeguard stable and predictable framework
conditions that enable long-term ownership,
responsible governance and sustainable value creation.
Clear and future-proof regulation is critical for
foundations to act as long-term owners, support
innovation and reinvest returns into research and
societal priorities. By engaging constructively with
policymakers and authorities, the Foundation
contributes knowledge and perspectives that support
sound decision making and reduce regulatory
uncertainty.
Promoting understanding of the Danish foundation
model is a core element of this engagement. Enterprise
foundations play a distinctive role in the Danish
economy by combining commercial strength with long-
term stewardship and targeted social investment.
Through public affairs and communication activities,
the Foundation works to ensure that the contribution of
the foundation model, including stability, resilience and
reinvestment in society, is recognised and reflected in
policy development.
By communicating clearly about the Foundation’s
purpose, governance and impact, as well as about brain
research and brain health, we strengthen our legitimacy
as both an owner and a philanthropic actor. Open
communication also helps build public understanding of
how long-term business ownership and philanthropic
objectives can be mutually reinforcing.
Attractive financial returns
The investment activities of the
Foundation are split into three
categories: Lundbeckfonden Strategic
Ownerships, Lundbeckfonden Invest
(financial investments) and
Lundbeckfonden BioCapital (biotech investments).
The overarching ambition for all investment teams
toward 2030 is to deliver annual financial returns that
exceed those of market peers. This includes doubling
the Foundation’s net wealth by 2030 compared to 2020
level and growing the Foundation’s philanthropic grants
to an average of at least DKK 1bn annually by 2030 while
ensuring long-term financial robustness.
Building on the momentum from 2024, solid returns
were delivered in 2025, with the Foundation’s total
wealth increasing to approximately DKK 81bn from DKK
71bn at the end of 2024.
Bringing discoveries to lives
is
t
he common thread for our
commercial and philanthropic
endeavours
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Our business model
Strategic
ownerships
The Lundbeck Foundation is a long
-term owner of multiple
healthcare companies headquartered in Denmark. Our ambition is
to position and maintain the companies as international market
leaders within their industry segment. Business ownerships is a
key eleme
nt of the Foundation's financial and societal value
creation and of building the route to market for new treatments
and therapies for patients all over the world.
Asset
management
Financial invest
ments ensure long-term financial stability and
robustness, and allow the Foundation to invest in the future of
healthcare and su
pport new scientific research. The Foundation's
biotech investments contribute to the financial value creation
while also developing people and businesses in the Danish life
science ecosystem.
Partner to
society
The Foundation channels profits back to society through
grants and partnerships, which are anchored in the
Foundation’s purpose of 'Bringing discoveries to lives'. Our
strategic ambition is to improve the world's understanding of
the brain and create better treatments of brain disorders while
also developing the Danish life science ecosystem
by improving
conditions for science, innovation and economic growth in
Denmark.
Partner to Society
•
Supporting public research and science
through grants and activities to bring
forward new discoveries
•
Disseminating knowledge through
programmes and activities
•
Strengthening a vibrant Danish ecosystem
for life science, research, innovation, and
economic growth
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In the Foundation’s 2030 strategy, one of the main
goals is to bring discoveries to lives by supporting a
research environment that strengthens the
collaboration between basic and clinical research, with
the aim of better prevention, diagnosis and treatment
of brain diseases. In 2025, the Foundation announced
the first step in the Lundbeck Foundation’s National
Strategy in Psychiatry Research, the establishment of a
national centre for clinical psychiatry, in collaboration
with Region Hovedstaden, located at Bispebjerg Hospital
(see page 18).
DKKm
Research in neuroscience 421
Research benefitting neuroscience 203
Research in biomedical science 127
Prizes 13
Science engagement and communication 31
Various grants 30
Total grants in 2025
825
Various grants include donations of DKK 68,580 to descendants.
National strategic initiatives involve two or more
research centres with complementary competencies
working towards a common goal.
In 2026, discussions are continuing with Danish
universities and hospitals on neuroscience research
hubs and national strategic initiatives supporting
translational research in brain disorders.
Besides strategic initiatives, the Foundation continued
its support of outstanding biomedical research, with a
strong commitment to talent development and
research in basic and clinical neuroscience.
Alongside research grants and prizes, the Foundation
supported activities to strengthen and facilitate
networks between scientists, as well as, to increase
awareness about the brain and the importance of brain
health among the Danish population.
The total grant sum amounted to DKK 825m, versus
DKK 1,074m in 2024.
The Nordic Centre for Glymphatic Biology: The
Foundation awarded “Centre for Translational
Neuromedicine” at the University of Copenhagen DKK
78m to the “Nordic Centre for Glymphatic Biology” for
identifying and validating targets which can alter the
glymphatic flow to treat neurological disorders, in
particular Small Vessel Disease. The project will also
include Nordic collaborators in the development of
clinical biomarkers for glymphatic flow. The centre is led
by professor Maiken Nedergaard.
Danish Centre for Paediatric Sleep Disorders at
Rigshospitalet: The centre’s mission is to establish a
research facility to study sleep mechanisms in children
and adolescents to provide evidence-based solutions
that promote better sleep. The centre will be led by
researcher and neuropaediatrician Nanette Debes. The
centre has been awarded DKK 20m.
Brain Health Center of Excellence: The Foundation has
allocated a total of DKK 160m to a five-year partnership
with BioInnovation Institute (BII) to strengthen the
Danish ecosystem for brain health research, innovation
and entrepreneurship. BII will support the programme
with an equivalent amount.
The Brain Health Center of Excellence aims to create
new groundbreaking treatments for brain diseases. It
seeks to strengthen collaboration between the
university environment and the start-up ecosystem by
investing in research talent. Three projects were
initiated in 2025 with a total grant of DKK 10m from the
Lundbeck Foundation.
Grants & Prizes
The Lundbeck Foundation’s ambition is to make Denmark a
frontrunner in the field of neuroscience by funding Danish
-based
research that promotes an improved understanding of the brain as
well as better prevention, diagnosis and treatment of brain disorders.
The Foundation also supports activities to improve collaboration
between research and business
.
Total grants (DKKm)
825
Number of grants
185
Support for brain research (DKKm)
740
Number of full
-time employees funded
736
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Apollo Ancient Genomics Initiative for the
Evolutionary Understanding of Human Diseases: The
Foundation awarded DKK 15m to the programme, which
is an extension of “Centre for Disease Evolution”, which
was previously funded by the Lundbeck Foundation. The
programme will expand the previous data on ancient
human DNA and microbial/pathogen DNA and - in
combination with data from the Novo Nordisk
Foundation funded programme AEGIS on ancient
environmental data - seek to further uncover the
evolutionary origins of human disease. The Novo
Nordisk Foundation co-funds the project with DKK 15m.
Neuroscience Academy Denmark has awarded 16 new
1+3-year PhD fellowships. This is the fourth cohort out
of the six cohorts granted by the Lundbeck Foundation.
The additional grants were distributed across the
following categories:
Grants supporting research in neuroscience
Grants in this category support research aimed at
solving a fundamental problem in neuroscience or
research into brain-related diseases. The grants were:
• LF Professorships support the very best
neuroscience researchers, thereby helping to build
excellent research environments and programmes in
Denmark. DKK 159m was awarded to five professors
covering research in the ageing motoneuron-muscle
axis, the dopamine-transporter complex, motor
circuits, radioligand therapy for glioblastomas and
cognitive enhancement across diseases.
• LF Collaborative Projects focus on complex, basic or
clinical neuroscience projects that require
collaborative efforts. LF Collaborative Projects
alternate biannually with LF Professorships and will
therefore be granted in 2026. The programme’s
international profile will be strengthened by, for the
first time, inviting European researchers, collaborating
with Danish groups, to apply as principal investigators.
• LF Start-up Programme grants to support
recruiting international or industry-based scientists
to Danish universities. DKK 11m was awarded.
• LF Stipends for Sabbatical Leave, Visiting
Professorships, and International Meetings and
Conferences support internationalisation by enabling
international exchange either out of or into Denmark,
as well as Danish scientific gatherings open to
international participants.
Grants supporting research benefitting
neuroscience
Grants in this category broadly support research or
technologies where the applicant can propose a
potential benefit for neuroscience and therapies for
nervous system disorders. The major grants were:
• LF Postdoc grants support postdoctoral scientists
who wish to strengthen their research career through
changes in research environment or topics. DKK 50m
was awarded to 17 postdocs, of which 12 bring
international experience to Denmark and five gain
international experience by studying outside
Denmark.
• LF Ascending Investigator grants are for
independent researchers leading smaller groups with
projects aimed at expanding the groups and/or
redirect their research. DKK 90m was awarded to 15
investigators (four professors, eight associate
professors and three group leaders). Six grantees used
the option to add an additional DKK 1m to support
international exchange, whereas an additional six also
had international collaborators as a part of their
project proposal.
• LF Experiment. The call focused on funding high-risk,
ground-breaking research ideas. DKK 58m was
awarded to 26 projects.
• LFIN. The Lundbeck Foundation Investigator Network
facilitates collaboration and community building
among 50 selected junior scientists from all over
Denmark and received a grant of DKK 1m. LFIN held
two meetings in 2025, as well as arranging several
events, including a winter school for master students
and open lectures for the public.
Grants supporting research in biomedical
science
Grants in this category support the development of
talented researchers in all fields of biomedical and
health-related science. The grants were:
Body-Brain
Interdisciplinary
Projects
Lundbeck Foundation and Novo Nordisk
Foundation Body-Brain Interdisciplinary Projects.
The Foundation will, in collaboration with the
Novo Nordisk Foundation, announce an
international collaborative grant to study Brain-
Body interactions in 2026.
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• LF Early-Career Clinician Scientist grants aim to
support talented medical doctors who, concurrent
with their clinical specialisation, want to maintain an
active research career. DKK 18m was awarded to ten
projects and four of the projects were in neuroscience
(auditory dysfunction in schizophrenia, serotonin
receptor levels in the brain, pain in idiopathic
intracranial hypertension, effectiveness of
psychopharmacological treatment in bipolar disorder).
• LF Fellows are talented, young researchers who wish
to establish or expand their own independent
research groups in Denmark. DKK 70m was awarded
to seven scientists: three in neuroscience (migraine,
proteinopathies and stress), and four in other areas
(cellular metabolism, genome stability, biotechnology
and colorectal cancer).
Prizes
The Brain Prize is the world’s largest international
neuroscience prize, dedicated to scientists who have
made an outstanding contribution to neuroscience. His
Majesty The King of Denmark presented The Brain Prize
to the 2025 winners at an awards ceremony in
Copenhagen. The DKK 10m Brain Prize 2025 was
awarded to Professor Michelle Monje and Professor
Frank Winkler for pioneering the field of Cancer
Neuroscience. Working independently, they have
transformed our understanding of the biology of
glioblastomas, thereby pioneering a paradigm shift
incorporating neuroscience into cancer research,
forming what is now called ‘Cancer Neuroscience’.
Brain Prize outreach activities bring the outstanding
science behind each year’s Brain Prize to the scientific
community. Three webinars on “The neuroscience of
Brain Cancers” were organised and chaired by the Brain
Prize winners together with six other leading scientists
who provided in-depth insights. A series of Brain Prize
plenary lectures were also given at several international
meetings. A film collection covering the winners’
scientific journey, patient case stories and educational
films has been launched.
The LF Scientific Enrichment Prize is a personal prize
of DKK 100,000, awarded in 2025 to Professor Lene
Niemann Nejsum, Aarhus University to recognise her
efforts to prioritise inclusivity, respect and opportunity
and to foster collaboration among researchers with
different nationalities, genders, physical challenges and
neurodivergence. She actively seeks to include and train
people in “FlexJob” positions, creating roles tailored to
the individual for them to advance the ongoing
research. In addition, she collaborates with a range of
scientific fields to bridge the gap between basic and
clinical science.
The LF Young Investigator Prize of DKK 1m, for
promising researchers under the age of 40, was awarded
to Professor Anton Pottegård, Department of Public
Health, University of Southern Denmark for his
outstanding contribution to pharmacoepidemiology by
developing analytical tools to identify patterns for
additional and side effects of medicines used in clinical
practice. The results of this research have led to changes
in several clinical guidelines.
Five LF Talent Prizes of DKK 300,000 each for
promising young researchers under the age of 30 were
awarded to MD, PhD student Adelina Yafasova,
Department of Cardiology, Rigshospitalet (interplay
between multiorgan diseases and cardiovascular
conditions); MD, PhD student Rune Häckert Christensen,
Danish Headache Center, Rigshospitalet (migraine and
post-traumatic headache); MD, PhD Mohamed Attauabi,
Department of Gastroenterology and Hepatology, Herlev
Hospital (Early prognostication of Inflammatory Bowel
Disease); MD, Stine Johansen, Center for Liver Research,
Odense University Hospital and University of Southern
Denmark (alcohol-related liver disease) and MD, PhD
student Mark Khurana, University of Copenhagen
(infectious disease research).
Science Engagement and Communication
The Foundation supports projects that inspire and
engage young people to focus on science, particularly
neuroscience, as a career and projects that
communicate knowledge about the brain and brain
disorders to the public. In 2025, a range of projects and
festivals in Denmark were supported, including the
Hearts & Minds Festival in Aarhus, Bloom Festival in
Copenhagen, and several podcasts and documentaries,
with a particular emphasis on reaching younger
audiences and promoting brain health awareness.
Notable initiatives include podcasts on child and
adolescent brain development and psychiatric disorders,
documentaries on postpartum depression and rare
diseases, as well as public science events like Science &
Cocktails and the “Neuroskib” at The People’s Meeting
(Folkemødet), which aim to foster dialogue about
neurological conditions and mental health. In 2025, the
Foundation granted DKK 31m to 15 projects, including
DKK 16m to recurrent programs.
Frontier and Seed Grants serve a dual purpose by
supporting advanced research ideas to a stage where
they can become attractive for investors while at the
same time supporting the training of the lead scientists.
Four grants totalling DKK 19m were awarded to explore
a new obesity drug, genome stability in
neurodegenerative disorders, breast cancer and
osteoporosis. Seed grants were introduced in 2025 to
support maturing CNS projects to potentially receive a
Frontier Grant. Two projects, in Parkinsons and
Alzheimer’s disease, were supported with DKK 2m.
Various grants
Neurotorium is an open, online platform
(www.neurotorium.org) launched in 2022 aimed at
clinicians and educators of clinicians, covering topics
about the brain and its diseases and attracting
approximately 314,000 visits in 2025.
Two new themes, Epilepsy and Anxiety disorders, have
been added to the Neurotorium platform, now covering
a total of ten themes. In addition, workshops, including
an expert meeting on “Advances in Cognition in Brain
Disorders”, and scientific symposia at conferences have
been organised and supported. 13 international
educational grants (DKK 2m) have been awarded.
Nadija Research Institute: DKK 7m has been awarded
to research projects in Ukraine aiming at preventing or
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reducing war traumas in Ukrainian children and, in
addition, contribute globally to the understanding and
treatment of childhood trauma in conflict zones.
Promote Danish life science: Healthcare Denmark has
been awarded DKK 5m to develop new programmes to
promote Danish life science. The aim is to develop
Innovation District Copenhagen by enhancing the
number of delegation visits and showcasing the Danish
life science ecosystem internationally.
Research stipends to the Center for Health Research:
DKK 2m has been awarded to support research training
for healthcare professionals with a professional
bachelor’s degree.
Pre-Graduate scholarships: Grants totalling DKK 9m
were awarded to seven scientific societies that together
fund approximately 35 individual pre-graduate
scholarships. For the first time, the medical societies
had the possibility to apply for additional funds for
sending students to international research
environments.
Scientific Enrichment: Three grants were awarded a
total of DKK 1m for initiatives promoting diversity in the
biomedical and clinical fields. The project “The Future of
Health Research: Partnerships and Diversity among
Researchers, Patients and Relatives” at Odense
University Hospital will investigate the best practice of
triaging researcher, patient and relative involvement
when performing a research project - resulting in
guidelines for more inclusive and diverse research
methods ensuring the research mirrors real-life
complexity.
SPINE - Strengthening Pathways and Infrastructures
for Navigating interdisciplinary collaboration in
Existing academic structures: The SPINE project, led by
Assoc. Professor Katrine Ellemose Lindvig, addresses the
critical gap between the recognised importance of
interdisciplinary research and practical challenges. The
project will offer novel approaches to how
interdisciplinary research is supported and sustained at
the doctoral level. The project was awarded DKK 8m.
Open Innovation Discovery Network (ODIN) CNS
projects: The Foundation has awarded DKK 14m to
ODIN to support innovation within drug
discovery/diagnostics to treat CNS disorders by
facilitating co-creation of novel research projects
between academia and industry/biotech. The grant
provides funding for the academic project part.
Impact assessment
The Foundation has implemented a qualitative
approach to maximising the impact of LF funding,
termed ”Roadmap to Impact”. Applicants are required to
describe in concrete terms who will use their results,
should the project turn out as anticipated, and how
these users will benefit from the results. Focusing on
the next steps after their own project stimulates the
applicants to position their research project in the
process of bringing discoveries to lives. Grantees must
report on the progress of the ”Roadmap to Impact” in
the annual status reports.
Learn more about our grants & prizes and what we have
funded at lundbeckfonden.com
The Neurotorium 3D Brain Atlas is a free, interactive and anatomically accurate web
-based tool created by the Lundbeck Foundation for
exploring human brain structures in 360 degrees. It enables users to visualise, rotate and slice through detailed cortical
and subcortical
regions to support education, clinical work, and neuroscience research.
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Research hubs are a central
component of the Foundation’s
strategic initiatives aimed at building
strong and sustainable research
environments in Denmark.
These hubs are designed to co-locate basic and clinical
research, facilitating the close exchange of knowledge
required to address major unmet medical needs.
An urgent need for better treatments
Parkinson’s disease is the second-most common
neurodegenerative disorder and the world’s fastest-
growing neurological disease in terms of prevalence,
affecting more than six million people worldwide. It is a
devastating condition for patients and their families.
Consequently, there is an urgent need for disease-
modifying treatments and effective prevention
strategies.
Discoveries should benefit patients within ten
years
The focus of the Lundbeck Foundation Parkinson’s
Disease Research Centre (PACE) will be to establish
cohorts of patients and presymptomatic individuals in
order to investigate novel treatments and better
understand the mechanisms leading to Lewy body
diseases, with the aim of identifying new therapeutic
targets.
Recent research has provided new insights into the
underlying pathological mechanisms of Parkinson’s
disease and other Lewy body diseases, which are driven
by the propagation and aggregation of the protein α-
synuclein in brain cells.
These advances have raised hopes for earlier and more
biologically defined diagnoses of the different Lewy
body diseases, and part of the research activities at
PACE will focus on understanding how α-synuclein
aggregation drives disease progression and how genetic
and environmental factors influence disease
development.
This work will involve deep and objective patient
phenotyping to enable biological subtyping, biomarker
discovery and the development of personalised
treatment approaches. Through this integrated strategy,
the centre aims to bring innovative diagnostic tools and
therapies into early clinical testing within ten years.
Interdisciplinary research
PACE sets out to establish a unique environment by
bringing together experts from many different research
fields. Approximately 70 people are expected to work at
the centre, which will be located at Aarhus University
Hospital to ensure close integration with clinical
activities. The centre will be part of the Danish
Neuroscience Center.
The structure of the Foundation’s research centres is
developed in collaboration with academic institutions
and is based on research proposals submitted by world-
leading scientists within the relevant research fields.
Lundbeck Foundation Parkinson’s Disease Research Centre (PACE)
PACE aims to bring innovative
diagnostic tools and therapies
into early clinical testing
within ten years.
Draft of The Danish Neuroscience Centre at Aarhus University Hospital (Kumulus Agency)
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Research in psychiatry is a key focus
area for the Lundbeck Foundation,
aimed at advancing understanding of
the causes of mental illness and
generating knowledge to improve
treatment options for affected
individuals.
The Foundation’s national strategy for
psychiatry research
The Foundation’s national strategy for psychiatry
research has the overarching aim of providing better
treatments for patients living with mental illness. The
initiative comprises three closely aligned and
collaborative centres: a national centre for clinical
psychiatry research and two centres dedicated to basic
biological psychiatry, with a focus on identifying the
underlying mechanisms of psychiatric disorders.
Addressing a crucial clinical need
Mental illness is prevalent in society, and most
individuals will, at some point in their lives, experience a
mental illness requiring treatment. Mental illnesses are
complex and encompass a wide range of conditions that
profoundly impair the lives of affected individuals as
well as their relatives.
Beyond the substantial impact on daily life function,
mental illness is associated with reduced life expectancy
and limited ability to work, and it constitutes a
significant societal and socio-economic burden.
This unmet need underscores the urgency of developing
new and better treatments, as well as improving early
detection, intervention and prevention of onset of
mental illness.
Leveraging Danish strengths in psychiatry
research
Denmark is uniquely positioned to advance research in
clinical psychiatry, supported by comprehensive national
registries, population-based biobanks, genetic
databases and a nationwide healthcare system.
Together, these resources enable the integration of
clinical, epidemiological and genetic data, creating
exceptional opportunities for world-class research.
A world-leading research centre in clinical
psychiatry
In 2025, the Foundation entered into a partnership with
the Capital Region of Denmark to establish a nationally
anchored research environment, with its primary base at
Bispebjerg Hospital in Copenhagen and satellite units
across all regions of Denmark.
The ambition is to establish a world-leading centre that
delivers direct clinical benefits to patients, advances
understanding of mental illness and attracts leading
international scientific talent to Denmark. In the short
term, this will lead to new research programmes and
the initiation of novel treatments in clinical trials, while
in the long term it will contribute to better treatment
for patients with severe psychiatric disorders.
Participatory process
Through workshops and interviews the Foundation has
engaged in extensive dialogue with Danish and
international researchers, as well as with representatives
from the Danish Health Authority, relevant ministries,
universities, healthcare regions and patient
organisations, to define the research focus for the
coming centre and to ensure strong anchoring within
the Danish research environment.
This collaborative process has resulted in the
development of a scientific strategy with two key focus
areas:
• Mental illness within a neurodevelopmental
framework
• Treatment-resistant mental illness
Next step
During 2026, a clinical director will be recruited for the
centre. The appointed individual will be responsible for
developing a research strategy that defines the focus
areas of the centre’s research activities.
Research Centre in Clinical Psychiatry
The ambition is to establish a
world
-leading centre that
delivers direct clinical benefits
to patients, advances
understanding of mental
illness and attracts leading
international scientific talent
to Denmark.
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Our proactive public presence is
instrumental in achieving our strategic
goals. By raising awareness about brain
health among decision-makers and
the general public, we aim to support
better research conditions in Denmark
and promote the enterprise foundation
model as a responsible and sustainable
approach to business ownership.
Advancing Brain Health Awareness
Raising awareness of brain health remains a key priority
for the Foundation. Throughout 2025, the Foundation
continued to engage decision makers and the wider
public to strengthen understanding of how brain health
can be promoted and what it means to live with a brain
disorder.
The Foundation carried out a series of targeted
outreach activities designed to translate scientific
knowledge into public insight and dialogue. As part of
the Brain Awareness Week, the Foundation hosted
public events in Aarhus and Copenhagen. With a focus
on ADHD, leading experts explored the biological and
environmental factors behind the condition, differences
between children and adults and the impact of gender
in diagnosis and treatment. Under the overarching
theme “Our Remarkable Brain”, the programme also
highlighted current research on sleep, memory, brain
stimulation and pain.
At The People’s Meeting (Folkemødet) in Denmark, the
Foundation organised events addressing key aspects of
brain health, including the importance of brain breaks,
sleep, recent advances in brain research, neurodiversity
and how to foster more inclusive workplaces.
In October, during Copenhagen annual Culture Night,
the Foundation hosted two events at Panum, the
Faculty of Health and Medical Sciences at the University
of Copenhagen. Here, members of the public were
invited to engage with researchers and learn about the
critical role of sleep for brain function and overall
health.
Together, these activities reflect the Foundation’s
continued commitment to bringing brain research
closer to society and contributing to a more informed
and inclusive public conversation on brain health.
Supporting better research conditions
Throughout 2025, the Foundation maintained its
emphasis on attracting international talent to Denmark.
One initiative is Science Hub Denmark, which positions
Denmark as a leading research destination in
neuroscience to prestigious universities, mainly in the
US. Guided by its strategy of Bringing Discoveries to
Lives, the Foundation has also supported a number of
new initiatives reflecting its commitment to innovation
in life science, including its role as a founding member
of Innovation District Copenhagen, an organisation
which aims to establish a hub in the Capital of Denmark
for life sciences and quantum technology by building
bridges between research environments and startup
communities.
The foundation model and the role of enterprise
foundations in society
In 2025, the Foundation continued its efforts to
promote awareness and recognition of the unique
Danish foundation model. Through active participation
in public debate and key dialogue forums, we
highlighted the societal value created by enterprise
foundations through long-term ownership, stability and
targeted social investment.
A consistent priority during the year was to contribute
to the clarification and further development of the
framework conditions governing the foundation model.
While a final political resolution remains pending, we
worked purposefully to ensure that the issue remained
high on the public and political agendas. This included
active engagement at The People’s Meeting as well as
presentations and dialogue sessions with stakeholders
such as PwC, Forenet Kredit and the Ministry of
Industry, Business and Financial Affairs. In these forums,
we emphasised the importance of clear and future-
proof regulatory conditions that enable foundations to
act as responsible and long-term contributors to
society.
Active public voice
The Lundbeck Foundation
engages people across
Denmark through well
-
attended public events on the
brain and brain health, from
The People’s Meeting
(Folkemødet)
to lectures,
fostering dialogue
s.
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Long-term value creation
The Foundation is a long-term owner of healthcare
companies based in Denmark which are either global
leaders in their respective market segments or striving
for leadership positions. The Foundation invests in both
public and private companies and can take minority as
well as majority ownership positions. The ambition is to
own between five and eight companies in this category
by 2030. The Foundation is looking to invest in
companies rooted in Denmark with the potential to
become global leaders in their fields.
The Foundation’s aim is to develop both small- and
large-scale healthcare companies and help them
become global leaders. The Foundation can do this
because skills have been built in the field of healthcare
throughout the Foundation’s existence. Over the past
decades, the Foundation has established itself as a
competent and engaged owner.
As an enterprise foundation, the Foundation takes a
long-term approach to the strategic ownerships and
can ensure the right conditions for these companies to
become global leaders in their respective fields. The
enterprise foundation model represents a strong and
engaged type of ownership that enables long-term
value creation and contributes to society by - in the
case of the Foundation - awarding grants to Danish-
based health sciences research, supporting the Danish
biotech ecosystem and investing in Danish healthcare
companies. The Foundation seeks to increase awareness
of the enterprise foundation model among companies
as a sustainable ownership model.
What we invest in
• Healthcare companies headquartered in Denmark,
• Companies leading in their field, or with the potential
to become a leader and
• Companies delivering financially attractive returns
that could contribute to growing the Foundation’s net
wealth long term
The portfolio
• Majority-owned strategic ownerships
• H. Lundbeck
• ALK-Abelló
• Falck
• Minority-owned strategic ownerships
• Ellab
• Ferrosan Medical Devices
• WS Audiology
The portfolio of sownerships
A portfolio of six listed and private healthcare companies
headquartered in Denmark
.
Global pharmaceutical company
specialising in the development of
innovative therapeutics for brain
disorders.
Leading developer and manufacturer of
innovative haemostatic products used by
healthcare professionals in the fields of
surgery and diagnostics.
Year of investment 1954 Year of investment 2022
Ownership 69% (76% voting rights) Ownership 30%
Partner Listed Partner ATP & Kirk Kapital
Leading global developer and producer of
a wider range of allergy treatments,
products and services that meet the
unique needs of allergy sufferers.
Leading global player within high-end
validation and monitoring solutions, as
well as field service and consulting to
primarily life science customers.
Year of investment 2005 Year of investment 2023
Ownership 40% (67% voting rights) Ownership 34%
Partner Listed Partner Novo Holdings
Global supplier of healthcare and
emergency services to help people live
healthy lives.
WS Audiology is a global leader in the
hearing aid industry.
Year of investment 2011 Year of investment 2024
Ownership 58% Ownership 8%
Partner Kirkbi & TryghedsGruppen Partner T&W Medical & EQT
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2025 was a truly remarkable year, marked by record-
breaking results and double-digit growth. In the
relentless pursuit to advance brain health, Lundbeck has
focused on transforming the business to secure long-
term growth while improving patients’ access to
innovative treatments within neurology and psychiatry.
In 2025, Lundbeck continued to execute the Focused
Innovator Strategy, driving the transformation of the
business, and fully integrating a focused innovator
mindset. Strategically, Lundbeck focuses on neuro-rare
and neuro-specialty conditions, expanding from the
strong legacy within psychiatry and neurology.
During the year, Lundbeck transitioned to a partner-led
commercial model in 27 markets, focusing resources
where Lundbeck can make the greatest impact for
patients and society. This partner-led model is part of
the reallocation of funds for further investment in key
growth areas and an innovative pipeline.
While reducing operational complexity and focusing the
resources, the new commercial model means that
Lundbeck said goodbye to 602 employees across the 27
countries affected. Lundbeck has supported the
employees impacted in the best possible way to ensure
a responsible and orderly process.
Equally important to securing long-term growth,
Lundbeck continued building a sustainable pipeline set
to deliver breakthrough products and long-term
sustainable growth.
Progress of innovative pipeline
Lundbeck’s pipeline continues to evolve, with significant
progress achieved in 2025. In the relentless pursuit to
advance brain health, Lundbeck focuses on scaling its
neuro-specialty position and building a neuro-rare
franchise, expanding from the strong legacy within
psychiatry and neurology.
Amlenetug (anti-α-synuclein) targeting MSA, and
bexicaserin, targeting DEEs, are both progressing
through Phase III trials. These assets represent
promising opportunities to address brain disorders with
high unmet needs.
Also, in neuro-rare, notable pipeline milestones include
the orphan drug designation granted to Asedebart (Lu
AG13909, anti-ACTH) in both the U.S. and EU for the
treatment of congenital adrenal hyperplasia. This
development validates Lundbeck’s entry into targeted
neuro-hormonal disorders, underscoring the ability to
address medical needs in niche areas.
In the neuro-specialty area, results from two studies
reinforced the clinical strength of Vyepti® in migraine
treatment. Lu AG09222 (anti-PACAP), which represents
a potential new therapeutic option for the treatment of
migraine, also progressed in line with expectations.
H. Lundbeck A/S
Lundbeck is a global pharmaceutical company specialised in
developing innovative treatments for brain diseases. The Lundbeck
Foundation owns 69% of the share capital and 76% of the votes
.
Management review
In Brief Strategy Partner to Society Strategic ownerships Asset management Group performance & sustainability Governance Consolidated financial statements Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 22
Financial performance
Sales
In 2025, Lundbeck achieved a record revenue of DKK
24,630m (DKK 22,004m), driven primarily by strong
performance in the U.S. and Europe. Revenue of
Lundbeck’s strategic brands increased by 15% to DKK
19,011m, representing 77% of total revenue.
Approximately 90% of the strategic brands growth was
attributable to the strong performance of Vyepti® and
Rexulti® in the U.S.
The U.S. constituted 56% of total revenue in 2025 and
represented Lundbeck’s largest market. Sales of the
strategic brands reached DKK 12,331m, increasing 20%
and representing 93% of the revenue in this market.
Vyepti® was the primary growth contributor, driven by
an increase in demand underpinned by new patient
starts, strong patient conversion, improved persistency
and increased 300mg utilisation. Europe also saw robust
revenue growth driven by higher sales across all
strategic brands. International markets revenue
declined, driven by generic competition for Brintellix® in
Canada, Brazil and China.
Operating profit
Cost of sales increased by 1% to DKK 4,265m in 2025,
mainly driven by costs related to a manufacturing
contract for amlenetug as well as an environmental
provision, partly offset by the reversal of the Vyepti®
provision for inventory obsolescence of DKK 389m,
triggered by Vyepti®’s commercial performance. The
gross margin was 82.7%, representing an increase of 1.9
percentage points compared to last year.
Sales and distribution costs reached DKK 7,743m,
corresponding to a decrease of 5%. The S&D ratio
decreased by 5.6 percentage points to 31.4%, primarily
reflecting leverage from the strong revenue growth and
improved cost efficiency. The S&D ratio development
reflects the successful execution of the Focused
Innovator Strategy in 2025 including the Trintellix®
transition in the U.S., alongside disciplined resource
allocation and capital reallocation.
Administrative expenses reached DKK 1,483m in 2025.
The administrative expenses ratio decreased by 0.5
percentage points to 6.0%.
R&D costs reached DKK 4,895m in 2025, with an R&D
ratio of 19.9%. The development in 2025 reflects the
continued commitment to innovation and was primarily
driven by advancing key pipeline programmes, including
bexicaserin and amlenetug, as well as ongoing progress
in anti-ACTH and anti-PACAP programmes.
Operating profit grew by 61%, thereby reaching DKK
5,275m in 2025. The operating profit margin reached
21.4% compared to 14.9% in 2024.
Net profit
Net financial expenses amounted to DKK 788m,
primarily driven by higher interest costs due to new
debt raised in connection with the acquisition of
Longboard as well as unfavourable foreign exchange
effects mainly due to the USD depreciation.
The effective tax rate for 2025 was 28.9% compared to
15.5% for 2024. The tax rate is negatively impacted by a
one-off item related to the conclusion of an agreement
with the tax authorities for the transfer of Vyepti®
product right as well as the effect of an impairment loss
regarding the planned divestment of Lundbeck
Pharmaceuticals Italy S.p.A. and the new commercial
operating model, where it is not expected that tax
deductibility can be utilised. Profit for 2025 reached DKK
3,192m (DKK 3,143m).
Revenue (DKKm)
2
4,630
Operating profit (DKKm)
5
,275
Net profit (DKKm)
3
,192
Number of employees (FTEs)
5,
461
Figures for 2024 are shown in brackets
Management review
In Brief Strategy Partner to Society Strategic ownerships Asset management Group performance & sustainability Governance Consolidated financial statements Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 23
ALK is a global specialty
pharmaceutical company focused on
allergy and allergic asthma. ALK
markets allergy immunotherapy (AIT)
and anaphylaxis treatments for people
with allergy. The Lundbeck Foundation
owns 40% of the share capital and 67%
of the votes.
ALK delivered on its long-term financial targets in 2025
following strong execution of strategic initiatives across
disease areas. Momentum is strong and the financial
position solid. 2025 marked the seventh consecutive
year of revenue and earnings growth in ALK. Results
clearly exceeded initial expectations with revenue
growing by 15% in local currencies and the EBIT margin
improving by 6 percentage points to 26%.
Delivering on the 25-in-25 EBIT margin target was a
significant milestone. ALK set this target in February
2021 on the back of the 2020 financial statements,
which showed an EBIT margin of merely 4%. This means
that ALK has been growing its EBIT margin by more
than 20 percentage points, while still allocating
significant resources to ongoing growth investments.
This has only been possible exclusively owing to careful
prioritisation and resource allocation to high-impact
growth levers.
ALK now has a solid earnings platform and is well-
positioned to continue delivering stable, high organic
growth while maintaining an EBIT margin of around
25% in the coming years. As ALK continues to upscale
operations, ALK’s strong financial position enables it to
increasingly look at inorganic growth opportunities such
as in-licensing and acquisitions, while also distributing
excess cash to shareholders.
Anaphylaxis
In 2025, ALK started launching the first-ever nasal
adrenaline spray neffy® (branded EURneffy® in Europe)
for emergency treatment of potentially life-threatening
allergic reactions (anaphylaxis). Under a license
agreement with US-based ARS Pharma, ALK holds
exclusive rights to the product in all territories outside
the U.S., Australia, New Zealand, Japan and China.
ALK’s roll-out initially focused on Germany and the UK,
the markets expected to become the most important
contributors to neffy® sales growth. EURneffy® was
launched In Germany in late June and had gained a
market share of close to 18% (by value) by the end of the
year. The launch in the UK followed in October and
attracted significant interest from healthcare
professionals, key opinion leaders and the media. neffy®
is currently under regulatory review in Canada and the
outcome of this process is expected in the first half of
2026.
In the U.S., ALK and ARS Pharma expanded their
partnership with a co-promotion agreement where ALK
is responsible for selling neffy® to approximately 9,000
named paediatricians.
Roll-out of paediatric tablets
The paediatric roll-out of the house dust mite (HDM)
tablet ACARIZAX®/ODACTRA® began in Europe in January
and progressed market by market, following subsequent
approvals and market access processes. By year-end, the
house dust mite tablet was approved for paediatric use
in 30 countries and launched in 21 of them.
The roll-out of the tree pollen allergy tablet
ITULAZAX®/ITULATEK® for children and adolescents
started in April, based on regulatory approvals from the
EU and Canada. By year-end, the tablet was approved
for children and adolescent use in 20 countries and
launched in 12 of these markets.
ALK-Abelló A/S
Management review
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Lundbeck Foundation Annual Report 2025 Page 24
New partner to expand market in China
In China, ALK partnered with Changchun GeneScience
Pharmaceutical Co. Ltd. (“GenSci”) to accelerate sales of
ALK’s house dust mite products in the country with the
highest number of house dust mite allergy sufferers
worldwide. GenSci plans to allocate a significant sales
force and conduct a wide range of market-building
activities to promote ALK’s products and become AIT
market leader.
ALK received DKK 244m in upfront payments from
GenSci. Until 2039 (the expected lifetime of the
partnership), ALK is further eligible for DKK ~300m in
milestone payments related to regulatory progress with
ACARIZAX® and commercial milestone payments of up
to DKK ~780m, subject to future in-market sales in
Mainland China. Furthermore, ALK will receive income
from supplying GenSci with products.
Ongoing Phase II clinical trials
The Phase II trial for the peanut SLIT tablet is on track
to deliver topline data in Q2 2026. Subject to these
results, ALK plans to progress into Phase III, and
preparations are ongoing. The U.S. FDA has granted a
Fast Track designation to the peanut programme,
enabling ALK to benefit from more frequent
interactions and additional guidance from the FDA.
ALK’s partner ARS Pharma initiated a Phase II clinical
trial with patients in the U.S. and Europe to evaluate
neffy® in the treatment of acute flares associated with
chronic spontaneous urticaria. First read-outs from this
trial are expected in 2026. ALK holds exclusive rights to
this and any other new indications for neffy® in the
licensed territories.
Financial performance
Sales
2025 revenue grew by 15% in local currencies to DKK
6,312m (DKK 5,537m), following double digit growth in all
sales regions. Respiratory tablets and anaphylaxis
products (Jext® and neffy®) were key contributors to
growth. Exchange rates impacted reported revenue
growth negatively by approximately 1 percentage point.
Revenue in Europe grew by 14% to DKK 4,459m (DKK
3,914m) on broad-based growth across the region,
including the region’s largest markets Germany and
France. Revenue in North America increased by 19% in
local currencies to DKK 1,037m (DKK 906m), fuelled by
tablets and Anaphylaxis & other products. The U.S.
business recovered from last year’s stagnation and
reported double-digit growth, while growth was even in
Canada, where tablets are the main product line.
Operating profit
Cost of sales increased by 5% in local currencies to DKK
2,078m (DKK 1,985m). The gross profit of DKK 4,234m
(DKK 3,552m) yielded a gross margin of 67% (64%),
driven by increased sales volumes, a more favourable
sales mix and production efficiencies.
R&D, sales and marketing and administration costs
increased by 6% in local currencies to DKK 2,581m (DKK
2,464m). R&D expenses increased by 15% to DKK 609m
(DKK 531m), mainly reflecting funding of the peanut
tablet clinical trial, pre-clinical development projects
and the bridging trial of ACARIZAX® in China. Sales and
marketing expenses increased by 3% to DKK 1,584m
(DKK 1,564m), driven by the launches of paediatric
tablets and neffy®. Administrative expenses of DKK
388m (DKK 369m) increased by 4%.
Operating profit improved by 53% in local currencies to
DKK 1,654m (DKK 1,091m), raising the EBIT margin to
26% from 20% in 2024. Progress was driven by higher
sales, improved gross margin and a lower capacity cost-
to revenue ratio of 41% (45%). Exchange rates impacted
growth in reported EBIT negatively by approximately 1
percentage point.
Net profit
Net financials showed a loss of DKK 19m related to
interest expenses and exchange rate losses.
Tax on profit totalled DKK 438m (DKK 242m), and net
profit increased by 43% in local currencies to DKK 1,197m
(DKK 815m).
Figures for 2024 are shown in brackets
Revenue (DKKm)
6
,312
Operating profit (DKKm)
1,
654
Net profit (DKKm)
1,197
Number of employees (FTEs)
2,7
37
Management review
In Brief Strategy Partner to Society Strategic ownerships Asset management Group performance & sustainability Governance Consolidated financial statements Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 25
Falck delivers preventive, acute and
rehabilitative healthcare services to
supplement and support established
healthcare systems. The Lundbeck
Foundation owns 58% of Falck.
In a year characterised by a high level of uncertainty in
all markets, Falck once again showed resilience in its
operations and made progress on strategic priorities.
However, financial results were less satisfactory. As a
result, Falck initiated a restructuring to reduce
complexity and increase efficiency and execution power.
In Europe, results were positively impacted by
significant contract wins in the ambulance business in
Denmark and Germany and higher demand for
healthcare services in Scandinavia. Industrial Fire
services also contributed positively with new contracts
and improved profitability, whereas Falck’s travel and
security assistance was negatively impacted by changing
travel patterns during the second half of the year.
In the Americas, results in the U.S. were negatively
impacted by lower revenue collection from ambulance
trips compared to last year's extraordinary performance,
salary increases resulting from new collective bargaining
agreements and exchange rate headwinds. In Latin
America, the decision by a major customer in Q3 2024 to
insource services had a sustained negative impact
during 2025. However, this was mitigated by increased
sales efforts, leading to the total number of
subscriptions in Colombia surpassing 500,000.
Organisational changes
In Q4, Falck consolidated the organisation from seven
business units into four regions, based on its
geographical strongholds: Scandinavia, Europe, the U.S.
and Latin America. The purpose was to reduce
complexity across service areas within these regions and
make the organisation simpler, more efficient and more
fit for purpose. The composition of the Executive
Management Team changed accordingly.
Towards the end of the year, Falck also implemented
changes at other levels of the organisation, aimed at
further increasing efficiency and reducing costs. As a
result, Falck said goodbye to a number of employees,
primarily in central and administrative functions.
The organisational changes will not impact service levels
for Falck’s customers.
Strategy unchanged
Falck’s corporate strategy, Care for More ’27, remains
unchanged and serves as the foundation upon which
the company is evolving into a leading, global
healthcare provider. The aim is to expand within four
geographical strongholds, primarily through organic
growth supported by carefully selected acquisitions,
while growing Falck’s profitability.
In 2025, Falck made significant progress. In Europe,
Falck successfully renewed major ambulance service
contracts in Denmark and Germany and began
preparations for the new contract in Catalonia, Spain,
which is set to launch in early 2026. In the U.S., Falck
secured extensions for the ambulance service contracts
in both Colorado and Alameda, California. LATAM
operations saw significant subscriber growth, and in
Scandinavia, Falck expanded its B2C and B2B businesses.
In addition, Falck piloted multiple new healthcare
services across markets.
Investments in digitalisation over the past few years
have created a solid foundation for more streamlined
and efficient back-office operations. Falck will now
focus on reaping the benefits and lower the overall level
of IT investments.
Falck A/S
Management review
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Lundbeck Foundation Annual Report 2025 Page 26
Financial performance
Sales
In 2025, revenue increased to DKK 12,495m (DKK
12,134m), corresponding to reported growth of 3.0%,
primarily driven by strong performance in Europe. The
growth in Europe stemmed from a combination of price
increases, significant contract wins in the ambulance
business and higher demand for both healthcare and
Industrial Fire services. The Americas also contributed to
organic growth, driven by price increases in the U.S. and
by a combination of higher subscription levels and price
increases in LATAM. Foreign exchange effects reduced
revenue growth by 1.1 percentage points.
Operating profit
Cost of services increased to DKK 9,535m (DKK 9,268m).
The increase was primarily driven by salary inflation in
the U.S. due to the new Collective Bargaining Agreement
(CBA) and higher activity in general. This was partly
offset by significant operational efficiencies in Europe.
Overall, the OPEX ratio decreased by 0.1 percentage
points to 75.9%.
Sales and administrative expenses increased to DKK
2,515m (DKK 2,404m). The increase was driven by salary
increases in the U.S. and strategic investments in sales
efforts in LATAM. These increases were partly offset by
efficiency initiatives in Europe. In 2025, investments in
digitalisation amounted to DKK 153m (DKK 213m), of
which DKK 99m related to digital foundation work and
DKK 54m to customer-oriented digital capabilities.
Overall, the SG&A ratio increased to 20.1% (19.8%).
Operating profit decreased by DKK 127m to DKK 333m
(DKK 460m), corresponding to an operating profit
margin of 2.7% (3.7%).
Net profit
Net profit was DKK 195m (DKK 116m). Net financial
expenses and income tax expenses decreased compared
to last year, more than offsetting the lower operating
profit.
Revenue (DKKm)
12
,495
Operating profit (DKKm)
333
Net profit (DKKm)
1
95
Number of employees (FTEs)
1
9,371
Figures for 2024 are shown in brackets
Management review
In Brief Strategy Partner to Society Strategic ownerships Asset management Group performance & sustainability Governance Consolidated financial statements Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 27
The Lundbeck Foundation holds
minority stakes in Ellab, Ferrosan
Medical Devices and WS Audiology,
three international leaders in their
fields with exposure to global and local
market dynamics.
Ellab
Ellab is the market-leading player within high-end
validation, monitoring and calibration solutions,
including field services primarily to life science
customers where accurate and complete
documentation is essential.
Ellab serves both small and large companies, including
the top 40 pharma and top 20 biotech companies in the
world. The company designs, develops and
manufactures high-precision equipment and software
for temperature, pressure and humidity validation and
monitoring.
Ellab has solutions for applications such as sterilisation,
freeze drying, environmental chamber testing,
depyrogenation, warehouse mapping, pasteurisation
and many more. The product portfolio comprises a
comprehensive range of wireless data loggers,
thermocouple systems, wireless environmental
monitoring systems, calibration equipment, software
solutions and accessories.
Ellab was established in Denmark in 1949. Today, Ellab is
headquartered in Hillerød, Denmark, and has a
worldwide presence, with R&D and production in
Denmark, 24 sales and service centres and over 50
distributors around the globe. Ellab has close to 800
employees, of which approximately 240 are in Denmark.
The Foundation owns 34% of Ellab in a partnership with
Novo Holding.
Ferrosan Medical Devices
Ferrosan Medical Devices (FeMD) is an international
medical device company that develops and
manufactures medical devices used in surgical care.
FeMD’s biomaterial devices are gelatine-based
adjunctive haemostatic agents used by clinical
professionals in the operation room to control
intraoperative bleeding in a fast and effective manner,
allowing surgeons to carry out surgery.
The portfolio of haemostatic devices includes three
formulations, flowable matrices, sponges and powder.
The devices are sold under the trademarks SURGIFLO™,
SPONGOSTAN™ and SURGIFOAM™, and are all marketed
and distributed in more than 100 countries through
FeMD’s partnership with J&J Medtech (previously
Ethicon, Inc., part of Johnson & Johnson).
In addition, FeMD develops and produces handheld
biopsy devices used by physicians for breast cancer
diagnostics. These are developed and distributed in
collaboration with a global partner.
Today, FeMD manufactures the second-generation
biopsy device at its manufacturing site in Poland.
Since 1947, FeMD has developed and manufactured
surgical haemostatic devices for use by healthcare
professionals. Today, FeMD has approximately 550
employees; 400 employees at the headquarters in
Søborg, Denmark, and 150 employees in Szczecin,
Poland.
The Foundation owns 30% of FeMD in a partnership
with Kirk Kapital and ATP.
Ellab,
Ellab’s Wireless Data Loggers
Ferrosan Medical Devices’
Surgiflo kit
Management review
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Lundbeck Foundation Annual Report 2025 Page 28
WS Audiology
WS Audiology (WSA) is a global leader in the hearing aid
industry. The company was created through a merger
between the family-owned Widex and EQT-owned
Sivantos in 2019 and was until April 2024 owned by T&W
Medical (51%) and EQT (49%). T&W Medical is owned by
the founding families of Widex, Tøpholm and
Westermann. In April 2024, T&W Medical entered an
agreement with the Foundation, whereafter T&W
Medical’s 51% stake in WSA was transferred to a
company – CN8 – in which T&W Medical owns 85% and
the Foundation owns 15%. The Foundation has through
CN8 an indirect ownership of 8% in WSA.
Widex dates back to 1956, and Sivantos dates back to
1878 and was originally part of Siemens.
WSA has its global headquarters in Lynge, Denmark, and
has 7 production sites around the world, R&D hubs in
Denmark, Germany, Singapore and India and global
sales from 45 offices. WSA operates under several
brands, Widex and Signia being the most well-known.
The mission of WSA - Wonderful Sound for All - is to
address the growing challenge of hearing loss. With
industry-leading innovation, a diverse portfolio of
solutions and a strong global presence, WSA is very well
positioned to help more people than any other hearing
aid manufacturer.
WSA currently produces around 1/3 of all hearing aids in
the world and has around 13,000 employees, of which
approximately 1,000 are in Denmark.
The Foundation owns WSA in a partnership with T&W
Medical and EQT.
Widex Allure RIC R D
Management review
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Lundbeck Foundation Annual Report 2025 Page 29
BioCapital is the Foundation’s
evergreen life science venture capital
fund. The fund creates and finances
biotech companies based on pioneering
research with the potential to deliver
significant innovation to patients in
areas of high unmet medical need.
Lundbeckfonden BioCapital experienced yet another
eventful year where many of our portfolio companies
made significant progress while some experienced
setbacks, reflecting the inherent risks associated with
biotech investments. During 2025, we continued to focus
on the local Danish biotech ecosystem, and the year saw
us close two new seed investments in Denmark.
2025 was also a year, where we accelerated our efforts
to engage with the wider ecosystem by publishing three
white papers covering topics from work culture &
recruitment, best practises in the venture industry as
well as capturing the Foundations experience from the
first three years of pre-seed funding through the
Frontiers grants.
From a global perspective, 2025 provided some relief in
the public markets as the second half of the year saw a
sustained rebound in share prices after four years of
stagnation. Sustained positive public-market sentiment
could lead to a reopening of the IPO window, supporting
fundraising across both public and private companies.
In an important year for Vesper Bio, the company
reported positive results from a Phase Ib/IIa study in
frontotemporal dementia (FTD). The study confirmed
that the company’s lead product, a potentially first oral
therapy for FTD, can normalise progranulin levels in the
Cerebrospinal Fluid (CSF). Progranulin is a key
biomarker, as a subset of FTD is caused by haplo-
insufficiency (a defect in one copy) of the progranulin
gene leading to reduced levels of progranulin. Following
these results, the company closed an investment from
The Association for Frontotemporal Degeneration
(AFTD) and the Alzheimer’s Drug Discovery Foundation
(ADDF). The funds will be used to extend the runway and
prepare for a pivotal study. In related news, Vesper’s
competitor Alector disclosed disappointing clinical data
from a pivotal study in FTD of a sortilin degrading
antibody and announced the termination of the
programme. Vesper’s clinical candidate VES001 is a
reversible sortilin inhibitor which, unlike sortilin-
targeting antibodies, preserves many sortilin functions
crucial for neuronal health not mediated by progranulin.
NMD Pharma received positive data from a Phase II
study in Charcot-Marie-Tooth disease (CMT), an
inherited, progressive and currently untreatable genetic
disorder characterised by muscle weakness, atrophy and
sensory loss. The results, which were announced in
January 2026, showed that patients treated with NMD
Pharma’s lead compound demonstrated improvements
across multiple pre-specified secondary endpoints
compared to placebo control. The results add to
previously published positive Phase Ib data in
myasthenia gravis, demonstrating the broad
applicability of ClC-1 inhibitors across neuromuscular
diseases. During the year, the company also executed on
Phase II studies in Myasthenia Gravis and Spinal
Muscular Atrophy scheduled to complete in 2026.
In 2025, SNIPR Biome initiated a Phase I/II study of
SNIPR001 for the prevention of blood stream infections
in haematological cancer patients, an area of significant
unmet need with no currently approved therapies. In an
eventful year, the company also closed a EUR 35m series
B funding round with participation from the Cystic
Fibrosis Foundation and the German Federal Agency for
Breakthrough Innovation (SPRIN-D) as well as existing
investors. The funding will support the development of
a CRISPR-Cas therapy specifically targeting airway
infections in people with cystic fibrosis (CF) and enable
the advancement of interventions designed to eliminate
antibiotic resistance genes in humans across various
bacterial species.
IO Biotech announced results from a pivotal Phase III
trial in advanced melanoma investigating the company’s
lead product Cylembio® in combination with KEYTRUDA®.
The study demonstrated a clinical benefit but narrowly
missed statistical significance on the primary endpoint.
Notably, progression-free survival in the so-called PD-L1-
negative patient subpopulation, who normally respond
poorly to KEYTRUDA®, increased with Cylembio®. IO
Biotech was advised by the U.S. Food and Drug
Administration (FDA) not to submit a Biologics License
Application (BLA), and in January 2026 the company
announced that it was exploring strategic alternatives.
Kvantify, one of our more recent investments, released
Qrunch, the first ever chemistry software for quantum
computers. The software will allow customers to
simulate complex chemistry problems on a quantum
computer with unprecedented performance. Prior to
launch, the software has been tested in a collaboration
with Novonesis, where it successfully modelled enzyme
catalysis. The software complements the suite of drug
discovery solutions Kvantify offers on traditional
Lundbeckfonden BioCapital
In 2025, our portfolio
companies delivered a
succession of positive clinical
results that, while not without
challenges, all pointed to the
future. For BioCapital, 2025
was also a year of resilience
and learning, teaching us that
drug development is not
al
ways a linear process, and
that perseverance and long
-
term vision is a key
determinant of success.
Management review
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Lundbeck Foundation Annual Report 2025 Page 30
computers. The company also closed a new EUR 5m
financing round, funding continued product
development and commercial roll out.
Our international portfolio also continued to make
progress as several companies reached significant value
inflection points generating positive momentum in
share prices and in some cases catalysing significant
transactions.
scPharmaceuticals continued to see strong uptake
following the successful launch of FUROSCIX®, reporting
strong growth into the first half of 2025. The commercial
success led to a trade sale to MannKind corporation in
August 2025. scPharmaceuticals was not the only
company in our portfolio that executed a transformative
deal in 2025, as the year also saw VarmX sign a strategic
collaboration and option agreement with CSL. Under the
agreement, VarmX shareholders received USD 117m
upfront and further potential milestone payments of up
to USD 2.1bn. In addition, CSL will fully fund VarmX’s
Phase III trial evaluating VMX-C001 in patients taking
FXa-based anticoagulants who require urgent surgery.
Enterome built on positive interim data from the
ongoing Phase II trial in indolent Non-Hodgkin
Lymphoma by raising USD 19m with participation from
the Institute for Follicular Lymphoma Innovation (IFLI)
as well as from existing investors. The funding will be
used to continue the development of the Non-Hodgkin
Lymphoma programme. In a separate programme,
Enterome presented positive data from a Phase II
colorectal cancer study.
Lexeo, Trevi, Spero and Enliven all provided positive
clinical updates from ongoing trials. During the year,
Lexeo announced a positive update from their Phase I/II
study of LX2006 in Friedreich Ataxia Cardiomyopathy,
reporting clinically significant improvements in cardiac
biomarkers as well as functional measures. The positive
data was rewarded by the FDA, who granted
Breakthrough Therapy Designation to the programme,
allowing accelerated clinical development and regulatory
review. Separately, Lexeo announced the first clinical data
from the LX2020 arrhythmogenic cardiomyopathy
programme, demonstrating transgene expression and a
67% reduction in premature ventricular contractions in
the first participant evaluated.
Trevi reported positive data from a Phase IIb study in
chronic cough in idiopathic pulmonary fibrosis (IPF),
confirming earlier Phase IIa data. In a remarkable year
for the company, they also presented positive results
from a Phase IIa study in patients with refractory
chronic cough, significantly expanding the potential
market for Haduvio. Meanwhile, in May Spero
Therapeutics announced that the pivotal Phase III
study of Tebipenem HBr in patients with complicated
urinary tract infections had met its end point sooner
than expected and therefore been terminated
prematurely. The successful study was followed by an
NDA submission in December, paving the way for
possible launch of the new antibiotic in 2026.
Enliven provided an update on their ongoing Phase I
study in Chronic myeloid leukaemia demonstrating
promising and potentially best-in-class efficacy and
tolerability data at 24 weeks.
During the year, four of our public companies
capitalised on the positive sentiment on Nasdaq to raise
additional funding to extend their runway and continue
clinical development. Enliven, Trevi and Lexeo
leveraged positive clinical trial data to raise USD 230m,
USD 115m and USD 234m, respectively, and Aura
Biosciences closed a USD 75m financing round enabling
the company to complete the ongoing studies in
choroidal melanoma and non-invasive bladder cancer.
There was also disappointing news from the portfolio, as
Cytoki discontinued the development of their lead
candidate, a lipidated IL-22 peptide, following the
completion of a Phase IIa study in obese diabetics. The
failure of the programme led to an impairment in the
valuation of the company.
Financial results
The net return for the year was DKK -265m, versus DKK
108m in 2024. The negative result mainly reflected an
impairment of Cytoki, necessitated by the discontinu-
ation of their lead candidate, which was partly offset by
an increase in the valuation of several portfolio
companies driven by clinical progress and overall
positive developments in public markets.
At year-end, the BioCapital portfolio comprised 18
companies, of which four were listed. The fair market
value of the portfolio was DKK 2,576m at 31 December
2025, compared to DKK 2,884m at the end of 2024. The
complete portfolio at year-end is listed to the right and
on the following page.
Public Portfolio Companies
Aura Biosciences’ first product candidate, the laser-
activated AU-011, is currently being investigated in a
Phase III study for the treatment of patients with small-
to-medium primary ocular melanoma.
Enliven Therapeutics is developing best-in-class small
molecule kinase inhibitors to treat cancer. The company
currently has two compounds in Phase I.
IO Biotech develops disruptive cancer immune
therapies, targeting immunosuppressive cells in the
local tumour environment.
Trevi Therapeutics is engaged in the late-stage
development of Haduvio™ (nalbuphine ER) for the
treatment of chronic cough for patients with idiopathic
pulmonary fibrosis.
Management review
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Lundbeck Foundation Annual Report 2025 Page 31
Private Portfolio Companies
Akamis Bio is a clinical stage company developing gene-
based, immuno-oncology treatments for solid tumours,
using its proprietary, intravenously administered T-SIGn
virus platform.
Cytoki Pharma is a biotechnology company focused on
serious diseases caused by epithelial injury with unmet
medical needs. The company’s lead programme is a
long- acting interleukin-22 for use in metabolic and
inflammatory disease, and other pathologies related to
epithelial tissue injury.
Dania Therapeutics is a discovery-stage company
developing first-in-class small molecule drugs to treat
Acute Myeloid Leukaemia (AML) and other cancers.
Enterome is pioneering the development of novel
microbiome-inspired peptide drugs. Enterome is
conducting Phase II studies in several treatment lines in
lymphoma.
Epoqe Pharma is a pre-clinical-stage biopharmaceutical
company focused on the development of novel
treatments for serious cardiovascular diseases.
Folium Science uses CRISPR technology to eliminate
harmful microbes and bacteria, while preserving the
beneficial ones, resulting in a healthier animal gut. The
technology has applications in the food and feed
industries, and the first product is aimed at controlling
salmonella in industrial chicken feed.
Kvantify is a commercial-stage company developing
quantum-ready software for computer-aided drug
design (CADD) to accelerate drug discovery.
NMD Pharma develops innovative medical treatments
for rare neuromuscular diseases based on world-leading
electrophysiology science. The company has three
ongoing clinical Phase II programmes.
Notify Therapeutics is a discovery-stage company
developing hormone-free small molecule drugs for the
treatment of infertility in women.
QuantumCell
Research, development and commercialisation of
pharmaceuticals.
SNIPR Biome is a clinical-stage company developing
new therapies based on the CRISPR gene technology.
The company’s technology enables gene therapy of the
microbiome or precision killing of bacteria. The lead
clinical product is designed to prevent bloodstream
infections caused by fluoroquinolone-resistant E. coli.
Sorriso is developing gastrointestinal tract-restricted
antibodies to treat inflammatory bowel disease (IBD)
and other inflammatory diseases. The lead candidate is
in Phase II development.
VarmX is a clinical-stage company developing a novel
reversal agent to safely and effectively restore
haemostasis in case of bleeding or emergency surgery in
patients taking oral factor Xa inhibitors.
Vesper Bio is developing new products focused on
central nervous system and peripheral diseases. The
lead programme, targeting frontotemporal dementia, is
currently in Phase II clinical development.
Management review
In Brief Strategy Partner to Society Strategic ownerships Asset management Group performance & sustainability Governance Consolidated financial statements Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 32
Invest generates returns with the
primary purpose of securing sufficient
reserves to protect the long-term
ownership of the Foundation’s
strategic ownerships, maintain
philanthropic grant activities and
increase the asset base. The financial
investments are spread across a
diversified investment portfolio.
2025 was another year marked by heightened
geopolitical tensions, political uncertainty and
continued market volatility.
The start of the year was positive for risk assets, but
global trade policy tensions in April prompted both a
significant stock market sell-off and substantial USD
depreciation. Financial markets recovered, however, and
global equity and credit markets advanced
approximately 8% and 1% in 2025, respectively,
measured in DKK, supported by falling central bank
interest rates and reduced trade tensions that
underpinned risk assets. The USD-DKK did not recover
and dropped 12% in 2025. A traditional 60/40
(equity/bond) portfolio hence produced a gain of
approximately 6% over the year (2024: 14%) measured in
DKK. Against this backdrop, Invest generated a very
satisfactory return in 2025 of 12%.
Global equity markets again delivered attractive gains,
but the dominance of U.S. stocks and particularly a
handful of U.S. mega-cap technology stocks (“Mag-7”)
moderated. U.S. equities rose at a healthy pace, driven
by resilient labour markets, firm household
consumption and an ongoing, though gradual, easing of
monetary policy. The annual total return of the S&P 500
ended at 17.9% in USD but only 4.1% when measured
in DKK.
In Europe, the STOXX Europe 600 index increased by
20.8% in DKK and performed comparatively better than
in 2024 and markedly better than global stock indices
measured in DKK. The improvement was supported by
declining inflation, a series of rate cuts by the European
Central Bank and tentative signs of stabilisation in
business activity. By year-end 2025, investors await for
the deployment of infrastructure and defence funds to
fuel industrial spending in the years ahead.
Consumers in the advanced economies held up
relatively well. The U.S. labour market stayed tight for
most of the year, and unemployment in Europe
remained low by historical standards. Lower interest
rates, accumulated savings and still‑solid wage growth
helped offset the drag from higher prices and
maintained support for private consumption, albeit
being under pressure in some areas.
China, the world’s second‑largest economy, remained a
source of concern in 2025. The country continued to
wrestle with a slow‑moving housing correction, elevated
leverage and subdued consumer confidence. These
headwinds weighed on Chinese equities, but despite
that, MSCI China gained 16.1% in DKK terms.
Return on the investment portfolio
Invest generated a solid positive return in 2025 of 12%,
primarily driven by listed equities, with additional support
from credit and the private equity portfolio. All asset
classes contributed positively.
The return was primarily driven by listed equities
delivering 20.3% in DKK terms, significantly outperform-
ing the 8.8% return on global equity markets. Industrial,
financial and utility sector investments contributed the
largest positive returns in absolute terms, while selected
consumer‑related holdings detracted from performance.
The investment in FLSmidth yielded a total return of 28%.
FLSmidth completed a successful transformation and
now stands as a pure-play supplier of technology and
services to the mining industry.
The bond portfolio generated a return of 1.9% versus the
benchmark return of 1.2%. Invest had a cautious view on
bonds and thus a low duration on the bond portfolio.
Duration was further reduced in 2025.
The credit portfolio delivered a return of 5.5%, which was
better than the benchmark portfolio yield of 4.6%. The
corporate high yield portfolio generated the highest
return, but overall returns were broad based. The
externally managed private debt and multi-asset credit
portfolio delivered satisfactory returns.
Private equity generated a return of 6.6%, which was
2.2%-points below the comparison benchmark portfolio.
Real assets, including real estate and woodland,
generated a positive return of 3.4%, which was 0.9%-
points above its benchmark.
Investment strategy
Invest generates returns with the primary purpose of (a)
securing sufficient reserves to protect the long-term
future of the Foundation’s strategic ownerships; (b)
increasing philanthropic grant activities; and (c)
increasing the overall asset base.
Invest manages DKK 26bn, which is allocated to listed
equities (56%), credit (9%), bonds and liquid funds (17%),
private equity (12%) and real assets (6%). Illiquid assets
represented 21% of the portfolio by year-end 2025.
Lundbeckfonden Invest
S
trong 12% return in 2025
reflected disciplined execution,
high quality equity holdings,
and resilient diversification
–
underscoring the strength of
long
-
term investment strategy
and active risk management
.
Management review
In Brief Strategy Partner to Society Strategic ownerships Asset management Group performance & sustainability Governance Consolidated financial statements Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 33
Invest Portfolio
The majority (60%) of the assets are managed internally
by the investment team. Listed equities are primarily
managed internally, credit is managed equally by in-
house and external teams whereas real asset
investments are mainly invested via partnerships (Obel-
LFI Ejendomme A/S and LFI Silva Investments A/S), while
private equity is fully outsourced.
The investment philosophy is centred around a long-
term fundamental investment focus with a balanced
approach to risk, quality and valuation. All investments
undergo a thorough due diligence process, and
investments are selected based on absolute return
potential and risk assessment.
Invest prefers quality companies whose revenues
undergo secular growth driven by forces that will likely
be in place for an extended period. Examples include
energy transition, IT technology and healthcare. Invest
also seeks investments in cyclical quality companies
with deep intrinsic value.
Long-term investment returns
Invest entered 2025 with a pro-risk portfolio view but
with an expectation of persistently elevated market
volatility due to the political and geopolitical landscape.
Invest is a fundamental long-term investor, which
enables it to exploit market volatility and short-term
mispricing. However, new investments are only
undertaken following a deep quality and margin of
safety assessment including a multi-layered risk
management framework. During the year, Invest added
quality exposure within cyclical segments of the equity
market, especially within the industrials sector to
increase exposure to the secular electrification theme.
Invest sustained its strong long-term performance in
2025, delivering annual total returns of 13.0% and 10.9%
over the past three and five years, respectively – signifi-
cantly outperforming the benchmark, which returned
10.7% and 6.2% over the same periods. Over five years,
Invest’s cumulative return amounts to 67.5%, compared
with 35.1% for the benchmark. Listed equities have been
the main driver of this performance, achieving annual
returns of 15.1% over the past five years.
The long-term returns endorse the investment
philosophy of investing in high quality companies across
different sectors with a goal of generating attractive
long-term return without compromising strong near-
term risk management.
Investment risk
Invest manages both short- and long-term investment
risks, ensuring adequate reserves to protect the long-
term future of the Foundation's strategic ownerships.
The main risk in relation to long-term returns is the
investment team's ability to select the right invest-
ments and external managers. Invest has developed a
structured process and a solid fundamental due
diligence investment framework for each asset class,
with the key aim of opting out of weak investments and
understanding the risks in each investment.
Portfolio construction considers the quality of the
investments, expected return potential, risk assessment
and overall knowledge level of the sector and company.
The portfolio is well diversified.
Invest has continuously strengthened its risk
management, primarily by improving the quality of the
listed stock portfolio through enhanced investment
processes and the incorporation of derivatives for
hedging. Recently, Invest adjusted its investment
strategy and process for credit and private equity.
Short-term risks mainly relate to external risks such as
geopolitics and macro risk. Invest manages these risks
ad hoc and seeks to take advantage of excessive market
movements based only on a fundamental long-term
view. During the year, Invest further strengthened its
portfolio construction flexibility to capitalise on market
volatility.
Investment portfolio
Market value (DKKm)
Return (%)
Assets
31.12.2025
31.12.2024
2025
2024
Bonds and liquid funds
4,399
3,467
1.9%
5.6%
Credit etc.
2,468
2,840
5.5%
11.7%
Listed equities
14,716
12,817
20.3%
20.5%
Private equities
3,177
2,851
6.6%
9.3%
Real assets
1,561
1,804
3.4%
-0.1%
Total
26,321
23,779
12.0%
14.1%
Return past five years (%)
24%
-6%
13%
14%
12%
-10%
0%
10%
20%
30%
2021 2022 2023 2024 2025
DKK 26bn
Management review
In Brief Strategy Partner to Society Strategic ownerships Asset management Group performance & sustainability Governance Consolidated financial statements Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 34
In 2025, the Lundbeck Foundation
Group delivered record revenue and
operating profit.
Exceeding the Foundation’s forecast of Group revenue
between DKK 42bn and DKK 43bn, the Group delivered
revenue of DKK 43,437m, largely attributable to
Lundbeck, which delivered record revenue of DKK
24,630m.
Group operating profit, at DKK 7,046m (DKK 4,569m),
also exceeded expectations, which were between DKK
6.2bn and DKK 6.6bn.
Group profit for the year, at DKK 6,111m (DKK 6,567m),
was mainly impacted adversely by financial expenses in
subsidiaries, share of profit of associates and income
tax.
Grants totalled DKK 825m (DKK 1,074m).
Operating activities
Reported revenue for the year increased to DKK 43,437m
(DKK 39,675m), primarily driven by Lundbeck and ALK,
which delivered record revenue of DKK 24,630m (+12%)
and DKK 6,312m (+14%), respectively. Revenue at Falck
increased by DKK 361m, corresponding to an increase of
3% on 2024.
Gross profit was DKK 27,559m, versus DKK 24,192m in
2024. The increase was primarily attributable to
Lundbeck, where gross profit increased by DKK 2,591m.
Gross profit at ALK and Falck increased by DKK 682m
and DKK 94m, respectively.
The Group’s gross margin was 63%, up from 61%
in 2024.
Research and development (R&D) costs increased to
DKK 5,543m (DKK 5,102m), corresponding to an increase
of DKK 441m. In 2024, R&D costs included Lundbeck’s
impairment loss of DKK 547m on part of the carrying
amount of one of the MAGLi projects following a
negative data read out.
Overall sales and distribution costs decreased to DKK
9,736m (DKK 10,087m), driven by lower costs at
Lundbeck of DKK 403m primarily reflecting leverage
from the strong revenue growth and improved cost
efficiency. Overall sales and distribution costs
represented 25% of total revenue in 2025 (25%).
Overall administrative expenses amounted to
DKK 4,146m (DKK 4,006m), with the increase largely
attributable to Falck and Lundbeck.
Financial performance
Revenue
+9
%
D
KK 43,437m
(DKK 3
9,675m)
Reported
revenue at ALK and
Lundbeck increased by 14% and 12%,
respectively, on 2024
.
Group operating profit
+
54%
DKK
7,046m
(DKK
4,569m)
The increase in Group operating profit
was primarily attributable to
Lundbeck (+DKK 2,005m) and ALK
(+DKK 563m
).
Net wealth
+
13%
DK
K 80,709m
(DKK
71,739m)
Th
is was primarily attributable to an
increase in ALK’s and Lundbeck’s share
price and the return of the
investment portfolio in Invest
.
Revenue
DKKm 2025 2024
Lundbeck 24,630
22,004
ALK 6,312 5,537
Falck
12,495
12,134
Total 43,437 39,675
Management review
In Brief Strategy Partner to Society Strategic ownerships Asset management Group performance & sustainability Governance Consolidated financial statements Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 35
The Foundation’s own net administration and operating
costs amounted to DKK 162m versus DKK 166m in 2024.
Total operating costs thus amounted to DKK 19,425m
versus DKK 19,195m in 2024.
Other operating items, net, amounted to an expense of
DKK 1,088m (expense of DKK 428m), primarily reflecting
an impairment loss of DKK 639m as part of the planned
divestment of Lundbeck Pharmaceuticals Italy S.p.A.,
and restructuring and redundancy cost in Lundbeck and
Falck totalling DKK 523m. In 2024, other operating
items, net, included transaction and integration costs of
DKK 420m related to Lundbeck’s acquisition of
Longboard.
Group operating profit increased to DKK 7,046m (DKK
4,569m). The improvement in profitability was primarily
attributable to Lundbeck and ALK, which saw increases
of DKK 2,005m and DKK 563m, respectively.
Investment activities
The Foundation’s investment activities generated
a profit of DKK 1,783m compared to a profit of
DKK 3,006m in 2024.
The investment portfolio in Invest generated a profit of
DKK 2,905m versus a profit of DKK 3,108m in 2024. In
both years, the return was primarily driven by listed
equities.
Meanwhile, the Foundation’s BioCapital portfolio
delivered a net loss totalling DKK 265m (net profit of
DKK 108m). The negative result mainly reflected an
impairment of Cytoki, necessitated by the
discontinuation of their lead candidate, which was
partly offset by an increase in the valuation of several
portfolio companies driven by clinical progress and
overall positive developments in public markets.
The Group’s profit share of the strategic minority
ownerships (associates) amounted to a loss of DKK
868m (loss of DKK 210m).
Tax
Tax on profit for the year amounted to DKK 1,754m (DKK
1,212m), corresponding to an increase of DKK 542m.
The effective tax rate of 22% (16%) is on par with the
Danish tax rate, although it is affected by several
opposing items, including deductible grants recognised
directly in equity, changes in the valuation of net tax
assets and prior‑year tax adjustments. In 2024, the
effective tax rate of 16% was primarily impacted by
Lundbeck’s reversal of an uncertain tax provision related
to a closed tax audit and by deductible grants
recognised directly in equity.
The net effective tax rate of the three strategic
subsidiaries was 27% (19%) impacted by changes in the
valuation of net tax assets and prior‑year tax
adjustments.
Net results and grants
In 2025, overall profit for the Group was DKK 6,111m (DKK
6,567m). The Foundation’s share of Group profit was
DKK 4,335m (DKK 5,068m).
The Foundation awarded a total of DKK 825m (DKK
1,074m) in grants in 2025.
Assets
Total assets at 31 December 2025 amounted to DKK
102,587m versus DKK 106,111m at the end of 2024.
Intangible assets amounted to DKK 42,204m at 31
December 2025 (DKK 47,495m). Product rights
accounted for DKK 28,158m (DKK 32,379m), mainly
driven by the negative impact from translation of
foreign currencies of DKK 2,927m. Amortisation of
product rights amounted to DKK 1,294m (amortisation
of DKK 1,433m and impairment of DKK 547m). Goodwill
at year-end amounted to DKK 11,448m (DKK 12,298m),
mainly driven by the impact from translation of foreign
currencies.
The Foundation’s financial assets at 31 December 2025
amounted to DKK 27,231m (DKK 25,290m), equivalent to
an increase of DKK 1,941m compared to year-end 2024.
Cash and bank balances at 31 December 2025 amounted
to DKK 5,563m (DKK 5,907m).
Equity and liabilities
Total Group equity at 31 December 2025 amounted to
DKK 63,505m (DKK 61,043m), reflecting an increase of
DKK 2,462m in 2025. The Foundation’s share of equity
increased to DKK 52,053m (DKK 50,280m).
At 31 December 2025, total debt to financial institutions
etc., including lease liabilities, decreased to DKK 15,794m
(DKK 21,635m). Consequently, net interest-bearing debt,
excluding the Foundation’s financial assets, amounted
to DKK 10,231m (DKK 15,728m).
Operating profit
DKKm
2025
2024
Lundbeck 5,275
3,270
ALK 1,654
1,091
Falck 333
460
Lundbeckfonden -162
-166
Other business -54
-86
Total 7,046
4,569
The Lundbeck Foundation’s share of equity and
debt to financial institutions
, etc.
0
10
20
30
40
50
60
2021 2022 2023 2024 2025
DKKbn
Equity Debt
Management review
In Brief Strategy Partner to Society Strategic ownerships Asset management Group performance & sustainability Governance Consolidated financial statements Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 36
Cash flow
Total cash flow from operating activities amounted to
DKK 8,312m versus DKK 5,598m in 2024. The cash flow
was affected by financial items and income tax by a
total outflow of DKK 1,589m (inflow of DKK 170m). In
2024, cash flow was negatively impacted by the
settlement of liabilities related to Longboard's long-
term incentive programme and transaction costs
associated with the acquisition.
Total cash flow from investment activities amounted to
an outflow of DKK 1,254m (outflow of DKK 17,263m).
Excluding the purchase and sale of financial assets, cash
flow from investment activities was an outflow of DKK
1,389m (outflow of DKK 17,983m), of which DKK 12m
(DKK 15,862m) relates to acquisition of businesses.
In 2025, the total cash flow from grants paid and
dividends paid to non-controlling interests amounted
to an outflow of DKK 1,039m (outflow of DKK 845m).
Furthermore, cash flow from financing activities
included a net outflow of DKK 6,229m regarding loan
repayments (net inflow of DKK 12,414m). In 2024, cash
flow was significantly affected by Lundbeck’s debt
funding related to the acquisition of Longboard.
Net cash flow in 2025 amounted to an outflow of DKK
256m (outflow of DKK 174m). At the end of 2025, the
Group’s cash balance totalled DKK 5,563m versus DKK
5,907m at the end of 2024.
Net wealth
At 31 December 2025, the Group’s net wealth amounted
to DKK 80,709m (DKK 71,739m). Net wealth was
significantly affected by the increase in ALK’s and
Lundbeck’s share price and the return of the investment
portfolio in Invest, which had positive effects of DKK
6,238m, DKK 2,070m and DKK 2,857m, respectively.
Outlook
The financial performance of the Group depends on
developments in the commercial activities of Lundbeck,
ALK and Falck, as well as returns generated by the
Foundation’s investment activities, including strategic
ownerships (Ellab, Ferrosan Medical Devices and WS
Audiology) and the biotech portfolio. Returns provided
by investment activities largely depend on the overall
performance of the financial markets, whereas returns
from the biotech portfolio also depend on the
development of products and similar factors at the
portfolio companies.
For 2026, Group revenue is expected to reach between
DKK 44.6bn and DKK 45.7bn. Group operating profit is
expected to be between DKK 7.6bn and DKK 8.1bn. The
expected increase in Group revenue and operating profit
compared to 2025 is related to expected higher revenue
and improvements at all subsidiaries.
These expectations are based on the exchange rates
prevailing at the end of January 2026.
Please refer to the respective annual reports of
Lundbeck, ALK and Falck for further details about the
companies’ individual expectations.
Lundbeck Foundation (parent entity)
The Foundation’s profit for the year amounted to DKK
619m versus DKK 2,822m in 2024. The 2024 result was
positively affected by dividends from Lundbeckfond
Invest A/S amounting to DKK 1,545m. Net financial profit
(excluding dividends) amounted to DKK 713m (profit of
DKK 1,451m).
In total, grants awarded in 2025 amounted to DKK
825m versus DKK 1,074m in 2024. Net grants amounted
to DKK 805m (DKK 1,060m) in 2025, as grants of DKK
20m (DKK 14m) were reversed or repaid during the year.
Subsequently, equity at 31 December 2025 amounted to
DKK 12,288m (DKK 12,474m).
Distribution of net wealth
Net wealth
DKKm Value
Contribution to
net wealth 2025
Strategic Ownerships
54,211 7,309
Invest
26,321 2,857
BioCapital
2,576 -221
Grants, corporate
functions, etc.
-2,399 -975
Net wealth
80,709 8,970
The strategic ownerships’ contributions to net wealth differed
from the contribution recognised and measured in accordance
with the accounting policies of the Lundbeck Foundation Group.
The fair value of the Foundation’s net assets is based on market
price
s, where available - for ALK and Lundbeck - and, for other
companies, an estimated fair value based on a trading
-multiple
model.
DKKbn 2026 outlook 2025
Revenue 44.6 – 45.7
43.4
Operating profit 7.6 – 8.1
7.0
Net wealth
DKK 81bn
Management review
In Brief Strategy Partner to Society Strategic ownerships Asset management Group performance & sustainability Governance Consolidated financial statements Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 37
The Foundation strives to improve lives through
healthcare innovation, with a specific focus on
neuroscience. Over the years, it has grown to become
one of Denmark’s largest enterprise foundations,
managing close to DKK 81bn. Its commitment to
sustainable development is rooted in its founding
principles, strategy and business model. Sustainability is
viewed both as a responsibility and a license to operate
– now and in the future – as well as an opportunity to
drive long-term value creation.
At the core of the Foundation’s business model is the
principle that its ownerships and investments generate
dividends and profits that are reinvested into society. In
2025, the Foundation awarded DKK 825m in grants and
contributed DKK 95m in investments to the Danish life
science ecosystem. As a Group, the Foundation
employed close to 34,000 people in 2025, reached more
than 40 million patients, and invested more than DKK
5.5bn in research and development. As a long-term
owner, the Foundation aims to support sustainable
business development and initiatives.
Research indicates that companies with enterprise
foundation ownership achieve higher environmental,
social and governance (ESG) performance, maintain ESG
activities even during financial crises, and commit to
more significant emission reductions in the post-Paris
Agreement period.
In 2024, the Foundation conducted a double materiality
assessment (DMA) based on its business model as both
an investor and a long-term owner. This assessment
enabled the Foundation to identify key impacts, risks
and opportunities from a sustainability perspective.
These insights were used to further integrate
sustainability into our operations during 2025.
Sustainability
Through its purpose and the 2030 strategy, ‘Bringing Discoveries to
Lives’, the Foundation has articulated a clear commitment to making a
positive societal impact. To achieve its purpose and execute its
strategy, the Foundation engages in a range of activi
ties that carry
their own sustainability impacts, risks and opportunities, and
sustainability is therefore managed throughout its business model
and activities
.
Management review
In Brief Strategy Partner to Society Strategic ownerships Asset management Group performance & sustainability Governance Consolidated financial statements Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 38
The Foundation’s commitment to society
The purpose, business model and 2030 strategy of the
Foundation provide a strong platform and clear
direction for its societal impact, focusing on health,
innovation, economic growth and good governance.
Sustainability through the
Foundation’s different activities
The Foundation’s role as a societal partner presents
both unique opportunities and significant
responsibilities. Its societal impact, risk and
opportunities are evident throughout its diverse
activities.
Activity: Strategic ownerships
The Foundation is the engaged owner of six strategic
ownerships with just under 48,000 employee, investing
close to DKK 7bn in research & development and
directly reaching approximately 44 million patients
globally through medicine, products and services.
The strategic ownerships entail a responsibility to foster
sustainable economic growth, create jobs and be a
responsible employer, ensuring a healthy and inclusive
working environment. The Foundation remains
committed to supporting long-term development and
helping its companies achieve global leadership in their
fields while emphasising innovation and social aspects
such as talent development, employee engagement, pay
equality and diversity.
Sustainability is a cornerstone of the Foundation’s
ownership model. While decisions are ultimately made
by the companies’ boards and leadership teams, the
Foundation actively encourages the integration of
sustainability measures and initiatives, as reflected in
their respective reporting. Through its board
representation, the Foundation promotes sustainability
agendas and ensures compliance with its sustainability
policy’s minimum standards.
All six strategic ownerships have greenhouse gas
reduction targets that are approved by the Science
Based Targets initiative. This framework provides a
defined path for reducing emissions. The Foundation
also leads initiatives to facilitate knowledge sharing and
promote sustainable practices across its ownerships,
including efforts to improve access to healthcare.
Asset Management: Biotech investments
Through new investments and its existing portfolio of 18
international and Danish life science companies, the
Foundation supports innovation in healthcare by
investing in people, businesses and science at the
forefront of their fields. Supporting the growth of
Danish life sciences and investing in the future of
healthcare are central to the Foundation’s biotech
investments.
The Foundation identifies companies and teams with
strong commercial potential that address unmet
medical needs through novel and/or superior
treatments. By taking a proactive approach that
combines guidance, policies, advisory support and
resource allocation, the Foundation works to embed
sustainable practices into the early stages of these
companies’ commercial development.
In 2025, the Foundation continued to develop and
implement its Sustainability Programme. This involved a
contribution to the Life Sciences VC Sustainability
initiative (LSVC). LSVC is a peer-led collaboration
between European life science venture funds focused on
concrete practical steps to strengthen the early-stage
life science ecosystem in Europe.
Asset Management: Financial investments
The Foundation’s financial investments ensure long-
term financial stability and robustness and allow the
Foundation to invest in the future of healthcare and
support new scientific research through grants and
partnerships.
The Foundation’s investment policy incorporates
environmental, social and governance (ESG) factors into
asset management and due diligence processes. All
financial investments must comply with ESG principles.
The listed equity portfolio undergoes a biannual
screening to ensure alignment with these standards.
Partner to Society: Supporting and
disseminating new knowledge
Brain diseases affect over 3 billion people worldwide,
causing significant personal and socio-economic
challenges. Despite these impacts, brain health remains
an under-prioritised research area. Addressing this is at
The Foundation’s Double Materiality Assessment
identified the following material sustainability
matters, pertaining to the role as long-term owner
and investor:
Health
Advancing health and especially brain health is a key
strategic pillar for the Foundation, through funding of
research, biotech investments, long-term ownerships of
healthcare companies and support for collaboration in the
research ecosystem.
People
Sound working conditions and inclusive corporate cultures
with focus on employee engagement and development are
crucial for retaining and attracting talent for the
Foundation and our portfolio companies.
Climate change
As a long-term investor and asset owner our capital can be
attributed towards the release of greenhouse gas emissions
in our portfolio. Climate change poses long-term risks to
health, society and economic stability, including the
sustainability of healthcare systems.
Business ethics & good governance
Business ethics and good governance are central to the
Foundation’s governance practices with a strong focus on
fostering ethical decision making across portfolio
companies, as well as in investment and grant-giving
processes.
Management review
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the core of the Foundation’s purpose and grant
activities.
In its grant activities, the Foundation is committed to
integrity, transparency and accountability. The
Foundation aims to support world-class scientific
research that drives positive outcomes and advances
the frontiers of knowledge. Best practices – such as the
Danish Code of Conduct for Research Integrity – and
environmental, social and governance (ESG)
considerations are integrated into the Foundation’s
grant processes. The Foundation also integrates impact
measurement into its grant requirements to enhance
the translation of research into tangible patient
outcomes.
Applications are handled and evaluated through a
rigorous assessment process, which includes peer
reviews conducted by international third-party expert
panels. These panels operate in compliance with the
Foundation’s principles of impartiality, ensuring a fair
and transparent evaluation.
Partner to Society: Active public voice
The Foundation actively works to build partnerships and
use its public voice to support its mission of driving
positive societal change. The Foundation’s public voice is
planned and conducted with strong attention to
principles of transparency, accountability and integrity,
and is shared publicly on the Foundation’s website:
https://lundbeckfonden.com/about-us/social-
responsibility-and-transparency/active-public-voice.
ESG Governance at the Lundbeck Foundation
Good governance is central to integrating sustainability
considerations into day-to-day business decisions and
strategy. As owner, investor and philanthropist, the
Foundation has many opportunities and a responsibility
to promote sustainable practices both inside and
outside its organisation. The Foundation does this with
a clear governance model based on four key principles:
• Compliance with Danish’s Recommendations on
Foundation Governance
• Board director independence
• Transparency in reporting and grant decisions
• Internal checks and balances in decision-making
The Foundation has implemented a clear sustainability
governance framework that is anchored in the Board of
Directors with the CEO having overall responsibility and
clear responsibilities distributed throughout the
organisation.
Moreover, the Foundation has developed policies to
guide key activities: grant administration, investments,
communication, tax, remuneration and sustainability.
The sustainability policy applies to the Foundation,
grant recipients, investments and ownerships,
encouraging the strategic ownerships and direct
investments to pursue ambitious sustainability agendas.
The goal is for the Foundation to fulfil a role in business
and society in a way that is environmentally, socially and
financially sustainable.
All policies can be found on the Foundation’s website.
The Foundation has also implemented a whistleblower
system, which can be used by external and internal
parties in case of concerns involving legal or other
serious risks. The whistleblower system can also be
accessed via the Foundation’s website. In 2025, one
report was made via the whistleblower system regarding
a portfolio company. The case has been closed.
Learn more about sustainability at
the Lundbeck Foundation Group
For more information on the Lundbeck Foundation’s impact as well
as important developments in 2025, please refer to the Foundation’s
Sustainability Report 2025
(
https://www.lundbeckfonden.com/en/sustainability).
This report is the Lundbeck Foundation’s statutory statement on
sustainability in accordance with sections 99
b
and 99d of the Danish
Financial Statements Act.
For information about Lundbeck, ALK and Falck’s approaches to
sustainability, please visit their websites
.
Management review
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Key ESG figures for the Foundation and
initiatives
Gender diversity
In 2025, the Foundation’s Board of Directors comprised
eight board members elected according to the statutes.
Seven of the eight board members were considered
independent. The eight board members counted two
women and six men, excluding the four employee
representatives who represent the Foundation’s three
subsidiaries.
The gender balance does not meet the guidelines on
gender equality issued by the Danish Business Authority
(‘Guidelines on target figures, policies and reporting on
the gender composition of management’), and
addressing this imbalance on the Board of Directors is
therefore a priority going forward.
When electing new members to the Board of Directors,
the board strives to ensure diversity in competencies as
well as gender. The board will continue to pursue equal
representation in the coming elections.
At 31 December 2025, the Management Team of the
Foundation comprised seven members, including the
CEO, and counts two women and five men. The
Foundation’s employee group counts 27 women out of a
total of 57. Diversity and inclusion will remain focus
areas for the Foundation in the years to come.
The Foundation’s greenhouse gas emissions
While the Foundation’s primary purpose is advancing
health, it recognises that its activities contribute to the
release of greenhouse gas. The Foundation’s climate
impact is primarily driven by scope 3 activities regarding
the investment portfolio. With regards to our
investment portfolio, the reporting covers most of our
assets. Please refer to the sustainability report for more
details, including accounting policies and
methodologies.
In 2025, emissions from international business travel
totalled 358 tonnes of CO2. To offset these emissions,
the Foundation purchases high-quality carbon credits.
ESG key figures
1
overview for the Foundation Unit 2025 2024 2023 2022 2021
Environmental data
2
CO2e Scope 1
3
Tonne 5 5 5 5 4
CO2e Scope 2 – Location-Based Tonne 8 7 8 9 11
CO2e Scope 2 – Market-Based Tonne
30 31 29 32 33
Scope 3 – Fuel and energy-related activities Tonne 11 11 11 12 12
Scope 3 – Business Travel (air travel) Tonne
358 332
Scope 3 – Investments Tonne
139,935
Energy consumption
3
MwH 225 217 213 233 234
Renewable energy share
3
% 68 69 68 62 61
Water consumption m3
517 409 341 336 266
Social data
Workforce FTE 55 53 47 43 41
Gender diversity, percentage of women in the workforce % 47 45 46 44 41
Members of the Management Team FTE 7 7 7 7 6
Gender diversity, percentage of women in the
Management Team
%
29 29 29 29 50
Gender pay ratio of men to women Times 1.7 1.8 1.8 1.8 1.6
Employee turnover ratio % 11 11 15 15 11
Absence due to sickness % 3.0 1.6 1.0 1.7 0.8
Governance data
Members of the Board of Directors FTE 8 7 7 7 7
Gender diversity, Board of Directors %
25 14 14 29 29
Board meeting attendance rate % 100 100 97 96 96
CEO pay ratio Times 19.1 18.8 19.4 17.9 19.1
1
) These key ESG figures are based on recommendations by the Chartered Financial Analysts’ (CFA) Society Denmark, the Association of Danish Auditors (FSR) and Nasdaq
Copenhagen. They represent a first step in a process that, over the coming years, will enable the Foundation to provide stakeholders with further insights into the
Foundation’s ESG profile.
2)
Comparative figures for business travel and investments are not presented. The full greenhouse gas inventory, presented from 2025, covers significant categories of own
operations and supply chain, as well as the investment portfolio, excluding government and mortgage bonds and real assets.
3
) The ESG metrics have been restated from previous years due to an updated methodology; Scope 1 to include company owned vehicles, energy consumption to use MwH as
opposed to GJ, and renewable energy share to reflect the energy mix from purchased electricity and district heating.
For information on accounting policies and methodologies applied to ESG
-related figures, reference is made to the Sustainability Report.
Management review
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Lundbeck Foundation Annual Report 2025 Page 41
The Lundbeck Foundation’s risk
management framework provides a
systematic approach to identifying,
monitoring, managing and reporting
risks and opportunities in a changing
environment.
The Lundbeck Foundation strives for a reasonable
balance between value creation and risk exposure in its
work to deliver on its longer-term strategic targets.
Risk assessment is an important part of the
Foundation’s business procedures, allowing it to
respond appropriately to changing circumstances and
to integrate risk management into the development of
the Foundation’s strategy. The risk management
framework includes a ‘top-down’ as well as a ‘bottom-
up’ approach to risk mapping, which identifies key risks
that the Foundation faces.
The most important risks relate to the business risks of
the Foundation’s strategic ownerships – particularly its
subsidiaries – as well as the financial risks related to its
portfolio of other investments. Assessing and mitigating
these risks is important for long-term value creation, as
well as for the ability of the Foundation and its
subsidiaries to execute on the strategy.
As a foundation with significant positions in the Danish
business and research communities, reputational risk is
an important factor. In relation to grant-making, there
is a strong governance framework in place to cover
these activities, setting high standards designed to
protect the Foundation from excessive risk.
Risk assessment and management
As a business owner and investor, risks are a natural and
integral part of the Foundation’s activities. However, by
incorporating risk management at both entity and
group level into the risk assessment framework, and by
balancing its capital allocation, the Foundation
mitigates risk to what it considers to be an acceptable
level.
The Foundation is faced with several types of risks,
including business, operational, cyber and market risks –
which cover fluctuations in interest rates, share prices,
exchange rates and credit spreads – as well as
reputational risks. Based on an understanding of its
ownerships and of its own internal operations, other
investments and grant activities, the Foundation
aggregates the various risk factors and identifies the
most important ones in terms of probability and
potential impact.
A risk analysis report – including proposed mitigating
actions – is prepared and submitted biannually to the
Foundation’s Board of Directors. More frequently,
updates on exposure to risk factors, such as industry
and geographical concentrations, are submitted to the
Investment Committee, which meets on a quarterly
basis. The Foundation’s Management Team monitors
the development of current and potential risks on an
ongoing basis.
The overall risk level is assessed in the risk reports. The
Foundation has a long-term horizon for its activities,
and the current strategy extends through 2030.
Similarly, the Foundation takes a long-term view of
potential risks and risk management, spanning at least
10 years.
Diversification across the Foundation’s different
investments and activities is a central part of the
Foundation’s approach to risk management, and this is
adjusted continuously, depending on the risk
assessment, to ensure that there are sufficient financial
resources to support the Foundation’s activities.
The risk assessment exercise has resulted in the
identification of a range of strategic, operational,
financial, political and reputational risks that could
potentially pose a threat to the Foundation. A key
priority for the subsequent work has been to ensure
that no single risk can materially damage the
Foundation, and that the Foundation would be able to
continue its operations and strategy should any one or
more of the risk factors materialise. To ensure this is the
case, each of the risks identified has an assigned owner
who is responsible for actively managing and mitigating
the risk.
The key risks that have been identified are presented in
the table on pages 43-44, together with details of the
mitigation measures that have been put in place. The
key risks relate to business risks in the strategic
ownerships, investment risks across the whole portfolio,
compliance, IT and legal risks, and grant and
reputational risks.
Risks related to the strategic ownerships
Business and financial risks associated with the
operation and performance of the Foundation’s six
strategic ownerships, Lundbeck, ALK, Falck, Ellab,
Ferrosan Medical Devices and WS Audiology, are most
effectively managed within each business. Consequently,
the boards of directors and management teams at each
individual company define their own enterprise risk
management.
The Foundation is represented on the board of each
strategic ownership and monitors the business
performance of the companies closely. Descriptions of
each company’s approach to risk management are given
by each of the companies in their own annual reports.
Risks related to the Foundation’s other investments
The Board of Directors defines the Foundation’s
investment policy, while compliance with the policy is
monitored by the Investment Committee.
The Foundation manages the market risk of its
investments by having limits for its exposure to
individual asset classes and their underlying assets that
also take into account the sectoral and geographic
exposure related to the strategic ownerships. This policy
covers the entire portfolio, including investments by
BioCapital.
Management review
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To manage interest rate risk, limits for the duration of
bond investments are defined. Derivative financial
instruments, such as swaps, options and forward
contracts, are used for risk management purposes and
as an alternative to buying the underlying assets.
The investment policy governs the use of such
instruments regarding maturity, quantity and
counterparty requirements.
Weekly portfolio performance reports are prepared for
the CEO.
Finally, all investments must comply with the
Foundation’s environmental, social and governance
(ESG) principles. The portfolio investments are
monitored for issues related to ESG principles. An ESG
status report is reviewed and approved by the CEO and
the Investment Committee twice a year. In 2025, no
investments were identified as being in violation of the
ESG principles.
Risks related to IT security
In recent years, several major cyber-attacks have been
launched against companies and organisations around
the world.
Each of the ownerships and the Foundation rely on their
IT platforms to run their businesses and the Group
owns various types of intellectual property rights.
Consequently, the Group is a potential target for cyber-
attacks or industrial espionage, and it is a strategic
priority to continuously improve cyber-security.
As IT platforms differ across the Group, cyber-security is
managed by each company and the Foundation
separately. Each has programmes designed to improve
resilience against cyber-attacks. In addition, cyber-risk
awareness campaigns are conducted regularly
throughout each organisation to minimise risks
resulting from phishing emails and similar threats.
Risk reporting and management
The Foundation’s risk reporting and management
framework is illustrated in the figure to the right.
[Image text]
Management review
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Risks and Mitigation (1/2)
Key business risks in strategic ownerships
The Foundation’s key investment risks
Risk
Poor business performance in the
Foundation’s strategic ownerships
Research and development risk in pharmaceutical
subsidiaries
and changes in the key markets
Supply, Quality & Product Safety in
pharmaceutical subsidiaries
Financial investments BioCapital portfolio
Context
P
erformance, ultimately resulting in value
destruction of the Foundation’s
shareholdings in the strategic ownerships
accounting for
67% of the Foundation’s
total net wealth
Lack of a successful pipeline in pharma
-ceutical
subsidiaries will limit long
-term growth and result
in value destruction
Regulatory or market dynamics, including impacts
from geopolitical instability, affecting key markets
Disruption of production and supply, and
defects in product quality or safety, and
potential loss of license to manufacture or
sell pharmaceuticals
Financial turmoil and possible
economic recession that affects the
financial investments which
account for 33% of the Foundation’s
total net wealth
Unsuccessful development and/or
commercial failure of biotech portfolio
companies accounting for 3% of the
Foundation’s total net wealth
Mitigation
The Foundation is an e
ngaged owner with a
focus on:
•
The overall strategy and key activities
•
Board and executive management
composition to ensure the right
competencies
•
A sound capital structure to support the
strategy
•
Good governance with delegation of duties
•
Representation on the boards
•
Diversification through several different
companies
•
The companies’ own risk management
procedures and their mitigating actions
In strategic ownerships:
•
Focus on research and development in areas with
unmet medical needs & ongoing evaluation of the
product pipelines and product benefits
•
Monitor political and regulatory developments in
key markets
•
Cooperation with healthcare authorities to
document the value of the companies’ products
•
Stringent process for managing price changes
The Foundation is an engaged
owner through:
•
Board and executive management composition
•
Representation on the scientific committees in
the subsidiaries
•
A sound capital structure to support research and
development
Supply chain and production resilience:
•
Initiatives to ensure resilience in production
and supply chain include monitoring,
production forecasting, safety stock supply
of key products, alternative supply strategy,
long-term contracts, reducing
manufacturing complexity and
management of key third parties
•
Rigorous pharmacovigilance system,
policies, procedures and surveillance to
ensure quality and safety of products
Diversified portfolio
Close monitoring of financial and
non
-financial risks in the portfolio
and dynamic hedging and
adjustment of exposure
Limits on market and concentration
risks through investment policy
Close monitoring of risks in the portfolio
and active
board participation
Diversified investment in a broad portfolio
of life science companies
Understanding risk in portfolio companies
and investing in tranches
Management review
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Risks and Mitigation (2/2)
The Foundation’s key investment risks
Key Group compliance, legal and IT risks
Key grant and reputational risks for the
Foundation
Risk
Exposure to the healthcare sector
Geographical exposure
Legal and compliance
IT security
Misuse of grants
Context
The Foundation purpose and strategy
result in a risk profile that is skewed
towards the healthcare sector, which
accounts for 63% of the Foundation’s total
net wealth
Geographic concentration risks across the
Foundation’s asset classes
Non-compliance with applicable laws,
industry standards and regulations
Loss, expiration or infringement of
intellectual property rights
Regulatory changes may affect future
profit and level of grants
Cyber-attacks and cyber-fraud
System down-time
Fraud or scientific misconduct by grant
recipients
Mitigation
Diversified financial investment portfolio
regulated in the investment policy
Ensuring competencies and resources to be
an engaged owner in the healthcare sector
Ongoing monitoring of geographic exposure
Hedging against exchange rate risk in key
currencies and financing of companies in
key currencies (strategic ownerships
)
Code of Conduct,
compliance programmes
and
employee training
Whistleblower system
Internal reviews and monitoring of
compliance with laws and industry
standards
Policies and processes to safeguard
intellectual property rights
Close monitoring and evaluation of
legislative proposals
IT policies and procedures are in place to
safeguard systems and data
Cyber
-defences are tested on a regular
basis
Transparent grants allocation processes
Peer reviews by external scientists
Status reports and budget follow
-ups
Code of conduct signed by grant recipients
Management review
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Lundbeck Foundation Annual Report 2025 Page 45
The Lundbeck Foundation is
committed to transparency and
integrity, operating under a clear
governance framework and relevant
policies that define the direction of the
operating model for the Foundation’s
broad range of commercial
investments and philanthropic grant
activities.
Enterprise foundations hold a unique and influential
position in Danish society. As majority owners of some
of Denmark’s largest companies and as significant
contributors to philanthropy, these foundations have
the capacity to influence social and economic
development in Denmark. Such influence carries
responsibility.
The Lundbeck Foundation is committed to transparency
and operates with a clear governance model that defines
the framework for both its commercial investments and
philanthropic grant activities. As an enterprise foundation
and majority owner of two listed companies, the
Foundation recognises its broad responsibility and the
need for robust governance practices.
The Foundation’s Board of Directors has established a
governance structure with clear roles, responsibilities,
and policies. The policies are regularly reviewed and
updated to ensure they remain relevant and effective.
The Foundation follows the recommendations issued by
The Committee on Foundation Governance, with two
exceptions:
• Board members’ tenure: In accordance with the
Foundation’s statutes, Board members are elected for
one year at a time, with the possibility of re-election.
This approach allows for regular evaluation of each
member’s contribution and ensures the Board’s
continued effectiveness.
• CEO bonus model: The Board of Directors has
decided to include a bonus component in the
remuneration of the CEO, who is also the CEO of the
Foundation’s holding company, Lundbeckfond Invest
A/S. The bonus is based on a combination of objective
criteria, including the financial results of the
subsidiaries, the Foundation’s investment activities
and the execution of the Foundation’s strategy. The
bonus elements are considered relevant to ensure
alignment between the CEO’s remuneration and the
Lundbeck Foundation Group’s short and long-term
development.
For a full overview of the Foundation’s compliance with
the Recommendations on Foundation Governance, cf.
section 77a of the Danish Financial Statements Act,
please use the following link:
(https://www.lundbeckfonden.com/en/foundationgovern
ance).
Further details on the Foundation’s governance
principles can be found on the Foundation’s website and
on the right-hand side of this page.
Foundation Governance
The Lundbeck Foundation’s four governance principles
Compliance
• As an enterprise foundation, the Foundation strives to adhere to the
Recommendations on Foundation Governance issued by the Danish Committee on
Foundation Governance
• Where the Foundation does not follow these recommendations, this is explicitly
stated and explained
Independence
• The Foundation is governed by the Board of Directors. The Board of Directors consists
of 12 members, of which eight are elected according to the statutes and four are
employee-elected representatives elected by Group employees
• Seven of the eight statute-elected board members (including the Chair) are
independent
• Former executives of the Foundation and its subsidiaries cannot be elected to the
Foundation’s Board of Directors
• In each strategic subsidiary, the Foundation’s Board of Directors is represented by one
board member elected according to the statutes
• The Chair of the Foundation cannot hold board positions in the Foundation’s
subsidiaries
Transparency
• The Foundation publishes its financial statements in alignment with listed companies
• All key policies and governance documents are publicly available on the Foundation’s
website
• Major decisions on philanthropic grants are proactively communicated via the
website, social media and the media
Checks and balances
• The Foundation’s organisational set-up is structured to safeguard a balanced
allocation of responsibilities and to avoid undue concentration of decision-making
authority
• All significant grant-making decisions are subject to external review by international
experts to ensure appropriate quality standards are met
Management review
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Organisational structure and ownership model
The Lundbeck Foundation Group consists of the
Lundbeck Foundation (parent entity) and entities
controlled by the Foundation, including its wholly-
owned investment and holding company Lundbeckfond
Invest A/S. The Foundation receives dividends from
Lundbeckfond Invest A/S, which are used to support the
Foundation’s philanthropic grant activities.
Lundbeckfond Invest A/S’ income is derived from:
• Dividends and returns from its portfolio companies
• Returns on financial investments
The Foundation’s commercial activities and grant-
awarding activities are managed separately. The Board
of Directors of the Foundation determines the overall
financial strategy, investment framework and
governance principles for the Group. Lundbeckfond
Invest A/S manages the Foundation’s commercial
activities within the framework defined by the
Foundation’s Board of Directors.
The Board of Directors
The Lundbeck Foundation is managed by the Board of
Directors in collaboration with the CEO.
In accordance with the statutes, the Foundation is
managed by a Board of Directors consisting of 6 to 12
members elected under the statutes, as well as any
members elected by Group employees. At least one of
the members of the Board of Directors must be a lawyer
or a prominent personality within trade or industry,
within the Danish medical profession or within medical
research.
The members of the Board are presented on pages
51-53.
The Board’s primary responsibilities include:
• Setting the Foundation’s overall strategy
• Making decisions of major significance or an
exceptional nature
• Making final decisions on the allocation of grants
• Supervising the organisation to ensure that the
Foundation is managed appropriately and in
accordance with applicable laws and the Foundation’s
statutes
• Approving the Foundation’s key policies, including
those for investments, communication and
remuneration
• Appointing the Foundation’s CEO
To ensure that the Board collectively possesses the
necessary competencies and experience to act in the
best interests of the Foundation, the Board of Directors
has developed three competency profiles that are used
when recruiting new members. These profiles are
designed to support the Foundation’s purpose and
strategic objectives and are defined as Commercial,
Finance and Science profiles.
Independence is a key principle in the composition of
the Board of Directors. The majority of the members of
the Board of Directors, including the Chair, are
independent, and none have previously held executive
roles in the Foundation or its subsidiaries.
The Board of Directors meets at least four times a year
and holds an annual seminar to review, discuss and
refine the Foundation’s strategy.
Board member’s attendance at meetings in 2025 Board meetings
Investment
Committee
meetings
Research
and Prize
Committee
meetings
Søren Skou, Chair of the Foundation and Lundbeckfond Invest A/S and Chair of
the Investment Committee since 12 March 2025
●●●●●
●●●●●●●●●
Lars Holmqvist, Deputy Chair of the Foundation and Lundbeckfond Invest A/S and
member of the Investment Committee since 12 March 2025
●●●●●
●●●●●●●●●
Morten Hummelmose, member of the boards of the Foundation and
Lundbeckfond Invest A/S and the Investment Committee since 12 March 2025
●●●●●
●●●●○●●●●
Naval Ouzren, member of the boards of the Foundation and Lundbeckfond Invest
A/S and the Investment Committee since 12 March 2025
●●●●●
●●●●●●●○●
Michael Kjær, member of the Research Committee
●●●●●
●●●●
Susanne Krüger Kjær, Chair of the Research Committee
●●●●●
●●●●
Svend Andersen, member of the Investment Committee
●●●●□
●●●●□●●●●
Thomas Mears Werge, member of the Research Committee
●●●●●
□●●□
Henrik Sindal Jensen, employee representative from H. Lundbeck A/S
●●●●●
Katja Barnkob, employee representative from ALK-Abelló A/S
●●●●●
Mikkel Helmer Nielsen, employee representative from Falck A/S
●●●●□
Morten Egholm Aagaard, employee representative from Falck A/S
●●●●●
Steffen Kragh, former Chair of the Foundation and Lundbeckfond Invest A/S and
member of the Investment Committee, stepped down on 12 March 2025
●●●●●
●●●●●●●●●
● Attended ○ Did not attend □ Conflicted
Management review
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Lundbeck Foundation Annual Report 2025 Page 47
To support its work, the Board of Directors has
established two committees: the Research and Prize
Committee and the Investment Committee. These
committees meet regularly to prepare and discuss
matters related to the Foundation’s grant and prize
activities and investment activities, respectively.
Active involvement in strategic ownerships
The Lundbeck Foundation is a long-term strategic
shareholder in six companies: Lundbeck, ALK, Falck,
Ferrosan Medical Devices, Ellab and WS Audiology. The
Foundation actively monitors the performance of the
companies and contributes to value creation as a long-
term owner, exerting influence through representation
on the companies’ boards.
Independence is fundamental to the Foundation’s
approach to strategic ownership. Board representation
in the Foundation’s strategic ownerships is structured
to ensure objective oversight and a clear separation of
roles. In the Foundation’s three strategic subsidiaries –
Lundbeck, ALK and Falck – the Foundation is
represented on the board by the CEO (who serves as
Deputy Chair) and a member of the Foundation’s Board
of Directors. In Falck, the representative is a former
Board member. In the Foundation’s other strategic
companies – Ferrosan Medical Devices, Ellab, and WS
Audiology – a member of the Foundation’s management
team serves on the board.
Grant governance
The Board of Directors has established a clear and
robust framework for the governance, administration
and oversight of all grant-making activities within the
Lundbeck Foundation through a dedicated grant
governance policy. Grant governance is a central
element of the Foundation’s overall governance
structure.
The grant governance framework is designed to ensure
that all grants are awarded in accordance with the
Foundation’s statutes and strategic objectives, and is
guided by four core principles:
• Compliance: All grant activities comply with
applicable laws, the Foundation’s statutes and
relevant codes of conduct, including research integrity
• Transparency: All grant processes and decisions are
documented and, where appropriate, communicated
publicly
• Fairness and equal treatment: All applications are
assessed consistently and impartially
• Accountability: Clear roles and responsibilities are
defined for all parties involved, with appropriate
oversight and reporting
Governance Structure
The Board of Directors holds ultimate responsibility for
all grant allocations. The Foundation operates under a
governance model, approved by the Danish Business
Authority, which allows the Board of Directors to
delegate grant mandates to executives, committees or
panels established by the Board of Directors. These
mandates authorise the implementation of the Board of
Director’s grant decisions within clearly defined
boundaries. Each body operates under formal rules of
procedure approved by the Board of Directors, and all
members are appointed by the Board of Directors and
subject to strict rules on impartiality and conflict of
interest.
Committees, panels, and executives report regularly to
the Board of Directors, typically through the Research &
Prize Committee, on their activities, decisions, and use
of mandates. The Board of Directors may establish ad
hoc evaluation committees and panels or consult with
international experts as required.
Research and Prize Committee
To facilitate grant and prize activities, the Foundation
has established a committee that serves as advisory
body, implements the Board of Director’s grant
decisions and submits recommendations according to
mandate set by the Board of Directors.
The Research & Prize Committee consists of three to
five Board members appointed for their research
expertise, in accordance with the statutes. The
committee meets at least four times a year, or as
required by special circumstances The CEO and the
Senior Vice President, Grants & Prizes, Director of
Science, neither of whom are members of the Research
and Prize Committee, assist the committee in its work.
The members of the Committee, who are also members
of the Grants and Prizes Panel (see below), are tasked
with:
• Advising and submitting recommendations for
decisions to the Board of Directors regarding
applications, prize nominations and strategic research
policy issues
• Implement the Board of Director’s grant decisions
• Supervising the implementation of the Foundation’s
strategy within grants and prizes
The selection committee for The Brain Prize
This committee reviews nominations for The Brain Prize.
All members are external and independent of the
Foundation, representing the highest level of expertise
in brain research.
Expert panels
The Foundation has established four expert panels to
evaluate applications and implement decisions on
grants.
The Grants and Prizes Panel
This panel comprises three to four members of the
Board of Directors appointed for their research expertise
according to the statutes as well as three external
experts from within the field of neuroscience. The panel
evaluates applications and implements decisions on
grants according to a grant mandate issued by the
Board of Directors of the following instruments:
• LF Fellows
• LF Professors and
• LF Collaborative Projects
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The Talent Panel
This panel comprises 13 – 17 external biomedical
research experts. The panel evaluates applications for:
• LF Postdocs
• Early-Career Clinician Scientist
• LF Ascending Investigators
• LF Experiments.
The Scientific Enrichment Prize Panel
The Scientific Enrichment Prize Panel comprises three
members with experience in handling diversity policies
in a variety of research environments. The panel
evaluates nominations for the Lundbeck Foundation
Scientific Enrichment Prize.
The Body – Brain Program Panel
This panel comprises six to eight members with
expertise in neuroscience and cardiometabolic diseases.
The panel evaluates and selects the applications for
approval by the Research & Prize Committee.
Executives
The Board of Directors issues annual grant mandates to
selected executives – the CEO and the Senior Vice
President, Grants & Prizes, Director of Science – to
implement the Board of Directors’ decisions on specific
grant activities. These mandates define the scope of
authority, evaluation and recommendation processes,
and reporting requirements.
Distribution of responsibility
The Senior Vice President, Grants & Prizes, Director of
Science, is responsible for managing day-to-day
operations in the Grants & Prizes department.
Investment governance
The Board of Directors has established an Investment
Committee to support the governance and oversight of
the Foundation’s investment activities. The Committee
consists of three to five members of the Board of
Directors, appointed for their investment and business
experience. Members are appointed annually by the
Board of Directors.
The Investment Committee meets four times a year, or
as required by special circumstances. Its main
responsibilities are to:
• Prepare decisions and recommendations for
consideration and approval by the Board of Directors
• Approve investments within the framework of the
investment policy
• Monitor the Foundation’s investment activities and
performance in accordance with the investment policy
approved by the Board of Directors
• Provide guidance to management on significant
investments and market developments
The Board of Directors retains overall responsibility for
investment management and annually reviews, and
approves both the investment policy and the terms of
reference for the Investment Committee.
Policies
Each year, the Board of Directors discusses and approves several
policies which are a vital part of the framework for the Foundation’s
activities.
Please find the Foundation’s policies at the Foundation’s websi
te:
https://www.lundbeckfonden.com/en/policies.
Management review
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Statutory report cf. section 77b
of the Danish Financial Statements Act
The Lundbeck Foundation’s grant activities are guided
by the following principles:
• Grants are awarded in accordance with the Lundbeck
Foundation’s statutes, applicable law and the
Lundbeck Foundation’s strategic objectives
• The grant policy ensures transparency regarding the
purposes, main categories and recipients of grants
• The Board of Directors is responsible for all grant
decisions and for ensuring that grants are awarded in
a manner that supports the Foundation’s purpose and
societal value
The Foundation’s grant activities are anchored in its
statutes, which set out two main purposes:
a. To consolidate and expand the activities of the
Lundbeck Group
b. To make distributions to the purposes set out in
Article 6 of the statutes
In accordance with the statutes, grants are allocated
within the following main categories, reflecting Article 6
of the statutes:
• Social causes
• Research
• Cultural purposes
• Relatives of the Founder
• Employees of the Lundbeck Group
• Subsidiaries
The Board of Directors exercises discretion to decide
which of the listed purposes to support, and to what
extent, within the framework set by the statutes and
applicable law. This means that grant allocations may
vary from year to year, and some purposes may receive
support in one year while others may not. This flexibility
allows the Foundation’s grant activities to be adapted to
strategic priorities and societal needs, as long as they
remain within the overall framework of the statutes.
The grant objectives listed under Article 6 of the
statutes are categorised as follows:
Grant policy
Statutes
Grant objective
Article 6a
(Relatives of the Founder)
The Foundation may make grants to descendants of the parents of the founder and her spouse.
Article 6b (Employees of the Lundbeck Group) The Foundation may provide financial support to, and otherwise make distributions for the benefit of, existing and former employees of the
Lundbeck Group, including for training and education, for holidays and for holiday purposes. In so far as there is no need in each individual case to
make distributions at any other time of the year, such distributions will only be made once a year on 20 July, which is the birthday of the deceased
Mr Hans Lundbeck, manufacturer.
Article 6c (Research) The Foundation may grant honorary awards to physicians, scientists and others.
Article 6d (Research) The Foundation may grant support for scientific purposes, primarily for specific projects.
Article 6e (Subsidiaries) The Foundation may support special research projects within the Lundbeck Group.
Article 6f (Research) The Foundation may grant support to hospitals and for disease prevention.
Article 6g (Research) The Foundation may provide support for training and education in the widest sense of the words, if relevant, by way of interest-free loans.
Article 6h (Research) The Foundation may make grants for nurses.
Article 6i (Social causes) The Foundation may distribute up to 3% of the profit for the year, before tax, less retained earnings, in subsidiaries and associates, including LFI a/s,
for the support of old and/or sick people, as well as those in need.
Article 6j (All categories) The Foundation may support other purposes, as decided by the Board of Directors. However, support for such purposes may only account for 25%
of the total annual distributions in each calendar year.
Management review
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Strategy focus
The Board of Directors has established a strategy for
fulfilling the Foundation’s statutory purpose. In line with
this strategy, the Board has decided that the
Foundation’s grant activities will primarily support
research in the health sciences, with the aim of
advancing understanding of the brain and promoting
better prevention, diagnosis and treatment of brain
diseases. This is directly reflected in the Foundation’s
2030 strategy and five strategic value flags:
• Top-tier neuroscience: Prioritising research that
advances understanding of the brain and the
development of new treatments for brain diseases.
• Close collaboration between research and business:
Supporting initiatives that foster collaboration
between universities, hospitals and companies.
• Leading healthcare companies: Developing and
maintaining international market leaders in
healthcare through active and engaged ownership.
• Attractive financial returns: Balancing grant-making
with the need for consolidation and robustness,
ensuring the Foundation can maintain and increase
its grant levels over time.
• Active public voice: Contributing to public debate and
increasing awareness of brain health and the
importance of research
Grant types
The Foundation primarily operates with the following
types of grants:
• Personal research grants within the health sciences,
focusing on projects that lead to increased
understanding of the brain and to better prevention,
diagnosis and treatment of brain diseases
• Strategic/thematic research grants within the health
sciences, aimed at advancing understanding of the
brain and improving prevention, diagnosis and
treatment of brain diseases
• Awards for outstanding researchers
• Grants for science communication and teaching
within national sciences and neuroscience subjects
from upper secondary level and onwards
Grants are mainly awarded through open competition
based on applications submitted in response to public
calls. However, grants may also be awarded without a
public call. Grant opportunities, criteria and deadlines
are published on the Foundation’s website. Applications
are assessed based on scientific quality, relevance to the
Foundation’s purpose and scientific and societal impact.
General terms and conditions
for research grants
All grant recipients must comply with the Foundation’s
General Terms and Conditions for Research Grants.
The Foundation expects researchers who receive
funding to conduct their research according to
recognised codes of Good Research Practice, including
the Danish Ministry of Higher Education and Science’s
Code of Conduct for Research Integrity, the Medical
Research Council’s Good Research Practice and the
International Society for Pharmacoepidemiology’s
Guidelines for Good Pharmacoepidemiology Practice.
This applies to all aspects of research, including
collaboration, data collection and analysis, funding
applications, publication of results and recognition of
contributions.
It is a prerequisite that researchers who receive funding
from the Foundation are affiliated with institutions that
have their own published codes and guidelines for Good
Research Practice, and that grant recipients comply with
such guidelines. In addition, these institutions must
have formally described procedures for handling any
suspicion of scientific dishonesty.
To be eligible for a grant from the Foundation, the grant
recipient, their host institution, and all researchers and
third parties affiliated with the research project must
comply with all laws and rules relevant to the research
project.
Management review
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Lundbeck Foundation Annual Report 2025 Page 51
Board of Directors
Søren Skou
C
hair
Considered independent
Born 1964
Male
Danish
Elected 2024
Lars Holmqvist
Deputy chair
Considered
independent
Born 1959
Male
Swedish
Elected 2015
Michael Kjær
Considered dependent
Born 1957
Male
Danish
Elected 2016
Morten Hummelmose
Considered independent
Born 1971
Male
Danish
Elected 2025
Board committee(s)
Chair
of the Investment Committee
Member
of the Investment Committee
Member of the Research and Prize Committee
and the
Grants and Prizes Panel
Member
of the Investment Committee
Shareholdings
75,000 B
-shares in H. Lundbeck A/S
200 shares in ALK
-Abelló A/S
Other board and
management positions
·
Chair of Bygma Gruppen A/S, Controlant hf., C.W. Obel
A/S, Danish Crown AmBA, The Mærsk Mckinney Møller
Center for Zero Carbon Shipping, HES International B.V.
·
Senior Advisor, Blackrock Global Infrastructure
Partners and chair of two portfolio companies (VTG
GmBH and Skyborn Renewables GmBH)
·
Member of the boards of H. Lundbeck A/S, ALK-Abelló
A/S and Vitrolife AB (Sweden)
·
Professor, Chief Physician, DMSc. Head of Institute of
Sports Medicine, Department of Orthopaedic Surgery,
Bispebjerg Hospital
·
Coordinating Professor (for Bispebjerg-Frederiksberg
Hospital), Institute of Clinical Medicine, University of
Copenhagen
·
Founder and member of the board of the Frececo
Foundation and CEO of Frececo ApS
·
Board Member of Human Rights Watch
·
Member of the Investment Committee in the EQT
Foundation
Education and
competencies
BSc (Econ) from Copenhagen Business School and MBA
from IMD in Switzerland
Extensive global leadership experience and expertise
within strategy and corporate development, capital
markets, risk management, investments, organisational
development and sustainability
Degree in Business Administration
Experience in management, finance, sales and marketing
in international life science companies, including
medtech and pharmaceutical companies
MD and DMSc
Scientific production within musculoskeletal and
metabolic research. Skills in research, development and
research evaluation. Experience in research management
and international scientific board work
MSc in Economics (Cand. Polit) from University of
Copenhagen and a master’s degree in finance from
London University
Extensive international experience in strategic leadership,
as well as private equity, investment and fundraising,
gained from a career at EQT Partners
Management review
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Lundbeck Foundation Annual Report 2025 Page 52
Nawal Ouzren
Considered independent
Born 1978
Female
French
Elected 2025
Svend Andersen
Considered independent
Born 1961
Male
Danish
Elected 2020
Susanne Krüger Kjær
Considered independent
Born 1955
Female
Danish
Elected 2014
Thomas Mears Werge
Considered dependent
Born 1962
Male
Danish
Elected 2023
Board committee(s)
Member of the Investment Committee
Member of the Investment Committee
Chair
of the Research and Prize Committee and the
Grants and Prizes Panel
Member of the Research and Prize Committee
and the
Grants and Prizes Panel
Shareholdings
1,182
shares in ALK-Abelló A/S
Other board and
management positions
·
CEO at Sensorion, a Euronext-
listed biopharmaceutical
company (France)
·
Non-Executive Director of the CRODA board
·
Investor and advisor
·
Advisor for London-based private equity companies
·
Professor, Copenhagen University Hospital
·
Head of Research, Unit of Virus, Lifestyle and Genes,
Danish Cancer Institute
·
Member of the Steering Committee of the Mermaid
project
·
Member of the board of Johannes Clemmesens
Research Foundation
·
Member of the Human Papillomavirus Prevention and
Control Board
·
Visiting professor, Johns Hopkins University,
Baltimore, USA
·
Professor at the Institute for Clinical Medicine,
University of Copenhagen
·
Research Chief at the Inst. Biol. Psychiatry, Mental
Health Services, Copenhagen University Hospital
·
Member of the working group of the
National Genome
Centre, and Member of the Strategic Research Council,
Copenhagen University Hospital
·
Principal Investigator, NIH & EU Initiatives on mental
disorders
·
Expert Witness (WADA) CAS, Court of Arbitration for
Sport, Lausanne (CH)
·
Member of the board of Sputnik Holding JAC ApS
Education and
competencies
M.Sc. in Chemical Engineering from the University of
Technology of Compiègne (UTC
)
More than 20 years of expertise in clinical development,
operational and strategic management roles within the
pharmaceutical industry
BSc in Economics and Business, and Graduate Diploma in
Bus
iness Administration, Sales & Marketing and
Organisation
Extensive international leadership experience in several
pha
rmaceutical sectors with a proven track record of
creating sustainable
value
MD and DMSc
Substantial scientific output within oncology. Skills in
research development, clinical cancer epidemiology,
research evaluation and innovation. Longstanding
experience within international research management
B.Sc. Biochemistry; M.Sc. Mol. Oncology; PhD, Mol.
Neuroscience
Substantial scientific output on Psychiatry and
Neurosciences. Skills in Genetics and epidemiology of
complex traits and disorders. Longstanding experience
in large
-scale, international initiatives
Management review
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Lundbeck Foundation Annual Report 2025 Page 53
Henrik Sindal Jensen
Born 1969
Male
Danish
Elected 2022
Katja Barnkob
Born 1969
Female
Danish
Elected 2022
Mikkel Helmer Nielsen
Born 1977
Male
Danish
Elected 2022
Morten Egholm Aagaar
d
Born 1976
Male
Danish
Elected 2022
Employee elected
Elected by the employees of H. Lundbeck A/S
Elected by the employees of
ALK-Abelló A/S
Elected by the employees of Falck A/S
Elected by the employees of Falck A/S
Shareholdings
1
,655 B-shares in H. Lundbeck A/S
480 shares in ALK
-Abelló A/S
Other board and
management positions
·
Senior Director in Corporate Business Development,
H. Lundbeck A/S
·
Senior Project Director, Global Clinical Development,
ALK-Abello A/S
·
Member of the Board of ALK-Abelló A/S
·
Head of Technology Fire DK, Falck Danmark A/S
·
Member of the Board of Falck A/S
·
Paramedic, Falck
·
Member of the Board of Falck A/S
Education
PhD Neuroscience
MSc Molecular Biology and BSc Chemistry
MSc
Biochemistry
Certified Business Economist (CBEcon)
Lieutenant Firefighter
Graduate Certificate in Business Administration
Management review
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Lundbeck Foundation Annual Report 2025 Page 54
Lene Skole
Born 1959
Female
Danish
Joined 2014
Arne Due
-Hansen
Born 1962
Male
Danish
Joined 2022
Christian Elling
Born 1968
Male
Danish
Joined 2012
Jan Egebjerg
Born 1962
Male
Danish
Joined 2019
Management position
Chief Executive Officer
Senior Vice President, Strategic Ownerships
Senior Vice President, BioCapital
Senior Vice President, Grants & Prizes, Director of Science
Shareholdings
61,270 B
-shares in H. Lundbeck A/S and 23,000 shares in
ALK
-Abelló A/S
NA
NA
NA
Board positions
Chair of the board of Ørsted A/S and d
eputy chair of the
boards of H. Lundbeck A/S*, ALK
-Abelló A/S*, Falck A/S*
and
Nordea Bank Abp
*
Board positions included in the position as CEO of
the Lundbeck Foundation
Chair of the board of Cresco Capital Services A/S and
deputy chair of the board
s of Obel-LFI Ejendomme A/S
and CN8 A/S
Member of the boards of Ferrosan Medical Devices Group,
Ellab Group
, WS Audiology A/S and LFI Silva
Investments A/S
Chair of the
boards of SNIPR Holdings ApS, SNIPR Biome
ApS and CytoKi Pharma ApS
Member of the boards of IO Biotech, Inc
, NMD Pharma
A/S
and QuantumCell ApS
Management review
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Lundbeck Foundation Annual Report 2025 Page 55
Mette Eistrøm Krüger
Born 1972
Female
Danish
Joined 2025
Peter Rothausen
Born 1972
Male
Danish
Joined 2018
Søren Christiansen
Born 1967
Male
Danish
Joined 2017
Management position
Senior Vice President,
People & Corporate Affairs
Senior Vice President, Financial Investments
and Head of Invest
Senior Vice President, Finance
Shareholdings
NA
NA
NA
Board positions
Member of the board of
CN8 A/S
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 57
Income statement 58
Balance sheet 59
Cash flow statement 61
Statement of changes in equity 62
Notes 63
1. Basis of preparation 63
2. Revenue 64
3. Employee costs 65
4. Incentive programmes 67
5. Depreciation, amortisation and impairment 70
6. Fees to auditors appointed at the annual meeting 70
7. Other operating items, net 70
8. Financial items 71
9. Tax on profit for the year 72
10. Grants 73
11. Intangible assets 74
12. Property, plant and equipment 79
13. Right-of-use assets 81
14. Biological assets 82
15. Investments in associates 82
16. Financial assets 83
17. Deferred tax 86
18. Inventories 88
19. Trade receivables 88
20. Contract assets 89
21. Liquidity 89
22. Capital base 90
23. Other reserves 90
24. Non-controlling interests 91
25. Provisions 93
26. Bank debt, bond debt and borrowings 97
27. Contract liabilities 100
28. Other payables 101
29. Adjustment for non-cash operating items 101
30. Working capital changes 101
31. Acquisitions and divestments 102
32. Financial risks and financial instruments 105
33. Contractual obligations, contingent assets and
liabilities, and collaterals 112
34. Related parties 114
35. Group overview 115
36. Material accounting policy information 119
37. Events after the balance sheet date 126
Financial statements
Lundbeck Foundation Group
Contents
Notes
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 58
Income statement
For the period 1 January – 31 December
DKKm Note 2025 2024
Revenue 2
Cost of sales 3-5 -15,878 -15,483
Gross profit
Research and development costs 3-5 -5,543 -5,102
Sales and distribution costs 3-5
-9,736 -10,087
Administrative expenses 3-6
-4,146 -4,006
Other operating items, net 7
-1,088 -428
Operating profit
Share of net profit of associates accounted for using the equity method 15 -868 -210
Financial income 8
Financial expenses 8
-3,538 -2,036
Profit before tax
Tax on profit for the year 9 -1,754 -1,212
Profit for the year
Profit attributable to:
Lundbeckfonden
Non-controlling interests 24
Profit for the year
Grants authorised, gross 10 825 1,074
Statement of comprehensive income
For the period 1 January – 31 December
DKKm Note 2025 2024
Profit for the year
Actuarial gains/losses 25 17 4
Tax 9
-4 -1
Items that will not subsequently be reclassified to the income statement
Currency translation reserve:
Currency translation, foreign subsidiaries
-1,727 786
Currency translation concerning additions to net investments in foreign subsidiaries
-1,493
Deferred gains/losses on cash flow hedge, exchange rate
Deferred gains/losses on cash flow hedge, interest rate
Deferred gains/losses on cash flow hedge, price
-40
-14
Exchange gains/losses, hedging (transferred to revenue)
-279 52
Tax 9
Items that may subsequently be reclassified to the income statement
-2,605 554
Other comprehensive income for the year, net of tax
-2,592 557
Total comprehensive income for the year
Attributable to:
Lundbeckfonden
Non-controlling interests 24
Total comprehensive income for the year
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 59
Balance sheet
At 31 December, Assets
DKKm Note 2025 2024
Goodwill
Product rights
Brands
Customer contracts
Other intangible assets
Intangible assets 11
Property, plant and equipment 12 6,026 6,031
Right-of-use assets
13
Biological assets 14 294 333
Tangible assets
Investments in associates 15 3,629 4,418
Financial assets 16
Deferred tax 17
Income tax
Other financial assets
Other non-current assets
Non-current assets
The 2024 comparative figures have been restated to reflect the final purchase price allocation as disclosed in note 31.1 Acquisitions of businesses, etc.
DKKm Note 2025 2024
Inventories 18
Trade receivables 19 6,170 5,677
Other receivables
Prepayments
Contract assets 20
Income tax
Receivables
Securities 21 1,239 300
Cash and bank balances 21 5,563 5,907
Current assets
Assets
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 60
Balance sheet
At 31 December, Equity and liabilities
DKKm Note 2025 2024
Capital base 22
Other reserves 23 786 2,891
Retained earnings
Lundbeckfonden's share of equity
Non-controlling interests’ share of equity
24
Total equity
Payable grants
Provisions 25
Deferred tax 17
Income tax
Debt to financial institutions and bond debt 26
Lease liabilities 26
Contract liabilities 27
Other payables 28
Non-current liabilities
The 2024 comparative figures have been restated to reflect the final purchase price allocation as disclosed in note 31.1 Acquisitions of businesses, etc.
DKKm Note 2025 2024
Payable grants
Provisions 25 1,557 1,702
Income tax
Debt to financial institutions and bond debt 26
Lease liabilities 26
Contract liabilities 27
Other payables 28
Current liabilities
Liabilities
Equity and liabilities
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 61
Cash flow statement
For the period 1 January – 31 December
DKKm Note 2025 2024
Operating profit
Adjustment for non-cash operating items 29 3,238 4,074
Adjustments related to acquisition of business 31
Working capital changes 30
-383 -459
Cash flows from operating activities before financial receipts and payments and tax
Financial receipts 915 1,315
Financial payments
-876
-402
Income tax paid -1,628 -743
Cash flows from operating activities
Acquisition of businesses 31
Div
estment of businesses 31
Investments in intangible assets 11
Inves
tments in property, plant and equipment 12
Disp
osal of intangible assets and property, plant and equipment
Inves
tments in associated companies
Inves
tments in financial assets measured at fair value through profit or loss
Sale of fi
nancial assets measured at fair value through profit or loss
Proc
eeds from securities and other financial assets
Cash
flows from investing activities
-1,254 -17,263
Cash flows from operating and investing activities (free cash flow) 7,058 -11,665
DKKm Note 2025 2024
Proceeds from loans and issue of bonds 26
Repayment of loans and lease liabilities 26 -10,761 -1,015
Purchase of treasury shares in subsidiaries
-20 -46
Sale of treasury shares in subsidiaries
Settlement of exercised share options and warrants
-26 -38
Dividends paid to non-controlling interests
-291 -213
Authorised grants paid
-748 -632
Cash flows from financing and grant-making activities
-7,314 11,491
Cash flows from operations -256 -174
Net cash flow for the year -256 -174
Cash at 1 January 21
Unrealised exchange rate adjustments for the year
-88 1
Cash at 31 December 21
-15,862
-1,134
-1,157
-2,002
-5,551
-12
-200
-1,240
-97
-6,301
-15
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 62
Statement of changes in equity
For the period 1 January – 31 December
DKKm Capital base
Other
reserves
Retained
earnings
Lundbeck-
fonden’s
share
of equity
Non-con-
trolling
interests’
share
of equity
Total
equity
Equity at 1 January 2025 4,937 2,891 42,452 50,280 10,763 61,043
Profit for the year - - 4,335 4,335 1,776 6,111
Other comprehensive income - -2,605 854 -1,751 -841 -2,592
Comprehensive income - -2,605 5,189 2,584 935 3,519
Grants for the year, net - -805 - -805 - -805
Provision for future grants - 1,305 -1,305 - - -
Non-controlling interests’ share of
dividends
Purchase of treasury shares in
subsidiaries
Change in non-controlling interests - - -15 -15 15 -
Incentive programmes - - 37 37 26 63
Valuation adjustment of repurchase
obligation of treasury shares
Other adjustments - - -20 -20 2 -18
Tax related to items recognised
directly on equity
Other transactions - 500 -1,311 -811 -246 -1,057
Increase of capital base 125 - -125 - - -
Equity at 31 December 2025 5,062 786 46,205 52,053 11,452 63,505
DKKm Capital base
Other
reserves
Retained
earnings
Lundbeck-
fonden’s
share
of equity
Non-con-
trolling
interests’
share
of equity
Total
equity
Equity at 1 January 2024 4,357 2,337 39,165 45,859 9,287 55,146
Profit for the year - - 5,068 5,068 1,499 6,567
Other comprehensive income - 554 -178 376 181 557
Comprehensive income - 554 4,890 5,444 1,680 7,124
Grants for the year, net - -1,060 - -1,060 - -1,060
Provision for future grants - 1,060 -1,060 - - -
Non-controlling interests’ share of
dividends
Purchase of treasury shares in
subsidiaries - - -32 -32 -14 -46
Sale of treasury shares in subsidiaries - - 2 2 4 6
Change in non-controlling interests - - 11 11 -11 -
Incentive programmes - - 37 37 21 58
Repurchase obligation of treasury
shares
Other adjustments - - 4 4 1 5
Tax related to items recognised
directly on equity - - 11 11 5 16
Other transactions - - -1,023 -1,023 -204 -1,227
Increase of capital base 580 - -580 - - -
Equity at 31 December 2024 4,937 2,891 42,452 50,280 10,763 61,043
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 63
Basis of preparation - continued
Note 1
Reporting entity
Lundbeckfonden (the Lundbeck Foundation) is
domiciled in Denmark. The Foundation’s registered
office is at Scherfigsvej 7, 2100 Copenhagen. These
consolidated financial statements comprise the Parent
Foundation and its subsidiaries.
Basis of accounting
The consolidated financial statements have been
prepared in accordance with IFRS Accounting Standards
as adopted by the EU and additional requirements of
the Danish Financial Statements Act. The consolidated
financial statements were approved by the Board of
Directors on 26 March 2026.
Details of the Group’s accounting policies are included
in this note and note 36 Material accounting policy
information.
Functional and presentation currency
Items included in the financial statements of each of
the Group’s entities are measured using the currency of
the primary economic environment in which the entity
operates (the functional currency).
The consolidated financial statements are presented in
Danish kroner (DKK), which is also the functional and
presentation currency of Lundbeckfonden (the Parent
Foundation). All amounts have been rounded to the
nearest DKK million, unless otherwise indicated.
Principal accounting policies
Apart from the general accounting policies, which are
described in note 36 Material accounting policy
information, some other relevant information is
specified in each of the individual notes to the
consolidated financial statements. The accounting
policies have been applied consistently in the
preparation of the consolidated financial statements for
all the years presented.
Acquisition of Longboard Pharmaceuticals, Inc.
On 2 December 2024, Lundbeck announced the
successful acquisition of Longboard Pharmaceuticals,
Inc. (’Longboard’). Through this transaction, Lundbeck
obtained control of Longboard by acquiring 100% of
Longboard’s share capital. The purchase price allocation
was finalised in 2025, and, consequently, the 2024
comparative information has been restated to reflect
final fair value of the Longboard’s net assets at the
acquisition date. The restatement affected only the
Statement of financial position (Balance sheet) and had
no impact on Statement of profit or loss or equity. For
further information see note 31.1 Acquisitions of
businesses, etc.
Use of judgements and estimates
In preparing the consolidated financial statements,
Management has made estimates and judgements that
affect the application of the Group’s accounting policies
and the reported amounts of assets, liabilities, income
and expenses. Actual results may differ from these
estimates.
Estimates and underlying assumptions are reviewed on
an ongoing basis. Revisions of estimates are recognised
prospectively. Management believes that the below
accounting estimates, assumptions and judgements are
significant to the consolidated financial statements.
Changes in material accounting policy information
New and amended standards adopted by the group
New and amended IFRS Accounting Standards and
interpretations issued by the IASB and endorsed by the
EU, effective on or after 1 January 2025, have not had a
significant effect on the consolidated Financial
Statements.
New standards and amendments issued but
not yet effective
Furthermore, new or amended IFRS Accounting Standards
and interpretations issued by the IASB that have not yet
become effective are generally not adopted until they
become effective and are endorsed by the EU.
Management does not anticipate any significant impact
on the consolidated Financial Statements in the period of
initial application from the adoption of these new
standards and amendments, except for IFRS 18
Presentation and Disclosure in Financial Statements,
which replaces IAS 1 Presentation of Financial Statements
and is effective from 1 January 2027. IFRS 18 is expected to
change the presentation of the income statement by
differentiating earnings from operating, investing, and
financing activities. IFRS 18 will also require additional
disclosures but is not expected to affect the Group’s
accounting policies for recognition and measurement
and, accordingly, is not expected to impact reported net
results.
Note 1
Basis of preparation
Principal accounting policies
Key accounting estimates, assumptions and judgements Notes
Provision for discounts and rebates Estimate of discounts and rebates in the U.S.
25
Income tax and deferred income taxes Judgement and estimate of deferred tax assets and liabilities and provision for uncertain tax positions 9,17
Intangible assets Judgement and estimates when determining the carrying amounts in connection with capitalisation of intangible assets
Estimate of the value-in-use methodology for impairment of intangible assets
11
Inventory Judgement and estimate of the provision for obsolescence 18
Financial assets Estimate of fair value of unlisted investments 16,32
Provisions and contingent assets and liabilities Estimate of ongoing legal disputes, environmental provisions, litigations and investigations 25,33
Business combinations
Judgement is particularly involved in the assessment of whether or not the net assets acquired constitute a business and in the
recognition and fair value measurement of assets acquired, liabilities assumed
31
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 64
Revenue - continued
Note 2
* Abilify long-acting injectable (LAI) franchise comprises the following products: Abilify Maintena®, Abilify Maintena® 960 mg, and Abilify Asimtufii®.
Note 2
Revenue
DKKm 2025 2024
Europe
19.003
17.504
North America 17.987
15.143
Rest of the world 6.447
7.028
Total 43.437
39.675
Brain diseases (Lundbeck)
24.630
22.004
Allergy treatment (ALK) 6.312
5.537
Ambulance Europe, Ambulance US, Fire Services, Employee and Labour Market services, Consumer and
Technical services and Community Health services (Falck)
12.495
12.134
Total 43.437
39.675
Revenue includes: 2025 2024
Sale of goods
29,565 26,813
Rendering of services 12,435 12,035
Downpayments and milestone payments
3 -
Royalties
1,434 827
Total
43,437 39,675
Revenue in Denmark 4,235 4,047
Brain diseases (Lundbeck)
DKKm 2025 2024
Abilify LAI franchise*
3,776 3,504
Brintellix®/Trintellix® 4,554 4,847
Cipralex®/Lexapro®
1,955 2,048
Rexulti®
6,205 5,202
Vyepti®
4,476 2,909
Other pharmaceuticals
2,998 3,180
Revenue by product
23,964 21,690
Other revenue 387 366
Effects from hedging 279 -52
Total
24,630 22,004
Allergy treatment (ALK)
DKKm 2025 2024
SCIT/SLIT-drops
2,145 2,052
SLIT-tablets 3,335 2,851
Other products and services
832 634
Total
6,312 5,537
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 65
Employee costs - continued
Note 2
Note 2
Revenue - continued
Falck
DKKm 2025 2024
Societal Care
6,545 6,405
Individual Care 4,743 4,628
Industrial Fire services
1,216
1,109
Eliminations -9 -8
Total
12,495 12,134
Note 3
Employee costs
DKKm 2025 2024
Wages and salaries
14,713 13,902
Share-based payments
105
95
Pensions 892 833
Other social security costs
1,480 1,515
Severance and other costs from restructuring activities
296
115
Total 17,486 16,460
The year’s employee costs are specified as follows:
Cost of sales 8,505 8,243
Research and development costs
1,798 1,575
Sales and distribution costs
4,303 4,208
Administrative expenses
2,427 2,313
Other operating items, net
357 29
Included in the cost of assets
96 92
Total
17,486 16,460
Average number of full-time employees during the year 27,632 27,437
Number of employees at year-end
33,624 33,959
DKKm 2025 2024
Remuneration in the Group including remuneration for board positions in subsidiaries:
Total remuneration to key management of Lundbeckfonden 18.5 18.3
Total remuneration (fees) to the Board of Directors of Lundbeckfonden
10.5 9.1
Total
29.0 27.4
Key management, Lene Skole, CEO
Salary 12.7 12.3
Cash bonus 3.7 4.0
Pension
1.8 1.7
Non-cash benefits (company car and telephone)
0.3 0.3
18.5 18.3
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 66
Employee costs - continued
Note 3
Fees to Board of Directors, DKK '000 Membership Board fee
Commit-
tees
Subsi-
diaries
2025 Total Board fee
Commit-
tees
Subsi-
diaries
2024 Total
Søren Skou Chair of the Foundation and Lundbeckfond Invest A/S and Chair of the Investment Committee since 12 March 2025
1,055 395 - 1,450 580 217 - 797
Lars Holmqvist Deputy Chair of the Foundation and Lundbeckfond Invest A/S and member of the Investment Committee since 12 March 2025 680 308 1,178 2,166 360 405 1,075 1,840
Michael Kjær Member of the Research Committee
375 386 - 761 360 370 - 730
Morten Hummelmose Member of the boards of the Foundation and Lundbeckfond Invest A/S and the Investment Committee since 12 March 2025
305 229 - 534 - - - -
Nawal Ouzren Member of the boards of the Foundation and Lundbeckfond Invest A/S and the Investment Committee since 12 March 2025
305 229 - 534 - - - -
Susanne Krüger Kjær Chair of the Research Committee
375 526 - 901 360 505 - 865
Svend Andersen Member of the Investment Committee
375 281 - 656 360 270 - 630
Thomas Mears Werge Member of the Research Committee
375 386 - 761 360 370 - 730
Henrik Sindal Jensen Employee representative from H. Lundbeck A/S
375 - - 375 360 - - 360
Katja Barnkob Employee representative from ALK-Abelló A/S
375 - 400 775 360 - 350 710
Mikkel Helmer Nielsen Employee representative from Falck A/S
375 - 275 650 360 - - 360
Morten Egholm Aagaard Employee representative from Falck A/S
375 - 275 650 360 - - 360
Steffen Kragh
Former Chair of the Foundation and Lundbeckfond Invest A/S and member of the Investment Committee, stepped down on 12
March 2025
210 52 - 262 1,080 270 - 1,350
Peter Schütze
Former Deputy Chair of the Foundation and Lundbeckfond Invest A/S and member of the Investment Committee, stepped down
on 12 March 2024
- - - - 140 53 135 328
Total
5,555 2,792 2,128 10,475 5,040 2,460 1,560 9,060
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 67
Incentive programmes - continued
Note 4
Lundbeckfonden
The Executive Management of Lundbeckfonden
participates in a short-term incentive programme that
provides an annual bonus for the achievement of pre-
determined targets. Bonuses under the programme
amounted to DKK 3.7m in 2025 (DKK 4.0m in 2024),
which was equivalent to 81% of the maximum, and will
be paid out with a delay of 12 months.
In addition, Lundbeckfonden has incentive programmes
to be able to attract and retain skilled and qualified
employees. The costs related to the programmes are
recognised as employee costs when there is certainty
about the amount due and the time of payment.
Subsidiaries
To attract, retain and motivate key employees and align
their interests with those of the shareholders, a number
of incentive programmes have been established in
Lundbeck, ALK and Falck. The Group uses short-term
incentive programmes that provide an annual bonus for
the achievement of pre-determined targets for the
financial year, as well as long-term, equity-based and
debt-based programmes, as described below.
Lundbeck
Lundbeck uses equity- and cash-settled programmes.
Equity-settled programmes
As from 2023, the Group has established a performance
share units (PSU) programme in substitution for the
previous restricted share units (RSU) programme for
Lundbeck’s Registered Executive Leadership Team and
key employees, as part of Lundbeck’s recurring long-
term incentive programme. The general terms and
conditions for the PSU programme are similar to those
applying to the RSU program. In 2024, the Registered
Executive Leadership Team and some key employees
were granted PSUs. The total number of units granted
to the above-mentioned employees is disclosed below.
The price of the granted shares is referenced to the
price of B-shares. The participants were selected based
on job level. All the PSUs/RSUs vest three years after
grant. Vesting is subject to the Board of Directors’
decision on vesting, to Lundbeck achieving certain
strategic and financial targets specified by the Board of
Directors, and to continuing employment with the
Group during the vesting period. The fair value of PSUs
and RSUs has been calculated based on the share price
reduced by an expected dividend yield of 2.00% p.a. The
fair value is disclosed below for each date of grant. At 31
December 2025, a total of 1.6 million instruments (1.4
million at 31 December 2024) were outstanding for key
management, including all ongoing programmes.
Cash-settled programmes
In 2025 and 2024, the cash-settled programmes
consisted of performance cash units (PCUs) and
restricted cash units (RCUs). The cash-settled
programmes cannot be converted into shares, as these
programmes are settled in cash.
As from 2023, the Group has established a PCU
programme in substitution for the RCU programme for
a few key employees in the subsidiaries. The general
terms and conditions for the PCU programme are
similar to those applying to the RCU programme. In
2025, their programme was re-established to only cover
an RCU programme. At 31 December 2025, the RCUs
granted to key employees totalled 11,258 RCUs (18,842
PCUs for the 2024 programme). All PCUs and RCUs will
vest three years after grant. Vesting is subject to the
Board of Directors’ decision on vesting, to Lundbeck
achieving certain strategic and financial targets
specified by the Board of Directors, and to continuing
employment with the Group during the vesting period.
The size of the amount depends on the value of the
Lundbeck share on the vesting date. The fair value at
the time of the initial grant was DKK 40.5 per RCU
(DKK 31.07 per PCU for the 2024 programme). The RCUs
granted in 2022 vested in 2025, after which the
programme was settled. The RCUs granted in 2021
vested in 2024, after which the programme was settled.
Fair value, liability and expense recognised in the
income statement
The PSUs/RSUs granted are recognised in profit or loss
for 2025 and 2024 at an expense corresponding to the
fair value at the time of grant for the part of the vesting
period attributable to each one. The total expenses
recognised in respect of equity-settled programmes
amounted to DKK 44m (DKK 45m in 2024). At 31
December 2025, the grant‑date fair value of unvested
equity‑settled awards outstanding was DKK 221m (DKK
192m at 31 December 2024).
The PCUs/RCUs granted are recognised in the Statement
of profit or loss at an expense for the year arising from
remeasurement of the fair value of the cash‑settled
liability. The total expenses recognised in respect of
cash-settled programmes amounted to DKK 16m (DKK
2m in 2024) and cover all cash-settled programmes in
force at 31 December 2025. At 31 December 2025, the
total liability in respect of cash-settled programmes was
DKK 17m (DKK 2m at 31 December 2024). The total
expenses recognised in profit or loss for all incentive
programmes amounted to DKK 60m in 2025 (DKK 47m
in 2024).
ALK
The incentive plans consist of share options,
performance share units, and restricted stock units that
are considered sufficiently covered by treasury shares.
Note 4
Incentive programmes
1) Lundbeck
introduced a performance share units (PSU) programme in 2023. Consequently, information for 2023 comprises details on PSUs, and information for 2021 and
2022 comprises details on RSUs. In 2025, a combined PSU and RSU was introduced which has consequently led to the grant of both PSU and RSU in 2025.
PSU and RSU programmes 1) 2025 2024 2023 2022 2021
Number of persons included in the programme
208
215
166
176
139
Total number of PSUs/RSUs granted 2,047,231
2,165,649
1,738,514
1,592,060
801,365
Number of PSUs/RSUs granted to the registered
Executive Management
373,188
470,009
407,514
385,659
173,905
Vesting date 01.02.28
01.02.27
01.02.26
01.02.25
01.02.24
Fair value at the date of grant, DKK 40.50
31.07
28.29
28.43
47.24
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 68
Incentive programmes - continued
Note 4
The share options entitle the holder to acquire one
existing B share of DKK 0.5 nominal value in the
company per share option. The performance share units
and restricted stock units entitle the holder to receive
one existing B share per performance share unit or
restricted stock unit free of charge.
The vesting period for both share options, performance
share units, and restricted stock units is three years
after grant. Vesting of share options and performance
share units is conditional upon certain targets being
met and upon the participant not having resigned.
Target achievement is met upon fulfilment of strategic
key performance indicators. In case performance is
below the threshold there will be no units vesting, and if
above target, a multiplier is applied that can increase
the vesting by up to 100%. Vesting of restricted stock
units is conditional upon continued employment.
The exercise of share options is possible in the trading
windows following the release of annual and interim
reports conditional upon the share option holder not
having resigned at the time of exercise. For performance
share units and restricted stock units, the final transfer
of ownership takes place at vesting three years after the
grant.
From the 2023 plans and onwards, a cap applies to the
maximum total value gain from share options,
performance shares, and restricted stock units at
exercise and/or vesting, respectively, granted in a
calendar year. The cap is four times the annual base
salary at the time of award of the share options,
performance share units, and restricted stock units
concerned.
Expensed in the income statement
In 2025, the total cost of share-based payments
included a financial expense of DKK 0 due to the
exercise and cash settlement of share options (2024:
Financial income of DKK 3m). The total cost included
DKK 18m related to adjustment in the share options and
performance share units (2024: DKK 22m).
Specification of outstanding share options, performance
share units, and restricted stock units:
The Board of Directors decided for three trading
windows in 2025 to settle share options by cash and a
total of 270,970 share options were exercised and total
cash payments amounted to DKK 20m.
In 2025 the Board of Directors decided not to settle
share options by shares and no share options were
exercised.
The Board of Directors decided for two trading windows
in 2024 to settle share options by cash and a total of
616,647 share options were exercised and total cash
payments amounted to DKK 33m. For two trading
windows in 2024 the Board of Directors decided to
settle share options by shares and a total of 77,168 share
options were exercised.
Share options
Performance share units
Restricted
stock units
Units
Board of
Management
Other key
employees
Total
Weighted
average exercise
price, DKK
Board of
Management
Other key
employees
Total
Board of
Management
1 January 2025 432,221 294,274
726,495 109
62,030 344,622 406,652
151,997
Additions 41,552 61,698
103,250 140
36,857 102,460 139,317
-
Exercised/settled - -182,714
-182,714 139
-4,060 -115,240 -119,300
-
Change in Board of Management -59,234 59,234
- - -12,511 12,511 - -
Cancellations -7,287 -
-7,287 -
-6,479 -4,681 -11,160
-
31 December 2025 407,252 232,492
639,744 105
75,837 339,672 415,509
151,997
Total number of vested share options
47,022
Average remaining life at year-end (years)
4.3
Exercise prices at year-end (DKK)
104-148
1 January 2024 487,811 766,268
1,254,079 95
28,263 387,116 415,379
151,997
Additions 49,945
116,286
166,231 126
39,983 154,125 194,108
-
Exercised/settled -105,535
-588,280
-693,815 92
-6,216 -175,980 -182,196
-
Cancellations -
-
- -
- -20,639 -20,639
-
31 December 2024 432,221
294,274
726,495 109
62,030 344,622 406,652
151,997
Total number of vested share options
103,656
Average remaining life at year-end (years)
4.3
Exercise prices at year-end (DKK)
76-148
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 69
Incentive programmes - continued
Note 4
Outstanding share options, performance share units
and restricted stock units have the following
characteristics:
Fair value of share options, performance share units,
and restricted stock units granted
Share options
Fair value at grant date is measured in accordance with
the Black & Scholes model for valuation of share
options, using the following assumptions:
Performance share units
In 2025, performance share units have been granted at
DKK 140 per share (2024: DKK 126 per share).
Restricted stock units
No restricted stock units were granted in 2025 or 2024.
Falck
The remuneration of the members of the Executive
Committee consists of three key components: base
salary, a short-term incentive plan and a long-term
incentive plan.
Falck’s short-term incentive programme is a cash-based
one-year programme with focus on financial,
commercial and ESG KPIs.
The long-term incentive programme is a cash-based
incentive on a three-year performance period with an
50% EBIT target, 40% on the implementation of
strategic Care for More '27 initiatives, and 10% on CO2
reduction at the end of the three-year period.
Group
Recognised expenses, DKKm 2025 2024
Recognised expenses concerning
equity-based schemes
89
96
Recognised expenses concerning cash-
based schemes
16
2
Total recognised expenses 105
98
Share options Performance share units
Restricted stock units
Plan Units
Exercise price,
DKK
Vested as per
Exercise
period (years)
Units Vested as per
Units Vested as per
2021 Plan - 128 01.03.2024 2
01.03.2024
2022 Plan 47,022 154 01.03.2025 2
01.03.2025
20213Plan 84,433 104 01.04.2026
4
148,408 01.04.2026
2023 Plan, special 323,519 82 01.06.2026
4
2023 Plan, special
21,925 01.03.2026
2023 Plan, special
130,072 01.11.2026
2024 Plan 86,273 126 01.04.2027
4
133,140 01.04.2027
2025 Plan 98,497 140 01.04.2028
4
133,961 01.04.2028
31 December 2025
639,744
415,509 151,997
2025 Plan 2024 Plan
Average share price (DKK) 140 126
Expected exercise price (DKK) 140 126
Expected volatility rate, based on the historical volatility 40% p.a. 40% p.a.
Expected option life 5 years 5 years
Expected dividend per share - -
Risk-free interest rate 2.13% p.a. 2.29% p.a.
Calculated fair value of granted share options (DKK) 53 48
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 70
Depreciation, amortisation and impairment - continued
Note 5
The amounts include gains and losses on disposal of
intangible and tangible assets.
Note 6
Fees to auditors appointed
at the annual meeting
PwC audits the consolidated financial statements of the
Lundbeck Foundation and a majority of the subsidiaries’
financial statements.
The fee for non-audit services provided to the Group by
PricewaterhouseCoopers Statsautoriseret Revisions-
partnerselskab, Denmark, consisted of limited assurance
of the sustainability statements, consultancy services,
other assurance services and other accounting and tax
advisory services.
In December 2025, the Lundbeck’s Board of Directors
approved a plan to divest a non-core production site in
Italy, a wholly owned subsidiary. The divestment of the
production site is expected to be completed within one
year from the reporting date. As a result of this decision,
an impairment loss of DKK 639m has been recognised in
other operating expenses, net, in 2025, as the carrying
amount exceeded the recoverable amount determined.
The recoverable amount was based on fair value less
costs of disposal and was determined based on
information available at the reporting date. The fair
value measurement is categorised as level 2 in the fair
value hierarchy.
A breakdown of the impairment loss by asset class is
presented below
DKKm Note 2025
Intangible assets
11
16
Property, plant and equipment 12
430
Inventories 18
169
Other assets
24
Total impairment loss
639
See note 31.1 for information on transaction costs
related to acquisitions and divestments and integration
costs.
In 2025, the change in value of biological assets and
related land included a reversal of impairment on
property and land of DKK 3m (impairment of DKK 8m in
2024).
Note 5
Depreciation, amortisation and impairment
DKKm 2025 2024
Depreciation, amortisation and impairment are specified as follows:
Cost of sales 2,294 2,387
Research and development costs
231 641
Sales and distribution costs
112 109
Administrative expenses
162 153
Other operating items, net
433 -15
Total
3,232 3,275
DKKm 2025 2024
Administrative expenses include fees to the Group auditors appointed at the annual meeting in the
amount of:
Statutory audit 28
26
Assurance engagements other than audit 4
5
Tax advisory services 6
2
Other services 3
2
Total 41
35
DKKm 2025 2024
Transaction costs related to acquisitions and divestments
-2 -211
Impairment loss, cf. below -639 -
Change in value of biological assets and related land
-9 1
Gain on sales of assets, net
11 23
Redundancy and restructuring costs, etc.
-437 -243
Other operating items, net
-12 2
Total
-1,088 -428
Note 7
Other operating items, net
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 71
Financial items - continued
Note 8
In 2024, as part of the business combination, Lundbeck
entered into a deal-contingent forward (foreign
exchange contract) to mitigate the foreign exchange
risks associated with the acquisition of Longboard. The
derivative was designated at fair value through profit or
loss and amounted to DKK 380m. The contract was
entirely settled with the closing and cash payment of
the acquisition of Longboard.
Note 8
Financial items
Lundbeck, ALK and Falck BioCapital Invest etc. Group
DKKm 2025 2024 2025 2024 2025 2024 2025 2024
Financial income
Interest on financial assets measured at amortised cost
251
299
-
-
-
-
251
299
Interest on financial assets measured at fair value through profit or loss - - - - 176 269 176 269
Interest on receivables from associates
- - 1 11 - - 1 11
Dividends from associates
-
-
-
-
25
-
25
-
Dividends from portfolio investments - - - - 309 353 309 353
Gains on financial assets at fair value through profit or loss
2 392 643 753 3,747 3,248 4,392 4,393
Fair value adjustment of contingent considerations
1 60 - - - - 1 60
Exchange gains
28 26 - - 7 18 35 44
Other financial income
8 7 - - 27 20 35 27
Total financial income
290 784 644 764 4,291 3,908 5,225 5,456
Financial expenses
Interest on financial liabilities measured at amortised cost 655 342 - - 5 40 660 382
Interest component, discounted liabilities
35 39 - - - - 35 39
Losses on financial assets at fair value through profit or loss
10 14 883 656 1,319 735 2,212 1,405
Fair value adjustment of contingent considerations
90 39 - - - - 90 39
Exchange losses
401 56 - - 34 10 435 66
Losses from divestment of enterprises
- 15 - - - - - 15
Other financial expenses
63 69 26 - 17 21 106 90
Total financial expenses
1,254 574 909 656 1,375 806 3,538 2,036
Net financials -964 210 -265 108 2,916 3,102 1,687 3,420
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 72
Tax on profit for the year - continued
Note 9
Uncertain tax positions
The Group operates in a multinational tax environment.
Complying with tax rules can be complex, as the interpret-
tation of legislation and case law may not always be clear
or may change over time. In addition, transfer pricing
disputes with tax authorities may occur. Management’s
judgements are applied when estimating the expected
outcome of disputes or interpretational uncertainties.
Provisions for uncertain tax positions are determined by
using the ‘most probable outcome’ or ‘single best
estimate’ method, depending on the type of uncertainty.
At 31 December 2025, uncertain tax positions comprise a
liability of DKK 363m (DKK 449m at 31 December 2024)
and an asset of DKK 120m (DKK 128m at 31 December
2024). Uncertain tax positions are recognised as current
tax. Management believes that the provision is
adequate. However, the actual obligation may differ
from the provision made and depends on the outcome
of litigations and settlements with the relevant tax
authorities.
Global minimum top-up tax (Pillar Two)
The Group is within the scope of the OECD Pillar Two
model rules, and it applies the IAS 12 exception to
recognise and disclose information about deferred tax
assets and tax liabilities related to Pillar Two income
taxes. The Group will incur top-up taxes due to the Pillar
Two legislation that became effective on 1 January 2024.
Under the legislation, the Group is liable to pay a top-up
tax for the difference between its GloBE effective tax rate
in each jurisdiction and the 15% minimum rate, where
transitional Safe Harbour requirements are not met.
The Group has estimated that the majority of the
jurisdictions in which it operates meet the transitional
Safe Harbour requirements, except for six countries.
Considering the impact of the specific adjustments in the
Pillar Two legislation, the Group recognised a current
income tax expense of DKK 1m (DKK 14m in 2024), which
is included in the income tax in the income statement.
Note 9
Tax on profit for the year
DKKm 2025 2024
Current tax
1,377 773
Prior-year adjustment, current tax -14 9
Prior-year adjustment, deferred tax
226 -3
Change of deferred tax for the year
-105 360
Total tax for the year
1,484 1,139
Tax for the year is composed of:
Tax on profit for the year 1,754 1,212
Tax on other comprehensive income
-253
-57
Tax on other transactions in equity -17 -16
Total tax for the year
1,484 1,139
Tax on other comprehensive income, DKKm
2025
2024
Actuarial gains/losses 4
1
Currency translation, foreign subsidiaries -10
6
Currency translation on additions to net investments in foreign subsidiaries -326
12
Value adjustment of interest-hedging instruments 1
-1
Deferred gains/losses on cash flow hedge, price -9
-3
Adjustment, deferred exchange gains/losses, hedging 148
-83
Exchange gains/losses, hedging (transferred to the hedged items) -61
11
Total tax on other comprehensive income -253
-57
Explanation of the Group’s effective tax rate 2025 2024
DKKm % DKKm %
Profit before tax 7,865
7,779
Calculated tax, 22% 1,731 22.0 1,711 22.0
Tax effect of:
Differences in income tax rates of foreign subsidiaries from Danish
corporate income tax rate
131 1.7 102 1.3
Non-deductible/non-taxable items and other permanent differences
113 1.4 -30 -0.3
Research and development activities (tax credits)
-154 -2.0 -69 -0.9
Foreign-derived intangible income benefit
- - -32 -0.4
Prior-year tax adjustments etc., total effect on operations
1)
212 2.7 6 0.1
Change in valuation of net tax assets
2)
58 0.7 17 0.2
Deduction for grants
-372 -4.7 -229 -2.9
Reversal of UK tax provision
3)
- - -283 -3.6
Change in uncertain tax positions
6 0.1 - -
Pillar Two top-up tax
1 - 14 0.2
Other taxes and adjustments
28 0.4 5 -
Effective tax for the year
1,754 22.3 1,212 15.6
1) The amount of DKK 212m in 2025 primarily reflects the adjustment related to the closing of an advance pricing agreement. 2) In 2025, the amount primarily relates to (a)
valuation allowance on deferred tax assets in subsidiaries impacted by the implementati
on of the partnership model and the planned divestment of a non-core production
site in Italy, as described in note 7 Other operating items, net, and (b) positive impact from reassessment of tax assets rel
ated to Falck (U.S.) resulting from the capitalisation
of timing differences between the accounting and the taxable value of assets and liabilities. 3) The amount of DKK 283m in 2024 primarily reflects the reversal of an uncertain
tax provision in the UK following the closure of a tax audit during the peri
od.
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 73
Grants - continued
Note 10
Donations to descendants amounted to DKK 68,580
(DKK 138,105 in 2024).
Note 10
Grants
DKKm 2025 2024
LF Professorships
157
-
LF Collaborative Projects -
120
LF Strategic Centres 112
299
LF Strategic Projects 141
223
LF Start-Up Programme 11
16
Research in neuroscience 421
658
LF Ascending Investigators 90
84
LF Experiment
58
60
LF Postdocs 49
44
LF Projects -
2
LF Visiting Professor, LF Sabbatical leave & LF Larger international meetings and conferences
4
4
LF Investigator network 1
1
Research benefitting neuroscience 202
195
LF Early-Career Clinician Scientists 18
23
LF Fellowships 71
50
LF Pre-Graduate Scholarships 9
7
LF Projects 8
47
LF Frontier grants 21
20
Research in biomedical science 127
147
DKKm 2025 2024
The Brain Prize
10 10
LF Talent Prizes 2 2
LF Young Investigator Prize
1 1
Prizes
13 13
Neurotorium 16 10
Science Education & Communication and Diversity
31 34
Grants to medical professionals (UCSF)
2
2
Other grants & purposes §6J 13 15
Other purposes
62 61
Grants authorised, gross 825 1,074
Descendants - -
Reversed grants/repayments
-20 -14
Grants for the year, net
805 1,060
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 74
Intangible assets - continued
Note 11
Other intangible assets includes intangible assets in
progress, and individual development projects running
for short-term periods. In 2025, Patent licence of DKK
994m, capitalised in 2024, was taken into use.
Product rights at 31 December 2025 included product
rights not yet commercialised amounting to DKK
18,280m.
In 2025, an impairment loss of DKK 16m was recognised
in connection with the planned divestment of a non-
core production site in Italy, as disclosed in note 7 Other
operating items, net.
Note 11
Intangible assets
DKKm Goodwill
Product
rights Brands
Customer
contracts
Other
intangible
assets Total
Cost at 1 January 2025
14,119 52,403 514 229 5,334 72,599
Currency translation -858 -4,124 - 1 -99 -5,080
Additions on acquisitions 1 - - - 2 3
Additions - - - - 200 200
Disposals - -12 - - -98 -110
Cost at 31 December 2025
13,262
48,267
514
230
5,339
67,612
Amortisation and impairment at 1 January 2025 -1,821 -20,024 - -141 -3,118 -25,104
Currency translation 19 1,197 - - 26 1,242
Amortisation - -1,294 - -47 -298 -1,639
Impairment -12 - - - -4 -16
Amortisation and impairment on disposals - 12 - - 97 109
Amortisation and impairment at 31 December 2025 -1,814 -20,109 - -188 -3,297 -25,408
Carrying amount at 31 December 2025 11,448 28,158 514 42 2,042 42,204
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 75
Intangible assets - continued
Note 11
Other intangible assets includes intangible assets in
progress, and individual development projects running
for short-term periods. In 2024, ALK has entered a
Collaboration, License and Distribution Agreement with
ARS Pharmaceuticals Operations Inc. where the asset of
DKK 994m is not ready for use due to pending
regulatory and other approvals.
Product rights at 31 December 2024 included product
rights not yet commercialised amounting to DKK
20,155m.
Intangible assets acquired as part of the acquisition of
Longboard in 2024 amounted to DKK 21,249m at the
acquisition date. This amount represents the final fair
value measurement at the acquisition date, and
accordingly, the 2024 comparative figures have been
restated to reflect the final purchase price allocation, as
disclosed in note 31.1 Acquisitions of businesses, etc.
Please refer to note 31.1 for further information about
additions on acquisitions.
Impairment testing goodwill
As required by IFRS, intangible assets with indefinite
useful lives, intangible assets not yet available for use
and goodwill acquired in a business combination are
tested for impairment annually, irrespective of whether
there is any indication of impairment.
Management has performed impairment tests of
goodwill related to the investments in the subgroups.
The impairment test for 2025 did not result in
recognition of any impairment losses on goodwill.
Based on sensitivity analyses related to the impairment
test for 2025, it is Management’s opinion, that no
probable change in any key assumptions would result in
impairment losses.
The impairment test for 2024 did not result in
recognition of any impairment losses on goodwill.
DKKm Goodwill
Product
rights
Brands
Customer
contracts
Other
intangible
assets
Total
Cost at 1 January 2024 11,787 32,638 514 233 3,659 48,831
Currency translation 317 1,342 - -11 28 1,676
Additions on acquisitions 2,015 18,729 - 7 644 21,395
Additions - - - - 1,134 1,134
Disposals - -306 - - -131 -437
Cost at 31 December 2024 14,119 52,403 514 229 5,334 72,599
Amortisation and impairment at 1 January 2024 -1,810 -17,735 - -102 -3,098 -22,745
Currency translation
-11
-615
-
6
-11
-631
Amortisation - -1,433 - -45 -117 -1,595
Impairment - -547 - - -2 -549
Amortisation and impairment on disposals
-
306
-
-
110
416
Amortisation and impairment at 31 December 2024 -1,821 -20,024 - -141 -3,118 -25,104
Carrying amount at 31 December 2024 12,298 32,379 514 88 2,216 47,495
The 2024 comparative figures have been restated to reflect the final purchase price allocation as disclosed in note 31.1 Acquisitions of businesses, etc.
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 76
Intangible assets - continued
Note 11
Methodology used for Lundbeck
At 31 December 2025, goodwill related to Lundbeck
amounted to DKK 7,008m.
Goodwill has been tested at an aggregated level for
Lundbeck as one cash-generating unit (CGU).
In the impairment test of the CGU, based on the fair
value less cost of disposal, the market price of Lundbeck
is compared with its carrying amount.
Methodology used for ALK
At 31 December 2025, goodwill related to ALK amounted
to DKK 553m.
Goodwill has been tested at an aggregated level for
ALK as one CGU.
In the impairment test of the CGU, based on the fair
value less cost of disposal, the market price of ALK is
compared with its carrying amount.
Methodology used for Falck
At 31 December 2025, goodwill related to Falck
amounted to DKK 3,887m.
Impairment tests are carried out per business segment
which is the lowest level of the CGUs to which the
carrying amount of intangibles, i.e. goodwill and
customer contracts, can be allocated and monitored
with any reasonable certainty.
Impairment tests are carried out on the business
segments Societal Care Europe, Individual Care Europe,
Industrial Fire services, Societal Care US and Individual
Care LATAM.
Impairment test of the Falck brand
The carrying amount of the Falck brand is tested at
Group level based on Group-wide cash flows
(aggregated cash flows determined for each CGU), less
the total carrying amount of the goodwill and other
non-current assets. The impairment test shows
significant headroom from comparing the value in use
to the carrying amount of all assets in the Falck Group.
Key assumptions in the impairment test
The recoverable amounts for the CGUs are determined
based on the value-in-use.
In the impairment tests, the discounted values of the
future net cash flows of each of the CGUs value-in-use
are compared with their carrying amounts. The value-
in-use is calculated using certain key assumptions for
the expected future cash flows and applied discount
factor.
The cash flow projections are grounded in financial
budgets and business plans approved by Management.
These projections involve judgement and estimates,
which, while based on experience, carry some uncertainty.
To calculate the present value, discount rates are applied
using a weighted average cost of capital (WACC), which
incorporates both estimates and external sources.
The primary assumptions included in the value-in-use
calculation are:
• Revenue growth in the forecast period
• EBIT margin before special items (b.s.i.)
• Net working capital
• Discount rates
• Growth rate in terminal period
Falck’s climate related transition plans are not assessed
to impact the future operating margins of the CGUs
materially.
Revenue growth
Revenue growth projections in the financial forecast for
2026-2030 are estimated based on current operations
and the expected market development for the
individual CGU.
For Societal Care Europe, new contracts in Spain and
Sweden represent a significant increase in revenue and
in the longer term the strategic focus on key European
markets is unchanged.
For Individual Care Europe, an increase in revenue is
expected through organic growth and launch of new
products in line with the development in 2025.
The expected growth for Industrial Fire services is
moderate in line with Falck’s strategy plan.
Societal Care US expects an increase in revenue driven
by organic growth resulting from new initiatives in 2025
that target additional states and introduce new
products. Additionally, revenue growth is expected
through price increases on current contracts.
During the forecast period Individual Care LATAM
expects revenue growth driven by increased number of
subscribers, alongside entry into new markets.
EBIT margin before special items and net working capital
When estimating the CGUs’ EBIT margin b.s.i. in the
financial forecast for 2026-2030, past experiences are
taken into consideration.
The EBIT margin b.s.i. in the forecasting period in
Societal Care Europe is expected to steadily increase,
driven by both a new contract in Spain and execution of
profitability improvement initiatives in accordance with
the Falck Group strategy plan.
Individual Care Europe expects an improvement in EBIT
margin b.s.i. driven by the introduction of new products
and the implementation of efficiency initiatives in 2025.
For Industrial Fire services, an improved EBIT margin
b.s.i. is expected in the forecasting period due to
operational efficiency improvements.
The EBIT margin b.s.i. in Societal Care US is expected to
be relatively stable in the forecasting period due to
continued focus on revenue cycle management and
other operational efficiency initiatives. The operational
efficiency initiatives are expected to compensate for
other impacts e.g. from changes to contracts.
For Individual Care LATAM, an increasing EBIT margin
b.s.i. is expected mainly due to an increased number of
subscribers.
Net working capital is based on historical experience for
each CGU and thus increases on a linear basis as the
level of activity increases.
Discount rates and terminal growth
The discount rates for 2025 impairment testing
purposes are based on a calculation of weighted average
cost of capital (WACC).
The cost of equity is calculated using Capital Asset
Pricing Model (CAPM). The beta applied at year-end
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 77
Intangible assets - continued
Note 11
2025 is obtained from comparable peers. Market risk
premiums have been added based on observed market
data.
The cost of debt is based on Falck’s debt margin plus
the risk-free interest to Falck’s spread plus the risk-free
interest of the countries in which the CGU operates.
The terminal growth rates are equal to the International
Monetary Fund (IMF) projections of inflation in 2030.
Carrying amounts and key assumptions
The carrying amount of goodwill and customer
contracts, and the key assumptions used in the
impairment testing at 31 December are presented for
each CGU:
Impairment testing of other intangible assets
Other intangible assets in use with indefinite useful lives
are tested for impairment if there is any indication of
impairment. Furthermore, prior impairment losses are
reviewed for possible reversal at each reporting date.
Lundbeck
Material product rights
Vyepti®
The eptinezumab product rights (Vyepti®), which are
investigational monoclonal antibody (mAb) for migraine
prevention targeting the calcitonin gene-related
peptide (CGRP), were acquired in 2019. The value of
those product rights was DKK 13,421m at the time of
acquisition. At 31 December 2025, the carrying amount
of the Vyepti® product rights, net of amortisation,
amounted to DKK 8,497m (DKK 10,154m at 31 December
2024). The remaining amortisation period of the Vyepti®
product rights is around 10 years.
Rexulti®
Rexulti® is a prescription medication used as an
adjunctive therapy to antidepressants for the treatment
of major depressive disorder (MDD) and as a treatment
for adults with schizophrenia in certain markets.
Rexulti® is co-marketed in a partnership collaboration
with Otsuka Pharmaceuticals Co., Ltd. The carrying
amount of the Rexulti® product rights, net of
amortisation, amounted to DKK 1,381m at 31 December
2025 (DKK 1,762m at 31 December 2024). The remaining
amortisation period of the Rexulti® product rights is
around four years.
Family of MAGLi compounds
A family of compounds; a first-in-class, small-molecule
inhibitor of monoacylglycerol lipase (MAGLi/MGLL)
currently being investigated in clinical trials for the
treatment of neurological disorders, along with various
compounds in the preclinical phase, was acquired in
Carrying amount Forecasting period Terminal period Applied discount rate Sensitivity
2025, DKKm Goodwill
Customer
contracts
Total
Total growth
(avg.)
Margin (avg.) Growth
EBITA
margin
After tax Pre-tax
Terminal
period
Margin
Discount rate
after tax
Societal Care Europe 543 - 543 4.4% 4.4% 2.1% 5.1% 7.7% 9.6% 1.5% 14.2%
Individual Care Europe 2,385 37 2,422 5.7% 12.3% 2.0% 13.0% 7.9% 9.4% 3.7% 14.5%
Industrial Fire services
192 - 192 3.3% 4.8% 2.1% 5.4% 8.4% 10.6% 4.1% 10.0%
Societal Care US
267 - 267 2.9% 11.1% 2.2% 11.5% 8.7% 11.3% -0.1% 29.4%
Individual Care LATAM
500 5 505 6.9% 15.1% 3.3% 16.0% 14.0% 18.8% 7.4% 19.4%
Total
3,887 42 3,929
Carrying amount Forecasting period Terminal period Applied discount rate Sensitivity
2024, DKKm Goodwill
Customer
contracts
Total
Total growth
(avg.)
Margin (avg.) Growth
EBITA
margin
After tax Pre-tax
Terminal
period
Margin
Discount rate
after tax
Societal Care Europe 541 - 541 1.4% 3.7% 2.0% 4.7% 6.9% 8.5% 1.9% 11.0%
Individual Care Europe 2,363 81 2,444 6.6% 13.9% 2.0% 14.4% 7.1% 8.4% 2.6% 15.5%
Industrial Fire services 196 - 196 4.2% 5.2% 2.1% 6.0% 8.1% 10.1% 3.6% 10.8%
Societal Care US 310 - 310 1.1% 9.9% 2.1% 9.8% 8.8% 11.6% 1.0% 22.5%
Individual Care LATAM 482 7 489 12.8% 16.1% 3.3% 19.3% 12.9% 16.9% 2.8% 25.8%
Total 3,892 88 3,980
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 78
Intangible assets - continued
Note 11
2019. The value of the family of compounds recognised
as product rights was DKK 1,853m at the time of
acquisition.
At 31 December 2025, the carrying amount was DKK
1,324m (DKK 1,324m at 31 December 2024) and refers to
Lu AG12947, the remaining molecule from the
acquisition after the impairment recognised in 2024. As
described in the 2025 Testing outcome section below,
no further impairment has been identified in 2025. Lu
AG12947 is not yet commercialised; consequently
amortisation has not commenced.
Bexicaserin
Bexicaserin, a novel 5-HT2C agonist in development for
the treatment of seizures associated with
developmental and epileptic encephalopathies (DEEs),
including Dravet syndrome, Lennox-Gastaut syndrome,
and other rare epilepsies, was acquired in December
2024 along with the Longboard acquisition, see note 5.1
Business combination. The value of the product rights
was DKK 18,729m at the time of acquisition. The carrying
amount of DKK 16,584m at 31 December 2025 (DKK
19,037m at 31 December 2024) was affected by
developments in the USD/DKK exchange rate.
Bexicaserin is not yet commercialised; consequently
amortisation has not commenced.
Methodology
The recoverable amount of the specific product right is
determined as the higher of its fair value less costs of
disposal and its value in use. Under both methods, the
discounted expected cash flows of the asset are
compared with its carrying amount. The expected future
cash flows are based on a forecast period, which is the
period used by Management for decision-making, with
due consideration of patent expiry. For impairment
testing of product rights using fair value less costs of
disposal methodology, the fair value measurement is
categorised as level 3 in the fair value hierarchy.
The assumptions used in the impairment test are based
on benchmarked external data and historical trends.
The key parameters used in the estimation of the
recoverable amount are revenue, probability of success,
earnings, working capital, discount rate, and the
preconditions for the cash flow period.
• Financial elements: Prices, rebates, quantities,
patient population, market shares, competition, fill
rates, prescription rates and Lundbeck costs
(including promotion costs)
• Market elements: Healthcare reforms, price reforms,
market access, pharma restrictions, launch success,
product positioning, competing pharmaceuticals and
generics on the market
• R&D elements: R&D spend, collaborations, pipeline
success rate, product labelling and liaison with
regulatory bodies
• Other elements: Supply chain effectiveness and
strength and abilities of partners
Significant assumptions and estimates are applied to
the discounted expected future cash flows from the
product rights. The assumptions are based on
experience, external sources of information, and
industry-relevant observations for each product right.
The four category elements in the table below are
considered when determining the key parameters for
the impairment test.
The impairment tests for product rights are based on a
weighted average discount rate, pre-tax, of 9.90%
(8.34% in 2024).
2025 testing outcome
Lundbeck
The impairment tests performed in 2025 did not result
in the recognition of any impairment loss.
Sensitivity analysis of impairment tests focuses on
changes in discount rate (WACC) and revenue growth,
while all other factors are held constant. Based on these
analyses, Management assesses that no reasonably
possible change in any key assumption would cause the
carrying amounts of the product rights to exceed their
recoverable amount as of 31 December 2025.
2024 testing outcome
Lundbeck
During 2024, an impairment loss of DKK 547m was
recognised as a result of the negative read-out of a
compound of the MAGLi family (Lu AG06474 and Lu
AG12947) that was acquired in 2019 through a business
combination. Management decided to discontinue the
development of the molecule Lu AG06474 after the
read-out, as results did not support additional studies,
resulting in the individual asset being impaired. The
impairment loss was recognised in research and
development costs in the Statement of profit or loss.
ALK
Impairment testing in 2024 resulted in an impairment
of production and administrative software of DKK 2m.
Impairment testing total
The impairment losses per intangible asset category can
be specified as follows:
Impairment loss per
intangible asset category,
DKKm
2025 2024
Goodwill
12
-
Product rights -
547
Other intangible assets 4
2
Impairment loss total 16
549
The impairment loss has been recognised in the income
statement as follows:
Impairment loss recognised
in the income statement,
DKKm 2025 2024
Cost of sales
-
1
Research and development
costs
-
547
Administrative expenses -
1
Other operating expenses, net 16
-
Impairment loss total 16
549
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 79
Property, plant and equipment - continued
Note 12
Impairment amounted to DKK 444m, of which DKK
430m was recognised in connection with Lundbeck’s
planned divestment of a non-core production site in
Italy, as disclosed in note 7 Other operating items, net.
Furthermore, DKK 14m related to impairment of
production equipment in ALK and Lundbeck.
Note 12
Property, plant and equipment
DKKm
Land and
buildings
Plant and
machinery
Other fixtures
and fittings,
tools and
equipment
Leasehold
improvements
Prepayments
and assets
under
construction
Total
Cost at 1 January 2025
6,807
3,548 2,944 171 1,380 14,850
Currency translation -65
-63 -67 -2 -11 -208
Reclassifications/transfers 98
234 -112
-220 -
Additions 80
89 389 5 677 1,240
Disposals -56
-107 -204 13 -9 -363
Transferred from right-of-use assets -
- 3 - - 3
Cost at 31 December 2025 6,864
3,701 2,953 187 1,817 15,522
Depreciation and impairment at 1 January 2025
-3,911
-2,518
-2,267
-123
-
-8,819
Currency translation 9
35 40 2 - 86
Depreciation -217
-207 -193 -14 - -631
Impairment
-97
-104
-10
-
-233
-444
Reversal of impairment 3
- - - - 3
Disposals on divestments 35
106 154 5 9 309
Depreciation and impairment at 31 December 2025 -4,178
-2,688 -2,276 -130 -224 -9,496
Carrying amount at 31 December 2025 2,686
1,013 677 57 1,593 6,026
Carrying amount of property, plant and equipment provided as loan collateral
714
-
-
-
-
714
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 80
Property, plant and equipment - continued
Note 12
Impairment amounted to DKK 12m, of which, DKK 8m
was attributable to land and buildings related to
forestry activities in Scotland. Impairment of production
and administrative equipment in ALK amounted to
DKK 4m.
DKKm
Land and
buildings
Plant and
machinery
Other fixtures
and fittings,
tools and
equipment
Leasehold
improvements
Prepayments
and assets
under
construction
Total
Cost at 1 January 2024
6,467
3,317 2,670 200 1,293 13,947
Currency translation 34
27 10 -1 7 77
Reclassifications/transfers
125
34 90 - -249 -
Additions on acquisitions
11
2 2 2 2 19
Additions
88
70 357 17 625 1,157
Disposals
-49
-62 -295 -50 - -456
Disposals on divestments
-
- -11 - - -11
Transferred from right-of-use assets
131
160 121 3 -298 117
Cost at 31 December 2024
6,807
3,548 2,944 171 1,380 14,850
Depreciation and impairment at 1 January 2024 -3,718
-2,365 -2,199 -150 - -8,432
Currency translation
-3
-16
-8
1
-
-26
Depreciation -207
-196 -178 -15 - -596
Impairment
-8
-3 -1 - - -12
Depreciation and impairment on disposals
24
29
170
41
-
264
Disposals on divestments 1
33 23 - - 57
Transferred from right-of-use assets
-
- -74 - - -74
Depreciation and impairment at 31 December 2024
-3,911
-2,518 -2,267 -123 - -8,819
Carrying amount at 31 December 2024 2,896
1,030 677 48 1,380 6,031
Carrying amount of property, plant and equipment provided as loan collateral
562
-
-
-
-
562
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 81
Right-of-use assets - continued
Note 13
The total cash outflow from recognised lease
agreements amounted to DKK 561m (DKK 612m in 2024)
and includes repayment of lease liabilities and interest.
For disclosures of the lease liabilities, see note 26.3
Lease liabilities.
Note 13
Right-of-use assets
DKKm
Land and
buildings
Other fixtures
and fittings, tools
and equipment
Total
Cost at 1 January 2025
2,721 1,156
3,877
Currency translation -83 -35
-118
Re-measurement 193 11
204
Additions 120 95
215
Disposals -115 -149
-264
Transferred to property, plant and equipment - -3
-3
Cost at 31 December 2025 2,836 1,075
3,911
Depreciation and impairment at 1 January 2025
-1,447
-706
-2,153
Currency translation 49 28
77
Depreciation -337 -178
-515
Disposals on divestments
104
149
253
Depreciation and impairment at 31 December 2025 -1,631 -707
-2,338
Carrying amount at 31 December 2025 1,205 368
1,573
DKKm
Land and
buildings
Other fixtures
and fittings, tools
and equipment
Total
Cost at 1 January 2024
2.523
1.103
3.626
Currency translation 21
25
46
Re-measurement 46
7
53
Additions on acquisitions 25
-
25
Additions 281
215
496
Disposals -175
-77
-252
Transferred to property, plant and equipment -
-117
-117
Cost at 31 December 2024 2.721
1.156
3.877
Depreciation and impairment at 1 January 2024 -1.265
-644
-1.909
Currency translation -13
-20
-33
Depreciation
-342
-188
-530
Depreciation and impairment on disposals 155
72
227
Transferred to property, plant and equipment 18
-
18
Transferred to assets classified as held for sale
-
74
74
Depreciation and impairment at 31 December 2024 -1.447
-706
-2.153
Carrying amount at 31 December 2024 1.274
450
1.724
Amounts recognised in the income statement, DKKm 2025 2024
Expenses relating to short-term leases, not capitalised
26
44
Expenses related to low value leases, not capitalised 190
169
Interest expenses relating to lease liabilities 61
61
Depreciation 515
530
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 82
Biological assets - continued
Note 14
Biological assets comprise forestry activities in Scotland.
The fair value of the biological assets was determined
based on a calculation of the present value of future
expected cash flows from the forests and independent
market valuation from the chartered surveyors
Goldcrest Land & Forestry Group (level 3 input from the
fair value hierarchy). The cash flows were calculated
based on harvesting volumes according to the Group’s
current plan and assessments of future price and cost
changes. The cash flows were discounted using discount
rates of 2.05 - 3.15% (2.05 – 3.15% at 31 December 2024).
At 31 December 2025, the Group owned 3,414 hectares of
forest farming land being managed actively.
The carrying amount of land related to forestry
activities is recognised under property, plant and
equipment.
The investments in WS Audiology was completed end
April 2024.
The Group has significant influence through
representation on the Boards of Directors of the
companies. Consequently, the investments are classified
as associates.
Note 14
Biological assets
DKKm 2025 2024
Fair value at 1 January
333
317
Currency translation -16
15
Disposals -14
-
Change in fair value -9
1
Fair value at 31 December 294
333
Note 15
Investments in associates
DKKm 2025 2024
Cost at 1 January
2,652 2,652
Additions
97
2,002
Cost at 31 December 4,751 4,654
Adjustments at 1 January -236 -33
Share of result for the year
-868 -210
Other adjustments
-18 7
Adjustments at 31 December
-1,122 -236
Carrying amount at 31 December 3,629 4,418
Associates, DKKm
Registered
office Ownership
Share of
equity
Goodwill, etc. Total value
Ferrosan Medical Devices HoldCo ApS Søborg 30% 877 16 893
Echo TopCo A/S (Ellab) Hellerup 34% 1,165 38 1,203
CN8 A/S (WS Audiology) Lynge 15% 684 849 1,533
Carrying amount at 31 December 2024
2,726 903 3,629
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 83
Financial assets - continued
Note 16
The Group’s financial investments classified as financial
assets at fair value through profit or loss primarily
relate to Invest’s investments. These investments are
made based on an investment policy approved by the
Board of Directors. The strategy aims for an appropriate
diversification of investments across different asset
classes and geographical markets to achieve an
appropriate diversification of interest rate, exchange
rate, credit and equity risks on the financial
investments. The purpose is to reduce the risk of losses
but also to retain the prospect of gaining a long-term
return on the investments.
Financial assets include investments in listed and
unlisted equity instruments and securities, including life
science investments recognised at their fair value.
Investments in unlisted equity instruments and
securities amounted to DKK 8,196m at 31 December
2025 (DKK 7,484m at 31 December 2024).
The assessment of fair value of unlisted investments is
subject to considerable uncertainty. This applies
especially to life science investments because the value
of these businesses is linked to the companies’ often
long-term investment in the development of new
pharmaceuticals and technologies. Please refer to note
32.3 for information about applied valuation methods
for the determination of fair value.
Credit risks
Credit risks relating to the Group’s financial investments
primarily relate to investment in bonds and unlisted
funds investing in loans to businesses.
To limit the credit risk, a proportion of this asset class
has been invested in Danish government and mortgage
bonds with a high credit rating. To achieve a higher
return, the Group also invests in corporate bonds.
Equity risks
Equity risks relate to the Group’s holding of listed and
unlisted shares, including private equity funds, as part
of the Group’s investment operations. Most of these
investments are placed in listed shares.
To limit the risk of losses on these shares, the
investments are diversified across different geographical
regions and sectors in accordance with the applicable
investment policy. Derivative financial instruments are
used to manage the equity risk. The instruments can be
used both for risk management purposes and as an
alternative to selling or buying the underlying assets.
Other things being equal, a 10% decrease/increase in
equity prices would decrease/increase profits after tax
by DKK 1,619m and DKK 1,573m respectively (decrease by
DKK 1,430m and increase by DKK 1,372m in 2024).
For further information on risks relating to the Group’s
financial investments, see note 21 Liquidity and note 32
Financial risks and financial instruments.
Financial assets included in Invest and BioCapital are
part of the Group’s investment strategy and measured
at fair value through profit or loss. Other receivables are
measured at amortised cost. At 31 December 2025,
investments in associates included in Lundbeckfonden’s
investment strategy amounted to DKK 2,799m (DKK
3,047m at 31 December 2024).
Note 16
Financial assets
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 84
Financial assets - continued
Note 16
DKKm
Danish mortgage
and government
bonds
Credit bonds
and loans
Equities
Private equity
funds and other
unlisted funds
Derivative
financial
instruments
Other
receivables
Total
Carrying amount at 1 January 2025
3,125 1,922
16,248 3,847 61 87 25,290
Reclassification - -
39 - - -39 -
Additions 2,630 262
2,066 687 635 21 6,301
Disposals -1,960 -668
-2,731 -594 -595 - -6,548
Value adjustments, year-end -22 36
1,976 240 -19 -23 2,188
Carrying amount at 31 December 2025 3,773 1,552
17,598 4,180 82 46 27,231
Invest 3,773 1,552
15,577 4,180 82 - 25,164
BioCapital
-
-
2,021
-
-
46
2,067
3,773 1,552
17,598 4,180 82 46 27,231
Recognised in:
Financial assets 2,846 1,240
17,598 4,180 82 46 25,992
Securities 927 312
- - - - 1,239
3,773 1,552
17,598 4,180 82 46 27,231
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 85
Financial assets - continued
Note 16
Please refer to note 32 for information about exchange
rate and interest rate risks.
DKKm
Danish mortgage
and government
bonds
Credit bonds
and loans
Equities
Private equity
funds and other
unlisted funds
Derivative
financial
instruments
Other
receivables
Total
Carrying amount at 1 January 2024 2,613
2,524
15,839 3,344 43 60 24,423
Additions 1,612 522
2,532 590 267 28 5,551
Disposals -1,172
-1,219
-4,318 -396 -189 - -7,294
Value adjustments, year-end 72
95
2,195 309 -60 -1 2,610
Carrying amount at 31 December 2024 3,125
1,922
16,248 3,847 61 87 25,290
Invest 3,125 1,922
13,907 3,847 61 - 22,862
BioCapital -
-
2,341 - - 87 2,428
3,125
1,420
16,248 4,349 61 87 25,290
Recognised in:
Financial assets 3,035 1,712
16,248 3,847 61 87 24,990
Securities 90
210
- - - - 300
3,125
1,420
16,248 4,349 61 87 25,290
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 86
Deferred tax - continued
Note 17
Temporary differences between the carrying amount
and the tax base:
Management estimates future income according to
budgets, forecasts, business plans and initiatives
scheduled for the coming years, which support the
recognition of deferred tax assets. When forecasting the
utilisation of tax assets, the Group applies the same
assumptions as for impairment testing.
At 31 December 2025, all deferred tax assets relating to
tax losses carried forward in Denmark were fully utilised
(DKK 452 at 31 December 2024).
U.S. tax losses and tax credits stemming from
acquisitions have been recognised at an amount of DKK
814m (DKK 486m at 31 December 2024), equalling the
expected utilisation within a foreseeable future, whereas
an amount of DKK 26m (DKK 20m at 31 December 2024)
has not been recognised in the balance sheet.
Note 17
Deferred tax
DKKm
Balance at
1 January
Currency
translation
Adjustment of
deferred tax at
beginning of year
Addition on
acquisition
of businesses etc.
Other
Movements
during the year
Balance at
31 December
2025
Non-current assets 8,383 -709
202 1 - -290 7,587
Current assets -559 4
-27 - - 213 -369
Other -312 10
18 - - -38 -322
Provisions in subsidiaries -1,058 93
-279 - - 249 -995
Tax loss carry-forwards etc. -920 58
349 - - -163 -676
Research and development activities (tax credits) -243 37
-37 - - -76 -319
Deferred (tax assets)/tax liabilities 5,291 -507
226 1 - -105 4,906
2024
Non-current assets 3,637 118
-5 4,490 - 143 8,383
Current assets -263
-2
-21 - - -273 -559
Other -267
-8
14 -6 - -45 -312
Provisions in subsidiaries -613
-62
1 -241 - -143 -1,058
Tax loss carry-forwards etc. -1,356
88
8 -298 -1 639 -920
Research and development activities (tax credits) -133
-11
- -138 - 39 -243
Deferred (tax assets)/tax liabilities
1,005
123
-3
3,807
-1
360
5,291
The 2024 comparative figures have been restated to reflect the final purchase price allocation as disclosed in note 31.1 Acquisitions of businesses, etc.
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 87
Deferred tax - continued
Note 17
DKKm 2025 2024
Unrecognised deferred tax assets:
Unrecognised deferred tax assets at 1 January 229
179
Additions through acquisitions -
4
Prior-year adjustments -
-8
Additions 186
56
Recognised -14
-2
Unrecognised deferred tax assets at 31 December 401
229
Unrecognised deferred tax assets primarily relate to net
operating losses and tax credits not expected to be
utilised. within the foreseeable future. The majority of
the tax losses have no expiry date.
DKKm 2025 2024
Deferred tax assets relate to the following items:
Non-current assets -275 -112
Current assets
460 665
Provisions and payables
199 180
Other
202 161
Provisions in subsidiaries
995 1,058
Tax value of tax loss carry-forwards etc.
676 920
Research and development activities (tax credits)
319 243
Offset within legal tax entities and jurisdictions
-1,720 -2,042
Total
856 1,073
Deferred tax liabilities relate to the following items:
Non-current assets 7,312 8,271
Current assets
91 106
Other
79
29
Offset within legal tax entities and jurisdictions -1,720 -2,042
Total
5,762 6,364
Deferred tax, net -4,906 -5,291
The 2024 comparative figures have been restated to reflect the final purchase price allocation as disclosed in note 31.1 Acquisitions of businesses, etc.
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 88
Inventories - continued
Note 18
At 31 December 2025, write-downs consist of DKK 151m
for Vyepti® obsolescence and DKK 169m associated with
the planned divestment of a non-core production site
in Italy, as disclosed in note 7 Other operation items,
net. In 2025, following changes in accounting estimates,
reversals of previous write-downs related to Vyepti® of
DKK 389m were recognised in cost of sales.
Inventories of DKK 2,627m (DKK 2,506m at 31 December
2024) are expected to be recovered after more than 12
months, mostly due to the Vyepti® fixed batch quantity
supply agreement, which ended in 2023.
Credit risks
The Group’s products are sold primarily to distributors
of pharmaceuticals, pharmacies and hospitals. Services
are sold to public authorities, other large customers and
small individual customers.
No single customer contributed 10% or more to total
revenue. The Group has no significant reliance on
specific customers. Internal procedures for evaluating
specific credit risks from new customer relationships,
and changes to the risk profile of existing relationships,
ensure that the risk of loss is reduced to an acceptable
level.
Note 18
Inventories
DKKm 2025 2024
Raw materials and consumables
540 602
Work-in-progress 3,072 2,984
Manufactured goods and goods for resale
2,680 2,148
Total
6,292 5,734
Indirect costs of production
1,447
1,587
Impairment loss for the year -389 -15
The total cost of goods sold is included in cost of sales in the amount of
3,767 3,535
Note 19
Trade receivables
Trade receivables, DKKm Receivables, gross Loss allowance 2025 Total Expected loss rate %
Days past due
Not due 5,148 16 5,132 0%
1 month to 6 months 1,101 158 943 14%
6 months to 12 months 80 43 37 54%
More than 12 months 86 28 58 33%
Total 6,415 245 6,170
Trade receivables, DKKm Receivables, gross Loss allowance 2024 Total Expected loss rate %
Days past due
Not due 4,525 15 4,510 0%
1 month to 6 months 1,137 113 1,024 10%
6 months to 12 months 153 53 100 35%
More than 12 months 73 30 43 41%
Total
5,888
211
5,677
DKKm 2025 2024
Allowance for doubtful trade receivables:
Allowance at 1 January 211
237
Losses recognised -123
-201
Adjustment for the year 180
170
Currency translation -15
11
Reversal -8
-6
Allowance at 31 December
245
211
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 89
Contract assets - continued
Note 20
Securities are classified as financial assets measured at
fair value through profit or loss.
Liquidity and credit risk and capital structure
With the present capital structure, the Group is well-
consolidated. The Group aims to retain adequate cash
resources to support business development and
flexibility in case of changes to the market situation,
potential acquisition activities and product in-licensing
opportunities. This is achieved through a combination
of liquidity management, ultra-liquid assets and
guaranteed and unguaranteed credit facilities. The
capital structure is considered appropriate relative to
the Group's strategic plans.
The credit risk of cash, bank balances and derivatives
(forward exchange contracts, currency options, interest-
rate options and share options) is limited because the
Group only deals with banks with a high credit rating. To
further limit the risk of loss, internal limits have been
defined for the credit exposure accepted towards the
banks with which the Group collaborates. Pursuant to
the Group’s policies, the credit lines are presented to the
Board of Directors and boards of directors in sub-
groups, for approval. Furthermore, the Group aims to
maintain counterparty diversification to avoid material
concentration at individual counterparties. The Group
also uses collateral agreements (e.g., International
Swaps and Derivatives Association (ISDA) and Global
Master Repurchase Agreement (GRMA)) and exchange
of collateral with counterparties with which the Group
has hedging business.
Note 20
Contract assets
DKKm 2025 2024
Contract assets (not invoiced)
311
371
Contract assets impairments -4
-2
Total 307
369
Expected loss rate 1% 1%
Note 21
Liquidity
DKKm 2025 2024
Cash and bank balances, Invest
611 328
Cash and bank balances, subsidiaries 4,952 5,579
Cash and bank balances at 31 December
5,563 5,907
Securities with a maturity of less than 3 months 307 209
Securities with a maturity of more than 3 months
932
91
Securities at 31 December 1,239 300
Cash, bank balances and securities at 31 December 6,802 6,207
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 90
Capital base - continued
Note 22
The present statutes of Lundbeckfonden were approved
by the Board of Directors on 12 March 2025. The Danish
Business Authority acts as supervisory authority.
Of the Foundation’s profit before tax less non-
distributed earnings in the subsidiaries and associates,
at least 20% must first be allocated to the capital base.
Currency translation of foreign subsidiaries and
currency translation concerning additions to net
investments in foreign subsidiaries and tax related to
these items amounted to a net loss of DKK 2,884m (net
profit of DKK 826m in 2024), and are recognised in the
currency translation reserve in equity. Other items and
tax related to such items are recognised in reserve for
hedging transactions at a net profit of DKK 279m (net
loss of DKK 272m in 2024).
Note 22
Capital base
Capital base, DKKm 2025 2024 2023 2022 2021
Capital base at 1 January
4,937 4,357 4,162 3,901 3,461
Increase in capital base 125 580 195 261 440
Capital base at 31 December
5,062 4,937 4,357 4,162 3,901
Note 23
Other reserves
DKKm 2025 2024
Reserve for future grants:
Balance at 1 January 1,500 1,500
Grants for the year
-805 -1,060
Transferred to provision for future grants
1,305 1,060
Balance at 31 December
2,000 1,500
Currency translation reserve:
Balance at 1 January 1,598 772
Currency translation for the year concerning foreign subsidiaries and additions to net investments in
foreign subsidiaries
-3,220
844
Tax in relation hereto 336 -18
Balance at 31 December
-1,286 1,598
Hedging reserve:
Balance at 1 January -207 65
Deferred gains/losses on cash flow hedge, exchange rate
671 -378
Deferred gains/losses on cash flow hedge, interest rate
6 -8
Deferred gains/losses on cash flow hedge, price
-40 -14
Exchange gains/losses, hedging, transferred to revenue
-279 52
Tax in relation hereto
-79 76
Balance at 31 December
72 -207
Other reserves at 31 December 786 2,891
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 91
Non-controlling interests - continued
Note 24
Lundbeckfonden's subsidiaries with significant non-
controlling interests include the following:
The minority shareholder’s share of goodwill in acquired
businesses in Falck is recognised in the consolidated
financial statements. However, goodwill of DKK 1,791m
(DKK 1,791m at 31 December 2024) arising at the time of
the Foundation’s acquisition of Falck is not recognised
in the consolidated financial statements.
Note 24
Non-controlling interests
DKKm 2025 2024
Non-controlling interests at 1 January
10,763 9,287
Share of profit/loss for the year
1,776
1,499
Share of other comprehensive income for the year -841 181
Incentive programmes
41 44
Dividend
-291
-213
Buyback of shares from non-controlling interests -6 -14
Sale of treasury shares
- 4
Change in non-controlling interests
15
-11
Repurchase obligation of treasury shares -1 3
Capital increase
-15 -23
Other adjustments
2
1
Tax on other transactions in equity 9 5
Non-controlling interests at 31 December
11,452 10,763
Non-controlling
interests
Lundbeckfonden's
percentage of votes
Registered office
H. Lundbeck A/S 31%
76%
Valby
ALK-Abelló A/S 60% 67%
Hørsholm
Falck A/S 42% 58%
Copenhagen
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 92
Non-controlling interests - continued
Note 24
Lundbeck
ALK
Falck
DKKm
2025
2024
2025
2024
2025
2024
Income statement:
Revenue 24,630
22,004
6,312 5,537
12,495 12,134
Profit (loss) for the year
3,192
3,143
1,197 815
195 116
Total comprehensive income
810
3,652
1,038 900
165 52
Profit (loss) for the year attributable to non-controlling interests
983
965
712 485
82 49
Balance sheet:
Non-current assets 39,271
44,650
4,563 4,952
7,060 6,830
Current assets
12,783
13,010
4,494 3,294
2,400 2,406
Non-current liabilities
18,298
24,070
1,283 924
3,566 3,642
Current liabilities
8,853
8,580
1,329 1,949
3,419 3,281
Equity
24,903
25,010
6,445 5,373
2,475 2,313
Carrying amount of non-controlling interests of equity
7,665
7,682
3,834 3,195
-60 -128
Statement of cash flows:
Cash flows from operating activities 5,481
3,326
1,817 1,213
741 719
Cash flows from investing activities
-611
-15,286
-385 -1,417
-398 -301
Cash flows from financing activities
4,870
11,629
-760
310
-412
-297
Net cash flow for the year -1,192
-331
672 106
-69 121
Dividends paid to the non-controlling interests during the year
291
213
- -
- -
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 93
Provisions - continued
Note 25
25.1 Pensions and similar obligations
Defined contribution plans
In defined contribution plans, the employer is obliged to
pay a certain contribution to a pension fund or the like
but bears no risks regarding the future development in
interest, inflation, mortality, disability rates, etc.,
regarding the amount to be paid to the employee.
The cost of defined contribution plans, representing
contributions to the plans, amounted to DKK 846m in
2025 (DKK 783m in 2024).
Defined benefit plans
The defined benefit plans guarantee employees a
certain level of pension benefits for life. The pension is
based on seniority and salary at the time of retirement.
The Group bears the risks regarding the future
development in interest, inflation, mortality, disability
rates, etc. regarding the amount to be paid to the
employee.
The Group has defined benefit plans in a few countries.
The most important plans comprise current and former
employees in France, Germany, Switzerland and the UK.
Actuarial assumptions
The following were the key actuarial assumptions at the
reporting date.
Key assumptions for the most significant plans
2025
2024
Discount rate
3.85-5.80%
3.30-5.50%
Inflation rate 2.00-2.40%
2.05-3.05%
Note 25
Provisions
DKKm Note 2025 2024
Provisions can be specified as follows:
Pensions and similar obligations 25.1 377 416
Other provisions 25.2
2,305 2,356
Total
2,682 2,772
Provisions break down as follows:
Non-current assets
-64 -69
Current assets
-9 -
Non-current liabilities
1,198
1,139
Current liabilities
1,557 1,702
Total
2,682 2,772
DKKm 2025 2024
Retirement benefit obligations and similar obligations:
Present value of defined benefit plans 617
644
Limitation due to asset ceiling -
1
Fair value of plan assets -331
-338
Defined benefit plans at 31 December 286
307
Other pension-like obligations 91
109
Retirement benefit obligations and similar obligations at 31 December
377
416
Retirement benefit obligations and similar obligations break down as follows:
Non-current assets -64
-69
Current assets -9
-
Non-current liabilities 440
484
Current liabilities 10
1
Retirement benefit obligations and similar obligations at 31 December 377
416
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 94
Provisions - continued
Note 25
25.1 Pensions and similar obligations – continued
Assumptions regarding future longevity are set based
on actuarial advice in accordance with published
statistics and experience in each country. The
longevities underlying the values of the defined benefit
obligation for the most significant plans were as follows:
Sensitivity analysis
The most significant assumptions used in the
calculation of the obligation for defined benefit plans
are discount rate, inflation rate and assumed life
expectations on retirement age for current pensioners.
An increase in the discount rate of 0.25 of a percentage
point would result in a decrease in the obligation of
approximately DKK 19m, before tax (DKK 20m at
31 December 2024) and vice versa. An increase in the
inflation rate of 0.25 of a percentage point would result
Shares and bonds are measured at fair value based on
quoted prices in an active market. Insurance contracts
and other assets are not based on quoted prices in an
active market.
in a decrease in the obligation of approximately
DKK 1m, before tax (DKK 2m at 31 December 2024) and
vice versa. An increase in the life expectancy of 1 year
would result in an increase in the obligation of
approximately DKK 20m, before tax (DKK 20m at
31 December 2024) and vice versa. The sensitivity
analysis indicates how a change in the individual
assumptions would change the obligation. However,
the assumptions will most likely be correlated and
consequently result in a different obligation.
Years 2025 2024
Assumed life expectations on retirement age for current pensioners
Female 23.10-24.40
23.10-24.30
Male 20.10-21.40
20.10-21.20
Assumed life expectations on retirement age for current employees
(future pensioners)
Female 24.80-26.60
24.80-26.50
Male 21.20-23.80
21.20-23.60
% distribution
2025
2024
The fair value of the plan assets breaks down as follows:
Shares 10
10
Bonds 49
13
Property
6
5
Insurance contracts 16
19
Other assets 19
53
Total 100
100
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 95
Provisions - continued
Note 25
25.1 Pensions and similar obligations – continued
The expected contribution for 2025 for the defined
benefit plans was DKK 33m (DKK 25m in 2025).
Other obligations of a retirement benefit nature
An obligation at 31 December 2025 of DKK 91m
(DKK 109m at 31 December 2024) was recognised to
cover other obligations of a retirement benefit nature,
which primarily include post-employment benefits in a
number of subsidiaries. The benefit payments are
conditional upon specified requirements being met.
DKKm 2025 2024
Change in present value of defined benefit plans:
Present value of defined benefit plans at 1 January 644
631
Effect of foreign exchange differences -7
3
Current service costs 4
7
Pension expenses 7
7
Curtailments 45
-
Interest expenses relating to the obligations 22
22
Experience and assumptions adjustments -20
-2
Benefits paid -78
-26
Used provision -
-2
Employee contributions 2
2
Other adjustments -2
2
Present value of funded pension obligations at 31 December 617
644
Change in fair value of plan assets:
Fair value of plan assets at 1 January 338
315
Effect of foreign exchange differences -9
7
Interest income on plan assets 13
12
Experience adjustments -4
3
Contributions 68
22
Benefits paid -75
-21
Employee contributions 2
2
Administration fee -1
-1
Return on plan assets -1
-1
Fair value of plan assets at 31 December
331
338
Realised return on plan assets 9
15
DKKm 2025 2024
Specification of expenses recognised in the income statement:
Current service costs 6
6
Pension expenses 7
7
Curtailments 45
-
Interest expenses relating to the obligations 9
10
Administration fees 1
1
Total expenses recognised 68
24
Specification of amount recognised in the statement of comprehensive income:
Actuarial (gains)/losses -17
-4
Total expenses recognised -17
-4
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 96
Provisions - continued
Note 25
25.2 Other provisions
Discounts and rebates
The most significant sales deductions are in the U.S. and
comprise discounts and rebates given in connection
with sales under U.S. Federal and State Government
Healthcare programmes, primarily Medicaid.
Management’s estimate of discounts and rebates is
based on a calculation which includes a combination of
historical product/population utilisation mix, price
increases, program/market growth and state-specific
information. Further, the calculation of rebates involves
legal interpretation of relevant regulations and is
subject to changes in interpretive guidance from
governmental authorities. The obligations for discounts
and rebates are incurred at the time the sale is
recorded; however, the actual rebate related to a specific
sale may be invoiced by the authorities six to nine
months later. In addition to this billing time lag, there is
no statute of limitations for states to submit rebate
claims; thus, rebate adjustments in any particular period
may relate to sales from a prior period. Moreover, when
a product loses exclusivity, shifts in payer mix may
cause Medicaid claims/estimates to be more volatile.
Other
At 31 December 2025, other comprised liabilities for legal
disputes DKK 642m (DKK 423m at 31 December 2024),
restructuring programmes DKK 259m (DKK 288m at 31
December 2024), long-term incentive programmes in
USA DKK 55m (DKK 77m at 31 December 2024) and
provisions from acquisition DKK 38m (DKK 94m at
31 December 2024).
DKKm
Discount and
rebates
Product
returns Other Total
Other provisions at 1 January 2025
845 240 1,271 2,356
Currency translation -96 -27 -43 -166
Provisions charged 1,311 51 881 2,243
Provisions used during the year -1,342 -12 -720 -2,074
Unused provisions reversed - -1 -86 -87
Reclassified to and from other balance sheet accounts - - 33 33
Other provisions at 31 December 2025 718 251 1,336 2,305
Other provisions at 31 December can be specified as follows:
Non-current provisions - 180 578 758
Current provisions 718 71 758 1,547
Total 718 251 1,336 2,305
DKKm
Discount and
rebates
Product
returns Other Total
Other provisions at 1 January 2024 618 206 841 1,665
Currency translation 48 13 19 80
Divestments - - -3 -3
Provisions charged 1,415 101 1,052 2,568
Provisions used during the year -1,236 -67 -599 -1,902
Unused provisions reversed - -13 -37 -50
Reclassified to and from other balance sheet accounts - - -2 -2
Other provisions at 31 December 2024 845 240 1,271 2,356
Other provisions at 31 December can be specified as follows:
Non-current provisions - 174 481 655
Current provisions 845 66 790 1,701
Total
845
240
1,271
2,356
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 97
Bank debt, bond debt and borrowings - continued
Note 26
Note 26
Bank debt, bond debt and borrowings
DKKm Note 2025 2024
Debt to financial institutions and others can be specified as follows:
Debt to financial institutions etc.
14,099 19,795
Lease liabilities
1,695 1,840
Total
15,794 21,635
Can be specified as follows:
Non-current liabilities
Mortgage debt 26.1 340 490
Bank debt and bond debt 26.2
13,671 18,595
Lease liabilities
26.3
1,250
1,373
Total
15,261 20,458
Current liabilities
Mortgage debt 26.1 28 33
Bank debt etc. 26.2
60 677
Lease liabilities 26.3
445 467
Total
533 1,177
Total debt
15,794
21,635
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 98
Bank debt, bond debt and borrowings - continued
Note 26
26.1 Mortgage debt
Fair value was calculated by applying the market value
of the underlying bonds at 31 December and therefore
measured by level 1 input.
DKKm 2025 2024
Mortgage debt by maturity:
Within 1 year 28
33
Between 1 and 5 years 113
155
More than 5 years 227
335
Mortgage debt at 31 December 368
523
DKKm Currency/expiry
Fixed/floating
Weighted
average
effective
interest rates
Amortised cost Nominal value Fair value
2025
Falck DKK/2027-
2041
Fixed/floating
3.81% 200
200
200
ALK
DKK/2035
Floating
0.20% 168
168
168
Total
368
368
368
2024
Falck DKK/2035-
2045
Floating
3.81% 261
259
259
Falck DKK/2027-
2041
Fixed/floating
3.81% 77
69
69
ALK
DKK/2035
Floating
0.20% 185
185
187
Total
523
513
515
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 99
Bank debt, bond debt and borrowings - continued
Note 26
26.2 Bank debt and bond debt, etc.
DKKm 2025 2024
Bank debt and bond debt by
maturity:
Within 1 year 60 677
Between 1 and 5 years
13,570 18,428
More than 5 years
101 167
Total
13,731 19,272
Falck
Falck’s primary debt financing is a syndicated bank loan
facility of EUR 310m, expiring in January 2029, and a
DKK 300m term loan with Nordic Investment Bank
where proceeds were dedicated to investments in
digitalisation.
In December 2025, Falck entered a EUR 75m term loan
with Nordea dedicated to finance investments in Falck’s
operations in Spain. During 2025, Falck made a
voluntary repayment of mortgage loans amounting to
DKK 254m. Partly refinancing corresponding to DKK
133m was made.
Lundbeck
In 2019, Lundbeck entered into a revolving credit facility
(RCF) of EUR 1.5bn with its strategic banks. The RCF was
extended in 2025 by one additional year and now
expires in 2027. The flexible structure of the RCF enables
Lundbeck to repay the debt in full at short notice,
normally not more than three months, while still
maintaining the facility until expiration of the credit
commitment.
To hedge the risk of the drawdown on the RCF,
Lundbeck swapped EUR funding into DKK by a cross-
currency swap with an amortised profile matching the
expected payback profile of the underlying loan. The
floating DKK debt amount has been swapped into fixed
interest by an interest rate swap with the same
amortised profile and an average fixed interest rate of
2.20%.
In October 2020, Lundbeck issued a seven-year
Eurobond in the amount of EUR 500m with a fixed
coupon of 0.875%. During 2025, Lundbeck swapped the
EUR debt into DKK via a cross-currency swap
(fixed/fixed), providing a lower fixed interest rate of
0.689%.
In June 2025, Lundbeck issued a four-year Eurobond in
the amount of EUR 500m with a fixed coupon of 3.375%.
The net proceeds from the bond were used to refinance
a EUR 500m bridge facility that was established in
October 2024 in connection with the acquisition of
Longboard Pharmaceuticals. Hence, the bond issuance
was considered to be leverage-neutral.
Both bonds have been issued under Lundbeck’s Euro
medium-term note (EMTN) programme of EUR 2bn and
are listed on Euronext Dublin.
DKKm Currency Expiry Fixed/floating
Weighted
average
effective
interest rates Carrying amount Fair value
2025
Bank debt, Falck DKK 2029 Floating
3,70% 1,110 1,111
Bank debt, Falck EUR 2029 Floating
3,70% 560 560
Bank debt, Falck EUR 2030 Floating
2,90% 560 560
Bank debt, NIB, Falck DKK 2030 Floating
3,20% 300 300
Bank debt, Lundbeck EUR 2029 Floating
2,69% 3,734 3,734
Issued bonds, Lundbeck EUR 2027 Floating
0,88% 3,728 3,614
Issued bonds, Lundbeck EUR 2029 Fixed
3,38% 3,723 3,758
Other bank and finance loans EUR 2028 Fixed
8,00% 16 16
Total
13,731
13,653
2024
Bank debt, Falck EUR 2029 Floating
5.1% 1,123 1,125
Bank debt, Falck DKK 2029
Floating
5.2% 1,004 1,005
Bank debt, NIB, Falck DKK 2030
Floating
4.6% 300 300
Bank debt, Lundbeck EUR 2026
Floating
3.5% 8,725 8,726
Issued bonds, Lundbeck EUR 2026
Floating
3.3% 3,729 3,729
Issued bonds, Lundbeck EUR 2027
Fixed
0.9% 3,720 3,521
Other bank and finance loans, ALK Various 2025
Fixed
3.6% 671 671
Total
19,272 19,077
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 100
Contract liabilities - continued
Note 26
26.3 Lease liabilities
In 2025, the Group paid DKK 561m (DKK 612m in 2024)
for lease agreements, of which, interest expenses
amounted to DKK 61m (DKK 61m in 2024). See also
note 13 Right-of-use assets.
26.4 Development in mortgage debt, bank debt
and bond debt, etc.
Note 26
Bank debt, bond debt and borrowings - continued
DKKm 2025 2024
Leasing liabilities by maturity:
Within 1 year 445 467
Between 1 and 5 years
1,031 1,012
More than 5 years
219 361
Total
1,695 1,840
DKKm
Balance at
1 January
Cash flow,
net
Non-cash
changes
Balance at
31 December
2025
Long-term borrowings 19,085 -5,045 -29 14,011
Short-term borrowings 710 -683 61 88
Lease liabilities 1,840 -501 356 1,695
Total 21,635 -6,229 388 15,794
2024
Long-term borrowings 6,533 12,548 4 19,085
Short-term borrowings 293 417 - 710
Lease liabilities 1,799 -551 592 1,840
Total
8,625
12,414
596
21,635
Note 27
Contract liabilities
DKKm 2025 2024
Stepped-pricing contracts
- -
Prepayments 1,190 842
Total
1,190 842
Within 1 year
913
797
More than 1 year 277 45
Total
1,190 842
Revenue recognised from amounts included in contract liabilities at the
beginning of the year
793 668
Revenue recognised from performance obligations satisfied in previous years
- -1
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 101
Other payables - continued
Note 28
At 31 December 2025, other payables included debt
related to salaries and holiday payment of DKK 2,096m
(DKK 2,056m at 31 December 2024), VAT and other taxes
of DKK 559m (DKK 634m at 31 December 2024) and
discounts and rebates of DKK 959m (DKK 888m at
31 December 2024).
Contingent consideration recognised through
acquisitions
As part of the acquisition of Alder BioPharmaceuticals,
Inc. (subsequently renamed Lundbeck Seattle
BioPharmaceuticals, Inc.), Lundbeck has recognised a
contingent consideration liability related to sales
milestones dependent on predefined milestones being
reached. At 31 December 2025, the fair value of this
contingent consideration related to this acquisition
amounted to DKK 357m (DKK 306m at 31 December
2024).
As part of the acquisition of Abide Therapeutics, Inc.
(subsequently renamed Lundbeck La Jolla Research
Center, Inc.), Lundbeck has recognised a contingent
consideration liability related to sales milestones
dependent on pre-defined milestones being reached. At
31 December 2025, the fair value of this contingent
consideration related to this acquisition amounted to
DKK 30m (DKK 33m at 31 December 2024).
Contingent considerations are recognised at fair value.
The calculation of the fair value is based on the
discounted cash flow method (DCF method), which
comprises significant assumptions and estimates.
Expected timing of payment (using a specific discount
rate) and probability of success are key inputs to the fair
value of the contingent considerations.
The fair value adjustment of all contingent
considerations amounted to a net loss of DKK 89m (net
gain of DKK 21m in 2024), comprising DKK 90m (DKK
39m in 2024) of financial expenses and DKK 1m (DKK
60m in 2024) of financial income. The liability was
impacted by favourable exchange variations of DKK 41m
(DKK 23m at 31 December 2024).
DKKm 2025 2024
Depreciation, amortisation
and impairment
3,232 3,275
Incentive programmes 89 96
Change in other provisions
131 575
Change in valuation of
biological assets
23 -1
Other adjustments
-237 129
Total
3,238 4,074
DKKm 2025 2024
Change in inventories
-482
232
Change in contract assets 59
34
Change in receivables -988
-800
Change in contract liabilities 107
127
Change in liabilities 921
-52
Total -383
-459
Note 28
Other payables
DKKm 2025 2024
Trade payables
5,475 5,233
Contingent consideration 387 340
Derivative financial instruments
145 358
Other
4,375 4,236
Total
10,382 10,167
Other payables break down as follows:
Non-current 502 462
Current
9,880
9,705
Total 10,382 10,167
Note 29
Adjustment for non
-cash
operating items
Note 30
Working capital changes
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 102
Acquisitions and divestments - continued
Note 31
The amounts in the table represent the purchase price
allocation to the identifiable assets and liabilities, and
consequently also to goodwill at the acquisition date.
Acquisitions in 2025
Purchase price of DKK 2m related to Falck, and paid
contingent considerations of DKK 10m related to the
ALK’s acquisition in 2024.
Falck
On 30 December 2025, Falck signed an agreement to
acquire all membership interest (LLC-units) in the
American company The Morin Group LLC in Texas. The
acquisition was completed by payment of the agreed
consideration of DKK 2m on 31 December 2025. No
additional deferred considerations or contingent
payments has been agreed.
The purpose behind the acquisition was to secure a
Texas Emergency Medical Service Provider License
covering the entire state, and this move supports Falck’s
strategy of expanding its presence into new states
within the U.S.
Except for a minor bank account holding less than DKK
1m, The Morin Group LLC had no net assets. The total
consideration was attributed to the license, identified as
an intangible asset, with no goodwill recognised other
than the deferred tax asset tied to the license. The
recognised goodwill was not tax deductible.
No transaction costs were incurred related to the
acquisition.
Net assets, goodwill, contingent assets and liabilities
recognised at the reporting date are to some extend
still provisional. Adjustments can be made for at period
of 12 months from the acquisition date.
Acquisitions in 2024
Lundbeck
On 2 December 2024, Lundbeck completed the
acquisition of Longboard Pharmaceuticals, Inc. (herein
denominated ’Longboard’), a U.S.-listed entity, at a total
purchase consideration of USD 2.35bn fully paid (DKK
16.6bn), on a fully diluted basis. Lundbeck obtained
control of Longboard by acquiring 39,168,546 of issued
shares, representing 100% of Longboard’s share capital.
Under the terms of the agreement, Lundbeck paid an
amount of USD 60 per share.
Longboard is a clinical-stage biopharmaceutical
company focused on developing novel, transformative
medicines for neurological diseases. Its lead asset,
bexicaserin, has shown encouraging anti-seizure
reduction to date in preclinical and clinical studies, with
its next-generation superagonist mechanism
specifically targeting 5-HT2C receptors, which supports
bexicaserin’s potential to offer a highly differentiated
and best-in-class profile. Bexicaserin is now being
evaluated in a global Phase III clinical programme (the
DEEp programme).
The acquisition of Longboard marked a strategic
milestone for Lundbeck, enhancing and complementing
our Focused Innovator Strategy and advancing our goal
of building a neuro-rare disease franchise.
Through the acquisition of Longboard, Lundbeck gains
access to bexicaserin, a novel 5-HT2C agonist in
development for the treatment of seizures associated
with developmental and epileptic encephalopathies
(DEEs), including Dravet syndrome, Lennox-Gastaut
syndrome, and other rare epilepsies. This aligns with
Lundbeck’s expertise in delivering innovative treatments
and re-establishes our scientific and commercial
leadership in rare epilepsies. Bexicaserin has entered a
global Phase III trial (DEEp SEA program) evaluating
bexicaserin for the treatment of seizures associated
with Dravet syndrome in participants two years of age
and older. The DEEp SEA study is part of a broader DEEp
Note 31
Acquisitions and divestments
31.1 Acquisitions of businesses
, etc.
DKKm 2025 Lundbeck ALK Falck 2024
Assets:
Product rights 2 18,729 118 - 18,847
Customer contracts
-
-
-
7
7
Other intangible assets
526
526
Property, plant and equipment, including right-of-use
assets
- 25 6 13 44
Deferred tax asset
- 816 - - 816
Other receivables
- 33 - 9 42
Inventories and trade receivables
- - 1 1 2
Prepayments
-
100
-
-
100
Securities - 941 - - 941
Cash and cash equivalents
- 886 - 4 890
Equity and liabilities:
-
Deferred tax -1 -4,621 - -2 -4,623
Lease liabilities
- -26 - - -26
Trade payables
- -83 - -2 -85
Other payables
- -2,730 - -4 -2,734
Net assets acquired
1 14,596 125 26 14,747
Goodwill 1 1,994 - 21 2,015
Purchase price
2 16,590 125 47 16,762
Contingent considerations 10 - -10 - -10
Cash and cash equivalents
- -886 - -4 -890
Cash consideration for acquisitions
12 15,704 115 43 15,862
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 103
Acquisitions and divestments - continued
Note 31
31.1 Acquisitions of businesses, etc. – continued
programme (DEEp SEA, DEEp OCEAN, and DEEp OLE),
which is planned to take place across approximately 80
sites globally and include approximately 480
participants with a range of DEEs. Bexicaserin has
received a breakthrough therapy designation (BTD) from
the U.S. FDA and is set to become a cornerstone of
Lundbeck’s new neurorare disease franchise. Recent
nine-month open-label data further supports the de-
risked nature of its 5-HT2C mode of action, highlighting
its superior target product profile.
As a result of the acquisition, Longboard has become a
wholly owned subsidiary of Lundbeck, and the common
stock of Longboard has been delisted from the NASDAQ
Global Market.
The net assets recognised in the 2024 Financial
Statements were based on a provisional assessment of
the fair value of the net assets acquired. During 2025,
Lundbeck finalised the purchase price allocation in
accordance with IFRS 3, including the identification and
measurement of acquired intangible assets, assumed
liabilities, and related deferred tax effects. The
identifiable assets acquired and liabilities assumed are
presented in the table to the right. The table sets out
the final amounts of net assets acquired and goodwill
recognised at the acquisition date.
During the measurement period, the provisional
amounts recognised in 2024 were updated based on
new information obtained about facts and
circumstances that existed at the acquisition date.
These updates primarily related to the final valuation of
intangible assets and the associated deferred tax
liability. Consequently, the final fair values were
determined to be DKK 19,255m for intangible assets,
DKK 4,621m for deferred tax liabilities, and DKK 1,994m
for goodwill. The 2024 comparative figures have been
restated to reflect these measurement period
adjustments.
The intangible assets recognised by the Group comprise
product rights of DKK 18,729m and know-how of DKK
Purchase price allocation
Longboard, DKKm
Provisional
Final
Assets:
Intangible assets 16,453 19,255
Right-use-assets
25
25
Deferred tax asset 991 816
Other receivables 33 33
Prepayments
100
100
Securities 941 941
Cash and cash equivalents 886 886
Liabilities:
Deferred tax -3,949 -4,621
Lease liabilities -26 -26
Trade payables
-83
-83
Other payables -2,730 -2,730
Net assets acquired 12,641 14,596
Goodwill 3,949 1,994
Purchase price
16,590
16,590
Cash and cash equivalents -886 -886
Cash consideration for
acquisitions 15,704 15,704
526m. The valuation methods for measuring the fair
value of the acquired intangible assets were as follows:
• Product right (Bexicaserin): The fair value of the
Bexicaserin product right is determined using an
income-based multi-period excess earnings method
(MEEM) approach, reflecting the total expected
revenues from Bexicaserin sales and the product’s
estimated economic life
• Know-how: The fair value of know-how is determined
using the cost method, reflecting the estimated cost
to reproduce or replace the asset at current market
prices
Goodwill represents the value of the acquired workforce
and the expected synergies arising from the acquisition.
None of the goodwill is expected to be deductible for
income tax purposes.
ALK
On 2 January 2024, the ALK Group acquired the
operating assets of AllerQuest for a total cash
consideration of DKK 125m. The consideration amount
included an escrow amount of DKK 10m which served as
reserve for potential indemnifications over 18 months
from acquisition date.
AllerQuest was a U.S.-based company dedicated to
manufacturing PRE-PEN® Skin Antigen Test. This
acquisition makes ALK the sole manufacturer and
distributor of PRE-PEN in the U.S. and Canada, with
global ownership rights to all assets of AllerQuest. PRE-
PEN is the only FDA-approved diagnostic skin test for
the evaluation of penicillin allergy and is indicated for
the assessment of sensitisation to penicillin in patients
suspected to have clinical penicillin hypersensitivity.
AllerQuest was previously a supplier of the ALK Group
and integration was completed in 2024.
The transaction was on a debt and cash free basis. No
liabilities were transferred.
Falck
In June 2024, Falck signed an agreement to acquire all
shares in two Colombian companies: Asistencia Médica
S.A.S. and Servicio de Asistencia Médica Inmediata S.A.S.
The acquisition was completed by payment of the
agreed consideration on 14 June 2024, from which point
Falck assumed control.
The consideration paid on the closing date amounted to
DKK 26m and an additional amount of DKK 18m was
paid in Q4 2024. An additional deferred payment of DKK
3m was agreed bringing the total consideration to DKK
47m. Adjusted for cash of DKK 4m, the net
consideration amounted to DKK 43m. The deferred
consideration did not depend on the receivers’
continued employment in Falck, which means that this
part of the consideration was included in the total
consideration amount. No further additional contingent
consideration was agreed.
Transaction costs related to the acquisition amounted
to DKK 1m, which was included in other operating items,
net.
Besides the value of customer contracts amounting to
DKK 7m, no assets or liabilities were identified which
were not recognised in the companies acquired on the
date of acquisition. Goodwill of DKK 21m was calculated.
The recognised goodwill was not tax deductible.
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 104
Acquisitions and divestments - continued
Note 31
31.1 Acquisitions of businesses, etc. – continued
Goodwill mainly represents the value of operational
synergies from the integration of the acquired
companies into the existing operation in Colombia as
well as the strategic leverage for the B2I segment in
Colombia.
During 2025, the provisional Purchase Price Allocation
has been completed. Final consideration and opening
balance were not adjusted and no other adjustments
were applied to the provisional amounts.
31.2 Divestment of businesses
In 2024, Falck divested the Industrial Fire services
company in Brazil and an ambulance activity in
Cuxhaven, Germany.
Net assets divested amounted to DKK 6m.
An amount of DKK 4m of exchange rate adjustments
from divestments was recirculated from the currency
translation reserve.
Adjustments amounting to DKK 14m from previous
years' divestments mainly related to the write-off of
aged receivables from companies that had been
divested in prior years. Furthermore, adjustments
concerning costs related to disputes which were settled.
The total loss from divestment of enterprises of DKK
15m was recognised in the income statement in
financial expenses.
DKKm 2025
2024
Assets
Property, plant and equipment -
-2
Other current assets
-
-6
Cash and bank balances -
-7
Equity and liabilities
Provisions -
1
Current liabilities -
8
Net assets divested -
-6
Recirculation of exchange rate adjustments from divestments -
4
Sales price -
1
Adjustments related to prior years' divestments -
-14
Gains/losses from divestments of enterprises -
-15
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 105
Financial risks and financial instruments - continued
Note 32
The Group’s business activities imply that the results
and balance sheet may be affected by various financial
risks. The management of these risks is decentralised
and handled in Lundbeckfonden and in Lundbeck, ALK
and Falck based on policies and guidelines approved by
the Board of Directors or the boards of directors in the
subsidiaries.
See also note 16 Financial assets, note 19 Trade
receivables, and note 21 Liquidity for descriptions of
risks and the management thereof and note 32.5 for
information about derivative financial instruments.
32.1 Exchange rate risks
Exchange rate risks arise because the Group’s expenses
and income in different currencies do not match and
because the Group’s assets and liabilities denominated
in foreign currency do not balance, among other things,
due to BioCapital’s and Invest's investment assets. The
management of these risks is focused on risk
mitigation.
The Group applies various derivative financial
instruments to manage these risks. Some of these
instruments are classified as hedging instruments and
meet the accounting criteria for hedging future cash
flows. Changes in the fair value of these contracts are
recognised in the statement of comprehensive income
under other comprehensive income as they arise and, on
invoicing of the hedged cash flow, transferred from
other comprehensive income for inclusion in the same
item as the hedged cash flow. Hedging contracts that
do not meet the hedge criteria are classified as trading
contracts, and changes in the fair value are recognised
as financial items as they arise. The need for hedging is
assessed separately in Lundbeck, ALK and Falck and in
Invest.
Estimated impact from financial instruments on profit
for the year and equity from a 5% increase in year-end
exchange rates of the major currencies:
DKKm CAD CNY GBP
SEK USD
2025
Profit -
9
-
15
43
440
Equity -15
-13
-
12
43
86
2024
Profit 3
10
-
2
28
522
Equity -19
-15
-
1
28
184
The shown sensitivities only comprise impact from
financial instruments and reflect a relative change of
the exchange rates at 31 December 2025 and 2024.
The sensitivity analysis includes derivatives, bank loans,
trade receivables, trade payables, intercompany lending
and borrowing, as those are the financial instruments
where the Group has the most currency exposure.
The profit impact comprises financial instruments that
remained open at the balance sheet date and which
have an impact on profit in the current financial year. It
includes foreign exchange differences relating to intra-
group balances that are not eliminated in the
consolidated financial statements. The calculation of
the estimated impact is based on the functional
currency of the entities where the financial instruments
are located. The profit impact is limited as the largest
liabilities are exchange rate adjusted in other
comprehensive income, being part of the Group’s
hedging structure.
The equity impact includes financial instruments that
remained open at the balance sheet date and which are
exchange rate adjusted in other comprehensive income.
The equity effects in 2025 and 2024 primarily consist of
exchange-rate adjustments in USD on outstanding cash
flow hedging contracts.
Due to Denmark’s long-standing fixed exchange rate
policy against the euro and the expected continuation
of this policy, the foreign currency risk for the euro is
considered immaterial, and the euro is therefore not
included in the table.
32.2 Interest rate risks
Interest rate risk relates to the Group’s interest-bearing
assets and liabilities and, principally, to the Group’s
bonds classified as financial assets measured at fair
value through profit or loss. See note 26 Bank debt,
bond debt and borrowings and note 32.3 Fair value
hierarchy for financial assets and liabilities, measured at
fair value.
Interest income
The duration of the investments when selecting
financing and investment instruments is used to
manage the interest rate risk. In addition, the Group
uses derivative financial instruments to mitigate the
interest rate exposure. The use of financial instruments
to manage interest rate risk does not qualify for hedge
accounting, and the changes in fair value are therefore
recognised as financial income or expenses in an
ongoing process.
At 31 December 2025, the Group’s portfolio of bonds had
a duration of 2.88 years (2.41 years at 31 December 2024).
Other things being equal, an increase of 1 percentage
point in interest rates would increase the Group’s profit
after tax by DKK 92 (increase of DKK 104m at 31
December 2024).
At 31 December 2025 and 2024, there were no
derivatives to manage interest rate risks because the
distribution of investments carrying floating and fixed
interest at the given times was deemed to be
satisfactory.
Interest expenses
Lundbeck’s exposure to interest rate risk is low, as both
outstanding bonds have fixed coupon rates and the
drawdown on the revolving credit facility is swapped
into fixed interest rates. For more information see note
26.2.
Falck’s exposure to interest rate risk relates to the part
of the mortgage loans which carry a floating interest
rate, and the bank debt of DKK 2,530m, which carries
variable interest.
ALK does not hedge its interest rate exposure, as this is
not considered to be financially viable.
Note 32
Financial risks and financial instruments
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 106
Financial risks and financial instruments - continued
Note 32
32.2 Interest rate risks - continued
An interest rate change on bank debt and bond debt,
including interest rate swaps, of +/-1 percentage point
would decrease/increase profit for the year after tax by
DKK 30m (DKK 65m in 2024) and increase/decrease
equity by DKK 49m in 2025 (DKK 61m at 31 December
2024) on an annual basis.
32.3 Fair value hierarchy for financial assets
and liabilities, measured at fair value
Level 1 includes financial assets for which the fair value
is measured based on quoted prices (unadjusted) in
active markets for identical assets. Level 2 includes
financial assets and financial liabilities for which the fair
value is measured based on directly or indirectly
observable inputs other than the quoted prices included
in level 1. Level 3 includes financial assets for which the
fair value is measured based on valuation methods
which include inputs not based on observable market
data.
The requirement for reclassifications between the levels
is evaluated continually during the year. For individual
financial assets and liabilities, it is evaluated whether
the most critical input variable in connection with
determination of fair value has changed from
unobservable to observable or the other way round. If
this is the case the asset or liability is reclassified from
the recent relevant level to new level from the time
when the change in input variable occurs.
Level 3 liabilities are determined on the basis of profit
prior to the right being exercised, multiplied by an
already agreed multiple, typically less net debt in the
relevant companies. When recognised in the balance
sheet, this liability is made up on the basis of earnings
and net debt at the time when the non-controlling
interests are expected to exercise their right to sell their
shares to the Group. The calculated liability typically
assumes an increase in earnings and a decrease in net
debt in the relevant companies as compared with the
value recognised in the financial statements.
The fair value of derivatives is determined by applying
recognised measurement techniques, whereby
assumptions are based on the market conditions
prevailing on the balance sheet date.
The fair value of contingent consideration is calculated
as the discounted cash outflows from future milestone
payments, taking probability of success into
consideration.
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 107
Financial risks and financial instruments - continued
Note 32
32.3 Fair value hierarchy for financial assets and liabilities, measured at fair value - continued
Financial assets and liabilities measured at fair value through profit or loss
31 December 2025, DKKm Level 1 Level 2 Level 3 Total
Financial assets
Financial assets, Invest
Danish mortgage and government bonds 2,846 - - 2,846
Credit bonds and loans 443 796 1 1,240
Equities 14,632 - 945 15,577
Private equity funds and other unlisted funds - 183 3,997 4,180
Derivative financial instruments - 82 - 82
Total financial assets, Invest 17,921 1,061 4,943 23,925
BioCapital
Equities 162 - 1,859 2,021
Receivables from sale of companies - - 19 19
Other receivables - - 27 27
Total BioCapital 162 - 1,905 2,067
Other financial assets 5 - 27 32
Securities (current assets) 1,239 - - 1,239
Total financial assets
19,327
1,061
6,875
27,263
Financial liabilities
Contingent consideration (see note 28) - - 387 387
Total financial liabilities - - 387 387
Financial assets and liabilities measured at fair value through other comprehensive income
31 December 2025, DKKm
Level 1
Level 2
Level 3
Total
Financial assets
Derivative financial instruments - 260 - 260
Financial liabilities
Derivative financial instruments - 145 4 149
Financial assets and liabilities measured at fair value through profit or loss
31 December 2024, DKKm Level 1 Level 2 Level 3 Total
Financial assets
Financial assets, Invest
Danish mortgage and government bonds 3,035 - - 3,035
Credit bonds and loans 1,209 502 1 1,712
Equities 13,025 - 882 13,907
Private equity funds and other unlisted funds - 259 3,588 3,847
Derivative financial instruments - 61 - 61
Total financial assets, Invest 17,269 822 4,471 22,562
BioCapital
Equities 361 - 1,980 2,341
Receivables from sale of companies - - 16 16
Other receivables - - 71 71
Total BioCapital
361
-
2,067
2,428
Other financial assets 7 - 30 37
Securities (current assets) 300 - - 300
Total financial assets 17,937 822 6,568 25,327
Financial liabilities
Contingent consideration (see note 28) - - 340 340
Total financial liabilities - - 340 340
Financial assets and liabilities measured at fair value through other comprehensive income
31 December 2024, DKKm Level 1 Level 2 Level 3 Total
Financial assets
Derivative financial instruments - 58 36 94
Financial liabilities
Derivative financial instruments - 358 - 358
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 108
Financial risks and financial instruments - continued
Note 32
Applied valuation methods for the determination of fair
value of the material categories above are as follows:
32.3 Fair value hierarchy for financial assets and liabilities, measured at fair value
– continued
Financial assets measured at fair value through profit or loss according to level 3, DKKm 2025 2024
Carrying amount at 1 January
6,568 5,881
Additions 767 668
Disposals
-552 -404
Reclassification, from level 3 to level 1 in connection with IPOs
- -165
Fair value adjustment
92 588
Carrying amount at 31 December
6,875 6,568
Valuation method used Used unobservable inputs
Sensitivity in fair value in case of changes in
unobservable inputs
Danish mortgage and government bonds and
credit bonds (listed)
Closing prices according to exchange markets N/A N/A
Equities (listed) Closing prices according to exchange markets N/A N/A
Equities, real assets (unlisted) Capitalisation model Required rates on return 4.0-4.5% or cost if under construction
If required rate of return is reduced by 0.25pp the fair value
will be increased by DKK 107m
Equities, BioCapital (unlisted)
Trading multiples, price at financing round, relative adjustment
based on predefined value triggers/business plans and cost at
recent transaction
Trading multiples, value trigger assumptions, cost at recent
transaction and price at financing round
If trading multiples decreased by 10%, the fair value will decrease
by DKK 124m
Private equity funds and other unlisted funds Adjusted reported net asset value (NAV)
Latest reported NAV adjusted for capital calls, capital returns and
pricing development (if relevant)
If NAV decreased by 10%, the fair value will decrease by DKK 418m
Receivables including receivables from sale of portfolio companies Expected discounted cash flow Value trigger assumptions N/A
Securities (current assets) Closing prices according to exchange markets N/A N/A
Derivative financial instruments
Fair value of interest rate swaps is calculated as the present value of
estimated future cash flows based on observable yield curves. Fair
value of foreign exchange contracts is determined using forward
exchange rate at the balance sheet date. Fair value for share and
index options is based on closing prices according to exchange
markets
N/A N/A
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 109
Financial risks and financial instruments - continued
Note 32
The amounts in the tables are including interest.
32.4 Maturity dates for financial assets and financial liabilities
31 December 2025, DKKm
Less than
1 year
1-5 years
More than 5
years
Total
Carrying
amount
Effective
interest rate
Financial assets
Financial assets, Invest
Danish mortgage and government
bonds
1
776
4.064
4.841
2.846
0-7%
Credit bonds and loans 24
244
1,019 1,287 1,240 4-11%
Derivative financial instruments 82
-
-
82
82
-
Financial assets, BioCapital
Receivables from sale of portfolio
companies
-
19
-
19
19
-
Other receivables 8
21
-
29
27
0-10%
Securities (current assets) 1.324
-
-
1.324
1.239
0-11%
Financial assets at fair value through
profit or loss
1.439
1.060
5,083 7,582 5,453
Derivatives designated as hedging
instruments
162
14
-
176
176
-
Financial assets at fair value through
other comprehensive income
162
14
-
176
176
Receivables 7.582
95
-
7.677
7.677
-
Cash and bank balances 5.563
-
-
5.563
5.563
0-6%
Financial assets measured at
amortised cost
13.145
95
-
13.240
13.240
Total financial assets 14.746
1.169
5,083 20,998 18,869
31 December 2025, DKKm
Less than
1 year 1-5 years
More than 5
years Total
Carrying
amount
Effective
interest rate
Financial liabilities
Derivatives included in the trading
portfolio
- - - - - -
Contingent consideration
-
357
30
387
387
-
Financial liabilities at fair value
through profit or loss
- 357 30 387 387
Derivatives designated as hedging
instruments
59 7 - 66 66 -
Financial liabilities at fair value
through other comprehensive income
59 7 - 66 66
Bank debt and bond debt etc. 449 14,369 359 15,177 14,099 1-8%
Leasing liabilities 495 1,145 229 1,869 1,695 1-13%
Other payables and non-disbursed
grants
10,556 1,723 239 12,518 12,518 -
Financial liabilities measured at
amortised cost
11,500 17,237 827 29,564 28,312
Total financial liabilities 11,559 17,601 857 30,017 28,765
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 110
Financial risks and financial instruments - continued
Note 32
The amounts in the tables are including interest.
32.4 Maturity dates for financial assets and financial liabilities
- continued
31 December 2024, DKKm
Less than
1 year
1-5 years
More than 5
years
Total
Carrying
amount
Effective
interest rate
Financial assets
Financial assets, Invest
Danish mortgage and government
bonds
1 665 4,679 5,345 3,035 0-6%
Credit bonds and loans 49 841 906 1,796 1,712 0-11%
Derivative financial instruments 61 - - 61 61 -
Financial assets, BioCapital
Receivables from sale of portfolio
companies
- 16 - 16 16 -
Other receivables 53 36 - 89 71 10-16%
Securities (current assets) 394 - - 394 300
Financial assets at fair value through
profit or loss
558 1,558 5,585 7,701 5,195
Derivatives to hedge future cash
flows – exchange rate 57 - - 57 57 -
Derivatives to hedge future cash
flows – interest rate
- 1 - 1 1 -
Derivatives to hedge future cash
flows - price
6 30 - 36 36 -
Financial assets at fair value through
other comprehensive income 63 31 - 94 94
Receivables 6,130 297 - 6,427 6,427 0-1%
Cash and bank balances 5,907 - - 5,907 5,907 0-10%
Financial assets measured at
amortised cost
12,037 297 - 12,334 12,334
Total financial assets 12,658 1,886 5,585 20,129 17,623
31 December 2024, DKKm
Less than
1 year 1-5 years
More than 5
years Total
Carrying
amount
Effective
interest rate
Financial liabilities
Contingent consideration - - 340 340 340 -
Financial liabilities at fair value
through profit or loss
- - 340 340 340
Derivatives to hedge future cash
flows – exchange rate 348 5 - 353 353 -
Derivatives to hedge future cash
flows – interest rate
- 5 - 5 5 -
Financial liabilities at fair value
through other comprehensive income
348 10 - 358 358
Bank debt and bond debt etc. 1,359 19,234 505 21,098 19,795 0-5.2%
Leasing liabilities 502 1,120 375 1,997 1,840 1-13%
Other payables and non-disbursed
grants
8,877 1,859 - 10,736 10,736 0-1%
Financial liabilities measured at
amortised cost 10,738 22,213 880 33,831 32,371
Total financial liabilities 11,086 22,223 1,220 34,529 33,069
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 111
Financial risks and financial instruments - continued
Note 32
32.5
Derivative financial instruments
Derivatives designated as hedging
instruments, DKKm
Notional
Fair value,
net
Fair value
recognised
in OCI
(unrealised)
Fair value
recognised
in OCI
(unrealised)
Effective
hedge rate
Reclassified
from OCI to
income
statement
(realised)
2025
Asset Liability
Forward contracts - Foreign
exchange
1)
8,583 87 136 49
275
USD 6,552 100 109 9
639.19 221
Other currencies 2,031 -13 27 40
54
Option contracts - Currency option
1)
1,429 8 18 10
4
USD 1,429 8 18 10
620.06 -4
Other currencies - - - -
8
Cross-currency swap
2)
3,730 3 6 3
28
Hedge - PPA 71 -4 - 4
-
Total 13,813 94 160 66
307
Derivatives not designated as hedging
instruments, DKKm
Notional
Fair value,
net
Fair value
recognised in
income
statement
(unrealised)
Fair value
recognised in
income
statement
(unrealised)
Recognised
in income
statement
(realised)
2025
Asset
Liability
Forward contracts - Foreign exchange 953 8 8
- -13
Cross-currency swap 3,730 8 8
- 4
Total 4,683 16 16
- -9
1) Realised gains/losses transferred from OCI (other comprehensive income) to revenue. 2) Realised gains/losses transferred from OCI (other comprehensive income) to financial items.
Derivatives designated as hedging
instruments, DKKm Notional
Fair value,
net
Fair value
recognised
in OCI
(unrealised)
Fair value
recognised
in OCI
(unrealised)
Effective
hedge rate
Reclassified
from OCI to
income
statement
(realised)
2024
Asset Liability
Forward contracts - Foreign
exchange
1)
9,137 -278 56 334
-11
USD
6,802
-309
-
309
678.19
-45
Other currencies 2,335 31 56 25
34
Option contracts - Currency option
1)
880 -12 - 12
-41
USD 431 -9 - 9 652.43 -35
Other currencies 449 -3 - 3
-6
Cross-currency swap
2)
8,206 -9 1 11
-
Hedge - PPA
43
36
36
-
-
Forward contracts 18,266 -263 93 357
-52
Derivatives not designated as hedging
instruments, DKKm Notional
Fair value,
net
Fair value
recognised in
income
statement
(unrealised)
Fair value
recognised in
income
statement
(unrealised)
Recognised
in income
statement
(realised)
2024
Asset Liability
Forward contracts - Foreign exchange -
-
-
-
380
Total -
-
-
-
380
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 112
Contractual obligations, contingent assets
and liabilities, and collaterals - continued
Note 33
Contingent Assets and liabilities
Pending legal proceedings
The Group is involved in pending legal proceedings
arising out of the normal conduct of its business. While
provisions that Management deems to be reasonable
and appropriate have been made for probable losses,
there are inherent uncertainties connected with these
estimates.
In June 2013, Lundbeck received the European
Commission’s decision that agreements concluded with
four generic competitors concerning citalopram violated
competition law. The decision included fining Lundbeck
EUR 93.8m (approximately DKK 700m). Lundbeck paid
and expensed the fine in the third quarter of 2013. In
March 2021, the European Court of Justice rejected
Lundbeck’s final appeal of the European Commission’s
decision. So-called ’follow-on claims’ for reimbursement
of alleged losses resulting from violation of competition
law often arise when decisions and fines issued by the
European Commission are upheld by the European
Court of Justice. The below-mentioned ’follow-on
claims’ are ongoing or threatened. Lundbeck disagrees
with all claims and intends to defend itself against
them.
At the end of the first quarter of 2023, the UK health
authorities served their claim form on Lundbeck and
several generic companies, and Lundbeck filed its
defence in the third quarter of 2023. The hearing on
whether the claim is time-barred was held in the second
quarter of 2024, and the Competition Appeal Tribunal
subsequently issued a decision in favour of the UK
health authorities. Lundbeck was granted permission to
appeal the decision to the Court of Appeal, and the
Court of Appeal issued a decision in favour of the UK
health authorities in the second quarter of 2025. In
October 2025, the Supreme Court refused Lundbeck’s
application for permission to appeal the ruling on time-
barring.
In late October 2021, Lundbeck received a writ of
summons from a German healthcare company claiming
compensation for an alleged loss of profit plus interest
payments, allegedly resulting from Lundbeck’s
conclusion of agreements with two of the four generic
competitors, which were covered by the EU Court of
Justice ruling. Lundbeck filed its first defence in May
2022, and the parties have subsequently exchanged
additional pleadings. The first instance court hearing
was held in the second quarter of 2024, and Lundbeck
currently expects a first instance court ruling in 2026.
The first instance court ruling may be appealed, and it
may take several years before a final conclusion is
reached by the German courts.
Note 32
Financial risks and financial instruments
- continued
32.5 Derivative financial instruments - continued
Equity contracts, DKKm Contractual value
Gains/losses
recognised in the
income statement
Market value 31
December
Expiry
2025
Options on indices - -32 -
-
Options on shares 254 13 82
Sep,2026
Total
254
-19
82
2024
Options on indices 1,428 -56 43
Jun,2025
Options on shares -317 -4
18
Jun/Dec,2025
Total
1,111
-60
61
Note 33
Contractual obligations, contingent assets and liabilities, and collaterals
DKKm 2025 2024
Purchase obligations relating to property, plant and equipment
444 637
Research and development milestone obligations 2,883 770
Guarantee for a third party’s debt
149 146
Capital contribution obligations
2,283 2,363
Other contractual obligations, including service agreements
30 31
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 113
Contractual obligations, contingent assets
and liabilities, and collaterals - continued
Note 33
In October 2024, Lundbeck received a claim form from
the health authority in one of the regions (comunidades
autónomas) in Spain, and in November 2024 Lundbeck
filed its defence. The first instance court hearing was
held in the second quarter of 2025, and a first instance
ruling was issued in the third quarter of 2025. The court
dismissed the health authority’s claim based on time-
barring. The health authority has appealed the decision.
Lundbeck has been informed about potential claims in
several European countries, however, it is still uncertain
whether the potential claims will be actively pursued.
In Canada, Lundbeck is involved in a product liability
class-action lawsuit against several Selective Serotonin
Reuptake Inhibitor (SSRI) manufacturers (including
Lundbeck), alleging that SSRIs (Celexa®/Cipralex®) induce
autism birth defects. Lundbeck strongly disagrees with
the claim. Other product liability claims concerning
Rexulti®, Abilify Maintena®, and Celexa® have all been
closed.
Otsuka and Lundbeck received paragraph IV
certifications from Sun Pharma, Apotex, and Alvogen
with respect to certain patents listed for Abilify
Maintena® in the U.S. and commenced patent
infringement proceedings against all three companies.
The case with Sun Pharma has now been settled,
whereas the cases against Apotex and Alvogen are
scheduled for trial in October 2026. The FDA will stay
approval to Apotex and Alvogen until 30 months from
receipt of the respective paragraph IV certifications or a
court decision in Apotex’s or Alvogen’s favour.
Lundbeck received a civil investigative demand (’CID’)
from the U.S. Department of Justice (’DOJ’) in March
2020. The CID seeks information regarding the sales,
marketing, and promotion (including the promotional
speaker program) of Trintellix®. Lundbeck is cooperating
with the DOJ.
In June 2022 in the U.S., several entities created for the
purpose of receiving assignment of claims from payors
providing health insurance coverage pursuant to
Medicare Parts C and D and Medicaid filed a complaint
against Lundbeck and others. The complaint alleged
that Lundbeck and the other defendants conspired to
increase the unit price and quantity dispensed of
Xenazine®. The case was dismissed with prejudice in
2023, all appeals have been exhausted, and the case is
closed.
In June 2023 in the U.S., Humana Inc., an insurer, filed a
complaint against Lundbeck U.S. legal entities. The
complaint alleges that Lundbeck engaged in an illegal
kickback scheme to increase the sales and sale price of
Lundbeck’s Xenazine®. The complaint alleges that
Lundbeck’s activities targeted Humana Inc. and other
private Medicare insurers, who were forced to bear the
costs of the alleged illegally subsidised drug sales.
Lundbeck denies the allegations in the complaint and
intends to defend itself.
Research and development milestones and
collaborations
The Group has entered into a number of agreements
relating to research and development of new products
and intellectual property rights from acquisitions, as
well as other collaborations. Under the agreements,
Lundbeck is committed to paying for the research and
development services provided by third parties. The
obligation amounts to DKK 2,979m. Further, Lundbeck is
committed to paying certain milestones related to
achieving different research, development, and
regulatory milestones. Such amounts entail
uncertainties in relation to the period in which
payments are due because a proportion of the
obligations is dependent on the milestone
achievements.
At 31 December 2025, potential future milestone
payments amounted to DKK 2,883m (DKK 770m at
31 December 2024).
Sales milestones, royalties and other payments
The Group is committed to paying certain commercial
sales milestones, royalties, or other payments based on
a percentage of sales generated from the sale of goods
following marketing approval. These amounts are
excluded from the contractual obligations because of
their contingent nature, being dependent on future
sales.
Other obligations
The Group has product return obligations that are
normal for the industry. Management does not expect
any major losses from these obligations apart from the
amount already recognised.
Usual representations and warranties are made in
connection with the divestment of enterprises and
operations. There are no significant outstanding claims
that are not sufficiently recognised in the balance sheet.
The Group has undertaken purchase obligations relating
to property, plant and equipment in the amount of DKK
444m (DKK 637m at 31 December 2024). Contractual
obligations for intangible assets, excluding
commitments with R&D milestones and collaborations,
amounted to DKK 5m (DKK 24m at 31 December 2024),
and other obligations relating to licensing agreements
and lease obligations for signed but not yet commenced
lease agreements as per commencement date in
accordance with IFRS 16 amounted to DKK 25m at
31 December 2025 (DKK 7m at 31 December 2024).
The contractual obligations not recognised in the
Balance sheet represent contractual payments and are
neither discounted nor risk-adjusted.
Environmental matters
PFAS pollution has been identified at Lundbeck’s site in
Lumsås. Pollution to the soil and water has occurred
from the use of PFAS-containing firefighting foam in
the factory’s fire extinguishing system, which was used
until 2011 in compliance with applicable law and
following recommendations by the fire authorities at
that time. The case is being managed in accordance
with the requirements set by the authorities and in line
with Lundbeck’s HSE, Compliance, and Sustainability
policies. Since the pollution was detected, Lundbeck has
been engaged in a close dialogue with the Danish
Environmental Protection Agency (EPA) regarding the
mapping and remediation of the pollution. Lundbeck
has proactively taken steps to reduce PFAS levels while
continuously engaging with neighbours and the
municipality to address concerns in the local
community. As remediation and mitigation action
advances, our knowledge and understanding of PFAS
pollution will continue to evolve, and we are committed
to continuing to take further steps to reduce PFAS levels
in the area.
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 114
Related parties - continued
Note 33
Falck has received information requests from
municipalities, and might in the future be involved in
further investigations regarding PFOS contamination in
the portfolio of properties owned by Falck. Falck does
not consider it probable that the investigations will
result in a liability for Falck.
Collaterals
Land and buildings provided as security for mortgage
debt amounted to DKK 714m (DKK 562m at 31 December
2024) out of mortgage debt of DKK 367m (DKK 518m at
31 December 2024).
Lundbeckfonden is an enterprise foundation established
by Grete Lundbeck in 1954. As a foundation, no party
controls Lundbeckfonden.
Related parties to Lundbeckfonden:
• The Foundation’s Executive Management and Board
of Directors, including their close family members and
related undertakings
• Associates
See note 3 Employee costs for information about
remuneration received by the Board of Directors and the
Executive Management.
Note 33
Contractual obligations, contingent assets
and liabilities, and collaterals - continued
Note 34
Related parties
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 115
Group overview - continued
Note 35
Note 35
Group overview
Company name Country Ownership
Subsidiaries of Lundbeckfonden
Lundbeckfond Invest A/S, including Denmark
100%
- H. Lundbeck A/S
Denmark
69% (76% of the votes)
- ALK-Abelló A/S
Denmark
40% (67% of the votes)
- Falck A/S
Denmark
58%
- LFI Equity A/S
Denmark
100%
- LFI Silva Investments A/S
Denmark
97%
- LFI Silva Investments Ltd.
United Kingdom
100%
- DYSIS Medical Inc
United States
100%
Vesper Bio ApS
Denmark
75%
Associates of Lundbeckfond Invest A/S
Ferrosan Medical Devices HoldCo ApS Denmark
30%
Echo TopCo A/S (Ellab)
Denmark
34%
CN8 A/S (WS Audiology)
Denmark
15%
Obel-LFI Ejendomme A/S
Denmark
50%
Cresco Capital Services A/S
Denmark
25%
CytoKi Pharma ApS
a)
Denmark
29%
Epoqe Pharma ApS.
a)
Denmark
23%
Folium Food Science Limited
a)
United Kingdom
13%
iNotify ApS
a)
Denmark
11%
IO Biotech, Inc.
a)
United States
19%
Kvantify ApS
a)
Denmark
12%
NMD Pharma ApS
a)
Denmark
17%
QuantumCell ApS.
a)
Denmark
11%
SA Enterome
a)
France
13%
SNIPR Biome ApS
a)
Denmark
29%
VarmX B.V.
a)
Netherlands
11%
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 116
Group overview - continued
Note 35
Company name Country Ownership
Subsidiaries of H. Lundbeck A/S
Lundbeck Argentina S.A. Argentina
100%
Lundbeck Australia Pty Ltd, including
Australia
100%
- CNS Pharma Pty Ltd
Australia
100%
Lundbeck Austria GmbH
Austria
100%
Lundbeck S.A.
Belgium
100%
Lundbeck Brasil Ltda.
Brazil
100%
Lundbeck Canada Inc.
Canada
100%
Lundbeck Chile Farmacéutica Ltda.
Chile
100%
Lundbeck (Beijing) Pharmaceuticals Consulting Co., Ltd.
China
100%
Lundbeck Colombia S.A.S.
Colombia
100%
Lundbeck Croatia d.o.o.
Croatia
100%
Lundbeck Czech Republic s.r.o.
Czech Republic
100%
Lundbeck Export A/S
Denmark
100%
Lundbeck Pharma A/S
Denmark
100%
Lundbeck Eesti A/S
Estonia
100%
OY H. Lundbeck AB
Finland
100%
Lundbeck SAS
France
100%
Sofipharm SAS, including
France
100%
- Elaiapharm SAS
France
100%
Lundbeck GmbH
Germany
100%
Lundbeck Hellas S.A.
Greece
100%
Lundbeck HK Limited
Hong Kong
100%
Lundbeck Hungária KFT
Hungary
100%
Lundbeck India Private Limited
India
100%
Lundbeck (Ireland) Ltd.
Ireland
100%
Lundbeck Israel Ltd.
Israel
100%
Lundbeck Italia S.p.A.
Italy
100%
Lundbeck Pharmaceuticals, Italy S.p.A., including
Italy
100%
- Archid S.A.
Luxembourg
100%
Lundbeck Japan K.K.
Japan
100%
Lundbeck Korea Co., Ltd.
Republic of Korea
100%
SIA Lundbeck Latvia
Latvia
100%
Company name Country Ownership
UAB Lundbeck Lietuva
Lithuania
100%
Lundbeck Malaysia SDN. BHD. Malaysia
100%
Lundbeck México, SA de CV
Mexico
100%
Lundbeck B.V.
Netherlands
100%
Prexton Therapeutics B.V., including
Netherlands
100%
- Prexton Therapeutics S.A.
Switzerland
100%
Lundbeck New Zealand Limited
New Zealand
100%
H. Lundbeck AS
Norway
100%
Lundbeck Pakistan (Private) Limited
Pakistan
100%
Lundbeck America Central S.A.
Panama
100%
Lundbeck Peru S.A.C.
Peru
100%
Lundbeck Philippines Inc.
Philippines
100%
Lundbeck Business Service Centre Sp.z.o.o.
Poland
100%
Lundbeck Poland Sp.z.o.o.
Poland
100%
Lundbeck Portugal - Produtos Farmacêuticos Unipessoal Lda
Portugal
100%
Lundbeck Romania SRL
Romania
100%
Lundbeck RUS LLC
Russia
100%
Lundbeck Regional Headquarters
Saudi Arabia
100%
Lundbeck Singapore PTE. LTD.
Singapore
100%
Lundbeck Slovensko s.r.o.
Slovakia
100%
Lundbeck Pharma d.o.o.
Slovenia
100%
Lundbeck South Africa (Pty) Limited, including
South Africa
100%
- H. Lundbeck (Proprietary) Limited
South Africa
100%
Lundbeck España S.A.
Spain
100%
H. Lundbeck AB
Sweden
100%
Lundbeck (Schweiz) AG
Switzerland
100%
Turkey
100%
Lundbeck Group Ltd. (Holding), including
United Kingdom
100%
- Lundbeck Limited
United Kingdom
100%
- Lundbeck Pharmaceuticals Ltd.
United Kingdom
100%
- Lifehealth Limited
United Kingdom
100%
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 117
Group overview - continued
Note 35
Company name Country Ownership
- Lundbeck UK LLP
b)
United Kingdom
100%
Lundbeck USA Holding LLC, including United States
100%
- Lundbeck LLC, including
United States
100%
- Chelsea Therapeutics International, Ltd., including
United States
100%
- Lundbeck NA Ltd.
United States
100%
- Lundbeck Pharmaceuticals LLC
United States
100%
- Lundbeck Research USA, Inc.
United States
100%
- Lundbeck La Jolla Research Center, Inc., including
United States
100%
- Abide Therapeutics (UK) Limited
United Kingdom
100%
- Lundbeck Seattle BioPharmaceuticals, Inc., including
United States
100%
- Alder Biopharmaceuticals Pty., Ltd.
Australia
100%
- Alderbio Holdings LLC ("ANEV")
United States
100%
- Longboard Pharmaceuticals, Inc.
United States
100%
Lundbeck de Venezuela, C.A.
Venezuela
100%
Subsidiaries of ALK-Abelló A/S
Europe
ALK-Abelló Allergie-Service GmbH Austria
100%
ALK-Abelló Nordic A/S
Denmark
100%
ALK S.A.S.
France
100%
ALK-Abelló Arzneimittel GmbH
Germany
100%
ALK-Abelló B.V.
Netherlands
100%
ALK-Abelló Sp. z o.o.
Poland
100%
ALK Slovakia s.r.o.
Slovakia
100%
ALK-Abelló S.A., including
Spain
100%
- ALK-Abelló S.p.A.
Italy
100%
ALK AG (in liquidation)
Switzerland
100%
ALK-Abelló AG
Switzerland
100%
ALK-Abelló Ltd.
United Kingdom
100%
Company name Country Ownership
North America
ALK-Abelló Pharmaceuticals, Inc. Canada
100%
ALK-Abelló, Inc., including
United States
100%
- OKC Allergy Supplies, Inc.
United States
100%
ALK-Abelló Source Materials, Inc., including
United States
100%
International markets
ALK (Shanghai) Medical Technology Co., Ltd., including China
100%
- ALK (Guangzhou) Medical Technology Co., Ltd.
China
100%
Tasfiye Halinde ALK Ilac ve Alerji Ürünleri Ticaret Anonim Sirketi (in liquidation)
Turkey
100%
Subsidiaries of Falck A/S
Falck (Victoria) Pty. Ltd. Australia
100%
Falck Pty. Ltd.
Australia
100%
Falck Fire Services BE NV
Belgium
100%
Brazil
100%
Falck Global Assistance (China) Limited
China
100%
Empresa de Medicina Integral EMI S.A. Servicio de Ambulancia Prepagada – Grupo
EMI S.A.
Colombia
100%
Falck Servicios Logisticos S.A.S.
Colombia
100%
Haces Inversiones y Servicios S.A.S
Colombia
100%
Asistencia Médica S.A.S. Prepagado
Colombia
100%
Servicio de Asistencia Médica Immediata S.A.S.
Colombia
100%
Falck Danmark A/S
Denmark
100%
Falck Digital Technology Denmark A/S
Denmark
100%
Falck Global Assistance A/S
Denmark
100%
Falck Healthcare A/S
Denmark
100%
EMI Ecuador S.A.- Emergencia Medica Integral
Ecuador
100%
EMI El Salvador S.A. de C.V.
El Salvador
100%
Falck Global Assistance Oy
Finland
100%
Falck France SAS
France
100%
Falck Arbeitsgemeinschaft Rettungsdienst Plauen GmbH & Co. OHG
Germany
100%
Falck Deutschland GmbH
Germany
100%
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 118
Group overview - continued
Note 35
a) Ownership above 20% and/or significant influence through
representation on the board of directors. The companies are included
in financial assets - Invest or financial assets - BioCapital
b) Lundbeck UK LLP is owned by Lundbeck Group Ltd, (Holding),
Lundbeck Limited and Lifehealth Limited, all of which have H,
Lundbeck A/S as the direct or ultimate parent company
Company name Country Ownership
Falck Fire Services DE GmbH
Germany
100%
Falck Notfallrettung und Katastrophenschutz gGmbH Germany
100%
Falck Notfallrettung und Krankentransport Dortmund GmbH
Germany
100%
Falck Notfallrettung und Krankentransport GmbH
Germany
100%
Falck Operations Services DE GmbH
Germany
100%
Falck Rettungsdienst Hanse GmbH
Germany
100%
Falck Rettungsdienst Nord GmbH
Germany
100%
Falck India Pvt. Ltd. (India)
India
100%
Falck Servizi Industriali di Emergenza S.r.l.
Italy
100%
Falck Brann og Redningstjeneste AS
Norway
100%
Falck Global Assistance Norway AS
Norway
100%
Falck Helseformidling AS
Norway
100%
Falck Norge AS
Norway
100%
EMI Holdings Management S.A. Panama 100%
EMI Panama S.A. Panama 100%
Falck Fire Services Polska Sp. z.o.o.
Poland
100%
Falck Digital Technology Poland Sp. z.o.o.
Poland
100%
Falck Medycyna Sp. z.o.o.
Poland
100%
Falck SCI Portugal –
Portugal
100%
Falck Fire Services S.R.L
Romania
100%
Falck Global Assistance Singapore Pte. Ltd.
Singapore
100%
Falck Fire Services a.s.
Slovakia
100%
Falck Ambulance s.r.o
Slovakia
100%
Falck Ambulance Sourcing, S.L.
Spain
100%
Falck Global Assistance Spain S.L.
Spain
100%
Falck SCI, S.A.
Spain
100%
Falck Servicios Sanitarios, S.L.
Spain
100%
Falck Sverige AB
Sweden
100%
Alviva AB
Sweden
100%
Falck Ambulans AB
Sweden
100%
Falck Global Assistance AB
Sweden
100%
Company name Country Ownership
Falck Healthcare AB
Sweden
100%
Falck Hälsopartner AB Sweden
100%
Falck Räddningstjänst AB
Sweden
100%
Falck Global Assistance (Thailand) Ltd.
Thailand
100%
Falck Global Assistance Ltd.
Thailand
100%
Falck Eurasia B.V.
The Netherlands
100%
Falck Holding B.V.
The Netherlands
100%
Turkey
100%
Falck Fire Services UK Limited
United Kingdom
100%
Luvtel S.A.
Uruguay
100%
Portovenus S.A.
Uruguay
16%
UCM Uruguay S.A.
Uruguay
100%
Falck USA, Inc.
United States
100%
Falck Mobile Health Corp.
United States
100%
Falck Northern California Corp.
United States
100%
Falck Northwest Corp.
United States
100%
Falck Rocky Mountain, Inc.
United States
100%
Falck HealthNet, Inc.
United States
100%
Falck Southwest Corp.
United States
100%
Falck Global Assistance, LLC
United States
100%
The Morin Group LLC
United States
100%
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 119
Material accounting policy information - continued
Note 36
The Group has consistently applied the following
accounting policies to all periods presented in these
consolidated financial statements, unless otherwise
mentioned (see note 1 Basis of preparation).
Basis of consolidation
The consolidated financial statements comprise the
Parent Foundation Lundbeckfonden and entities
controlled by the Parent Foundation.
Subsidiaries are all entities over which the Group has
control. The Group controls an entity when it is exposed
to, or has rights to, variable returns from its
involvement with the entity and has the ability to affect
those returns through its power to direct the activities
of the entity. Subsidiaries are fully consolidated from
the date on which control is transferred to the Group.
They are deconsolidated from the date that control
ceases.
The acquisition method of accounting is used to
account for business combinations by the Group.
Intercompany transactions, balances and unrealised
gains on transactions between group companies are
eliminated. Unrealised losses are also eliminated unless
the transaction provides evidence of an impairment of
the transferred asset. Accounting policies of subsidiaries
have been changed where necessary to ensure
consistency with the policies adopted by the Group.
Non-controlling interests in the results and equity of
subsidiaries are shown separately in the consolidated
income statement and of comprehensive income,
statement of changes in equity and balance sheet,
respectively.
Business combinations
Acquisitions are evaluated to determine whether they
constitute a business combination in accordance with
IFRS 3 Business Combinations or a purchase of
individual assets and liabilities.
Acquired assets and liabilities that do not constitute a
business are recognised at cost, i.e., no goodwill or
negative goodwill is recognised.
Newly acquired or newly established companies or
operations are recognised in the consolidated financial
statements from the date of acquisition or
establishment. The date of acquisition is the date when
control of the company actually passes to the Group.
The acquisition method of accounting is used to
account for all business combinations. The
consideration transferred for the acquisition of a
subsidiary comprises:
• fair values of the assets transferred
• liabilities incurred to the former owners of the
acquired business
• equity interests issued by the Group
• fair value of any asset or liability resulting from a
contingent consideration arrangement
• fair value of any pre-existing equity interest in the
subsidiary. Identifiable assets acquired, and liabilities
and contingent liabilities assumed in a business
combination are, with limited exceptions, measured
initially at their fair values at the acquisition date
The Group recognises any non-controlling interest in
the acquired entity on an acquisition-by-acquisition
basis, either at fair value or at the non-controlling
interest’s proportionate share of the acquired entity’s
net identifiable assets. Acquisition-related costs are
expensed as incurred.
The excess of the consideration transferred, amount of
any non-controlling interest in the acquired entity, and
acquisition-date fair value of any previous equity
interest in the acquired entity over the fair value of the
net identifiable assets acquired is recognised as
goodwill. If those amounts are less than the fair value of
the net identifiable assets of the business acquired, the
difference is recognised directly in the income
statement as a bargain purchase.
Divestments
Companies divested or discontinued are recognised in
the income statement until the date of divestment or
discontinuation. Divested activities are shown separately
as discontinued operations.
Gains and losses on divestment or winding up of
subsidiaries and associates are stated as the difference
between the sales price and the carrying amount of the
net assets, including goodwill at the time of sale,
accumulated foreign exchange adjustments recognised
in other comprehensive income and anticipated
disposal costs. In addition, any retained non-controlling
interests are measured at fair value. Gains and losses on
the disposal and the effect of renewed measurement of
any retained non-controlling interests are recognised in
the income statement.
Foreign currency
On initial recognition, transactions denominated in
foreign currencies are translated at standard rates
which approximate the exchange rates at the
transaction date. Exchange differences arising between
the exchange rates at the transaction date and the
exchange rates at the date of payment are recognised in
the income statement under financial items.
Receivables, payables, and other monetary items
denominated in foreign currencies that have not been
settled at the balance sheet date are translated at the
exchange rates at the balance sheet date. The
differences between the exchange rates at the time of
recognition and the exchange rates at the balance sheet
date or recognition of settlement are recognised in the
income statement under financial items.
On translation of foreign subsidiaries having a
functional currency different from the one used by the
Group, items in the income statement are translated at
monthly average exchange rates, and non-monetary
and monetary items are translated at the exchange
rates at the balance sheet date. Exchange differences
arising when translating the income statements and the
balance sheets of foreign subsidiaries are recognised in
other comprehensive income.
Exchange gains/losses on translation of receivables
from, or payables to, subsidiaries that are considered
part of the Group’s net overall investment in the
subsidiaries are recognised in other comprehensive
income.
Exchange gains/losses on that part of the bank debt in
foreign currency which is used for hedging the net
investments in subsidiaries, and which provides an
effective hedging of the exchange gains/losses of the
net investments, are recognised in other comprehensive
income.
Note 36
Material accounting policy information
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 120
Material accounting policy information - continued
Note 36
Financial instruments
Forward exchange contracts, interest rate swaps, equity
options and other derivatives are initially recognised in
the balance sheet at fair value at the contract date and
subsequently remeasured at fair value at the balance
sheet date. The fair value of derivatives is determined by
applying recognised measurement techniques, whereby
assumptions are based on the market conditions
prevailing at the balance sheet date. Positive and
negative fair values are included in other receivables and
other payables, respectively.
Changes in the fair value of derivatives classified as
hedging instruments and meeting the criteria for hedge
accounting are recognised in other comprehensive
income. On recognition of hedged items, income and
expenses related to such hedging transactions are
transferred from other comprehensive income and
recognised in the same line item as the hedged item.
Changes in the fair value of derivatives classified as cash
flow hedging instruments and meeting the criteria for
hedging the fair value of a recognised asset or liability
are recognised in the income statement together with
changes in the value of the hedged asset or liability.
Changes in the fair value of derivatives used for hedging
net investments in foreign subsidiaries or associates
and that otherwise meet the relevant criteria for
hedging are recognised in other comprehensive income.
Changes in the fair value of derivatives not qualifying
for hedge accounting are recognised in the income
statement under financial items as they arise.
Securities, equity investments recognised in other
financial assets, derivatives, and contingent
consideration measured at fair value are classified
according to the fair value hierarchy as belonging to
levels 1-3 depending on the valuation method applied.
Incentive programmes
Share-based incentive programmes (equity-settled
share-based payments) which comprise share option
plans, conditional share plans, and performance shares
are measured at the grant date at fair value and
recognised in the income statement under the
respective functions over the vesting period and offset
in equity.
The fair value of share options is determined using the
Black-Scholes model.
If the share option agreements entitle the Group to
demand cash settlement of the options, the cash-
settled share options are recognised as other liabilities
and adjusted to fair value when the Group has an
obligation to settle in cash. The subsequent adjustment
to fair value is recognised in the income statement
under financial items.
Warrants regarding warrant programmes for the
executive management boards of subsidiaries are issued
at the market value on the date of grant. Payments
received and made in relation to the warrant
programmes are recognised in equity.
Non-controlling interests
On initial recognition, non-controlling interests are
measured either at fair value (including the fair value of
goodwill related to non-controlling interests in the
acquired company) or at the non-controlling interests’
proportionate share of the acquired company’s
identifiable assets, liabilities and contingent liabilities
measured at fair value (excluding the fair value of
goodwill related to non-controlling interests in the
acquired company). The measurement basis for non-
controlling interests is selected for each individual
transaction.
Acquisition and divestment of non-controlling
interests
Increases and reductions of non-controlling interests
are accounted for as transactions with shareholders, in
their capacity as shareholders. Thus, any differences
between adjustment to the carrying amount of non-
controlling interests and the fair value of the
consideration received or paid are recognised directly in
equity.
Income statement
Revenue Lundbeck and ALK
Revenue from the sale of goods is recognised when
Lundbeck/ALK have transferred control of products sold
to the buyer and it is probable that Lundbeck/ALK will
collect the consideration to which they are entitled for
transferring the products. Control of the products is
transferred at a single point in time, typically on
delivery.
Revenue is measured at the amount of consideration to
which the Groups expect to be entitled in exchange for
transferring the products. Revenue is recognised net of
sales deductions, including product returns as well as
discounts, rebates and sales-based taxes.
Moreover, revenue includes licence income and royalties
from out-licensed products as well as non-refundable
down payments and milestone payments relating to
research and development collaborations and income
from collaborations on the commercialisation of
products.
Sales-based licensing income and royalties from out-
licensed products is recognised in profit or loss under
revenue, when the Groups provide access to its product
rights as they exist throughout the licence period.
Revenue from sales-based licensing income is
recognised when the performance obligation is satisfied,
i.e., when transferred to the customer. For royalties,
revenue is recognised when the subsequent sale occurs.
When the Groups provide a customer the right to use
the product rights as they exist at the point in time at
which the licence is granted, revenue is recognised at a
point in time when control is transferred to the licensee,
and the licence period begins when the customer's right
to the intellectual property is transferred. Non-
refundable down payments and milestone payments
received relating to research collaborations are
recognised in profit or loss under revenue.
The Group may enter into consignment arrangements
under which finished goods are delivered to a partner
while the Group retains control of the goods. Revenue is
recognised only when control of the finished goods
transfers to the partner in accordance with the terms of
the arrangement.
Revenue Falck
Revenue includes services and goods delivered together
with invoiced subscriptions attributable to the financial
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 121
Material accounting policy information - continued
Note 36
period. Revenue is recognised in the income statement
if the control of the services or goods are transferred to
the customer. Services are recognised over time when
the customer receives and consumes the benefits as the
service is delivered by Falck.
For long-term contracts with fixed price and
subscriptions, revenue is recognised on a straight-line
basis over the contract period. For pay-by-use contracts,
revenue is recognised in connection with the actual
delivery of the individual service.
Services related to long-term contracts with fixed price
and subscriptions are usually prepaid by the customers.
Prepayment usually occurs between one and twelve
months before the start of the service period. For pay-
by-use contracts, the payment term is usually between
one and three months after the service has been
delivered.
For contracts with predetermined price reductions, the
transaction price will be recalculated to an average price
covering the total contract period.
For contracts where Falck acts as an agent (mainly
related to claims handling for insurance companies),
revenue is recognised as the net amount that Falck is
entitled to retain in return for its services as agent. For
contracts where Falck acts as a principal, revenue is
recognised as the gross amount to which Falck expects
to be entitled.
Revenue is measured at the fair value of the agreed
consideration excluding VAT and other taxes collected
on behalf of third parties. All discounts granted are
recognised in revenue.
Contracts with variable considerations are measured
using the most likely amount and remeasured on a
monthly basis.
Cost of sales
Cost of sales comprises the cost of goods and services
sold. Cost includes the cost of raw materials,
transportation costs, consumables and goods for resale,
direct labour and indirect costs of production, including
operating costs, amortisation/depreciation and
impairment losses relating to product rights and
manufacturing facilities. Moreover, cost of sales includes
royalty payments for in-licensed products, expenses for
quality assurance of products and write-downs to net
realisable value of obsolete and slow-moving goods.
Cost of sales also includes external assistance used to
generate the revenue for the year.
Research and development costs
Research and development costs comprise costs
incurred for the Group’s research and development
functions, i.e., employee costs, amortisation/
depreciation and impairment losses, and other indirect
costs as well as costs, relating to research and
development collaborations.
Research costs are always recognised in the income
statement as they incur.
Due to a very long development period and the
significant uncertainties inherent in the development of
new products, development costs are expensed as
incurred in line with industry practice. Consequently, the
development costs do not qualify for capitalisation as
intangible assets until marketing approval by a
regulatory authority is obtained or considered highly
probable.
Sales and distribution costs
Sales and distribution costs comprise costs incurred for
the sale and distribution of the Group’s products sold
during the year. This includes costs incurred for sales
campaigns, training and administration of the sales
force and direct distribution, marketing and promotion.
Sales and distribution also include salaries and other
costs for the sales, distribution and marketing
functions, amortisation/depreciation and impairment
losses, and other indirect costs.
Administrative expenses
Administrative expenses comprise expenses incurred in
the year for the management and the administration of
the Group, i.e., salaries and other expenses relating to
for example, management, HR, IT and finance functions,
as well as amortisation/depreciation and impairment
losses, and other indirect costs.
Other operating items
Other operating items comprise other income and
expenses relating to operating activities of a secondary
nature to the Group. Other operating items include
integration and transaction costs relating to material
acquisitions, transaction costs relating to divestments,
income and expenses relating to legal settlements and
material gains and losses on the sale or retirement of
items of intangible assets and property, plant and
equipment.
Special items
Special items comprise significant income and expenses
of a special nature in terms of the Group’s revenue-
generating operating activities such as impairment of
goodwill and product rights.
Results of investments in associates measured using
the equity method
The proportionate share of the results of associates is
recognised in the income statement after tax.
Financial items
Financial items comprise:
• Interest income and expenses
• Net gain or loss on financial assets, including
dividends
• Fair value adjustment of contingent consideration
• Fair value adjustment of other financial liabilities
• Interest expenses and income related to uncertain tax
positions are recognised on the balance sheet as tax
liabilities and tax assets, respectively, upon the receipt
of rulings from the tax authorities, and
correspondingly reflected in the income statement as
financial items, net
• Foreign currency gain and loss
• Other financial income and expenses
Interest income and expenses are accrued based on the
principal and the effective rate of interest.
Income tax
Lundbeckfonden’s Danish subsidiaries are jointly taxed
with Lundbeckfond Invest A/S as the administration
company. The current Danish corporate income tax
liability is allocated among the companies of the tax
pool in proportion to their taxable income (full
allocation subject to reimbursement in respect of tax
losses).
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 122
Material accounting policy information - continued
Note 36
Lundbeckfonden has the option to use section 3(4) of
the Danish Corporation Tax Act. Under these rules, the
taxable income of Lundbeckfond Invest A/S is
considered to have been earned by Lundbeckfonden if
the taxable income is distributed as a dividend to
Lundbeckfonden. Since Lundbeckfonden’s taxable
income is regularly offset against grants for the year
and tax provisions for future grants, no deferred tax
asset or liability is recognised owned by
Lundbeckfonden.
Tax for the year, which consists of the year’s current tax
and the change in deferred tax, is recognised in the
income statement as regards the amount that can be
attributed to the net profit or loss for the year, in other
comprehensive income as regards the amount that can
be attributed to items in other comprehensive income,
and in equity as regards the amount that can be
attributed to items in equity. The effect of foreign
exchange differences on deferred tax is recognised in
the balance sheet as part of the movements in deferred
tax.
The Group has determined that the global minimum
top-up tax, which it is required to pay under Pillar Two
legislation, is an income tax in the scope of IAS 12. The
Group has applied a temporary mandatory relief from
deferred tax accounting for the impacts of the top-up
tax and will account for it as a current tax when it
incurs.
The current income tax charge is calculated based on
the tax laws enacted or substantively enacted at the
end of the reporting period in the countries where the
Group operates and generates taxable income.
Management periodically evaluates positions taken in
tax returns with respect to situations in which
applicable tax regulation is subject to interpretation and
considers whether it is probable that a tax authority will
accept an uncertain tax treatment. The Group measures
its tax balances based on either the most likely amount
or the expected value, depending on which method
provides a better prediction of the resolution of the
uncertainty.
Current tax for the year is calculated based on the
income tax rates and rules applicable at the reporting
date.
Current tax payables and receivables, including
contributions payable and receivable under the Danish
joint taxation scheme, are recognised in the balance
sheet, computed as tax calculated on the taxable
income for the year adjusted for provisional tax paid.
Deferred tax is recognised on all temporary differences
between the carrying amounts of assets and liabilities
and their tax bases. However, deferred tax is not
recognised on temporary differences arising either on
initial recognition of goodwill or from a transaction that
is not a business combination, if the temporary
difference ascertained at the time of the initial
recognition affects neither the financial results nor the
taxable income and does not give rise to equal taxable
and deductible temporary differences. The tax value of
the assets is calculated based on the planned use of the
individual assets.
Deferred tax is measured based on the income tax rates
and tax rules in force in the respective countries at the
balance sheet date. Changes in deferred tax resulting
from changed income tax rates or tax rules are
recognised in profit or loss.
Deferred tax assets, including the tax value of tax loss
carry-forwards, are recognised in the balance sheet at
the value at which the assets are expected to be
realised, either through an offset against deferred tax
liabilities or as net tax assets to be offset against future
positive taxable income.
Changes in deferred tax concerning expenses for share-
based payments are generally recognised in profit or
loss. However, if the amount of the tax deduction
exceeds the related cumulative expense, it indicates
that the tax deduction relates not only to an operating
expense but also to an equity item. In such a case, the
excess of the associated current or deferred tax is
recognised directly in equity.
Deferred tax in respect of recaptured losses previously
deducted in foreign subsidiaries is recognised based on
a specific assessment of each individual subsidiary.
Balance sheet
Goodwill
On initial recognition, goodwill is measured and
recognised as the excess of the cost over the fair value
of the acquired assets, liabilities and contingent
liabilities. On recognition, the goodwill amount is
allocated to those of the Group’s activities that generate
separate cash flows (cash generating units).
Development projects
Development costs are recognised in the income
statement as they incur unless the conditions for
capitalisation have been met. Development costs are
capitalised only if the development projects are clearly
defined and identifiable and where the technical rate of
utilisation of the project, the availability of adequate
resources, and a potential future market or
development opportunity can be demonstrated.
Furthermore, such costs are capitalised only where the
intention is to manufacture, market, or use the project,
when the cost can be measured reliably and when it is
probable that future earnings can cover production,
sales and distribution costs, administrative expenses
and development costs.
After completion of the development work,
development costs are amortised over the expected
useful life. The maximum amortisation period for
development projects protected by intellectual property
rights is consistent with the remaining patent
protection period of the rights concerned. Ongoing
development projects are tested for impairment at least
annually or when there is an indication of impairment.
Product rights and other intangible assets
Acquired intellectual property rights in the form of
product rights, patents, licences, know-how, customer
relationships, brands and software are measured at cost
less accumulated amortisation and impairment losses.
The cost of software comprises the cost of planning,
labour costs, and costs directly attributable to the
project. Subsequent milestone-related expenditures are
considered contingent consideration, and the Group
follows the cost accumulation approach.
Product rights are amortised over the economic lives of
the underlying products, which in all material aspects
follow the patent terms, currently between five and 15
years. Other intangible assets are amortised over the
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 123
Material accounting policy information - continued
Note 36
useful life/period of agreement. Intangible assets
acquired on acquisition are amortised over the expected
economic life, estimated to be three-to-10 years.
Software is amortised over the expected economic life,
estimated to be three-to-five years. Amortisation
commences when the asset is ready to be brought into
use.
Amortisation is recognised in the income statement
under cost of sales, and research and development
costs, respectively.
Borrowing costs to finance the manufacture of
intangible assets are recognised in the cost price if such
borrowing costs relate to the production period. Other
borrowing costs are expensed.
Gains and losses on the disposal of development
projects, patents and licences are measured as the
difference between the selling price less cost to sell and
the carrying amount at the time of sale. Gains and
losses are recognised in profit or loss; normally in other
operating items, net, or, if considered immaterial to the
understanding of the consolidated financial statements,
in the same line item as the associated amortisation. In
general, amortisation methods, useful lives, and residual
values are reviewed at each reporting date and adjusted
if appropriate.
Property, plant and equipment
Items of property, plant and equipment are measured
at cost less accumulated depreciation and impairment
losses. Land is not depreciated.
Cost includes the cost of acquisition and expenses
directly attributable to the acquisition until the asset is
ready for use. The cost of self-constructed assets
includes costs directly attributable to the construction
of the asset. Borrowing costs to finance the
manufacture of property, plant and equipment are
recognised in the cost price, if such borrowing costs
relate to the production period. Other borrowing costs
are recognised in the income statement.
Right-of-use assets are initially measured at cost, which
comprises the initial amount of the liability adjusted for
any lease payments made at or before the
commencement date, plus any initial direct costs
incurred and an estimate of costs to dismantle and
remove the underlying asset or to restore the
underlying asset or the site on which it is located, less
any lease incentives.
Subsequently, the right-of-use asset is depreciated
using the straight-line method from the
commencement date to the end of the lease term
unless it is reasonably certain that a purchase option
will be exercised at the end of the lease term. In that
case, the assets are depreciated over the full, expected
useful life.
Items of property, plant and equipment are depreciated
on a straight-line basis over the expected useful lives of
the assets:
Years
Buildings
25-50
Installations 10
Plant and machinery 3-10
Vehicles according to category
5-12
Dispatch centres, radio systems, major
administrative systems and networks
8
Fire extinguishers and similar equipment installed
at customers’ locations
3-5
Other fixtures and fittings, tools and equipment
3-10
Leasehold improvements, max. 10
Depreciation methods, useful lives, and residual values
are reassessed annually and adjusted if appropriate.
Costs incurred that increase the recoverable amount of
the asset are added to the value of the asset as an
improvement and are depreciated over the estimated
useful life of the improvement.
Gains or losses on the sale or disposal of items of
property, plant and equipment are calculated as the
difference between the carrying amount and the selling
price less cost to sell or discontinuance costs. Gains and
losses are recognised in profit or loss; normally in other
operating items, net or, if considered immaterial to the
understanding of the consolidated financial statements,
in the same line item as the associated depreciation.
Biological assets
Forest assets are divided into growing forests, which are
recognised as biological assets at fair value less cost to
sell, and land, which is measured at cost. The valuation
of biological assets is based on discounted cash flow
models.
Changes in the fair value of biological assets are
recognised in the income statement under other
operating items.
Impairment
Intangible assets with indefinite useful lives and
intangible assets not yet commercialised are not subject
to amortisation and are tested annually for impairment,
or more frequently if events or changes in
circumstances indicate that they may be impaired. The
annual impairment test is performed irrespective of
whether there is any indication of impairment.
Intangible assets and property, plant and equipment in
use with finite useful lives are tested for impairment
whenever events or changes in circumstances indicate
that the carrying amount may not be recoverable.
Impairment losses are reversed only if the assumptions
and estimates underlying the impairment calculation
have changed. Indications of impairment or reversal of
impairment include the following:
• Research and development results for a product
• Changes in expected cash flows due to lower sales
expectations
• Changes in technology
• Changes in assumptions about future use
• Changes in market and legal risks
• Changes in cost structure
• Changes in discount rate
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 124
Material accounting policy information - continued
Note 36
An impairment loss is recognised for the amount by
which the asset’s carrying amount exceeds its
recoverable amount. The recoverable amount is the
higher of an asset’s fair value less costs of disposal and
value-in-use. For the purpose of assessing impairment,
assets are grouped at the lowest levels for which there
are separately identifiable cash inflows that are largely
independent of the cash inflows from other assets or
groups of assets (cash-generating unit). Non-financial
assets other than goodwill that have suffered an
impairment are reviewed for possible reversal of the
impairment at the end of each reporting period.
Investments in associates
Investments in associates, except for investments in
associates that are included in Lundbeckfonden’s
investment strategy, are measured in the consolidated
financial statements using the equity method and
recognised at the proportionate share of the equity of
the relevant enterprise, made up in accordance with the
Group’s accounting policies, with the addition of values
added on acquisition, including goodwill.
Investments in associates that are included in
Lundbeckfonden’s investment strategy are measured at
fair value and presented together with the investment
assets. Both realised and unrealised gains and losses are
recognised in the income statement under financial
items.
Financial assets
At initial recognition, securities that are included in the
group’s investment strategy are measured at its fair
value. Transaction costs of financial assets are expensed
under financial items.
Subsequently, securities are measured at fair value at
the balance sheet date. Both realised and unrealised
gains and losses are recognised in the income
statement under financial items.
Bonds with a term to maturity of less than one year are
recognised in current assets. Bonds forming part of repo
transactions, i.e., the selling of bonds to be repurchased
at a later date, remain on the balance sheet as financial
assets, and the amount received on repo transactions is
recognised as repo debt. Returns on such bonds are
recognised under financial items.
The fair value of listed investments is calculated using
market prices at the balance sheet date. The calculation
of fair value of unlisted investments, including biotech
investments, is made on the basis of relevant valuation
methods based on discounted cash flows or trading
multiples. If the fair value cannot be determined with
sufficient reliability, the investments in question are
recognised at cost at recent transaction, or price at
financing round, taking into account whether or not the
companies live up to predefined value triggers/business
plans.
Equity investments that are not included in the Group’s
investment strategy are classified as other financial
assets. On initial recognition, these investments are
measured at cost, corresponding to fair value. They are
subsequently measured at fair value at the balance
sheet date, and changes to the fair value are recognised
in the income statement or other comprehensive
income according to an individual decision for each
equity investment.
Inventories
Inventories are measured at the lower of cost and net
realisable value. Cost is determined using the FIFO
method. Work in progress and finished goods
manufactured by the Group are measured at cost,
comprising raw materials and consumables, direct
labour, and production overheads. Indirect production
costs include materials, labour, maintenance, and
depreciation of production equipment and facilities, as
well as factory administration and management.
Indirect production costs are allocated based on the
normal capacity of the production facilities.
Inventories are written down to net realisable value
when this is lower than cost. Net realisable value is the
estimated selling price in the ordinary course of
business less costs of completion and costs to sell. Net
realisable value is determined by marketability,
obsolescence, and expected selling price developments.
Receivables and contract assets
Trade receivables are initially recognised at transaction
price and subsequently measured at amortised cost
using the effective interest method, less allowance for
bad debts.
Other receivables recognised in financial assets are
financial assets with fixed or determinable cash flows
that are not quoted in an active market and are not
derivative financial instruments.
On initial recognition, other receivables are measured at
fair value and subsequently at amortised cost, which
usually corresponds to the nominal value less write-
downs to counter the risk of losses. Write-downs are
calculated using the full lifetime-expected credit losses
method, whereby the likelihood of non-fulfilment
throughout the lifetime of the financial instrument is
taken into consideration. A provision account is used for
this purpose.
Contract assets comprise the Group’s right to
consideration regarding completed services which have
not been invoiced at the reporting date.
Impairments for lifetime expected credit losses (ECL) are
recognised in the income statement upon initial
recognition of the contract asset. The expected credit
losses are calculated according to the portfolio of
contract assets and are grouped by credit risk
characteristics. A provision matrix is established based
on the historical development in contract assets and
historical credit losses, and adjusted for forward-looking
factors specific to the debtors and the economic
environment. The expected credit losses are recognised
in sales and distribution costs.
Prepayments
Prepayments comprise prepaid costs which are
measured at cost.
Securities
On initial recognition, securities including the bond
portfolio, which are included in the Group’s investment
strategy for excess liquidity, or bonds with a term to
maturity of less than one year, are recognised under
current assets and measured at cost, corresponding to
fair value. The securities are subsequently measured at
fair value at the balance sheet date. The fair value is
based on publicly quoted prices of the invested assets.
Both realised and unrealised gains and losses are
recognised in the income statement.
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 125
Material accounting policy information - continued
Note 36
Equity
Authorised grants
Grants are considered equity movements and are
recognised as a liability at the time when the grant has
been authorised by the Board of Directors and
announced to the recipient. Authorised grants not yet
disbursed are recognised in non-current or current
liabilities, respectively.
Reserve for future grants
In accordance with the Danish Act on Commercial
Foundations, a reserve for future grants has been set up
in order for Board of Directors to be able to donate
grants during the period until the approval of the
annual report for the subsequent financial year. The
reserve does not have to be used, but is continuously
reduced with donated grants. Every year at the annual
meeting, the Board of Directors will re-evaluate the size
of the reserve.
Hedging reserve
Hedge transactions that meet the criteria for hedging
future cash flows, and for which the hedged transaction
has yet to be realised, are recognised in equity through
other comprehensive income under the hedging reserve.
Foreign exchange adjustments concerning hedging
transactions used to hedge the Group’s net investment
in such entities are recognised in equity through other
comprehensive income under the hedging reserve.
Currency translation reserve
Foreign exchange adjustments arising on the
translation of financial statements for subsidiaries and
associates which are not part of Lundbeckfonden’s
investment strategy and have a functional currency
other than DKK, and foreign exchange adjustments
relating to financial assets and liabilities representing a
part of the Group’s net investment in such entities, are
recognised in equity through other comprehensive
income under the currency translation reserve.
On full or partial realisation of a net investment, foreign
exchange adjustments are recognised in the income
statement.
Treasury shares in subsidiaries
Acquisition and sale of treasury shares held by
subsidiaries as well as dividends are recognised directly
in equity under retained earnings.
Non-controlling interests
The proportionate shares of the profit and equity of
subsidiaries attributable to non-controlling interests are
recognised as a separate item under equity. On initial
recognition, non-controlling interests are recognised as
described under ‘Business combinations’.
Share-based payments
Share-based incentive programmes in which shares are
granted to employees and in which employees may opt
to buy shares in H. Lundbeck A/S and ALK-Abelló A/S
(equity-settled programs) are measured at the equity
instruments’ fair value at the date of grant and
recognised as employee costs over the vesting period as
employees earn the right to receive or purchase the
shares. The offsetting item is recognised directly in
equity under retained earnings.
Share price-based incentive programmes in which
employees have the difference between the agreed price
and the actual share price settled in cash (cash-settled
programmes) are measured at fair value at the date of
grant and recognised as employee costs over the vesting
period as employees earn the right to the cash
settlement. The cash-settled programmes are
subsequently remeasured at each balance sheet date
and upon final settlement, with any changes in fair
value recognised in employee costs. The offsetting item
is recognised under liabilities until the time of the final
settlement.
Retirement benefit obligations and similar obligations
Payments to defined contribution plans are recognised
in the income statement at the due date, and any
contributions payable are recognised in the balance
sheet under current liabilities.
The present value of the Group’s liabilities relating to
future pension payments under defined benefit plans is
measured on an actuarial basis once a year based on the
pensionable period of employment up to the time of
the actuarial valuation. The calculation of present value
is based on assumptions of future developments of
salary, interest, inflation, mortality and disability rates
and other factors. Present value is computed exclusively
for the benefits to which the employees have earned
entitlement through their employment with the Group.
Pension expenses, finance costs and administration fees
are recognised in the income statement under
employee costs. Actuarial gains and losses are
recognised in other comprehensive income as they are
calculated and cannot subsequently be recycled through
profit or loss.
The present value of the defined benefit plan liability is
recognised less the fair value of the plan assets, and any
net obligation is recognised in the balance sheet under
non-current liabilities. Any net asset is recognised in the
balance sheet as a financial asset, considering, where
relevant, the provisions of IFRIC 14 The Limit on a
Defined Benefit Asset, Minimum Funding Requirements
and their Interaction.
Provisions
Provisions mainly consist of provisions for discounts and
rebates, product returns, pending lawsuits,
environmental, restructuring and integration provisions.
A provision is a liability of uncertain timing or amount.
Unsettled discounts and rebates are recognised as
provisions when the timing or amount is uncertain.
Where absolute amounts are known, the discounts and
rebates are recognised as trade payables.
Return obligations imposed on the Group are
recognised as provisions in the balance sheet.
Amounts relating to provisions are recognised when the
outflow is probable, and the amount is measured as the
best estimate of the costs required to settle the
liabilities at the balance sheet date.
In connection with restructurings in the Group,
provisions are made only for liabilities set out in a
specific restructuring plan based on which the parties
affected can reasonably expect that the Group will carry
out the restructuring, either by starting to implement
the plan or announcing its main components.
Contract liabilities
Prepayments mainly include accrued subscriptions and
prepayment according to contracts. Contract liabilities
also comprise the recalculated transaction price from
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 126
Material accounting policy information - continued
Note 36
predetermined price reductions, where the service is
transferred over time, and are recognised at the same
average consideration over the term of the contract.
Debt
Mortgage debt, bank debt and bond debt are recognised
at the time of the raising of a loan/issuing of bonds at
the fair value of the proceeds received less transaction
costs paid. In subsequent periods, the financial liabilities
are measured at amortised cost, which is equivalent to
the capitalised value when the effective rate of interest
is used. The difference between the proceeds and the
nominal value is recognised in the income statement
under financial items over the loan period. Debt
included in the short-term financial liquidity is
measured at amortised cost in subsequent periods.
Repo debt relates to bonds included in repo
transactions. Repo debt is recognised at amortised cost,
and accumulated repo interest has been accrued.
Other payables
Other payables include employee costs payables,
contingent consideration, derivative financial
instruments, debt to public authorities, etc.
Contingent consideration is recognised as part of the
business combination and is recognised at fair value
considering the passage of time and changes in the
applied probability of success. The fair value is assessed
at each reporting date and the effect of any
adjustments relating to the timing of payment and the
probability of success is recognised under financial
income or financial expenses.
Other debts, which include trade payables and debt to
public authorities, etc., are measured at amortised cost.
Lease liabilities
On initial recognition, lease liabilities are measured as
the present value of future payments, including
payments relating to reasonably certain extensions. The
lease payments contain fixed payments less any lease
incentives receivable and variable lease payments that
depend on an index or a rate.
On subsequent recognition, lease liabilities are
measured at amortised cost. The difference between the
present value and the nominal value of lease payments
is recognised in the income statement over the term of
the lease as a finance charge.
If the interest rate cannot be determined in the
agreement, the lease payments are discounted using
the Group’s incremental borrowing, adjusted for the
functional currency and length of the lease term. The
lease liability is remeasured if, or when, the future
payment or lease term changes.
Changes to lease agreements after initial recognition
are accounted for either as a modification to an existing
agreement, a separate agreement or a partial disposal,
depending on the nature of the change. Changes will
result in changes to both the lease liability and the
right-of-use asset.
The Group has decided not to recognise right-of-use
assets and lease liabilities for short-term leases and
low-value asset leases. The Group recognises the lease
payments associated with these leases as an expense
over the lease term.
Cash flow statement
The cash flow statement is presented in accordance
with the indirect method, commencing with the
operating profit.
Cash flows include cash flows from companies acquired
as from the date of acquisition and cash flows from
companies divested until the date of divestment.
Cash comprises cash and cash equivalents.
Cash flows denominated in foreign currencies, including
cash flows in foreign subsidiaries, are translated at the
average exchange rates for the year as they
approximate the actual exchange rates at the date of
payment. Cash and cash equivalents at year-end are
translated at the exchange rates at the balance sheet
date, and the effect of exchange gains/losses on cash
and cash equivalents is shown as a separate item in the
cash flow statement.
Key figures
The key figures are calculated according to the Danish
Finance Society’s Recommendations & Financial Ratios.
Operating profit:
Defined as the profit before
special items, financial items
and tax
Operating profit margin: Operating profit x 100 / Revenue
Return on equity:
Profit for the year x 100 / Average
equity
Net wealth
Lundbeckfonden’s net wealth is estimated based on fair
value at the balance sheet date. For the valuation of
Lundbeckfonden’s investment activities, please refer to
the accounting policies above under financial assets.
The fair value of Lundbeckfonden’s shares in H.
Lundbeck A/S and ALK-Abelló A/S is based on market
prices. The fair value of Lundbeckfonden’s shares in
other strategic ownerships are an estimated value based
on a trading multiple model using historical accounting
numbers for the relevant company and a peer group.
Note 37
Events after the balance sheet date
No events of importance to the annual report have
occurred during the period from the balance sheet date
until the presentation of the consolidated financial
statements.
Management review
Financial statements Consolidated financial statements Parent financial statements Notes Reports
Lundbeck Foundation Annual Report 2025 Page 128
Income statement 129
Balance sheet 130
Statement of changes in equity 131
Notes 132
1. Accounting policies 132
2. Financial income and expenses 132
3. Employee costs 133
4. Total operating costs of Lundbeckfonden
and Lundbeckfond Invest A/S 133
5. Fees to auditors appointed at the annual
meeting 133
6. Tax on profit for the year 133
7. Proposed distribution of profit 134
8. Intangible assets 134
9. Tangible assets 134
10. Investments in subsidiaries 134
11. Other securities and investments 135
12. Capital base 135
13. Derivative financial instruments 135
14. Grants 136
15. Contractual obligations 136
16. Related parties 136
17. Events after the balance sheet date 136
Financial statements
Parent
Foundation
Contents
Notes
Management review
Financial statements Consolidated financial statements Parent financial statements Notes Reports
Lundbeck Foundation Annual Report 2025 Page 129
Income statement
For the period 1 January – 31 December
DKKm Note 2025 2024
Dividend from Lundbeckfond Invest A/S
- 1,545
Financial income 2 1,501 1,654
Financial expenses 2
-788 -203
Profit from investment activities
713 2,996
Employee costs
3
-52
-51
Other external costs 4-5 -30 -40
Depreciation and amortisation
-5 -5
Profit before tax
626 2,900
Tax on profit for the year 6 -7 -78
Profit for the year 7
619 2,822
Management review
Financial statements Consolidated financial statements Parent financial statements Notes Reports
Lundbeck Foundation Annual Report 2025 Page 130
Balance sheet
At 31 December
Assets, DKKm Note 2025 2024
Other intangible assets
1 1
Intangible assets 8 1 1
Property and equipment
61 57
Tangible assets 9
61 57
Investments in subsidiaries 10 4,075 4,075
Receivables from subsidiaries
270 242
Other securities and investments 11, 13
10,447 9,967
Financial assets
14,792 14,284
Non-current assets
14,854 14,342
Receivables from subsidiaries
- 553
Other receivables
26 27
Receivables
26 580
Cash and bank balances
33 102
Current assets
59 682
Assets
14,913 15,024
Equity and liabilities, DKKm Note 2025 2024
Capital base 12
5,062 4,937
Reserve for future grants
2,000 1,500
Retained earnings
5,226 6,037
Equity
12,288 12,474
Payable grants, long-term
14
1,847
1,738
Non-current liabilities
1,847 1,738
Payable grants, short-term 14 676 728
Payables to subsidiaries
88 -
Income tax
- 69
Other payables
14 15
Current liabilities
778 812
Liabilities
2,625 2,550
Equity and liabilities
14,913 15,024
Management review
Financial statements Consolidated financial statements Parent financial statements Notes Reports
Lundbeck Foundation Annual Report 2025 Page 131
Statement of changes in equity
for the period 1 January – 31 December
DKKm Note Capital base
Reserve for
future grants
Retained
earnings
Total
Equity at 1 January 2025
4,937 1,500 6,037 12,474
Grants, net 14 - -805 - -805
Profit for the year 7 125 1,305 -811 619
Equity at 31 December 2025 5,062 2,000 5,226 12,288
Equity at 1 January 2024 4,357 1,500 4,855 10,712
Grants, net 14 - -1,060 - -1,060
Profit for the year 7 580 1,060 1,182 2,822
Equity at 31 December 2024
4,937
1,500
6,037
12,474
Management review
Financial statements Consolidated financial statements Parent financial statements Notes Reports
Lundbeck Foundation Annual Report 2025 Page 132
The financial statements for Lundbeckfonden (the
Parent Foundation) for 2025 have been prepared in
accordance with the Danish Financial Statements Act
for large reporting enterprises class C.
Other securities and investments are accounted for
using the fair value through the income statement and
accounted for in accordance with IFRS 9.
The financial statements are presented in Danish kroner
(DKK), which is also the functional currency of
Lundbeckfonden. All amounts have been rounded to
millions, unless otherwise indicated.
The accounting policies are unchanged from the
previous year.
Differences relative to the accounting policies for
the consolidated financial statements
The Parent Foundation’s accounting policies for
recognition and measurement are consistent with the
policies for the consolidated financial statements with
the exceptions stated below.
Investments in subsidiaries
Investments in subsidiaries are measured at cost. Costs
include the consideration at fair value plus direct
acquisition costs.
Subsequently, investments in subsidiaries that suffered
an impairment are reviewed for possible reversal of the
impairment at the end of each balance sheet date.
Reversal of impairment is recognised in financial
income.
If there is an indication of impairment, an impairment
test is performed. Where the carrying amount exceeds
the recoverable amount, the investments are written
down to this lower value. The recoverable amount is the
higher of fair value less costs to sell and value-in-use.
Dividends are recognised in the income statement.
Cash flow statement
With reference to section 86(4) of the Danish Financial
Statements Act and the consolidated financial
statements of Lundbeckfonden, the parent has not
prepared a cash flow statement.
Note 1
Accounting policies
Note 2
Financial income and expenses
DKKm 2025 2024
Financial income
Fair value adjustments on financial assets
1,284
1,391
Interest on financial assets 99 99
Interest on receivables from subsidiaries
24 100
Dividends from portfolio investments
88
58
Exchange gains 1 6
Other financial income
5 -
Total financial income
1,501 1,654
Financial expenses
Fair value adjustments on financial assets 764 187
Interest expenses
- 13
Exchange losses
19 -
Other financial expenses
5 3
Total financial expenses
788 203
Management review
Financial statements Consolidated financial statements Parent financial statements Notes Reports
Lundbeck Foundation Annual Report 2025 Page 133
Members of Executive Management and the Board of
Directors, who also serve as board members in
subsidiaries also receive board remuneration directly
from such subsidiaries. For a complete description
hereof, see note 3 in the consolidated financial
statements.
Note 5
Fees to auditors appointed at the
annual meeting
DKKm 2025 2024
Statutory audit
0.4 0.4
Tax assistance 0.1 0.2
Other services
- 0.2
Total fees
0.5 0.8
Other external costs include fees to auditors appointed
by the Board of Directors.
Note 6
Tax on profit for the year
DKKm 2025 2024
Current tax
16
78
Prior-year adjustments -9
-
Tax on profit for the year 7
78
When calculating the taxable income, Lundbeckfonden
has deducted grants and tax provisions for future
grants. No deferred taxes are recognised for accounting
purposes concerning tax provisions for future grants
as these are not expected to materialise. Deferred tax
liabilities not recognised amounted to DKK 1,225m
(DKK 1,037m at 31 December 2024).
Note 3
Employee costs
DKKm 2025 2024
Wages and salaries
46.1 42.2
Pensions 6.1 8.3
Other social security costs
0.2 0.2
Total employee costs
52.4 50.7
Average number of employees during the year 32 32
Number of employees at year-end 35 34
DKKm 2025 2024
Remuneration of the Executive Management (excluding remuneration received from subsidiaries)
6.6 6.4
Fees to the Board of Directors, including committee fees (excluding fees received from subsidiaries) 4.8 4.4
Note 4
Total operating costs of Lundbeckfonden and Lundbeckfond Invest A/S
DKKm 2025 2024
Lundbeckfonden - Employee costs, other external costs, and depreciation and amortisation
87
96
Lundbeckfond Invest A/S - Employee costs and other external costs
75
70
Total costs 162
166
The costs can be allocated to Lundbeckfonden's activities as follows:
Grants & Prizes 32
36
Lundbeckfonden Invest 24
22
Lundbeckfonden BioCapital 23
24
Corporate functions 83
84
Total costs 162
166
Management review
Financial statements Consolidated financial statements Parent financial statements Notes Reports
Lundbeck Foundation Annual Report 2025 Page 134
DKKm 2025 2024
Capital base
125 580
Reserve for future grants 1,305 1,060
Retained earnings
-811 1,182
Profit for the year
619 2,822
Note 8
Intangible assets
Other intangible assets,
DKKm 2025 2024
Cost at 1 January
9
9
Additions -
-
Cost at 31 December 9
9
Amortisation at 1 January -8
-7
Amortisation -
-1
Amortisation at 31 December
-8
-8
Carrying amount at 31
December
1
1
Property and equipment,
DKKm
2025 2024
Cost at 1 January
100
100
Additions 9
-
Cost at 31 December 109
100
Depreciation at 1 January
-43
-39
Depreciation -5
-4
Depreciation at 31 December -48
-43
Carrying amount at 31
December
61
57
Note 7
Proposed distribution of profit
Note 9
Tangible assets
Note 10
Investments in subsidiaries
DKKm
Lundbeckfond
Invest A/S
Vesper
Bio ApS
Total
Cost at 1 January 2025
4,046 29 4,075
Cost at 31 December 2025 4,046 29 4,075
Carrying amount at 31 December 2025 4,046 29 4,075
Dividend received in 2025
-
-
-
DKKm
Lundbeckfond
Invest A/S
Vesper
Bio ApS
Total
Cost at 1 January 2024 4,046 29 4,075
Cost at 31 December 2024 4,046 29 4,075
Carrying amount at 31 December 2024 4,046 29 4,075
Dividend received in 2024 1,545 - 1,545
Subsidiaries, DKKm
Registered
office
Ownership
Profit for the
year 2025
Equity at
31 December
2025
Lundbeckfond Invest A/S Copenhagen
100% 1,291 29,746
Vesper Bio ApS Copenhagen
75% -48
-227
Management review
Financial statements Consolidated financial statements Parent financial statements Notes Reports
Lundbeck Foundation Annual Report 2025 Page 135
Note 13
Derivative financial instruments
Note 11
Other securities and investments
DKKm
Bonds and
corporate
loans
Equities
Unlisted
investment
funds
Derivative
financial
instruments
Total
Carrying amount at 1 January 2025
3,125 6,684 157 1 9,967
Additions 1,439 700 - 281 2,420
Disposals -1,229 -945 -48 -238 -2,460
Value adjustments -23 562 -11 -8 520
Carrying amount at 31 December 2025 3,312 7,001 98 36 10,447
Recognised in:
Financial assets 3,312 7,001 98 36 10,447
Carrying amount at 31 December 2025 3,312 7,001 98 36 10,447
Carrying amount at 1 January 2024 1,580 4,113 181 - 5,874
Additions 2,709 2,565 - 19 5,293
Disposals -1,241 -1,106 -36 -21 -2,404
Value adjustments 77 1,112 12 3 1,204
Carrying amount at 31 December 2024 3,125 6,684 157 1 9,967
Recognised in:
Financial assets 3,125 6,684 157 1 9,967
Carrying amount at 31 December 2024 3,125 6,684 157 1 9,967
Note 12
Capital base
DKKm 2025 2024 2023 2022 2021
Capital base at 1 January
4,937 4,357 4,162 3,901 3,461
Increase in capital base
125
580
195
261
440
Capital base at 31 December 5,062 4,937 4,357 4,162 3,901
Options, DKKm Contractual value
Share option
gains/losses
recognised in the
income statement
Market value
31 December
Expiry
2025
Options on shares 41 -8 36 Sep-26
Total 41 -8 36
2024
Options on shares -162 3 1 Jun-25
Total -162 3 1
Management review
Financial statements Consolidated financial statements Parent financial statements Notes Reports
Lundbeck Foundation Annual Report 2025 Page 136
Payable grants, short-term amount to DKK 676m
(DKK 728m at 31 December 2024). Payable grants,
long-term amount to DKK 1,847m (DKK 1,738m at
31 December 2024), of which DKK 239m (DKK 230m at
31 December 2024) are due after more than five years.
Note 15
Contractual obligations
Lundbeckfonden has contractual capital contribution
obligations amounting to DKK 24m at 31 December
2025 (DKK 27m at 31 December 2024).
Lundbeckfonden’s related parties are:
• the Foundation’s Board of Directors and Executive
Management, including their close family members
and related undertakings
• the Foundation’s wholly owned investment and
holding company, Lundbeckfond Invest A/S, and its
subsidiaries: H. Lundbeck A/S, ALK Abelló A/S, Falck
A/S, LFI Equity A/S, LFI Silva Investments A/S, DySIS
Medical, Inc. and Vesper Bio ApS, together with their
respective subsidiaries and associates
Lundbeckfond Invest A/S shares the same address as
Lundbeckfonden, and there is duality of membership
between the Executive Management, administration
(partly) and Boards of Directors. Lundbeckfonden
receives dividends from Lundbeckfond Invest A/S, which
are recognised in the income statement.
In 2025, Lundbeckfonden received dividend from
Lundbeckfond Invest A/S of DKK 0 (DKK 1,545m).
Lundbeckfonden received payment for administration
costs, net amount DKK 10m in 2025 (DKK 10m in 2024)
from Lundbeckfond Invest A/S. At 31 December 2025
Lundbeckfonden has a payable to Lundbeckfond Invest
A/S of DKK 88m (Receivable of DKK 553m at 31
December 2024) and a receivable from Vesper Bio ApS of
DKK 270m (DKK 242m at 31 December 2024).
Lundbeckfonden received interest on receivables from
Lundbeck Invest A/S and Vesper Bio ApS of DKK 4m
(DKK 86m in 2024) and DKK 20m (DKK 14m in 2024),
respectively.
For information on remuneration paid to the members
of the Executive Management and Board of Directors,
see note 3 in the consolidated financial statements.
The Foundation has purchased electricity for DKK 0.1m
from Ørsted, in which CEO, Lene Skole, serves as chair of
the board of directors.
Other than the above, there have only been a few
transactions of immaterial importance with related
parties.
The Foundation has not entered into any transactions
with related parties that were not on an arm’s length
basis.
Note 17
Events after the balance sheet date
No events of importance to the annual report have
occurred during the period from the balance sheet date
until the presentation of the financial statements.
Note 14
Grants
DKKm 2025 2024
Grants for the year
825 1,074
Reversed grants/repayments -20 -14
Net grants for the year
805 1,060
Note 16
Related parties
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 137
Executive Management
Board of Directors
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 138
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 139
26 March 2026
CVR No 33 77 12 31
mne23331
mne18651
Management review
Financial statements Consolidated financial statements Notes Parent financial statements Reports
Lundbeck Foundation Annual Report 2025 Page 140
CVR 11814913