Novo Nordisk posts Q1 beat on strength of weight-loss drug

(Sharecast News) - Danish pharmaceutical superstar Novo Nordisk beat first-quarter profit projections, it reported on Thursday, as demand for its blockbuster weight-loss drugs soared. The company reported a 28% increase in net profit to DKK 25.4bn (£2.91bn), surpassing the DKK 23.7bn pencilled in by LSEG polling.

Sales of its popular weight loss drug 'Wegovy' more than doubled, reaching DKK 9.38bn, driven by its approval for cardiovascular risk reduction in people with obesity in the US during the first quarter.

In North America alone, overall sales climbed 35%.

Novo Nordisk was optimistic about its future prospects, adjusting its 2024 outlook with a higher sales growth projection ranging from 19% to 27% at constant currency.

It also revised its operating growth forecast to between 22% and 30%.

"We are pleased with the sales growth in the first three months of 2024, driven by increased demand for our GLP-1-based diabetes and obesity treatments," said president and chief executive officer Lars Fruergaard Jørgensen.

"More patients benefit from our innovative treatments, and the agreement to acquire the three Catalent manufacturing sites will enable us to serve significantly more people living with diabetes and obesity in the future.

"Within research and development, we are pleased with the positive results from the kidney outcomes trial with semaglutide and the label expansion for cardiovascular risk reduction for Wegovy in the US."

At 1028 CEST (0928 BST), shares in Novo Nordisk were down 2.45% in Copenhagen, at DKK 875.70.

Reporting by Josh White for Sharecast.com.