Financial report for the period 1 January 2023 to 30 September 2023
2 November 2023
Novo Nordisk's sales increased by 29% in Danish kroner and by 33% at constant
exchange rates to DKK 166.4 billion in the first nine months of 2023
• Operating profit increased by 31% in Danish kroner and by 37% at constant exchange rates (CER) to DKK 75.8 billion.
• Sales in North America Operations increased by 46% in Danish kroner (49% at CER). Sales in International Operations
increased by 12% in Danish kroner (17% at CER).
• Sales within Diabetes and Obesity care increased by 36% in Danish kroner to DKK 153.8 billion (40% at CER), mainly
driven by GLP-1 diabetes sales growth of 45% in Danish kroner (49% at CER) and Obesity care growing by 167% in
Danish Kroner to DKK 30.4 billion (174% at CER). Rare disease sales decreased by 20% measured in Danish kroner (18%
at CER) reflecting a temporary reduction in manufacturing output.
• In October, Novo Nordisk announced that the semaglutide 1.0 mg kidney outcomes trial FLOW will be stopped based
on an interim analysis due to efficacy following a recommendation from an independent data monitoring committee.
Further, Novo Nordisk announced the agreement to acquire ocedurenone for the treatment of cardiovascular disease.
• On 13 October, the 2023 outlook was raised with sales and operating profit growth at CER now expected to be 32-38%
and 40-46%, respectively. Sales and operating profit growth reported in Danish kroner are now expected to be 4 and 7
percentage points lower than at CER, respectively.
PROFIT AND LOSS 9M 2023 9M 2022
Growth
as reported
Growth
at CER*
DKK million
Net sales 166,398 128,862 29% 33%
Operating profit 75,808 57,722 31% 37%
Net profit 61,720 41,933 47% N/A
Diluted earnings per share (in DKK) 13.71 9.21 49% N/A
* CER: Constant exchange rates (average 2022).
Lars Fruergaard Jørgensen, president and CEO: "We are very satisfied with the sales growth in the first nine months of
2023, which is reflecting that more people than ever are benefiting from our innovative diabetes and obesity treatments.
Within R&D, we are pleased with the decision to stop the FLOW kidney outcomes trial early as semaglutide demonstrated a
benefit in people with type 2 diabetes and chronic kidney disease. The acquisition of ocedurenone for the treatment of
cardiovascular disease supports our aspiration of establishing a presence in other serious chronic diseases with high
unmet medical needs."
On 2 November 2023 at 13.00 CET, corresponding to 08.00 am EDT, an earnings call will be held. Investors will be able to listen
in via a link on novonordisk.com, which can be found under ‘Investors’.
Investor Relations
Denmark
Telephone:
CVR Number:
Company announcement No 68 / 2023
STRATEGIC ASPIRATIONS
STRATEGIC ASPIRATIONS 2025
The strategic aspirations are objectives that Novo Nordisk intends to work towards and are not a projection of Novo
Nordisk's financial outlook or expected growth. Novo Nordisk intends to describe how its activities develop in relation to
each of the four dimensions on an ongoing basis.
Performance highlights for the first nine months of 2023 (blue indicates third-quarter developments)
PERFORMANCE HIGHLIGHTS
Purpose and sustainability (ESG)
Progress towards zero environmental impact:
– Carbon emissions from operations and transportation decreased by
28% compared to the first nine months of 2019 (decreased by 11%
compared to 2022)
Adding value to society:
– Medical treatment provided to 39.6 million people living with
diabetes (net increase of 4 million people)
– Reached more than 46,000 children in Changing Diabetes
®
in
Children programme
– Human insulin with more flexible storage without refrigeration
now approved in 23 countries
– Partnership with Aspen to produce human insulin for Africa
Being recognised as a sustainable employer:
– Share of women in senior leadership positions has increased to
41% from 38% end of September 2022
Innovation and therapeutic focus
Further raise innovation bar for diabetes treatment:
– Regulatory submission of once-weekly insulin icodec in the EU, the
US and China
– Successful completion of phase 3 trial with higher doses of oral
semaglutide
– Initiation of phase 3a trial with CagriSema in type 2 diabetes
– FLOW kidney outcomes trial stopped based on interim analysis
Develop superior treatment solutions for obesity:
– Successful completion of phase 3 trial with 50 mg of oral semaglutide
– Successful completion of SELECT cardiovascular outcomes trial
– Successful completion of STEP HFpEF phase 3 trial
– Acquisition of Inversago Pharma
Strengthen and progress Rare disease pipeline:
– Somapacitan approved in the US, EU and Japan for the
treatment of growth hormone deficiency in children
– Concizumab approved in Japan for the treatment of haemophilia
A and B with inhibitors
Establish presence in other serious chronic diseases:
– Phase 1 trials initiated with cell therapy treatment in heart failure
and Parkinson's disease
– Acquisition of ocedurenone for the treatment of hypertension
– Phase 1 trial initiation with ANGPTL3i mAb
Commercial execution
Strengthen diabetes leadership to more than one-third:
– Diabetes value market share increased by 1.8 percentage points to
33.3% (MAT)
More than DKK 25 billion in Obesity sales by 2025:
– Obesity care sales increased by 174% (CER) to DKK 30.4 billion
Secure a sustained growth outlook for Rare Disease:
– Rare disease sales decreased by 18% (CER) to DKK 12.6 billion
Financials
Deliver solid sales and operating profit growth:
– Sales growth of 33% (CER)
– Operating profit growth of 37% (CER)
Drive operational efficiencies:
– Operational leverage reflecting sales growth
Enable attractive capital allocation to shareholders:
– Free cash flow of DKK 75.6 billion
– DKK 52.0billion returned to shareholders
Financial report for the period 1 January 2023 to 30 September 2023
Page 2 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
PERFORMANCE HIGHLIGHTS
FINANCIAL HIGHLIGHTS FOR THE FIRST NINE MONTHS OF 2023
PROFIT AND LOSS 9M 2023 9M 2022
% change
9M 2023 to
9M 2022
% change
9M 2023 to
9M 2022 at
CER
(Amounts are in DKK million, except for earnings per share)
Net sales 166,398 128,862 29% 33%
Gross profit
140,647
108,676
29%
34%
Gross margin
84.5%
84.3%
Sales and distribution costs
(39,573)
(32,474)
22%
25%
Percentage of sales
23.8%
25.2%
Research and development costs
(21,983)
(15,962)
38%
39%
Percentage of sales
13.2%
12.4%
Administrative costs
(3,399)
(3,119)
9%
11%
Percentage of sales
2.0%
2.4%
Other operating income and expenses
116
601
(81%)
(80%)
Operating profit (EBIT)
75,808
57,722
31%
37%
Operating margin
45.6%
44.8%
Financial items (net)
1,246
(4,976)
(125%)
N/A
Profit before income taxes
77,054
52,746
46%
N/A
Income taxes
(15,334)
(10,813)
42%
N/A
Effective tax rate
19.9%
20.5%
Net profit
61,720
41,933
47%
N/A
Net profit margin
37.1%
32.5%
OTHER KEY NUMBERS
Depreciation, amortisation and impairment losses
6,421
5,327
21%
N/A
Capital expenditure (PP&E)
16,399
7,185
128%
N/A
Net cash generated from operating activities
99,357
71,786
38%
N/A
EBITDA
82,229
63,049
30%
36%
Free cash flow
75,576
62,490
21%
N/A
Average number of diluted shares outstanding (million)
4,501.6
4,552.0
(1%)
N/A
Diluted earnings per share / ADR (in DKK)
13.71
9.21
49%
N/A
Full-time equivalent employees end of period
61,412
52,696
17%
N/A
These unaudited consolidated financial statements for the first nine months of 2023 have been prepared in accordance
with IAS 34 ‘Interim Financial Reporting’ and additional Danish disclosure requirements for listed companies.
The accounting policies adopted in the preparation are consistent with those applied in the Annual Report 2022 of Novo
Nordisk. As of 23 May 2023, the International Accounting Standards Board (IASB) issued amendments to IAS 12 Income
Taxes. Novo Nordisk has assessed the impact from the tax reform as immaterial.
Financial report for the period 1 January 2023 to 30 September 2023
Page 3 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
COMMERCIAL EXECUTION
SALES DEVELOPMENT ACROSS THERAPEUTIC AREAS
Sales grew by 29% measured in Danish kroner and by 33% at CER in the first nine months of 2023, driven by Diabetes care
sales growth of 25% (CER) and Obesity care sales growth of 174% (CER). Rare disease sales decreased by 18% (CER). Sales
growth has resulted in periodic supply constraints and related drug shortage notifications across a number of products
and geographies.
Sales split per therapy
Sales 9M 2023
DKK million
Sales 9M 2022
DKK million
Growth
as reported
Growth
at CER
Share of growth
at CER
Diabetes and Obesity care segment
Injectable GLP-1
72,531
51,773
40%
44%
54%
- Ozempic
®
65,653
42,774
53%
58%
59%
- Victoza
®
6,878
8,999
(24%)
(22%)
(5%)
Rybelsus
®
12,840
7,246
77%
82%
14%
Total GLP-1
85,371
59,019
45%
49%
68%
Long-acting insulin
1
11,179
12,839
(13%)
(10%)
(3%)
Premix insulin
2
7,451
8,219
(9%)
(4%)
(1%)
Fast-acting insulin
3
11,807
12,992
(9%)
(6%)
(2%)
Human insulin
5,605
6,216
(10%)
(4%)
(1%)
Total insulin
36,042
40,266
(10%)
(7%)
(7%)
Other Diabetes care
4
1,990
2,512
(21%)
(21%)
(1%)
Total Diabetes care
123,403
101,797
21%
25%
60%
Wegovy
®
21,729
3,742
481%
492%
44%
Saxenda
®
8,674
7,634
14%
18%
3%
Total Obesity care
30,403
11,376
167%
174%
47%
Diabetes and Obesity care total
153,806
113,173
36%
40%
107%
Rare disease segment
Rare blood disorders
5
8,842
8,825
0%
2%
0%
Rare endocrine disorders
6
2,572
5,536
(54%)
(54%)
(7%)
Other Rare disease
7
1,178
1,328
(11%)
(7%)
0%
Rare disease total
12,592
15,689
(20%)
(18%)
(7%)
Total sales 166,398 128,862 29% 33% 100%
1)
Comprises Tresiba
®
, Xultophy
®
and Levemir
®
.
2)
Comprises Ryzodeg
®
and NovoMix
®
.
3)
Comprises Fiasp
®
and NovoRapid
®
.
4)
Primarily NovoNorm
®
, needles and GlucaGen
®
HypoKit
®
.
5)
Comprises NovoSeven
®
, NovoEight
®
, Esperoct
®
,
Refixia
®
and NovoThirteen
®
.
6)
Primarily Norditropin
®
.
7)
Primarily Vagifem
®
and Activelle
®
.
Financial report for the period 1 January 2023 to 30 September 2023
Page 4 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
DIABETES AND OBESITY CARE
Diabetes care, sales and market share development
Sales in Diabetes care increased by 21% measured in Danish kroner and by 25% at CER to DKK 123,403 million driven by
growth of GLP-1-based products. Novo Nordisk has improved the global diabetes value market share over the last 12
months to 33.3% from 31.5% in line with the aspiration of strengthening the Diabetes care leadership, aiming at reaching a
global value market share of more than one-third in 2025. The market share increase was driven by market share gains in
both North America Operations and International Operations.
In the following sections, unless otherwise noted, market data are based on moving annual total (MAT) from August 2022
and August 2023 provided by the independent data provider IQVIA. EMEA covers Europe, the Middle East and Africa;
Region China covers mainland China, Hong Kong and Taiwan; Rest of World covers all other countries except for North
America.
Diabetes care, development per geographical area
Novo Nordisk’s share of the total
diabetes market (value, MAT) Diabetes care, sales development
August
August
Sales 9M 2023
DKK million
Growth
at CER
2023
2022
Global
33.3%
31.5%
123,403
25%
North America Operations
34.8%
33.3%
64,478
29%
- The US
34.3%
33.1%
58,823
26%
International Operations
27.8%
26.1%
58,925
21%
- EMEA *
30.1%
29.0%
29,990
23%
- Region China **
32.3%
32.7%
12,551
13%
- Rest of World ***
22.4%
18.6%
16,384
26%
Source: IQVIA, August 2023 data. *Data for EMEA available for European markets and seven markets outside Europe representing approximately 90% of Novo Nordisk Diabetes care
sales in the area. **Data for mainland China, excluding Hong Kong and Taiwan. *** Data for Rest of World available for seven markets representing approximately 70% of total Novo
Nordisk’s Diabetes care sales in the area.
GLP-1 therapy for type 2 diabetes
Sales of GLP-1 products for type 2 diabetes (Rybelsus
®
,
Ozempic
®
and Victoza
®
) increased by 45% measured in Danish
kroner and by 49% at CER to DKK 85,371 million. The estimated global GLP-1 share of total diabetes prescriptions has
increased to 5.8% compared with 4.1% 12 months ago. Novo Nordisk continues to be the global market leader in the
GLP-1 segment with a 54.3% value market share.
GLP-1, development per geographical area
Novo Nordisk's share of the
diabetes GLP-1 market (value, MAT) GLP-1, sales development
August
August
Sales 9M 2023
DKK million
Growth
at CER
2023
2022
Global
54.3%
55.7%
85,371
49%
North America Operations
52.6%
54.7%
56,256
43%
- The US
51.5%
53.8%
51,377
40%
International Operations
68.7%
62.6%
29,115
60%
- EMEA *
62.9%
60.0%
15,719
50%
- Region China **
74.6%
62.3%
4,939
95%
- Rest of World ***
82.1%
69.7%
8,457
61%
Source: IQVIA, May 2023 data. *Data for EMEA available for European markets and seven markets outside Europe representing approximately 90% of Novo Nordisk GLP-1 sales in the
area. **Data for mainland China, excluding Hong Kong and Taiwan. ***Data for Rest of World available for seven markets representing approximately 70% of total Novo Nordisk
Diabetes care sales in the area. Note: the estimated GLP-1 share of prescriptions is based on volume packs from IQVIA. Volume packs are converted into full-year patients/prescriptions
based on WHO assumptions for average daily doses or if not available, Novo Nordisk assumptions.
Rybelsus
®
sales increased by 77% measured in Danish kroner and by 82% at CER to DKK 12,840 million. Sales growth was
driven by North America Operations as well as EMEA and Rest of World.
Ozempic
®
sales increased by 53% measured in Danish kroner and by 58% at CER to DKK 65,653 million. Sales growth was
driven by both North America Operations and International Operations. Sales growth has resulted in periodic supply
constraints and related drug shortage notifications across geographies.
Financial report for the period 1 January 2023 to 30 September 2023
Page 5 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
Victoza
®
sales decreased by 24% measured in Danish kroner and by 22% at CER to DKK 6,878 million as the GLP-1 market
is moving towards once-weekly and tablet-based treatments. The sales decline was mainly driven by North America
Operations.
North America Operations
Sales of GLP-1 diabetes products in North America Operations increased by 40% measured in Danish kroner and by 43%
at CER. Novo Nordisk is the market leader with a 52.6% value market share compared to 54.7% 12 months ago. The
estimated GLP-1 share of total diabetes prescriptions has increased to 14.6% compared with 9.9% 12 months ago.
Sales of GLP-1 in the US increased by 40% at CER. The sales increase was driven by continued uptake of Ozempic
®
and
Rybelsus
®
, partially offset by declining Victoza
®
sales. GLP-1 sales growth was negatively impacted by rebate
enhancements as well as unfavourable channel and payer mix.
Sales growth in the US is driven by a prescription volume growth of the GLP-1 class around 50% in the third quarter of
2023 compared to the third quarter of 2022. Novo Nordisk is the market leader with 53.1% measured by total monthly
prescriptions and 57.1% measured by new-to-brand prescriptions.
International Operations
Sales of GLP-1 diabetes products in International Operations increased by 54% measured in Danish kroner and by 60% at
CER. Sales growth is driven by all geographical areas. The estimated GLP-1 share of total diabetes prescriptions has
increased to 3.7% compared with 2.7% 12 months ago. Novo Nordisk is the market leader with a value market share of
68.7% compared to 62.6% 12 months ago.
EMEA
Sales in EMEA increased by 47% measured in Danish kroner and by 50% at CER. The sales growth reflects the uptake of
Ozempic
®
and Rybelsus
®
,
partially offset by lower sales of Victoza
®
. Novo Nordisk remains the market leader in EMEA with
a value market share of 62.9%. The estimated GLP-1 share of total diabetes prescriptions has increased to 5.1% compared
with 3.9% 12 months ago.
Region China
Sales in Region China increased by 80% measured in Danish kroner and by 95% at CER. The sales growth reflects the
uptake of Ozempic
®
. The GLP-1 share of total diabetes prescriptions has increased to 3.3% compared with 2.0% 12 months
ago. Novo Nordisk is the market leader in Region China with a value market share of 74.6%.
Rest of World
Sales in Rest of World increased by 54% measured in Danish kroner and by 61% at CER. The sales growth reflects
increased sales of
Ozempic
®
and Rybelsus
®
, partially offset by Victoza
®
. The estimated GLP-1 share of total diabetes
prescriptions has increased to 2.2% compared with 1.7% 12 months ago. Novo Nordisk remains the market leader with a
value market share of 82.1%.
Financial report for the period 1 January 2023 to 30 September 2023
Page 6 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
Insulin
Sales of insulin decreased by 10% measured in Danish kroner and by 7% at CER to DKK 36,042 million. Sales decline at CER
was driven by declining sales in the US and Region China.
Insulin, development per geographical area
Novo Nordisk’s share of the total
insulin market (volume, MAT) Insulin, sales development
August
August
Sales 9M 2023
DKK million
Growth
at CER
2023
2022
Global
45.5%
46.9%
36,042
(7%)
North America Operations
37.5%
38.2%
7,763
(24%)
- The US
37.2%
37.7%
7,030
(25%)
International Operations
48.3%
50.0%
28,279
(1%)
- EMEA *
47.2%
47.7%
13,775
2%
- Region China **
41.7%
49.4%
6,907
(10%)
- Rest of World ***
58.2%
57.1%
7,597
5%
Source: IQVIA, August 2023 data. *Data for EMEA available for European markets and seven markets outside Europe representing approximately 90% of Novo Nordisk insulin sales in
the area. **Data for mainland China, excluding Hong Kong and Taiwan. ***Data for Rest of World available for seven markets representing approximately 70% of total Novo Nordisk
Diabetes care sales in the area.
North America Operations
Sales of insulin in North America Operations decreased by 26% measured in Danish kroner and by 24% at CER. The sales
decrease in the US was driven by lower realised prices due to channel and payer mix and rebate enhancements as well as
a decline in volume with the US insulin volume market declining 3% compared to the first nine months of 2022. Novo
Nordisk has a volume market share of 37.2% of the total US insulin market
International Operations
Sales of insulin in International Operations decreased by 5% measured in Danish kroner and by 1% at CER. The sales
decline at CER was driven by lower insulin sales in Region China due to the implementation of Volume Based Procurement
in May 2022.
EMEA
Sales of insulin in EMEA remained unchanged in Danish kroner and increased by 2% at CER. The sales increase at CER was
driven by fast-acting insulin, long-acting insulin and human insulin, partially countered by premix insulin. Novo Nordisk has
a volume market share of 47.2% of the total insulin market.
Region China
Sales of insulin in Region China decreased by 17% measured in Danish kroner and by 10% at CER. The sales decline was
driven by all insulin products due to the implementation of Volume Based Procurement from May 2022 except for
Ryzodeg
®
and Xultophy
®
. Novo Nordisk has a volume market share of 41.7% of the total insulin market.
Rest of World
Sales of insulin in Rest of World decreased by 2% measured in Danish kroner and increased by 5% at CER. The sales
growth at CER was driven by human insulin and long-acting insulin, partially countered by premix insulin and fast-acting
insulin. Novo Nordisk has a volume market share of 58.2% of the total insulin market.
Financial report for the period 1 January 2023 to 30 September 2023
Page 7 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
Obesity care, sales development
Sales of Obesity care products, Wegovy
®
and Saxenda
®
, increased by 167% measured in Danish kroner and by 174% at
CER to DKK 30,403 million. Sales growth was driven by both North America Operations and International Operations.
Wegovy
®
has been launched in the US, Denmark, Norway, Germany, UK and Iceland. The volume growth of the global
branded obesity market was 93.6%.
Obesity care, development per geographical area
Global branded
obesity market growth
(Volume, MAT) Obesity care, sales development
August
Sales 9M 2023
DKK million
Growth
at CER
2023
Global
93.6%
30,403
174%
North America Operations
119.7%
24,384
244%
- The US
132.1%
23,984
254%
International Operations
66.6%
6,019
52%
- EMEA *
91.9%
3,983
61%
- Region China**
N/A
129
25%
- Rest of World***
36.2%
1,907
37%
Source: IQVIA, August 2023 data. *Data for EMEA available for European markets and seven markets outside Europe representing approximately 90% of Novo Nordisk insulin sales in
the area. **Data for mainland China, excluding Hong Kong and Taiwan. ***Data for Rest of World available for seven markets representing approximately 70% of total Novo Nordisk
Diabetes care sales in the area.
Wegovy
®
sales increased by 481% measured in Danish kroner and by 492% at CER to DKK 21,729 million. Sales of
Saxenda
®
increased by 14% measured in Danish kroner and by 18% at CER to DKK 8,674 million.
North America Operations
Sales of Obesity care products in North America Operations increased by 237% measured in Danish kroner and by 244% at
CER to DKK 24,384 million. Sales of Wegovy
®
increased by 457% measured in Danish kroner and by 467% at CER to DKK
20,822 million reflecting the commercial relaunch in the US in January 2023. Demand for Wegovy
®
exceeds supply and to
safeguard continuity of care, the supply of the lower Wegovy
®
dose strengths in the US has been reduced since May 2023.
Broad commercial formulary access has been achieved. Sales of Saxenda
®
increased by 2% measured in Danish kroner
and by 4% at CER to DKK 3,562 million. The volume growth of the branded obesity market in the US was 132.1%.
International Operations
Sales of Obesity care products in International Operations increased by 45% measured in Danish kroner and by 52% at
CER to DKK 6,019 million driven by increased sales in EMEA and Rest of World. Sales of Saxenda
®
in International
Operations increased by 24% measured in Danish kroner and by 29% at CER to DKK 5,112 million and sales of Wegovy
®
reached DKK 907 million. Wegovy
®
has now been launched in five countries in International Operations. The volume
growth of the branded obesity market in International Operations was 66.6%.
EMEA
Sales of Obesity care products in EMEA increased by 55% measured in Danish kroner and by 61% at CER. The volume
growth of the branded obesity market in EMEA was 91.9%.
Rest of World
Sales of Saxenda
®
in Rest of World increased by 31% measured in Danish kroner and by 37% at CER. The volume growth of
the branded obesity market in Rest of World was 36.2%.
Financial report for the period 1 January 2023 to 30 September 2023
Page 8 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
Rare disease, sales development
Rare disease sales decreased by 20% measured in Danish kroner and by 18% at CER to DKK 12,592 million. Sales of rare
blood disorder products remained unchanged in Danish kroner and increased by 2% at CER to DKK 8,842 million driven by
the launch products in haemophilia A and B, partially countered by NovoSeven
®
. Sales of rare endocrine disorder products
decreased by 54% in both Danish kroner and CER to DKK 2,572 million reflecting a temporary reduction in manufacturing
output. Novo Nordisk has a value market share of 24.6% (MAT) in the global human growth disorder market.
Rare disease, development per geographical area Rare disease, sales development
Sales 9M 2023
DKK million
Growth
at CER
Global
12,592
(18%)
North America Operations
5,146
(13%)
- The US
4,660
(14%)
International Operations
7,446
(22%)
- EMEA
4,188
(18%)
- Region China
589
(13%)
- Rest of World
2,669
(28%)
North America Operations
Rare disease sales in North America Operations decreased by 15% measured in Danish kroner and by 13% at CER. The
sales decline was driven by lower sales of rare endocrine disorder products decreasing by 50% in both Danish kroner and
CER reflecting a temporary reduction in manufacturing output. Sales of rare blood disorders products increased by 4%
measured in Danish kroner and by 6% at CER driven by sales of haemophilia A and B products.
International Operations
Rare disease sales in International Operations decreased by 23% measured in Danish kroner and by 22% at CER. The sales
decline was driven by lower sales of rare endocrine disorder products decreasing by 55% measured in Danish kroner and
by 56% at CER reflecting a temporary reduction in manufacturing output. Sales of rare blood disorder products decreased
by 2% measured in Danish kroner, and remained unchanged at CER, driven by increased sales of haemophilia A and B
products, countered by NovoSeven
®
.
EMEA
Rare disease sales decreased by 19% measured in Danish kroner and by 18% at CER driven by a decrease of rare
endocrine disorder products by 70% measured in Danish kroner and by 71% at CER reflecting a temporary reduction in
manufacturing output. Sales of rare blood disorder products increased by 8% measured in Danish kroner and by 10% at
CER, primarily driven by haemophilia A products, NovoSeven
®
and haemophilia B products. The increased sales of
haemophilia A and B products reflect the continued uptake of extended half-life products.
Region China
Rare disease sales decreased by 20% measured in Danish kroner and by 13% at CER driven by decreased sales of rare
blood disorder products, reflecting timing of shipments of NovoSeven
®
, partially countered by sales of rare endocrine
disorder products.
Rest of World
Rare disease sales decreased by 29% measured in Danish kroner and by 28% at CER. Sales of rare blood disorder products
decreased by 10% measured in Danish kroner and by 7% at CER driven by haemophilia A products and NovoSeven
®
. Sales
of rare endocrine disorder products decreased by 50% measured in Danish kroner and by 52% at CER reflecting a
temporary reduction in manufacturing output.
Financial report for the period 1 January 2023 to 30 September 2023
Page 9 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
FINANCIALS
GEOGRAPHIC SALES DEVELOPMENT
Sales increased by 29% measured in Danish kroner and by 33% at CER to DKK 166,398 million in the first nine months of
2023. Sales growth has resulted in periodic supply constraints and related drug shortage notifications across a number of
products and geographies. Sales in North America Operations increased by 46% measured in Danish kroner and by 49% at
CER. Sales in International Operations increased by 12% measured in Danish kroner and by 17% at CER.
Sales split per geographical area
Sales 9M 2023
DKK million
Growth
as reported
Growth
at CER
Share of growth
at CER
North America Operations
94,008
46%
49%
74%
- The US
87,467
46%
49%
69%
International Operations
72,390
12%
17%
26%
- EMEA
38,161
17%
19%
15%
- Region China
13,269
3%
12%
4%
- Rest of World
20,960
11%
16%
7%
Total sales 166,398 29% 33% 100%
North America Operations
Sales in North America Operations increased by 46% measured in Danish kroner and by 49% at CER. The sales increase
reflects GLP-1 diabetes sales growing by 43% at CER and Obesity care sales growing by 244% at CER. This was partially
offset by insulin sales decreasing by 24% at CER driven by lower realised prices due to channel and payer mix, rebate
enhancements as well as a decline in volume. Rare disease sales decreased by 13% at CER reflecting a temporary
reduction in manufacturing output.
International Operations
Sales in International Operations increased by 12% measured in Danish kroner and by 17% at CER. Sales growth was
driven by GLP-1 sales growing by 60% at CER and Obesity care sales growing by 52% at CER, partially countered by insulin
sales decreasing by 1% at CER and Rare disease sales decreasing by 22% at CER reflecting a temporary reduction in
manufacturing output.
EMEA
Sales in EMEA increased by 17% measured in Danish kroner and by 19% at CER. Sales growth was driven by Diabetes care
growing by 23% at CER driven by increased GLP-1 sales growing by 50% at CER and insulin sales growing by 2% at CER.
Obesity care sales increased by 61% at CER and Rare disease sales decreased by 18% at CER.
Region China
Sales in Region China increased by 3% measured in Danish kroner and by 12% at CER. The sales increase at CER was driven
by GLP-1 sales growing by 95% at CER, partially countered by insulin sales declining by 10% at CER. Insulin sales were
negatively impacted by the implementation of Volume Based Procurement from May 2022. Other diabetes care sales
decreased by 21% at CER. Rare disease sales decreased by 13% at CER reflecting timing of shipments.
Rest of World
Sales in Rest of World increased by 11% measured in Danish kroner and by 16% at CER. Sales growth was driven by
Diabetes care growing by 26% at CER, reflecting increased GLP-1 and insulin sales, Obesity care sales growing by 37% at
CER and Rare disease decreasing by 28% at CER.
Financial report for the period 1 January 2023 to 30 September 2023
Page 10 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
DEVELOPMENT IN COSTS AND OPERATING PROFIT
The cost of goods sold increased by 28% in both Danish kroner and at CER to DKK 25,751 million, resulting in a gross
margin of 84.5% measured in Danish kroner compared with 84.3% in 2022. The increase in gross margin reflects a positive
product mix, driven by increased sales of GLP-1-based treatments. This is partially countered by costs related to ongoing
capacity expansions, a negative currency impact and lower realised prices mainly in the US and Region China.
Sales and distribution costs increased by 22% measured in Danish kroner and by 25% at CER to DKK 39,573 million. The
increase in costs is driven by both North America Operations and International Operations. In North America Operations,
the cost increase is driven by the relaunch of Wegovy
®
and promotional activities for Ozempic
®
. In International
Operations, the cost increase is mainly related to promotional activities for Rybelsus
®
as well as Obesity care market
development activities. The increase in sales and distribution costs is impacted by adjustments to legal provisions.
Research and development costs increased by 38% measured in Danish kroner and by 39% at CER to DKK 21,983 million
reflecting increased late-stage clinical trial activity and increased early research activities compared to the first nine months
of 2022. The acquisition of Forma Therapeutics Inc. in 2022 and Inversago Pharma also increased R&D spending.
Administration costs increased by 9% measured in Danish kroner and by 11% at CER to DKK 3,399 million.
Other operating income and expenses (net) was DKK 116 million compared with DKK 601 million in 2022, mainly driven
by lower income from partnerships related to Dicerna Pharmaceuticals Inc.
Operating profit increased by 31% measured in Danish kroner and by 37% at CER to DKK 75,808 million reflecting the
sales growth.
Financial items (net) showed a net gain of DKK 1,246 million compared with a net loss of DKK 4,976 million in 2022.
In line with Novo Nordisk’s treasury policy, the most significant foreign exchange risks for Novo Nordisk have been hedged,
primarily through foreign exchange forward contracts. The foreign exchange result was a net gain of DKK 1,190 million
compared with a net loss of DKK 3,894 million in 2022.
As per the end of September 2023, a negative market value of financial contracts of approximately DKK 1.7 billion has been
deferred for recognition later in 2023 and 2024.
The effective tax rate was 19.9% in the first nine months of 2023 compared with an effective tax rate of 20.5% in the first
nine months of 2022.
Net profit increased by 47% to DKK 61,720 million and diluted earnings per share increased by 49% to DKK 13.71.
Financial report for the period 1 January 2023 to 30 September 2023
Page 11 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
KEY DEVELOPMENTS IN THE THIRD QUARTER OF 2023
Sales in the third quarter of 2023 increased by 29% measured in Danish kroner and by 38% at CER compared to the same
period in 2022. Sales growth was positively impacted by gross-to-net sales adjustments mainly for Ozempic
®
and Wegovy
®
in the US, partially offset by wholesaler destocking in the US. Operating profit increased by 33% measured in Danish
kroner and by 47% at CER. Sales growth has resulted in periodic supply constraints and related drug shortage notifications
across a number of products and geographies. Please refer to appendix 1 for an overview of the quarterly numbers in DKK
and to appendix 6 for additional details on sales in the third quarter of 2023.
Sales split per geographical area
Sales Q3 2023
DKK million
Growth
as reported
Growth
at CER
Share of growth
at CER
North America Operations
35,048
48%
58%
80%
- The US
32,936
50%
60%
77%
International Operations
23,683
9%
16%
20%
- EMEA
12,563
14%
19%
12%
- Region China
4,341
(2%)
11%
3%
- Rest of World
6,779
6%
13%
5%
Total sales 58,731 29% 38% 100%
The increased global sales of 38% at CER were driven by Diabetes and Obesity care sales as GLP-1 diabetes sales increased
by 46% at CER, Obesity care sales increased by 200% at CER. The sales increase was partially offset by insulin sales
decreasing by 5% at CER and Rare disease sales decreasing by 20% at CER.
North America Operations
Sales in North America Operations increased by 48% measured in Danish kroner and by 58% at CER. Sales growth was
driven by Obesity care sales increasing by 306% at CER and GLP-1 diabetes care sales growing by 42% at CER. Sales
growth was positively impacted by gross-to-net sales adjustments mainly for Ozempic
®
and Wegovy
®
in the US, partially
offset by wholesaler destocking in the US. Insulin sales decreased by 22% at CER driven by lower realised prices reflecting
channel and payer mix. Rare disease sales decreased by 3% at CER reflecting a temporary reduction in manufacturing
output.
International Operations
Sales in International Operations increased by 9% measured in Danish kroner and by 16% at CER. Sales growth was driven
by all Regions.
Sales growth was driven by Diabetes and Obesity care growing by 24% at CER driven by GLP-1 diabetes sales growing by
57% at CER, Obesity care increasing by 30% at CER and insulin sales increasing by 2% at CER. Rare disease sales decreased
by 30% at CER reflecting a temporary reduction in manufacturing output.
Financial report for the period 1 January 2023 to 30 September 2023
Page 12 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
PROFIT AND LOSS Q3 2023 Q3 2022
% change
Q3 2023 to
Q3 2022
% change
Q3 2023 to
Q3 2022 at CER
Net sales 58,731 45,566 29% 38%
Gross profit
49,018
38,366
28%
38%
Gross margin
83.5%
84.2%
Sales and distribution costs
(12,819)
(11,451)
12%
19%
Percentage of sales
21.8%
25.1%
Research and development costs
(8,128)
(5,633)
44%
49%
Percentage of sales
13.8%
12.4%
Administrative costs
(1,256)
(1,158)
8%
12%
Percentage of sales
2.1%
2.5%
Other operating income and expenses
98
60
63%
65%
Operating profit (EBIT)
26,913
20,184
33%
47%
Operating margin
45.8%
44.3%
Financial items (net)
1,150
(2,152)
(153%)
N/A
Profit before income taxes
28,063
18,032
56%
N/A
Income taxes
(5,585)
(3,627)
54%
N/A
Effective tax rate
19.9%
20.1%
Net profit
22,478
14,405
56%
N/A
Net profit margin
38.3%
31.6%
Costs and operating profit
The gross margin was 83.5% in the third quarter of 2023 compared with 84.2% in 2022. The 0.7 percentage point gross
margin decrease reflects costs related to ongoing capacity expansions and a negative currency impact, partially countered
by a positive product mix and positive price impact due to gross-to-net sales adjustments.
Sales and distribution costs increased by 12% measured in Danish kroner and by 19% at CER compared with 2022. The
increase was driven by both North America Operations and International Operations reflecting increased spend related to
GLP-1 diabetes care as well as Obesity care market development activities.
Research and development costs increased by 44% measured in Danish kroner and by 49% at CER compared with 2022
driven by increased late-stage clinical trial and research activities.
Administrative costs increased by 8% measured in Danish kroner and by 12% at CER compared with the same period in
2022.
Other operating income and expenses showed an income of DKK 98 million in the third quarter of 2023.
Operating profit increased by 33% measured in Danish kroner and by 47% at CER compared with the same period in
2022.
Financial items (net) showed a net gain of DKK 1,150 million compared with a net loss of DKK 2,152 million in the third
quarter of 2022 reflecting gain on hedged currencies, primarily the US dollar.
The effective tax rate is 19.9% in the third quarter of 2023 compared with an effective tax rate of 20.1% in the third
quarter of 2022.
Net profit increased by 56% to DKK 22,478 million and diluted earnings per share increased by 58% to DKK 5.00.
Financial report for the period 1 January 2023 to 30 September 2023
Page 13 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
CASH FLOW AND CAPITAL ALLOCATION
FREE CASH FLOW IN THE FIRST NINE MONTHS OF 2023 AND CAPITAL EXPENDITURE
Free cash flow was DKK 75.6 billion compared with DKK 62.5 billion in the first nine months of 2022 supporting the
strategic aspiration to deliver attractive capital allocation to shareholders. The cash conversion in the first nine months of
2023 is positively impacted by timing of payment of rebates in the US, including provisions related to the revised 340B
distribution policy in the US. Income under the 340B Program has been partially recognised.
Capital expenditure for property, plant and equipment was DKK 16.4 billion compared with DKK 7.2 billion in the first nine
months of 2022, primarily reflecting investments in additional capacity for active pharmaceutical ingredient (API)
production and fill-finish capacity for both current and future injectable and oral products.
EQUITY AND CAPITAL ALLOCATION
Total equity was DKK 92,991 million at the end of the first nine months of 2023, equivalent to 31.0% of total assets,
compared with 31.6% at the end of the first nine months of 2022. Please refer to appendix 5 for further elaboration of
changes in equity.
Novo Nordisk returned DKK 52.0billion to shareholders via share buybacks (DKK 20.2 billion) and dividend (DKK 31.8
billion) during the first nine months of 2023.
Two-for-one split of the trading unit implemented in September 2023
As announced in August 2023, Novo Nordisk’s Board of Directors approved a split of trading units of the Novo Nordisk B
shares listed on Nasdaq Copenhagen and of the American Depositary Receipts (ADRs) listed on New York Stock Exchange
(NYSE) in a two-for-one ratio. Consequently, the trading unit of the Novo Nordisk B shares listed on Nasdaq Copenhagen
was changed on 13 September 2023 from DKK 0.20 to DKK 0.10. The ADRs have similarly been split on 20 September 2023
to maintain the one-to-one relationship between the B-share and the ADR.
2023 share repurchase programme
As of 31 October 2023, Novo Nordisk has repurchased 37,095,278 B shares of DKK 0.10 for an amount of DKK
20,989,055,298 as part of the overall share repurchase programme of up to DKK 30 billion to be executed during a 12-
month period beginning 1 February 2023.
Financial report for the period 1 January 2023 to 30 September 2023
Page 14 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
OUTLOOK
The outlook for sales and operating profit growth was raised on 13 October 2023 to 32-38% and 40-46% at CER. The
current expectations for 2023 are summarised in the table below:
Expectations are as reported, if not otherwise stated
Expectations
2 November 2023
Expectations
10 August 2023
Sales growth
at CER 32% to 38% 27% to 33%
as reported
Around 4 percentage points lower
than at CER
Around 6 percentage points lower
than at CER
Operating profit growth
at CER 40% to 46% 31% to 37%
as reported
Around 7 percentage points lower
than at CER
Around 9 percentage points lower
than at CER
Financial items (net) Gain of around DKK 1.6 billion Gain of around DKK 2.8 billion
Effective tax rate 19% to 21% 19% to 21%
Capital expenditure (PP&E) Around DKK 25 billion Around DKK 25 billion
Depreciation, amortisation and impairment losses Around DKK 8 billion Around DKK 8 billion
Free cash flow (excluding impact from business development) DKK 65-73 billion DKK 64-72 billion
Sales growth is now expected to be 32% to 38% at CER. Given the current exchange rates versus the Danish krone, sales
growth reported in DKK is now expected to be around 4 percentage points lower than at CER. The increased sales outlook
is primarily reflecting higher full-year expectations for Ozempic
®
volumes sold in the US and gross-to-net sales
adjustments for Ozempic
®
and Wegovy
®
in the US.
The guidance reflects expectations for sales growth in both North America Operations and International Operations,
mainly driven by volume growth of GLP-1-based treatments for Diabetes and Obesity care, partially countered by declining
sales in Rare disease due to a temporary reduction in manufacturing output. Intensifying competition and continued
pricing pressure within Diabetes care are included in the guidance.
The guidance ranges reflect the level of volume growth of GLP-1-based diabetes treatments and the inherent uncertainty
of the pace of Obesity care market expansion following the relaunch of Wegovy
®
in the US and a limited roll-out in
International Operations.
Following higher than expected volume growth in recent years, including GLP-1-based products such as Ozempic
®
and
Wegovy
®
, combined with the expectation of continued volume growth and capacity limitations at some manufacturing
sites, the outlook also reflects expected continued periodic supply constraints and related drug shortage notifications
across a number of products and geographies. Novo Nordisk is investing in internal and external capacity to increase
supply both short and long term. While supply capacity for Wegovy
®
is gradually being expanded, the supply of the lower
dose strengths in the US will remain restricted to safeguard continuity of care.
Operating profit growth is now expected to be 40% to 46% at CER. Given the current exchange rates versus the Danish
krone, growth reported in DKK is now expected to be around 7 percentage points lower than at CER. The expectation for
operating profit growth primarily reflects the sales growth outlook and continued investments in future and current
growth drivers within Research, Development and Commercial. Within R&D, investments are related to the continued
expansion and progression of the early and late-stage pipeline. Commercial investments are mainly related to the relaunch
of Wegovy
®
in the US, Obesity care market development activities in International Operations as well as increased spend
related to GLP-1 diabetes care.
Novo Nordisk now expects financial items (net) to amount to a gain of around DKK 1.6 billion, mainly reflecting gains
associated with foreign exchange hedging contracts.
The effective tax rate for 2023 is still expected to be in the range of 19-21%.
Financial report for the period 1 January 2023 to 30 September 2023
Page 15 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
Capital expenditure is still expected to be around DKK 25 billion in 2023 reflecting the upscaling of the supply chain and
the innovation-based growth strategy pursued by Novo Nordisk. The CAPEX is primarily relating to investments in
additional capacity for active pharmaceutical ingredient (API) production and fill-finish capacity for both current and future
injectable and oral products. In the coming years, the capital expenditure to sales ratio is expected to be low double digit.
Depreciation, amortisation and impairment losses are still expected to be around DKK 8 billion.
The free cash flow is now expected to be DKK 65-73 billion reflecting the sales growth, a favourable impact from rebates
in the US and investments in capital expenditure. The updated cash flow expectation is mainly reflecting increased net
profit expectations, partially countered by business development activities.
All of the above expectations are based on assumptions that the global or regional macroeconomic and political
environment will not significantly change business conditions for Novo Nordisk during 2023, including energy and supply
chain disruptions, the potential implications from major healthcare reforms and legislative changes as well as outcome of
legal cases including litigations related to the 340B Drug Pricing Program in the US, and that the currency exchange rates,
especially the US dollar, will remain at the current level versus the Danish krone. Neither does the guidance include the
financial implications of any new significant business development transactions and significant impairments of intangible
assets during 2023.
FX (average rates) Q3 2023 Q3 2022 % change 9M 2023 9M 2022 % change
Spot rate
26 October
2023
USD
685
739
(7%)
688
701
(2%)
708
CNY
95
108
(12%)
98
106
(8%)
97
JPY
4.74
5.35
(11%)
4.99
5.48
(9%)
4.71
CAD
511
566
(10%)
511
546
(6%)
512
GBP
867
869
0%
856
878
(3%)
856
Novo Nordisk has hedged expected net cash flows in a number of invoicing currencies and, all other things being equal,
movements in key invoicing currencies will impact Novo Nordisk’s operating profit as outlined in the table below.
Key invoicing currencies
Impact on Novo Nordisk's operating profit in the next 12
months of a 5% movement in currency Hedging period (months)
1
USD
DKK 4,300 million
12
CNY
2
DKK 410 million
12
CAD
DKK 430 million
9
JPY
DKK 180 million
12
GBP
DKK 130 million
2
1)
As of 30 September 2023.
2)
Chinese yuan traded offshore (CNH) used as proxy when hedging Novo Nordisk’s CNY currency exposure.
The financial impact from foreign exchange hedging is included in Financial items (net).
Financial report for the period 1 January 2023 to 30 September 2023
Page 16 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
INNOVATION AND THERAPEUTIC FOCUS
Diabetes care
Update on label extension applications for oral semaglutide in the EU and the US
In October 2023, Novo Nordisk submitted a label extension application to the European Medicines Agency (EMA) for oral
semaglutide (Rybelsus
®
) to introduce the 25 and 50 mg doses. The global roll-out of the 25 mg and 50 mg doses is
contingent on portfolio prioritisations and manufacturing capacity. Novo Nordisk also submitted a formulation change
application in the EU to introduce 1.5 mg, 4 mg and 9 mg daily doses equivalent to 3 mg, 7 mg and 14 mg doses,
respectively.
The filing for regulatory approval in the US of the 25 mg and 50 mg oral semaglutide doses for the treatment of type 2
diabetes is now expected to take place in 2024.
Once-weekly injectable semaglutide kidney outcomes trial, FLOW, will be stopped based on interim analysis due to efficacy
In October 2023, Novo Nordisk announced the decision to stop the kidney outcomes trial FLOW (Effect of semaglutide
versus placebo on the progression of renal impairment in people with type 2 diabetes and chronic kidney disease). The
decision to stop the trial was based on a recommendation from the independent Data Monitoring Committee (DMC)
concluding that the results from an interim analysis met certain pre-specified criteria for stopping the trial early for efficacy.
Based on the decision to stop the trial at interim, the process of closing the trial will be initiated. To protect the integrity of
the trial, Novo Nordisk remains blinded to the results until trial completion. Novo Nordisk expects that the final results
from FLOW will be available during the first half of 2024.
Phase 3a development programme initiated with CagriSema in people with type 2 diabetes
In September 2023, Novo Nordisk initiated the first phase 3a trial, REIMAGINE 2, for CagriSema in people with type 2
diabetes. REIMAGINE 2 is a 68-week trial comparing the efficacy and safety of two different doses of once-weekly
CagriSema with two different doses of semaglutide as well as cagrilintide and placebo. The trial is expected to enrol
approximately 2,700 people with type 2 diabetes. REIMAGINE 2 is the first of four pivotal trials in the REIMAGINE
programme.
REIMAGINE 1 is planned to be initiated in 2024 and is comparing CagriSema with placebo in people with
type 2 diabetes. The 40-week trial is expected to enrol approximately 180 people.
REIMAGINE 3 is planned to be initiated in 2024 and is comparing CagriSema with placebo in people with type 2 diabetes
inadequately controlled on basal insulin therapy. The 40-week trial is expected to enrol approximately 270 people.
REIMAGINE 4 is planned to be initiated in the first half of 2024 and is comparing CagriSema with tirzepatide in people with
type 2 diabetes. The 68-week trial is expected to enrol approximately 1,000 people.
Obesity care
Updates on regulatory submissions for semaglutide including SELECT
In September and October 2023, Novo Nordisk submitted a supplemental New Drug Application (sNDA) to the US Food
and Drug Administration (FDA) and a Type II variant application to the European Medicines Agency (EMA) for Wegovy
®
for
the indication of reducing the risk of major adverse cardiovascular events (cardiovascular death, non-fatal heart attack or
non-fatal stroke) in people with an initial BMI of 27 kg/m
2
or greater and established cardiovascular disease (CVD). The FDA
has granted priority review for the sNDA.
In September 2023, Novo Nordisk initiated SELECT-LIFE, a long-term follow-up study to SELECT. SELECT-LIFE is a survey-
based study with twice-yearly collection of self-reported patient data. The study will evaluate the long-term post-trial effects
of semaglutide 2.4 mg once weekly on survival, cardiovascular disease, obesity and other metabolic-related outcomes in
people with overweight or obesity and established cardiovascular disease. The trial is expected to complete in 2033.
The regulatory submission of 50 mg oral semaglutide for the treatment of obesity in the US is currently awaiting the
completion of OASIS 4, the clinical phase 3a programme with 25 mg oral semaglutide for the treatment of obesity and the
Financial report for the period 1 January 2023 to 30 September 2023
Page 17 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
potential label expansion for Wegovy
®
. Conditional to regulatory approvals, the global roll-out of oral semaglutide for the
treatment of obesity is contingent on portfolio prioritisations and production capacity.
Phase 1 trial initiated with subcutaneous amycretin
In September 2023, Novo Nordisk initiated a phase 1 trial with once-weekly subcutaneous amycretin. The 32-week trial is
investigating safety, tolerability, pharmacokinetics and pharmacodynamics of different doses of amycretin.
Rare disease
Concizumab approved in Japan for the treatment of haemophilia A and B with inhibitors
In September 2023, concizumab was approved in Japan under the brand name Alhemo™ for the treatment of haemophilia
A and B with inhibitors. Novo Nordisk expects to launch Alhemo™ in Japan during first half of 2024.
Nedosiran approved in the US
In September 2023, nedosiran was approved under the brand name Rivfloza
®
by the US FDA for treatment of primary
hyperoxaluria type 1 (PH1) to lower urinary oxalate levels in paediatric (nine years of age and older) and people with
relatively preserved kidney function. This marks the first approved siRNA treatment for Novo Nordisk.
Other serious chronic diseases
Phase 1 trial initiated with ANGPTL3i
In August 2023, Novo Nordisk initiated a phase 1 trial with ANGPTL3i, a monoclonal antibody in development for
cardiovascular disease. The trial is investigating safety, tolerability, pharmacokinetics and pharmacodynamics of ANGPTL3i.
Novo Nordisk to acquire ocedurenone for uncontrolled hypertension from KBP Biosciences PTE. Ltd.
In October 2023, Novo Nordisk agreed to acquire ocedurenone for the treatment of cardiovascular and kidney disease
from KBP Biosciences PTE., Ltd for up to 1.3 billion US dollars. Ocedurenone is an orally administered, small molecule, non-
steroidal mineralocorticoid receptor antagonist (nsMRA) that is currently being examined in the phase 3 trial CLARION-CKD
in patients with uncontrolled hypertension and advanced chronic kidney disease (CKD). Uncontrolled hypertension is when
a person’s blood pressure remains high despite taking two or more blood pressure-lowering treatments. Novo Nordisk
expects to initiate phase 3 outcomes trials in additional cardiovascular and kidney disease indications in the coming years.
The acquisition is expected to be completed in 2023.
Technology platforms
Phase 1 trial with STAT3 and the GalXC-Plus™ platform initiated
In September 2023, Novo Nordisk initiated a phase 1 trial with STAT3, an immuno-oncology target with the goal of
silencing STAT3 in tumor-associated immune cells. This is the first phase 1 trial using the proprietary platform, GalXC-Plus™
addressing intracellular targets outside the liver.
Novo Nordisk and GE Healthcare to collaborate to advance novel non-invasive treatments for type 2 diabetes and obesity with
ultrasound
In October 2023, Novo Nordisk announced a collaboration with GE Healthcare to further advance the clinical and product
development of peripheral focused ultrasound (PFUS). This is a novel technology that has potential to specifically regulate
metabolic function in the body using ultrasound that may support the treatment of chronic diseases such as type 2
diabetes and obesity.
Financial report for the period 1 January 2023 to 30 September 2023
Page 18 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
PURPOSE AND SUSTAINABILITY
ENVIRONMENT
ENVIRONMENTAL PERFORMANCE 9M 2023 9M 2022
9M 2019
(baseline)
% change
9M 2023 to
9M 2022
% change
9M 2023 to
9M 2019
Emissions
CO
2
emissions from operations and transportation (1,000 tonnes)
165
186
228
(11%)
(28%)
- Scope 1 emissions
1
54
54
64
0%
(16%)
- Scope 2 emissions
2
11
12
55
(8%)
(80%)
- Partial scope 3 emissions
3
100
120
109
(17%)
(8%)
1. Scope 1: Direct emissions from owned and controlled resources (including emissions from production processes and transport).
2. Scope 2: Indirect emissions from the generation of energy purchased from a utility provider (including electricity, steam, heating and cooling).
3. Scope 3: Emissions are limited to CO
2
emissions from business flights and product distribution.
Note: First nine months 2019 baseline figures have been restated by adding two thousand tonnes of CO
2
for business flights
Emissions
Under the environmental strategy Circular for Zero, CO
2
emissions from operations and transportation decreased by 28%
compared to the first nine months of 2019. CO
2
emissions from operations and transportation decreased by 11% in the
first nine months of 2023 compared to the same period in 2022. Scope 1 CO
2
emissions remained consistent with 2022,
while Scope 2 CO
2
emissions decreased by 8% due to increase in the usage of renewable energy sources. Scope 3 CO
2
emissions from product distribution and business flights decreased by 17% mainly due to a decrease in emissions from
product distribution, driven by the purchase of sustainable aviation fuel.
SOCIAL
SOCIAL PERFORMANCE 9M 2023 9M 2022
% change
9M 2023 to
9M 2022
Patients
Patients reached with Novo Nordisk's Diabetes care products (estimate in million)
1
39.6
35.7
11%
Hereof children reached through the Changing Diabetes
®
in Children programme (cumulative)
46,522 37,849 23%
Sustainable employer
Gender in leadership positions
2
(ratio men:women) 55:45 56:44 N/A
Gender in senior leadership positions
3
(ratio men:women) 59:41 62:38 N/A
1. Calculated as a moving annual total.
2. Defined as team leaders, managers, directors, vice presidents, corporate vice presidents, senior vice presidents and executive management.
3. Defined as vice presidents, corporate vice presidents, senior vice presidents and executive management.
Patients
Under the social responsibility strategy Defeat Diabetes, Novo Nordisk continues to take action on access and affordability
and prevention. The number of people with diabetes treated with Novo Nordisk products, calculated as a moving annual
total, was 39.6 million in the first nine months of 2023. This represents a net increase of 3.9 million patients compared to
end of September 2022.
The Changing Diabetes
®
in Children programme aims to reach 100,000 children by 2030. By end of June 2023, more than
46,000 children were reached, an increase of 23% compared to end of September 2022. The programme has now been
rolled out to more than 26 countries.
A new partnership has been established with Aspen SA Operations (Pty) Ltd. and Aspen Pharmacare Holdings Limited
(Aspen) to produce human insulin in South Africa for patients across the African continent. Next year, 16 million human
insulin vials will be produced, equivalent to the yearly consumption of more than one million people. Novo Nordisk’s
integrated sustainable business model, iCARE, will be expanded to distribute parts of the insulin volume with a ceiling price
of USD 3 per vial. Volume allocation will be determined by public tenders in the markets
Financial report for the period 1 January 2023 to 30 September 2023
Page 19 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
On 20 September 2023, Novo Nordisk and UNICEF announced an extension of their partnership to help prevent global
childhood overweight and obesity. Over the next three years, Novo Nordisk will commit USD 8 million to scale and
accelerate efforts that create healthier environments for children. The aim is to positively impact at least 10 million children
over the 3-year period.
Sustainable employer
Novo Nordisk aspires to be a sustainable employer, and in 2021 two aspirational gender diversity targets were launched:
achieve a balanced gender representation across all managerial levels and achieve a minimum of 45% women and a
minimum of 45% men in senior leadership positions by the end of 2025.
At the end of September 2023, 45% of all leaders were women, and 41% of leaders in senior leadership positions were
women compared to 44% and 38%, respectively, by the end of September 2022.
The number of full-time employees at the end of the first nine months of 2023 increased by 17% compared to 12 months
ago. The total number of full-time employees was 61,412. The increase is driven by Product Supply, R&D as well as Global
Business Services in Bangalore, India.
Russia's invasion of Ukraine
Following Russia's invasion of Ukraine, Novo Nordisk's key priorities have been to safeguard employees and continue the
supply of essential medicines.
In Ukraine, Novo Nordisk has continued the supply of medicines, which are currently broadly available throughout the
country, also through collaboration with humanitarian organisations to provide access in bordering areas. Moreover, Novo
Nordisk has donated diabetes and haemophilia medication to the Ukrainian Ministry of Health, and together with
humanitarian organisations, Novo Nordisk continues to monitor the situation to be able to provide further support.
In Russia, Novo Nordisk has suspended marketing investments and changed focus from launching new medications and
clinical investment to securing supply of insulin to ensure that the more than 700,000 patients can continue their
treatment with essential medication.
Sales in Russia and Ukraine constituted less than 1% of Novo Nordisk's global sales.
Israel-Gaza conflict
Following Hamas's attack in Israel and the subsequent war in Gaza, Novo Nordisk's key priorities have been to safeguard
employees and continue the supply of essential medicines to patients. Novo Nordisk is currently assessing how Novo
Nordisk can support humanitarian organisations in providing essential medicines to patients in the region.
Financial report for the period 1 January 2023 to 30 September 2023
Page 20 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
LEGAL MATTERS
Inter Partes Review (IPR) challenges
On 16 March 2023, Mylan Pharmaceuticals Inc. (Mylan) filed petitions for Inter Partes Review (IPR) against Novo Nordisk’s
semaglutide compound patents (US Patent Nos 8,129,343 and 8,536,122 expiring in 2026 and 2032, respectively) and a
method of treatment patent (US Patent No 10,335,462 expiring in 2032). In October 2023, The U.S. Patent Office denied
Mylan’s petitions on the semaglutide compound patents, but granted the petition to institute review of the method of
treatment patent. A hearing is scheduled for 9 July 2024 and a decision is expected later that year. Novo Nordisk is
prepared to defend its intellectual property. Novo Nordisk does not expect these matters to have a material impact on
Novo Nordisk’s financial position, operating profit or cash flow.
Inflation Reduction Act Litigation, US
On 29 September 2023, Novo Nordisk filed a lawsuit in the United States District Court for the District of New Jersey
against the United States Department of Health and Human Services and the Centers for Medicare and Medicaid Services
(CMS) challenging the constitutionality of the drug pricing procedures of the Inflation Reduction Act (IRA) and CMS’s
actions taken in implementation of the IRA. The lawsuit asserts that the IRA violates U.S. Constitutional rights to Separation
of Powers, Due Process and Freedom of Speech. In addition, the lawsuit claims that CMS’s actions in implementing the IRA
violate the requirements of the Administrative Procedures Act and Social Security Act, as well as exceed the lawful power
authorised by Congress. Novo Nordisk is one of eight manufacturers who have filed lawsuits challenging the IRA in various
Federal Courts throughout the United States. The U.S. Chamber of Commerce and PhRMA have also filed lawsuits
challenging the IRA.
Update on Abbreviated New Drug Applications with the US Food and Drug Administration (FDA)
Novo Nordisk has received notifications from several manufacturers that they have filed Abbreviated New Drug
Applications (ANDAs) for liraglutide, the active pharmaceutical molecule in Victoza
®
and in Saxenda
®
, respectively, and
semaglutide, the active pharmaceutical molecule in Ozempic
®
and in Rybelsus
®
, respectively, with the FDA. The ANDAs
contain Paragraph IV certifications to obtain approval to engage in the commercial manufacture, use, or sale of such
products before the expiration of some or all of the patents currently listed for those products in the Orange Book. Novo
Nordisk has filed complaints for patent infringement against these manufacturers. Novo Nordisk does not expect these
matters to have a material impact on Novo Nordisk’s financial position, operating profit or cash flow.
Novo Nordisk has entered into settlement agreements with several manufacturers that have filed ANDAs for Victoza
®
.
Consequently, these manufacturers are licensed to launch a generic version of Victoza
®
as of 22 June 2024, or earlier
under certain circumstances. Moreover, Novo Nordisk has entered into a settlement agreement with Teva Pharmaceuticals
USA, Inc., regarding the US patent litigation case for Saxenda
®
. All terms of the agreement are confidential. All agreements
are subject to review by the U.S. Federal Trade Commission and the U.S. Department of Justice.
Financial report for the period 1 January 2023 to 30 September 2023
Page 21 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
MANAGEMENT STATEMENT
Executive Management:
Board of Directors:
Financial report for the period 1 January 2023 to 30 September 2023
Page 22 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
About Novo Nordisk
Novo Nordisk is a leading global healthcare company, founded in 1923 and headquartered in Denmark. Our purpose is to
drive change to defeat serious chronic diseases, built upon our heritage in diabetes.. We do so by pioneering scientific
breakthroughs, expanding access to our medicines and working to prevent and ultimately cure disease. Novo Nordisk
employs about 61,400 people in 80 countries and markets its products in around 170 countries. Novo Nordisk's B shares
are listed on Nasdaq Copenhagen (Novo-B). Its ADRs are listed on the New York Stock Exchange (NVO). For more
information, visit novonordisk.com, Facebook, X, LinkedIn and YouTube.
Financial calendar
11 November 2023
Investor presentation at American Heart Association annual conference
31 January 2024
Financial statement for 2023
7 March 2024
Capital Markets Day 2024 in Copenhagen
21 March 2024
Annual General Meeting
2 May 2024
Financial results for the first three months of 2024
7 August 2024
Financial results for the first half of 2024
6 November 2024
Financial results for the first nine months of 2024
Contacts for further information
Media:
Ambre James-Brown
+45 3079 9289
abmo@novonordisk.com
Elizabeth DeLuca (US)
+1 609 580 9868
edel@novonordisk.com
Investors:
Daniel Muusmann Bohsen
+45 3075 2175
dabo@novonordisk.com
David Heiberg Landsted
+45 3077 6915
dhel@novonordisk.com
Jacob Martin Wiborg Rode
+45 3075 5956
jrde@novonordisk.com
Mark Joseph Root (US)
+1 848 213 3219
mjhr@novonordisk.com
Sina Meyer
+45 3075 6656
azey@novonordisk.com
Frederik Taylor Pitter
+45 3075 8259
fptr@novonordisk.com
Forward-looking statements
Novo Nordisk’s reports filed with or furnished to the US Securities and Exchange Commission (SEC), including this document as well as the company’s
statutory Annual Report 2022 and Form 20-F both filed with the SEC in February 2023 in continuation of the publication of the Annual Report 2022, and
written information released, or oral statements made, to the public in the future by or on behalf of Novo Nordisk, may contain forward-looking statements.
Words such as ‘believe’, ‘expect’, ‘may’, ‘will’, ‘plan’, ‘strategy’, ‘prospect’, ‘foresee’, ‘estimate’, ‘project’, ‘anticipate’, ‘can’, ‘intend’, ‘target’ and other words and terms
of similar meaning in connection with any discussion of future operating or financial performance identify forward-looking statements. Examples of such
forward-looking statements include, but are not limited to:
• statements of targets, plans, objectives or goals for future operations, including those related to Novo Nordisk’s products, product research,
product development, product introductions and product approvals as well as cooperation in relation thereto,
• statements containing projections of or targets for revenues, costs, income (or loss), earnings per share, capital expenditures, dividends, capital
structure, net financials and other financial measures,
• statements regarding future economic performance, future actions and outcome of contingencies such as legal proceedings, and
• statements regarding the assumptions underlying or relating to such statements.
In this document, examples of forward-looking statements can be found under the headings ‘Outlook’, ‘Research and Development update’ and 'Equity’.
These statements are based on current plans, estimates and projections. By their very nature, forward-looking statements involve inherent risks and
uncertainties, both general and specific. Novo Nordisk cautions that a number of important factors, including those described in this document, could cause
actual results to differ materially from those contemplated in any forward-looking statements.
Factors that may affect future results include, but are not limited to, global as well as local political and economic conditions, such as interest rate and
currency exchange rate fluctuations, delay or failure of projects related to research and/or development, unplanned loss of patents, interruptions of supplies
and production, including as a result of interruptions or delays affecting supply chains on which Novo Nordisk relies, shortages of supplies, including energy
supplies, product recalls, unexpected contract breaches or terminations, government-mandated or market-driven price decreases for Novo Nordisk’s
products, introduction of competing products, reliance on information technology including the risk of cybersecurity breaches, Novo Nordisk’s ability to
successfully market current and new products, exposure to product liability and legal proceedings and investigations, changes in governmental laws and
related interpretation thereof, including on reimbursement, intellectual property protection and regulatory controls on testing, approval, manufacturing and
marketing, perceived or actual failure to adhere to ethical marketing practices, investments in and divestitures of domestic and foreign companies,
Financial report for the period 1 January 2023 to 30 September 2023
Page 23 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
unexpected growth in costs and expenses, strikes and other labour market disputes, failure to recruit and retain the right employees, failure to maintain a
culture of compliance, epidemics, pandemics or other public health crises, and the effects of domestic or international crises, civil unrest, war or other conflict,
and factors related to the foregoing matters and other factors not specifically identified herein.
For an overview of some, but not all, of the risks that could adversely affect Novo Nordisk’s results or the accuracy of forward-looking statements in this
document, reference is made to the overview of risk factors in ‘Risk Management’ of the Annual Report 2022.
Unless required by law, Novo Nordisk is under no duty and undertakes no obligation to update or revise any forward-looking statement after the distribution
of this document, whether as a result of new information, future events or otherwise.
Financial report for the period 1 January 2023 to 30 September 2023
Page 24 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
APPENDIX 1: QUARTERLY NUMBERS IN DKK
(Amounts in DKK million, except number of full-time equivalent employees, earnings per share and number of shares outstanding).
% change
2023
2022
Q3 2023 vs.
Q3
Q2
Q1
Q4
Q3
Q2
Q1
Q3 2022
Net sales
58,731
54,300
53,367
48,092
45,566
41,265
42,031
29%
Gross profit
49,018
46,444
45,185
39,830
38,366
35,196
35,114
28%
Gross margin
83.5%
85.5%
84.7%
82.8%
84.2%
85.3%
83.5%
Sales and distribution costs
(12,819)
(14,342)
(12,412)
(13,743)
(11,451)
(10,840)
(10,183)
12%
Percentage of sales
21.8%
26.4%
23.3%
28.6%
25.1%
26.3%
24.2%
Research and development costs
(8,128)
(7,127)
(6,728)
(8,085)
(5,633)
(5,123)
(5,206)
44%
Percentage of sales
13.8%
13.1%
12.6%
16.8%
12.4%
12.4%
12.4%
Administrative costs
(1,256)
(1,072)
(1,071)
(1,348)
(1,158)
(991)
(970)
8%
Percentage of sales
2.1%
2.0%
2.0%
2.8%
2.5%
2.4%
2.3%
Other operating income and expenses
98
(15)
33
433
60
149
392
63%
Operating profit (EBIT)
26,913
23,888
25,007
17,087
20,184
18,391
19,147
33%
Operating margin
45.8%
44.0%
46.9%
35.5%
44.3%
44.6%
45.6%
Financial income
3,318
(281)
852
(3,200)
1,573
1,656
210
111%
Financial expenses
(2,168)
647
(1,122)
2,429
(3,725)
(3,252)
(1,438)
(42%)
Financial items (net)
1,150
366
(270)
(771)
(2,152)
(1,596)
(1,228)
(153%)
Profit before income taxes
28,063
24,254
24,737
16,316
18,032
16,795
17,919
56%
Income taxes
(5,585)
(4,826)
(4,923)
(2,724)
(3,627)
(3,477)
(3,709)
54%
Net profit
22,478
19,428
19,814
13,592
14,405
13,318
14,210
56%
Depreciation, amortisation and impairment
losses
2,525 2,177 1,719 2,035 2,041 1,636 1,650 24%
Capital expenditure (PP&E)
5,828
5,878
4,693
4,961
3,230
2,435
1,520
80%
Net cash generated from operating activities
40,966
28,577
29,814
7,101
24,239
23,961
23,586
69%
EBITDA
29,438
26,065
26,726
19,122
22,225
20,027
20,797
32%
Free cash flow
30,039
20,773
24,764
(5,128)
19,765
21,157
21,568
52%
Total assets
300,101
280,753
250,025
241,257
242,836
218,928
197,136
24%
Total equity
92,991
90,473
79,874
83,486
76,680
74,452
66,550
21%
Equity ratio
31.0%
32.2%
31.9%
34.6%
31.6%
34.0%
33.8%
Full-time equivalent employees end of period
61,412
59,337
57,089
54,393
52,696
50,816
49,295
17%
Basic earnings per share/ADR (in DKK)
1
5.02
4.33
4.40
3.02
3.19
2.94
3.12
57%
Diluted earnings per share/ADR (in DKK)
1
5.00
4.32
4.39
3.01
3.17
2.93
3.11
58%
Average number of shares outstanding
(million)
1
4,476.9 4,490.4 4,499.2 4,508.0 4,523.2 4,538.4 4,552.8 (1%)
Average number of diluted shares outstanding
(million)
1
4,489.0 4,502.6 4,513.2 4,522.8 4,537.0 4,552.2 4,566.6 (1%)
Sales by business segment:
Total GLP-1
30,635
27,925
26,811
24,352
22,368
19,231
17,420
37%
Long-acting insulin
3,692
3,354
4,133
3,902
3,939
4,104
4,796
(6%)
Premix insulin
2,219
2,456
2,776
2,343
2,706
2,501
3,012
(18%)
Fast-acting insulin
3,808
3,511
4,488
4,471
4,263
3,887
4,842
(11%)
Human insulin
1,626
1,967
2,012
1,970
2,053
1,851
2,312
(21%)
Total insulin
11,345
11,288
13,409
12,686
12,961
12,343
14,962
(12%)
Other Diabetes care
594
667
729
713
798
830
884
(26%)
Total Diabetes care
42,574
39,880
40,949
37,751
36,127
32,404
33,266
18%
Wegovy
®
9,648
7,518
4,563
2,446
1,157
1,181
1,404
734%
Saxenda
®
2,607
2,788
3,279
3,042
3,174
2,462
1,998
(18%)
Total Obesity care
12,255
10,306
7,842
5,488
4,331
3,643
3,402
183%
Diabetes and Obesity care total
54,829
50,186
48,791
43,239
40,458
36,047
36,668
36%
Rare blood disorders
2,957
2,836
3,049
2,881
2,885
2,863
3,077
2%
Rare endocrine disorders
542
902
1,128
1,602
1,793
1,923
1,820
(70%)
Other Rare disease
403
376
399
370
430
432
466
(6%)
Rare disease total
3,902
4,114
4,576
4,853
5,108
5,218
5,363
(24%)
Sales by geographic segment:
North America Operations
35,048
29,663
29,297
26,660
23,754
20,703
19,990
48%
- The US
32,936
27,209
27,322
24,768
22,014
19,121
18,753
50%
International Operations
23,683
24,637
24,070
21,432
21,812
20,562
22,041
9%
- EMEA
12,563
12,856
12,742
11,514
10,983
10,915
10,824
14%
- Region China
4,341
4,467
4,461
3,364
4,438
3,566
4,841
(2%)
- Rest of World
6,779
7,314
6,867
6,554
6,391
6,081
6,376
6%
Segment operating profit:
Diabetes and Obesity care
26,721
22,707
24,163
16,985
18,158
15,873
16,379
47%
Rare disease
192
1,181
844
102
2,026
2,518
2,768
(91%)
1)
The trading unit of the Novo Nordisk B shares listed on NASDAQ Copenhagen was changed from DKK 0.20 to DKK 0.10 as of 13 September 2023. The ADRs listed on the New York
Stock Exchange (NYSE) was similarly split as of 20 September 2023. Comparative figures have been restated to reflect the change in trading unit from DKK 0.20 to DKK 0.10.
Financial report for the period 1 January 2023 to 30 September 2023
Page 25 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
APPENDIX 2: INCOME STATEMENT AND STATEMENT OF COMPREHENSIVE INCOME
DKK million
9M 2023
9M 2022
Q3 2023
Q3 2022
Income statement
Net sales
Cost of goods sold
(25,751 )
(20,186 )
(9,713 )
(7,200 )
Gross profit
Sales and distribution costs
(39,573 )
(32,474 )
(12,819 )
(11,451 )
Research and development costs
(21,983 )
(15,962 )
(8,128 )
(5,633 )
Administrative costs
(3,399 )
(3,119 )
(1,256 )
(1,158 )
Other operating income and expenses
Operating profit
2
0
0
Financial income
Financial expenses
(2,643 )
(8,415 )
(2,168 )
(3,725 )
Profit before income taxes
Income taxes
(15,334 )
(10,813 )
(5,585 )
(3,627 )
NET PROFIT
3
0
0
Basic earnings per share (DKK)
1
Diluted earnings per share (DKK)
1
Segment Information
Segment sales:
Diabetes and Obesity care
153,806
113,173
54,829
40,458
Rare disease
12,592
15,689
3,902
5,108
Segment operating profit:
Diabetes and Obesity care
73,591
50,410
26,721
18,158
Operating margin
47.8 %
44.5 %
48.7 %
44.9 %
Rare disease
2,217
7,312
192
2,026
Operating margin
17.6 %
46.6 %
4.9 %
39.7 %
Total segment operating profit
75,808
57,722
26,913
20,184
Statement of comprehensive income
Net profit for the period
Other comprehensive income
Items that will not subsequently be reclassified to the Income
statement
Remeasurements on defined benefit plans
Items that will be reclassified subsequently to the Income
statement
Exchange rate adjustments of investments in subsidiaries
Cash flow hedges, realisation of previously deferred (gains)/losses
(497 )
(778 )
Cash flow hedges, deferred gains/(losses) incurred during the period
(2,238 )
(5,339 )
(2,727 )
(2,286 )
Other items
Tax on other comprehensive income, net
Other comprehensive income for the period (1,512 ) 5,020 (1,000 ) 1,796
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD 60,208 46,953 21,478 16,201
1)
The trading unit of the Novo Nordisk B shares listed on NASDAQ Copenhagen was changed from DKK 0.20 to DKK 0.10 as of 13 September 2023. The ADRs listed on the New York
Stock Exchange (NYSE) was similarly split as of 20 September 2023. Comparative figures have been restated to reflect the change in trading unit from DKK 0.20 to DKK 0.10.
Financial report for the period 1 January 2023 to 30 September 2023
Page 26 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
APPENDIX 3: CASH FLOW STATEMENT
DKK million 9M 2023 9M 2022
Net profit
Adjustment for non-cash items:
Income taxes in the Income Statement
Depreciation, amortisation and impairment losses
Other non-cash items
Change in working capital
(2,562 )
(5,028 )
Interest received
Interest paid
(351 )
(186 )
Income taxes paid
(14,826 )
(9,928 )
Net cash generated from operating activities
Purchase of intangible assets
(6,061 )
(1,395 )
Purchase of property, plant and equipment
(16,399 )
(7,185 )
Proceeds from other financial assets
Purchase of other financial assets
(259 )
(7 )
Purchase of marketable securities
(12,082 )
(6,610 )
Sale of marketable securities
Net cash used in investing activities
(29,175 )
(11,068 )
Purchase of treasury shares
(20,163 )
(16,547 )
Dividends paid
(31,767 )
(25,303 )
Proceeds from issue of bonds
Repayment of borrowings
(1,112 )
(13,399 )
Net cash used in financing activities
(53,042 )
(44,129 )
Net cash generated from activities
Cash and cash equivalents at the beginning of the year
Exchange gain/(loss) on cash and cash equivalents
Cash and cash equivalents at the end of the period
Financial report for the period 1 January 2023 to 30 September 2023
Page 27 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
APPENDIX 4: BALANCE SHEET
DKK million
30 Sep 2023
31 Dec 2022
ASSETS
Intangible assets
Property, plant and equipment
Investments in associated companies
Deferred income tax assets
Other receivables and prepayments
Other financial assets
TOTAL NON-CURRENT ASSETS
Inventories
Trade receivables
Tax receivables
Other receivables and prepayments
Marketable securities
Derivative financial instruments
Cash at bank
TOTAL CURRENT ASSETS 142,199 108,194
TOTAL ASSETS 300,101 241,257
EQUITY AND LIABILITIES
Share capital
Treasury shares
(5 )
(6 )
Retained earnings
Other reserves
TOTAL EQUITY
Borrowings
Deferred income tax liabilities
Retirement benefit obligations
Other liabilities
Provisions
Total non-current liabilities
Borrowings
Trade payables
Tax payables
Other liabilities
Derivative financial instruments
Provisions
Total current liabilities
TOTAL LIABILITIES
TOTAL EQUITY AND LIABILITIES 300,101 241,257
Financial report for the period 1 January 2023 to 30 September 2023
Page 28 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
APPENDIX 5: EQUITY STATEMENT
DKK million
Share
capital
Treasury
shares
Retained
earnings
Other
reserves Total
9M 2023
Balance at the beginning of the year
(6 )
Net profit for the period
Other comprehensive income for the period
(1,639 )
(1,512 )
Total comprehensive income for the period
(1,639 )
Transactions with owners:
Dividends
(31,767 )
(31,767 )
Share-based payments
Tax related to restricted stock units
(15 )
(15 )
Purchase of treasury shares
(4 )
(20,159 )
(20,163 )
Reduction of the B share capital
(5 )
Balance at the end of the period 451 (5 ) 91,735 810 92,991
DKK million
Share
capital
Treasury
shares
Retained
earnings
Other
reserves Total
9M 2022
Balance at the beginning of the year
(6 )
(1,714 )
Net profit for the period
Other comprehensive income for the period
Total comprehensive income for the period
Transactions with owners:
Dividends
(25,303 )
(25,303 )
Share-based payments
Tax related to restricted stock units
Purchase of treasury shares
(4 )
(16,543 )
(16,547 )
Reduction of the B share capital
(6 )
Balance at the end of the period 456 (4 ) 73,673 2,555 76,680
Financial report for the period 1 January 2023 to 30 September 2023
Page 29 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
APPENDIX 6: SALES SPLIT PER AREA
Q3 2023 sales split per area
DKK million Total
North America
Operations The US
International
Operations EMEA
Region
China
Rest of
World
Diabetes and Obesity care segment
Injectable GLP-1
26,139
17,858
16,378
8,281
4,249
1,792
2,240
% change at CER
44%
44%
43%
46%
29%
93%
51%
Ozempic
®
23,912
16,814
15,373
7,098
3,637
1,600
1,861
% change at CER
56%
54%
53%
63%
37%
167%
63%
Victoza
®
2,227
1,044
1,005
1,183
612
192
379
% change at CER
(21%)
(30%)
(30%)
(11%)
(4%)
(39%)
7%
Rybelsus
®
4,496
2,604
2,545
1,892
1,063
29
800
% change at CER
59%
30%
29%
131%
137%
120%
124%
Total GLP-1
30,635
20,462
18,923
10,173
5,312
1,821
3,040
% change at CER
46%
42%
41%
57%
42%
93%
65%
Long-acting insulin
3,692
950
797
2,742
1,730
437
575
% change at CER
0%
(18%)
(21%)
9%
13%
34%
(16%)
Tresiba
®
1,910
429
290
1,481
915
205
361
% change at CER
(10%)
(38%)
(50%)
4%
19%
(20%)
(9%)
Xultophy
®
798
92
91
706
431
144
131
% change at CER
18%
9%
11%
20%
2%
—
(20%)
Levemir
®
984
429
416
555
384
88
83
% change at CER
12%
18%
21%
8%
13%
51%
(29%)
Premix insulin
2,219
8
4
2,211
608
1,061
542
% change at CER
(8%)
(83%)
(86%)
(5%)
1%
(7%)
(6%)
Ryzodeg
®
864
—
—
864
129
482
253
% change at CER
22%
—
—
22%
11%
44%
(2%)
NovoMix
®
1,355
8
4
1,347
479
579
289
% change at CER
(20%)
(83%)
(86%)
(17%)
(1%)
(29%)
(10%)
Fast-acting insulin
3,808
1,302
1,245
2,506
1,614
370
522
% change at CER
(4%)
(15%)
(14%)
4%
13%
(13%)
(5%)
Fiasp
®
574
237
226
337
275
—
62
% change at CER
25%
78%
85%
4%
4%
—
5%
NovoRapid
®
3,234
1,065
1,019
2,169
1,339
370
460
% change at CER
(8%)
(24%)
(23%)
3%
15%
(13%)
(6%)
Human insulin
1,626
219
206
1,407
440
256
711
% change at CER
(13%)
(48%)
(48%)
(3%)
4%
(37%)
17%
Total insulin
11,345
2,479
2,252
8,866
4,392
2,124
2,350
% change at CER
(5%)
(22%)
(23%)
2%
10%
(8%)
(3%)
Other Diabetes care
1
594
158
143
436
172
161
103
% change at CER
(26%)
(21%)
(15%)
(27%)
2%
(30%)
(59%)
Total Diabetes care
42,574
23,099
21,318
19,475
9,876
4,106
5,493
% change at CER
26%
29%
29%
23%
25%
18%
24%
Wegovy
®
9,648
9,201
9,201
447
447
—
—
% change at CER
—
—
—
—
—
—
—
Saxenda
®
2,607
1,024
877
1,583
896
29
658
% change at CER
(11%)
(26%)
(31%)
2%
(9%)
3%
23%
Total Obesity care
12,255
10,225
10,078
2,030
1,343
29
658
% change at CER
200%
306%
320%
30%
35%
3%
23%
Diabetes and Obesity care total
54,829
33,324
31,396
21,505
11,219
4,135
6,151
% change at CER
45%
63%
65%
24%
26%
17%
24%
Rare disease segment
Rare blood disorders
2
2,957
1,370
1,282
1,587
971
91
525
% change at CER
9%
28%
30%
(4%)
4%
(71%)
36%
Haemophilia A
549
142
142
407
318
14
75
% change at CER
13%
19%
25%
12%
17%
40%
(9%)
Haemophilia B
285
138
91
147
94
3
50
% change at CER
58%
103%
143%
31%
27%
33%
40%
NovoSeven
®
2,078
1,074
1,037
1,004
536
74
394
% change at CER
4%
28%
30%
(14%)
(6%)
(77%)
52%
Rare endocrine disorders
3
542
198
192
344
177
115
52
% change at CER
(71%)
(61%)
(62%)
(75%)
(69%)
106%
(100%)
Other Rare disease
4
403
156
66
247
196
—
51
% change at CER
1%
(16%)
(40%)
16%
13%
(100%)
33%
Rare disease total
3,902
1,724
1,540
2,178
1,344
206
628
% change at CER
(20%)
(3%)
(4%)
(30%)
(19%)
(46%)
(42%)
Total sales
58,731
35,048
32,936
23,683
12,563
4,341
6,779
% change at CER
38%
58%
60%
16%
19%
11%
13%
% change as reported
29%
48%
50%
9%
14%
(2%)
6%
Share of growth
100%
80%
77%
20%
12%
3%
5%
1)
Primarily NovoNorm
®
, needles and GlucaGen
®
HypoKit
®
.
2)
Comprises NovoSeven
®
, NovoEight
®
, Esperoct
®
,
Refixia
®
and NovoThirteen
®
.
3)
Primarily Norditropin
®
.
4)
Primarily Vagifem
®
and Activelle
®
.
Financial report for the period 1 January 2023 to 30 September 2023
Page 30 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
9M 2023 sales split per area
DKK million Total
North America
Operations The US
International
Operations EMEA
Region
China
Rest of
World
Diabetes and Obesity care segment
Injectable GLP-1
72,531
48,719
43,983
23,812
12,683
4,843
6,286
% change at CER
44%
43%
39%
46%
34%
94%
43%
Ozempic
®
65,653
45,816
41,203
19,837
10,791
3,813
5,233
% change at CER
58%
56%
52%
64%
46%
160%
58%
Victoza
®
6,878
2,903
2,780
3,975
1,892
1,030
1,053
% change at CER
(22%)
(37%)
(38%)
(5%)
(9%)
1%
(4%)
Rybelsus
®
12,840
7,537
7,394
5,303
3,036
96
2,171
% change at CER
82%
46 %
45 %
178 %
208%
171%
146%
Total GLP-1
85,371
56,256
51,377
29,115
15,719
4,939
8,457
% change at CER
49%
43%
40%
60%
50%
95%
61%
Long-acting insulin
11,179
2,627
2,158
8,552
5,374
1,271
1,907
% change at CER
(10%)
(35%)
(40%)
2%
2%
3%
0%
Tresiba
®
5,836
1,464
1,055
4,372
2,589
641
1,142
% change at CER
(15%)
(39%)
(49%)
(2%)
3%
(18%)
(2%)
Xultophy
®
2,433
265
260
2,168
1,354
318
496
% change at CER
19%
(15%)
(15%)
25%
6%
—
11%
Levemir
®
2,910
898
843
2,012
1,431
312
269
% change at CER
(16%)
(31%)
(31%)
(8%)
(3%)
(25%)
(7%)
Premix insulin
7,451
279
267
7,172
1,965
3,488
1,719
% change at CER
(4%)
(22%)
(22%)
(4%)
(1%)
(4%)
(6%)
Ryzodeg
®
2,821
—
—
2,821
455
1,515
851
% change at CER
40%
—
—
40%
22%
84%
3%
NovoMix
®
4,630
279
267
4,351
1,510
1,973
868
% change at CER
(20%)
(22%)
(22%)
(20%)
(7%)
(29%)
(13%)
Fast-acting insulin
11,807
3,950
3,738
7,857
4,998
1,217
1,642
% change at CER
(6%)
(14%)
(14%)
(1%)
3%
(17%)
0%
Fiasp
®
1,539
435
403
1,104
920
—
184
% change at CER
6%
(11%)
(12%)
14%
13%
—
25%
NovoRapid
®
10,268
3,515
3,335
6,753
4,078
1,217
1,458
% change at CER
(8%)
(15%)
(14%)
(3%)
1%
(17%)
(3%)
Human insulin
5,605
907
867
4,698
1,438
931
2,329
% change at CER
(4%)
(26%)
(26%)
1%
4%
(32%)
24%
Total insulin
36,042
7,763
7,030
28,279
13,775
6,907
7,597
% change at CER
(7%)
(24%)
(25%)
(1%)
2%
(10%)
5%
Other Diabetes care
1
1,990
459
416
1,531
496
705
330
% change at CER
(21%)
(22%)
(14%)
(21%)
(7%)
(21%)
(37%)
Total Diabetes care
123,403
64,478
58,823
58,925
29,990
12,551
16,384
% change at CER
25%
29%
26%
21%
23%
13%
26%
Wegovy
®
21,729
20,822
20,822
907
907
—
—
% change at CER
492%
467%
467%
—
—
—
—
Saxenda
®
8,674
3,562
3,162
5,112
3,076
129
1,907
% change at CER
18%
4%
2%
29%
25%
25%
37%
Total Obesity care
30,403
24,384
23,984
6,019
3,983
129
1,907
% change at CER
174%
244%
254%
52%
61%
25%
37%
Diabetes and Obesity care total
153,806
88,862
82,807
64,944
33,973
12,680
18,291
% change at CER
40%
55%
55%
24%
26%
13%
27%
Rare disease segment
Rare blood disorders
2
8,842
3,819
3,605
5,023
3,102
356
1,565
% change at CER
2%
6%
7%
0%
10%
(31%)
(7%)
Haemophilia A
1,897
427
414
1,470
954
242
274
% change at CER
15%
21%
24%
13%
13%
348%
(32%)
Haemophilia B
732
319
210
413
262
9
142
% change at CER
44%
68%
112%
30%
27%
11%
37%
NovoSeven
®
5,973
2,928
2,848
3,045
1,815
105
1,125
% change at CER
(5%)
0%
2%
(10%)
4%
(76%)
(3%)
Rare endocrine disorders
3
2,572
893
870
1,679
509
229
941
% change at CER
(54%)
(50%)
(50%)
(56%)
(71%)
45%
(52%)
Other Rare disease
4
1,178
434
185
744
577
4
163
% change at CER
(7%)
(20%)
(41%)
2%
(4%)
(33%)
32%
Rare disease total
12,592
5,146
4,660
7,446
4,188
589
2,669
% change at CER
(18%)
(13%)
(14%)
(22%)
(18%)
(13%)
(28%)
Total sales
166,398
94,008
87,467
72,390
38,161
13,269
20,960
% change at CER
33%
49%
49%
17%
19%
12%
16%
% change as reported
29%
46%
46%
12%
17%
3%
11%
Share of growth
100%
74%
69%
26%
15%
4%
7%
1)
Primarily NovoNorm
®
, needles and GlucaGen
®
HypoKit
®
.
2)
Comprises NovoSeven
®
, NovoEight
®
, Esperoct
®
, Refixia
®
and NovoThirteen
®
.
3)
Primarily Norditropin
®
.
4)
Primarily Vagifem
®
and Activelle
®
.
Financial report for the period 1 January 2023 to 30 September 2023
Page 31 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
APPENDIX 7: ACQUISITION OF BUSINESSES
Forma Therapeutics, Inc.
On 14 October 2022, Novo Nordisk acquired all outstanding shares of the publicly held US company Forma Therapeutics,
Inc. via a cash tender offer. Novo Nordisk did not hold any shares in Forma Therapeutics prior to the acquisition. The
acquisition of Forma Therapeutics, including its lead development candidate, etavopivat, is aligned with Novo Nordisk’s
strategy to complement and accelerate its scientific presence and pipeline in haemoglobinopathies, a group of disorders in
which there is abnormal production or structure of the haemoglobin protein in the red blood cells.
Details of the acquisition
The total purchase price amounts to DKK 8,102 million and has been settled in full by cash consideration.
Novo Nordisk completed the acquisition of Forma Therapeutics, Inc. through a merger of Novo Nordisk’s wholly owned
subsidiary with and into Forma Therapeutics in which all shares not tendered into the offer were cancelled and converted
into the right to receive cash equal to the USD 20 offer price per share, without interest, less any applicable tax
withholding. At the completion of the merger, Forma Therapeutics, Inc. became a wholly owned subsidiary of Novo
Nordisk. The common stock of Forma Therapeutics, Inc. is no longer listed or traded on the Nasdaq Global Select Market.
DKK million
Goodwill as of 14 October 2022 524
Exchange rate adjustment (42)
Goodwill as of 30 September 2023 482
For further information regarding the acquisition and the provisional purchase price allocation please refer to the Annual
Report for 2022.
Financial report for the period 1 January 2023 to 30 September 2023
Page 32 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
APPENDIX 8: NON-IFRS FINANCIAL MEASURES (ADDITIONAL INFORMATION)
In this Company Announcement, Novo Nordisk discloses certain financial measures of the Group’s financial performance,
financial position and cash flows that reflect adjustments to the directly comparable measures calculated and presented in
accordance with IFRS. These non-IFRS financial measures may not be defined and calculated by other companies in the
same manner and may thus not be comparable with such measures. The non-IFRS financial measures presented in the
Company Announcement are Sales and operating profit at CER, EBITDA and EBITDA at CER as well as Free cash flow.
Sales, operating profit and EBITDA growth at CER
'Growth at CER’ means that the effect of changes in exchange rates is excluded. It is defined as Net sales/Operating profit/
EBITDA for the period measured at the average exchange rates for the same period prior year compared with Net sales/
Operating profit/EBITDA for the same period prior year. Price adjustments within hyperinflation countries as defined in IAS
29 ‘Financial reporting in hyperinflation economies’ are excluded from the calculation to avoid growth at CER being
artificially inflated.
Growth at CER is considered to be relevant information for investors in order to understand the underlying development in
sales, operating profit and EBITDA by adjusting for the impact of currency fluctuations.
Sales at CER
DKK million
9M 2023 9M 2022
% change
9M 2023 to
9M 2022
Q3 2023 Q3 2022
% change
Q3 2023 to
Q3 2022
Net sales
166,398
128,862
29%
58,731
45,566
29%
Effect of exchange rates
4,871
—
4,024
—
Sales at CER 171,269 128,862 33% 62,755 45,566 38%
Operating profit at CER
DKK million
9M 2023 9M 2022
% change
9M 2023 to
9M 2022
Q3 2023 Q3 2022
% change
Q3 2023 to
Q3 2022
Operating profit
75,808
57,722
31%
26,913
20,184
33%
Effect of exchange rates
3,379
—
2,702
—
Operating profit at CER 79,187 57,722 37% 29,615 20,184 47%
EBITDA
Novo Nordisk has significantly increased its Business Development M&A activities and Capital expenditure for property,
plant and equipment during recent years. Novo Nordisk defines EBITDA as ’Net profit’, plus 'income taxes', 'financial items',
'depreciation and amortisation' and 'impairment losses'. EBITDA is a measure that is widely used by investors and analysts
as it helps analyse operating results from core business operations without including the effects of capital structure, tax
rates and depreciation and amortisation. These factors can vary substantially between companies.
Financial report for the period 1 January 2023 to 30 September 2023
Page 33 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023
EBITDA
DKK million 9M 2023 9M 2022
% change
9M 2023 to
9M 2022
Q3 2023 Q3 2022
% change
Q3 2023 to
Q3 2022
Net profit
61,720
41,933
47%
22,478
14,405
56%
Income taxes
15,334
10,813
42%
5,585
3,627
54%
Financial items (net)
(1,246)
4,976
(125%)
(1,150)
2,152
(153%)
Operating profit (EBIT)
75,808
57,722
31%
26,913
20,184
33%
Depreciation, amortisation and impairment losses
6,421
5,327
21%
2,525
2,041
24%
EBITDA 82,229 63,049 30% 29,438 22,225 32%
DKK million 9M 2023 9M 2022
% change
9M 2023 to
9M 2022
Q3 2023 Q3 2022
% change
Q3 2023 to
Q3 2022
Net profit
61,720
41,933
47%
22,478
14,405
56%
Income taxes
15,334
10,813
42%
5,585
3,627
54%
Financial items (net)
(1,246)
4,976
(125%)
(1,150)
2,152
(153%)
Operating profit (EBIT)
75,808
57,722
31%
26,913
20,184
33%
Effect of exchange rates
3,379
—
2,702
—
Operating profit (EBIT) at CER
79,187
57,722
37%
29,615
20,184
47%
Depreciation, amortisation and impairment losses
6,421
5,327
21%
2,525
2,041
24%
Effect of exchange rates 92 — 102 —
Depreciation, amortisation and impairment
losses at CER
6,513 5,327 22% 2,627 2,041 29%
EBITDA at CER 85,700 63,049 36% 32,242 22,225 45%
Free cash flow
Novo Nordisk defines free cash flow as ’net cash generated from operating activities’, less ‘net cash used in investing
activities’, less repayment on lease liabilities and excluding net change of marketable securities. Free cash flow is a
measure of the amount of cash generated in the period which is available for the Board of Directors to allocate between
Novo Nordisk's capital providers, through e.g. dividends, share repurchases and repayment of debt (excluding lease
liability repayments) or for retaining in the business to fund future growth.
The following table shows a reconciliation of Free cash flow with Net cash generated from operating activities, the most
directly comparable IFRS financial measure:
Free cash flow
DKK million 9M 2023 9M 2022 Q3 2023 Q3 2022
Net cash generated from operating activities 99,357 71,786 40,966 24,239
Net cash used in investing activities (29,175) (11,068) (13,243) (4,961)
Net purchase of marketable securities
6,489
2,481
2,611
736
Repayment on lease liabilities
(1,095)
(709)
(295)
(249)
Free cash flow 75,576 62,490 30,039 19,765
Financial report for the period 1 January 2023 to 30 September 2023
Page 34 of 34
Strategic
aspirations
Performance
highlights
Commercial
execution
Financials
Cash flow and
capital allocation
Outlook
Innovation and
therapeutic focus
Purpose and
sustainability
Legal
Financial
Information
Company announcement No 68 / 2023