UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
________________
FORM 6-K
________________
REPORT OF FOREIGN PRIVATE ISSUER
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
February 2, 2017
________________
NOVO NORDISK A/S
(Exact name
of Registrant as specified in its charter)
Novo Allé
DK- 2880, Bagsvaerd
Denmark
(Address of principal executive offices)
________________
Indicate by check mark whether the registrant files or will file annual reports under
cover of Form 20-F or Form 40-F
Form 20-F [X]
|
Form 40-F [ ]
|
Indicate by check mark whether the registrant by furnishing the information contained
in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange
Act of 1934.
If “Yes” is marked, indicate below the file number assigned to the registrant
in connection with Rule 12g-32(b):82-________
Financial
report for the period 1 January 2016 to 31 December 2016
2 February 2017
Novo Nordisk increased adjusted operating
profit by 6% in local currencies in 2016
Sales increased by 6% in local currencies
Sales increased by 6% in local currencies and by 4% in Danish kroner to DKK 111.8 billion.
|
Ÿ
|
Sales of Tresiba
®
increased by 221% to DKK 4.1 billion (219% in Danish kroner).
|
|
Ÿ
|
Sales of Victoza
®
increased by 12% to DKK 20.0 billion (11% in Danish kroner).
|
|
Ÿ
|
Sales of Saxenda
®
increased by 245% to DKK 1.6 billion (243% in Danish kroner).
|
|
Ÿ
|
Sales in the USA increased by 4% (4% in Danish kroner).
|
|
Ÿ
|
Sales in International Operations increased by 14% (2% in Danish kroner).
|
|
Ÿ
|
Sales in Region China increased by 12% (6% in Danish kroner).
|
Operating profit was unchanged in local currencies and decreased by 2% in Danish kroner
to DKK 48.4 billion. Adjusted for the non-recurring income related to the partial divestment of NNIT and the income related to
out-licensing of assets for inflammatory disorders, both in 2015, operating profit in local currencies increased by 6%, in line
with the most recent guidance of a ‘5-7% growth in local currencies’ provided in October 2016.
Net profit increased by 9% to DKK 37.9 billion. Diluted earnings per share increased
by 11% to DKK 14.96. Adjusted for the partial divestment of NNIT, net profit and diluted earnings per share increased by 17% and
19%, respectively.
In November 2016, Novo Nordisk announced that Tresiba
®
demonstrated a
safe cardiovascular profile and a statistically significant 40% reduced risk of severe hypoglycaemia compared to insulin glargine
U100 in the DEVOTE trial.
Also in November 2016, Novo Nordisk received the FDA approval of Xultophy
®
100/3.6, the once-daily combination of insulin degludec (Tresiba
®
) and liraglutide (Victoza
®
). In
January 2017, Novo Nordisk received EU approval of Fiasp
®
, the new-generation fast-acting insulin.
On 1 January 2017, Lars Fruergaard Jørgensen replaced Lars Rebien Sørensen
as president and CEO, who retired after 34 years of loyal service with the company, the last 16 years as CEO.
For 2017, reported sales growth is expected to be 1-6% measured in Danish kroner, positively
impacted by currencies of 2 percentage points. Reported operating profit growth is expected to be 0-5% measured in Danish kroner,
positively impacted by currencies of 2 percentage points.
At the Annual General Meeting on 23 March 2017, the Board of Directors will propose a
final dividend of DKK 4.60 for 2016 per share of DKK 0.20. The expected total dividend for 2016 of DKK 7.60 per share, of which
DKK 3.00 per share was paid as interim dividend in August 2016, corresponds to an increase of 19% compared to 2015. The Board of
Directors furthermore intends to initiate a new 12-months share repurchase programme of up to DKK 16 billion.
Lars Fruergaard Jørgensen, president and CEO: “2016 was a challenging year.
While we met our financial guidance for the year, strong market headwinds in the USA meant that we had to revise our long-term
financial targets. However, 2016 was also a year in which we announced very encouraging clinical data for our key products, providing
a solid foundation for future growth.”
Novo Nordisk A/S
Investor Relations
|
Novo Allé
2880 Bagsværd
Denmark
|
Telephone:
+45 4444 8888
www.novonordisk.com
|
CVR no:
24 25 67 90
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
2
of 42
|
About
Novo Nordisk
Novo Nordisk is a global healthcare company with more than
90 years of innovation and leadership in diabetes care. This heritage has given us experience and capabilities that also enable
us to help people defeat other serious chronic conditions: haemophilia, growth disorders and obesity. Headquartered in Denmark,
Novo Nordisk employs approximately 42,000 people in 77 countries, and markets its products in more than 165 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
Conference
call details
On 2 February 2017 at 13.00 CET, corresponding to 7.00 am
EST, a conference call will be held. Investors will be able to listen in via a link on novonordisk.com, which can be found under
‘Investors’. Presentation material for the conference call will be available approximately one hour before on the
same page.
Webcast
details
On 6 February 2017 at 14.15 CET, corresponding
to 8.15 am EST, management will give a presentation to institutional investors and sell-side analysts in London. A webcast of
the presentation can be followed via a link on novonordisk.com, which can be found under ‘Investors’. Presentation
material for the webcast will be made available on the same page.
Financial
calendar
7 February 2017
|
PDF Version of the
Annual Report 2016
|
8 February 2017
|
Deadline for the company’s receipts of shareholder proposals for the Annual General Meeting
2017
|
24 February 2017
|
Printed version of the
Annual Report 2016
|
23 March 2017
|
Annual General Meeting 2017
|
3 May 2017
|
Financial Statement for first three months of 2017
|
9 August 2017
|
Financial Statement for first six months of 2017
|
1 November 2017
|
Financial Statement for first nine months of 2017
|
Contacts
for further information
Media:
|
|
|
Katrine Sperling
|
+45 3079 6718
|
krsp@novonordisk.com
|
Ken Inchausti (US)
|
+1 267 809 7552
|
kiau@novonordisk.com
|
Investors:
|
|
|
Peter Hugreffe Ankersen
|
+45 3075 9085
|
phak@novonordisk.com
|
Melanie Raouzeos
|
+45 3075 3479
|
mrz@novonordisk.com
|
Hanna Ögren
|
+45 3079 8519
|
haoe@novonordisk.com
|
Anders Mikkelsen
|
+45 3079 4461
|
armk@novonordisk.com
|
Kasper Veje (US)
|
+1 609 235 8567
|
kpvj@novonordisk.com
|
Further information about Novo Nordisk is available on novonordisk.com.
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
3
of 42
|
LIST
OF CONTENTS
Financial
performance
|
4
|
Consolidated
financial statement for 2016
|
4
|
Sales
development
|
6
|
Diabetes
and obesity care, sales development
|
7
|
Biopharmaceuticals,
sales development
|
11
|
Development
in costs and operating profit
|
11
|
Financial
items (net) and tax
|
12
|
Capital
expenditure and free cash flow
|
13
|
Key
developments in the fourth quarter of 2016
|
13
|
Outlook
|
14
|
Research
& Development update
|
16
|
Diabetes
|
16
|
Obesity
and other areas
|
21
|
Biopharmaceuticals
|
21
|
Sustainability
UPDATE
|
22
|
Highlights
from the Consolidated social and environmental statements for 2016
|
22
|
Social
performance
|
22
|
Environmental
performance
|
24
|
Equity
|
25
|
CORPORATE
GOVERNANCE
|
27
|
Legal
matters
|
29
|
Management
statement
|
33
|
Financial
information
|
34
|
Appendix
1: Quarterly numbers in DKK (unaudited)
|
34
|
Appendix
2: Income statement and statement of comprehensive income
|
35
|
Appendix
3: Balance sheet
|
36
|
Appendix
4: Statement of cash flows
|
37
|
Appendix
5: Statement of changes in equity
|
38
|
Appendix
6: Regional sales split
|
39
|
Appendix
7: Key currency assumptions
|
40
|
Appendix
8: Quarterly numbers in USD (additional information - unaudited)
|
41
|
Appendix
9: New regional sales split (additional information - unaudited)
|
42
|
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
4
of 42
|
Financial performance
Consolidated financial statement for 2016
The Board of Directors and Executive Management have approved the
Annual Report 2016
of Novo Nordisk A/S including the audited consolidated financial statements. The Board of Directors and Executive Management also
approved this financial statement containing condensed financial information for 2016. This financial statement is prepared in
accordance with the recognition and measurement requirements of the International Financial Reporting Standards (IFRS) as issued
by IASB, IFRS as endorsed by the EU and the additional Danish disclosure requirements for listed companies. The accounting policies
used in this financial statement are consistent with those used in the audited consolidated financial statements in the
Annual
Report 2016
as well as those applied in the audited consolidated financial statements in the
Annual Report 2015
.
PROFIT AND LOSS
|
|
|
2016
|
|
|
|
2015
|
|
|
|
2014
|
|
|
|
2013
|
|
|
|
2012
|
|
|
|
% change
2015 to
2016
|
|
DKK
million
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net sales
|
|
|
111,780
|
|
|
|
107,927
|
|
|
|
88,806
|
|
|
|
83,572
|
|
|
|
78,026
|
|
|
|
4
|
%
|
Gross profit
|
|
|
94,597
|
|
|
|
91,739
|
|
|
|
74,244
|
|
|
|
69,432
|
|
|
|
64,561
|
|
|
|
3
|
%
|
Gross margin
|
|
|
84.6
|
%
|
|
|
85.0
|
%
|
|
|
83.6
|
%
|
|
|
83.1
|
%
|
|
|
82.7
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales and distribution costs
|
|
|
28,377
|
|
|
|
28,312
|
|
|
|
23,223
|
|
|
|
23,380
|
|
|
|
21,544
|
|
|
|
0
|
%
|
Percentage of sales
|
|
|
25.4
|
%
|
|
|
26.2
|
%
|
|
|
26.2
|
%
|
|
|
28.0
|
%
|
|
|
27.6
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Research and development costs
|
|
|
14,563
|
|
|
|
13,608
|
|
|
|
13,762
|
|
|
|
11,733
|
|
|
|
10,897
|
|
|
|
7
|
%
|
Percentage of sales
|
|
|
13.0
|
%
|
|
|
12.6
|
%
|
|
|
15.5
|
%
|
|
|
14.0
|
%
|
|
|
14.0
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Administrative costs
|
|
|
3,962
|
|
|
|
3,857
|
|
|
|
3,537
|
|
|
|
3,508
|
|
|
|
3,312
|
|
|
|
3
|
%
|
Percentage of sales
|
|
|
3.5
|
%
|
|
|
3.6
|
%
|
|
|
4.0
|
%
|
|
|
4.2
|
%
|
|
|
4.2
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other operating income, net
|
|
|
737
|
|
|
|
3,482
|
|
|
|
770
|
|
|
|
682
|
|
|
|
666
|
|
|
|
(79
|
%)
|
-
Non-recurring income from the partial divestment of NNIT A/S
|
|
|
-
|
|
|
|
2,376
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
|
|
Operating profit
|
|
|
48,432
|
|
|
|
49,444
|
|
|
|
34,492
|
|
|
|
31,493
|
|
|
|
29,474
|
|
|
|
(2
|
%)
|
Operating margin
|
|
|
43.3
|
%
|
|
|
45.8
|
%
|
|
|
38.8
|
%
|
|
|
37.7
|
%
|
|
|
37.8
|
%
|
|
|
|
|
Operating
margin adjusted for the partial divestment of NNIT A/S
|
|
|
43.3
|
%
|
|
|
43.6
|
%
|
|
|
38.8
|
%
|
|
|
37.7
|
%
|
|
|
37.8
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net financials
|
|
|
(634
|
)
|
|
|
(5,961
|
)
|
|
|
(396
|
)
|
|
|
1,046
|
|
|
|
(1,663
|
)
|
|
|
(89
|
%)
|
Profit before income taxes
|
|
|
47,798
|
|
|
|
43,483
|
|
|
|
34,096
|
|
|
|
32,539
|
|
|
|
27,811
|
|
|
|
10
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income taxes
|
|
|
9,873
|
|
|
|
8,623
|
|
|
|
7.615
|
|
|
|
7.355
|
|
|
|
6.379
|
|
|
|
14
|
%
|
Effective tax rate
|
|
|
20.7
|
%
|
|
|
19.8
|
%
|
|
|
22.3
|
%
|
|
|
22.6
|
%
|
|
|
22.9
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net profit
|
|
|
37,925
|
|
|
|
34,860
|
|
|
|
26,481
|
|
|
|
25,184
|
|
|
|
21,432
|
|
|
|
9
|
%
|
Net profit margin
|
|
|
33.9
|
%
|
|
|
32.3
|
%
|
|
|
29.8
|
%
|
|
|
30.1
|
%
|
|
|
27.5
|
%
|
|
|
|
|
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
5
of 42
|
Consolidated
financial statement for 2016 - CONTINUED
OTHER
KEY NUMBERS
(Amounts below in DKK million
except earnings per share and dividend per share)
|
|
|
2016
|
|
|
|
2015
|
|
|
|
2014
|
|
|
|
2013
|
|
|
|
2012
|
|
|
|
% change
2015 to
2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation, amortisation and impairment losses
1)
|
|
|
3,193
|
|
|
|
2,959
|
|
|
|
3,435
|
|
|
|
2,799
|
|
|
|
2,693
|
|
|
|
8
|
%
|
Capital expenditure (net) (tangible assets)
|
|
|
7,061
|
|
|
|
5,209
|
|
|
|
3,986
|
|
|
|
3,207
|
|
|
|
3,319
|
|
|
|
36
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash generated from operating activities
|
|
|
48,314
|
|
|
|
38,287
|
|
|
|
31,692
|
|
|
|
25,942
|
|
|
|
22,214
|
|
|
|
26
|
%
|
Free cash flow
|
|
|
39,991
|
|
|
|
34,222
|
|
|
|
27,396
|
|
|
|
22,358
|
|
|
|
18,645
|
|
|
|
17
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets
|
|
|
97,539
|
|
|
|
91,799
|
|
|
|
77,062
|
|
|
|
70,337
|
|
|
|
65,669
|
|
|
|
6
|
%
|
Equity
|
|
|
45,269
|
|
|
|
46,969
|
|
|
|
40,294
|
|
|
|
42,569
|
|
|
|
40,632
|
|
|
|
(4
|
%)
|
Equity ratio
|
|
|
46.4
|
%
|
|
|
51.2
|
%
|
|
|
52.3
|
%
|
|
|
60.5
|
%
|
|
|
61.9
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per share / ADR (in DKK)
|
|
|
14.96
|
|
|
|
13.52
|
|
|
|
10.07
|
|
|
|
9.35
|
|
|
|
7.77
|
|
|
|
11
|
%
|
Diluted
earnings per share / ADR adjusted for non-recurring income from the partial divestment of NNIT A/S (in DKK)
|
|
|
14.96
|
|
|
|
12.58
|
|
|
|
10.07
|
|
|
|
9.35
|
|
|
|
7.77
|
|
|
|
19
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total dividend per share (in DKK)
2)
|
|
|
7.60
|
|
|
|
6.40
|
|
|
|
5.00
|
|
|
|
4.50
|
|
|
|
3.60
|
|
|
|
19
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Payout ratio
3)
|
|
|
50.2
|
%
|
|
|
46.6
|
%
|
|
|
48.7
|
%
|
|
|
47.1
|
%
|
|
|
45.3
|
%
|
|
|
|
|
Payout
ratio adjusted for the partial divestment of NNIT A/S
4)
|
|
|
50.2
|
%
|
|
|
50.0
|
%
|
|
|
48.7
|
%
|
|
|
47.1
|
%
|
|
|
45.3
|
%
|
|
|
|
|
1)
|
Including impairments of around DKK 480 million in 2014
related to discontinuation of activities within inflammatory disorders.
|
2)
|
Total dividend for the financial year 2016 including proposed final
dividend of DKK 4.60 per share and interim dividend paid in August 2016 of DKK 3.00 per share.
|
3)
|
Total dividend for the year as a percentage of net profit.
|
4)
|
The net profit impact from the partial divestment of NNIT A/S was
returned to Novo Nordisk shareholders through a DKK 2.5 billion increase in the share repurchase programme announced in April
2015.
|
PERFORMANCE AGAINST LONG-TERM FINANCIAL TARGETS
PERFORMANCE AGAINST LONG-
TERM FINANCIAL TARGETS
|
|
|
2016
|
|
|
|
2015
|
|
|
|
2014
|
|
|
|
2013
|
|
|
|
2012
|
|
|
|
Target
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating profit growth
|
|
|
(2.0
|
%)
|
|
|
43.3
|
%
|
|
|
9.5
|
%
|
|
|
6.9
|
%
|
|
|
31.7
|
%
|
|
|
5
|
%
|
Operating
profit growth adjusted
1)
|
|
|
3.9
|
%
|
|
|
35.2
|
%
|
|
|
9.5
|
%
|
|
|
6.9
|
%
|
|
|
31.7
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating profit after tax to net operating assets
|
|
|
150.2
|
%
|
|
|
148.7
|
%
|
|
|
101.0
|
%
|
|
|
97.2
|
%
|
|
|
99.0
|
%
|
|
|
125
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash to earnings
|
|
|
105.4
|
%
|
|
|
98.2
|
%
|
|
|
103.5
|
%
|
|
|
88.8
|
%
|
|
|
87.0
|
%
|
|
|
|
|
Cash to earnings (three-years average)
|
|
|
102.4
|
%
|
|
|
96.8
|
%
|
|
|
93.1
|
%
|
|
|
93.9
|
%
|
|
|
103.7
|
%
|
|
|
90
|
%
|
1)
|
Growth
in operating profit for 2015 and 2016 are adjusted for DKK 2,376 million for the partial divestment of NNIT and DKK 449 million
for the income related to the out-licensing of assets for inflammatory disorders, both in 2015.
|
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
6
of 42
|
Sales development
Sales increased by 6% measured in local currencies and by 4% in Danish kroner. This is
in line with the latest guidance of ‘5–6% growth in local currencies’ provided in connection with the quarterly
announcement in October 2016. Sales growth was realised within both diabetes care and biopharmaceuticals, with the majority of
growth originating from Tresiba
®
, Victoza
®
, Saxenda
®
and Norditropin
®
while sales of modern insulin and NovoSeven
®
declined.
Sales split per therapy
|
|
|
Sales
2016
DKK
million
|
|
|
|
Growth
as reported
|
|
|
|
Growth
in local
currencies
|
|
|
|
Share of
growth
in local
currencies
|
|
The diabetes and obesity care segment
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New-generation insulin
1)
|
|
|
4,459
|
|
|
|
210
|
%
|
|
|
212
|
%
|
|
|
51
|
%
|
- Tresiba ®
|
|
|
4,056
|
|
|
|
219
|
%
|
|
|
221
|
%
|
|
|
47
|
%
|
Modern insulin
|
|
|
47,510
|
|
|
|
(5
|
%)
|
|
|
(3
|
%)
|
|
|
(25
|
%)
|
- NovoRapid ®
|
|
|
19,945
|
|
|
|
(4
|
%)
|
|
|
(2
|
%)
|
|
|
(8
|
%)
|
- NovoMix ®
|
|
|
10,482
|
|
|
|
(6
|
%)
|
|
|
(2
|
%)
|
|
|
(4
|
%)
|
- Levemir ®
|
|
|
17,083
|
|
|
|
(7
|
%)
|
|
|
(4
|
%)
|
|
|
(13
|
%)
|
Human insulin
|
|
|
11,090
|
|
|
|
(1
|
%)
|
|
|
2
|
%
|
|
|
4
|
%
|
Victoza®
|
|
|
20,046
|
|
|
|
11
|
%
|
|
|
12
|
%
|
|
|
36
|
%
|
Other diabetes and obesity care
2)
|
|
|
5,844
|
|
|
|
24
|
%
|
|
|
26
|
%
|
|
|
21
|
%
|
- Saxenda ®
|
|
|
1,577
|
|
|
|
243
|
%
|
|
|
245
|
%
|
|
|
19
|
%
|
Diabetes and obesity care total
|
|
|
88,949
|
|
|
|
4
|
%
|
|
|
6
|
%
|
|
|
87
|
%
|
The biopharmaceuticals segment
|
|
|
10,472
|
|
|
|
(2
|
%)
|
|
|
0
|
%
|
|
|
(1
|
%)
|
Haemophilia
3)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- NovoSeven ®
|
|
|
9,492
|
|
|
|
(6
|
%)
|
|
|
(4
|
%)
|
|
|
(7
|
%)
|
Norditropin® (human growth hormone)
|
|
|
8,770
|
|
|
|
12
|
%
|
|
|
14
|
%
|
|
|
18
|
%
|
Other biopharmaceuticals
4)
|
|
|
3,589
|
|
|
|
(7
|
%)
|
|
|
(6
|
%)
|
|
|
(4
|
%)
|
Biopharmaceuticals total
|
|
|
22,831
|
|
|
|
2
|
%
|
|
|
4
|
%
|
|
|
13
|
%
|
Total sales
|
|
|
111,780
|
|
|
|
4
|
%
|
|
|
6
|
%
|
|
|
100
|
%
|
1)
|
Comprises Tresiba®, Xultophy®
and Ryzodeg® .
|
2)
|
Primarily NovoNorm®, needles and Saxenda®.
|
3)
|
Comprises NovoSeven®, NovoEight® and
NovoThirteen®.
|
4)
|
Primarily Vagifem® and Activelle®.
|
All regions contributed to sales growth; however, the USA was the largest contributor
with 37% share of growth measured in local currencies, followed by International Operations and Region China contributing 32% and
19% respectively. The sales growth of 4% in the USA was positively impacted by approximately 1 percentage point primarily due to
non-recurring adjustments to rebates in the Medicaid patient segment related to Norditropin
®
. Sales growth in International
Operations of 14% measured in
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
7
of 42
|
local currencies was positively impacted by approximately 2.5 percentage points due to the significant
inflationary effects in Argentina and Venezuela.
Sales split per region
|
|
|
Sales
DKK
million
|
|
|
|
Growth
as reported
|
|
|
|
Growth
in local
currencies
|
|
|
|
Share of
growth
in local
currencies
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
USA
|
|
|
57,194
|
|
|
|
4
|
%
|
|
|
4
|
%
|
|
|
37
|
%
|
Europe
|
|
|
20,682
|
|
|
|
(1
|
%)
|
|
|
2
|
%
|
|
|
5
|
%
|
International Operations
|
|
|
14,050
|
|
|
|
2
|
%
|
|
|
14
|
%
|
|
|
32
|
%
|
Region China
|
|
|
10,458
|
|
|
|
6
|
%
|
|
|
12
|
%
|
|
|
19
|
%
|
Pacific*
|
|
|
9,396
|
|
|
|
10
|
%
|
|
|
5
|
%
|
|
|
7
|
%
|
Total sales
|
|
|
111,780
|
|
|
|
4
|
%
|
|
|
6
|
%
|
|
|
100
|
%
|
* Pacific includes Japan, Korea,
Oceania and Canada
Please refer to appendix 6 for further details on sales in 2016.
The sales split is presented in accordance with the regional structure introduced in
connection with the annual report for 2015. For 2017, an updated format for regional reporting will be introduced in order to reflect
the revised regional structure announced in connection with the changes in Executive Management in September 2016. Please see appendix
9 for a breakdown of sales in 2016 reflecting the updated format for regional structure.
In the following sections, unless otherwise noted, market data are based on moving annual
total (MAT) from November 2016 and November 2015 provided by the independent data provider IMS Health.
Diabetes and obesity care, sales development
Sales of diabetes and obesity care products increased by 6% measured in local currencies
and by 4% in Danish kroner to DKK 88,949 million. Novo Nordisk is the world leader in diabetes care with a global value market
share of 27%.
Insulin
Sales of insulin increased by 3% measured in local currencies and were unchanged in Danish
kroner at DKK 63,059 million. Measured in local currencies, sales growth was driven by International Operations and Region China.
Novo Nordisk is the global leader with 46% of the total insulin market and 45% of the market for modern insulin and new-generation
insulin, both measured in volume.
Sales of new-generation insulin (Tresiba
®
, Xultophy
®
and
Ryzodeg
®
) reached DKK 4,459 million compared with DKK 1,438 million in 2015.
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
8
of 42
|
Sales of Tresiba
®
(insulin degludec), the once-daily new-generation insulin,
reached DKK 4,056 million compared with DKK 1,270 million in 2015. The roll-out of Tresiba
®
continues and the product
has now been launched in 52 countries. In the USA, where Tresiba
®
was launched broadly in January 2016, the feedback
from patients and prescribers is encouraging, and the product has achieved wide commercial and Medicare Part D formulary coverage.
By the end of 2016, Tresiba
®
had captured a 5.5% market share of the US basal insulin market measured by weekly
total prescriptions. In Japan, where Tresiba
®
was launched in March 2013 with similar reimbursement as insulin glargine
U100, its share of the basal insulin market has grown steadily, and Tresiba
®
has now captured 39% of the basal insulin
market measured by monthly value market share. Similarly, Tresiba
®
has shown solid penetration in other markets
with reimbursement at a similar level to insulin glargine U100, whereas penetration remains modest in markets with restricted market
access.
Xultophy
®
(IDegLira), a once-daily single-injection combination of insulin
degludec (Tresiba
®
) and liraglutide (Victoza
®
), is currently marketed in nine countries, and launch
activities are progressing as planned. In November 2016, Xultophy
®
100/3.6 was approved by the US Food and Drug
administration (FDA) and Novo Nordisk plans to launch the product in first half of 2017.
Ryzodeg
®
, a soluble formulation of insulin degludec and insulin aspart,
has now been marketed in 10 countries, and feedback from patients and prescribers is encouraging.
Sales of modern insulin decreased by 3% in local currencies and by 5% in Danish kroner
to DKK 47,510 million. Sales declined in the USA, Europe and Pacific partly offset by a positive contribution from International
Operations and China. Sales of modern insulin and new-generation insulin in total constitute 82% of Novo Nordisk’s sales
of insulin measured in value.
INSULIN MARKET SHARES
(volume, MAT)
|
Novo Nordisk’s share
of total insulin market
|
Novo Nordisk’s share
of the modern insulin and
new-generation insulin market
|
|
November
2016
|
November
2015
|
November
2016
|
November
2015
|
Global
|
46%
|
47%
|
45%
|
45%
|
USA
|
37%
|
38%
|
38%
|
38%
|
Europe
|
45%
|
47%
|
45%
|
47%
|
International Operations*
|
55%
|
55%
|
51%
|
52%
|
China**
|
54%
|
55%
|
61%
|
62%
|
Japan
|
52%
|
52%
|
50%
|
50%
|
Source: IMS, November 2016 data. * Data for 13 selected
markets representing approximately 70% of Novo Nordisk’s diabetes sales in the region. ** Data for mainland China, excluding
Hong Kong and Taiwan.
USA
Sales of insulin in the USA decreased by 2% both in local currencies and in Danish kroner.
Sales declined due to lower NovoLog
®
and NovoLog
®
Mix 70/30 prices, a NovoLog
®
and
NovoLog
®
Mix 70/30 contract loss effective from 1 January 2016 and a declining premix insulin segment, which was
partly countered by growth in the basal
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
9
of 42
|
insulin segment due the positive contribution from the introduction of Tresiba
®
.
55% of Novo Nordisk’s modern insulin volume in the USA is used in the prefilled devices FlexPen
®
and FlexTouch
®
.
Europe
Sales of insulin in Europe increased by 1% in local currencies and decreased by 2% in
Danish kroner. Sales were driven by the penetration of Tresiba
®
as well as a positive contribution from Xultophy
®
across the region, partly offset by contracting modern insulin sales and the ceased distribution of Tresiba
®
and
Xultophy
®
in Germany. The device penetration in Europe is high, and 96% of Novo Nordisk’s insulin volume is
being used in devices, primarily NovoPen
®
and FlexPen
®
.
International Operations
Sales of insulin in International Operations increased by 15% in local currencies and
by 2% in Danish kroner. The growth in local currencies reflects growth in modern insulin, the new-generation insulin products Tresiba
®
and Ryzodeg
®
as well as human insulin. Currently, 58% of Novo Nordisk’s insulin volume in the major private
markets is used in devices.
Region China
Sales of insulin in Region China increased by 12% in local currencies and by 6% in Danish
kroner. The sales growth is driven by growth of the overall diabetes care market and the continued market penetration of the three
modern insulin products, where Novo Nordisk has improved its share of volume growth and thereby stabilised its market share. Currently,
98% of Novo Nordisk’s insulin volume in China is used in devices, primarily the durable device NovoPen
®
.
Pacific
Sales of insulin in Pacific declined by 1% in local currencies and increased by 4% in
Danish kroner. The sales development reflects declining sales in Canada and Australia partly offset by continued uptake of Tresiba
®
and the introduction of Ryzodeg
®
in Japan. The device penetration in Japan is high with 98% of Novo Nordisk’s
insulin volume used predominantly in FlexTouch
®
devices.
Victoza
®
(GLP-1 therapy for type 2 diabetes)
Victoza
®
sales increased by 12% in local currencies and by 11% in Danish
kroner to DKK 20,046 million. Sales growth is driven by the USA and International Operations. The GLP-1 segment’s value share
of the total diabetes care market has increased to 9.8% compared with 8.0% in 2015. Victoza
®
is the market leader
in the GLP-1 segment with a 58% value market share.
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
10
of 42
|
GLP-1 MARKET SHARES
|
GLP-1 share of total
|
Victoza® share
|
(value, MAT)
|
diabetes care market
|
of GLP-1 market
|
|
November
2016
|
November
2015
|
November
2016
|
November
2015
|
Global
|
9.8%
|
8.0%
|
58%
|
66%
|
USA
|
11.5%
|
9.3%
|
56%
|
64%
|
Europe
|
9.6%
|
8.7%
|
66%
|
74%
|
International Operations*
|
2.9%
|
2.4%
|
80%
|
85%
|
China**
|
0.9%
|
0.8%
|
56%
|
54%
|
Japan
|
5.2%
|
2.8%
|
61%
|
69%
|
Source: IMS, November 2016 data. * Data for 13 selected
markets representing approximately 70% of Novo Nordisk’s diabetes sales in the region. ** Data for mainland China, excluding
Hong Kong and Taiwan.
USA
Sales of Victoza
®
in the USA increased by 12% in local currencies and
by 13% in Danish kroner. Sales growth is driven by an underlying prescription volume growth of the GLP-1 class of more than 30%
in the USA. The growth of the GLP-1 market continues to be driven by recently introduced competing once-weekly products and Victoza
®
.
The value share of the GLP-1 class of the total US diabetes care market has increased to 11.5%. Despite intensified competition,
Victoza
®
is still the market leader with a 56% value market share.
Europe
Sales in Europe increased by 2% in local currencies and were unchanged in Danish kroner.
Sales growth is driven by the Nordic countries and Portugal offset by declining sales in France, Germany and the United Kingdom.
In Europe, the share of the GLP-1 class of the total diabetes care market in value has increased to 9.6%. Victoza
®
is the GLP-1 market leader with a value market share of 66%.
International Operations
Sales in International Operations increased by 32% in local currencies and by 23% in
Danish kroner. Sales growth is primarily driven by a number of countries in the Middle East and Latin America. The value share
of the GLP-1 class of the total diabetes care market increased to 2.9%. Victoza
®
is the GLP-1 market leader across
International Operations with a value market share of 80%.
Region China
Sales in Region China increased by 25% in local currencies and by 20% in Danish kroner.
In China, the GLP-1 class, which represents a modest 0.9% of the total diabetes care market in value, is generally not reimbursed.
Victoza
®
holds a GLP-1 value market share of 56%.
Pacific
Sales in Pacific increased by 15% in local currencies and by 20% in Danish kroner. The
sales growth reflects the continued expansion of the GLP-1 market in Japan as well as a positive market development in Canada.
In Japan, the GLP-1 class represents 5.2% of the total diabetes care market value compared with 2.8% in 2015. Victoza
®
remains the leader in the class with a value market share of 61%.
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
11
of 42
|
Other diabetes and obesity care
Sales of other diabetes and obesity care, which predominantly consists of needles, oral
antidiabetic products and Saxenda
®
, increased by 26% in local currencies and by 24% in Danish kroner to DKK 5,844
million. Saxenda
®
, liraglutide 3 mg for weight management, was launched in May 2015 and sales were DKK 1,577 million
in 2016 compared with DKK 460 million in 2015. In the USA, promotional activities are progressing as planned, and Saxenda
®
is now the market-leading anti-obesity medication measured in value. Saxenda
®
has now been launched in 15 countries.
Biopharmaceuticals, sales development
Sales of biopharmaceutical products increased by 4% measured in local currencies and
by 2% in Danish kroner to DKK 22,831 million. Sales growth is primarily driven by International Operations, the USA, Europe and
Pacific.
Haemophilia
Sales of haemophilia products were unchanged in local currencies and decreased by 2%
in Danish kroner to DKK 10,472 million. The sales development was negatively impacted by lower NovoSeven
®
sales
in the USA due to increased competition and patients participating in clinical trials with competing drugs, partly offset by the
roll-out of NovoEight
®
in Europe and the USA and by sales growth for NovoSeven
®
in Pacific.
Norditropin
®
(growth hormone therapy)
Sales of Norditropin
®
increased by 14% measured in local currencies and
by 12% in Danish kroner to DKK 8,770 million. The sales growth is primarily derived from the USA reflecting a significant positive
non-recurring adjustment to rebates in the Medicaid patient segment relating to the period 2010–2015. This positive impact
has been partly offset by lower volumes. Novo Nordisk is the leading company in the global growth hormone market with a 23% market
share measured in volume.
Other biopharmaceuticals
Sales of other products within biopharmaceuticals, which predominantly consist of hormone
replacement therapy-related (HRT) products, declined by 6% measured in local currencies and by 7% in Danish kroner to DKK 3,589
million. The sales decline reflected a negative impact from the launch of a generic version of Vagifem
®
in the USA
in the fourth quarter.
Development in costs and operating profit
The cost of goods sold increased by 6% to DKK 17,183 million, resulting in a gross margin
of 84.6%, compared with 85.0% in 2015 measured in Danish kroner. The gross margin was negatively impacted by a negative product
mix due to lower NovoSeven
®
sales partly countered by higher Victoza
®
sales and a negative price
impact reflecting lower modern insulin prices in the USA, which was partly offset by the positive contribution from the non-recurring
Medicaid rebate adjustment.
Sales and distribution costs increased by 3% in local currencies and were unchanged in
Danish kroner to DKK 28,377 million. The modest increase in costs is driven by sales
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force investments in selected countries in
International Operations and promotional activities in selected countries within Pacific and Europe, partly offset by lower sales
and distribution costs in the USA reflecting cost management.
Research and development costs increased by 7% in both local currencies and Danish kroner
to DKK 14,563 million. The increase in costs reflects higher research costs for diabetes and obesity projects as well as impairment
charges of intangible assets related to a number of early-stage projects in connection with the updated research and development
strategy. Development costs increased due to the initiation of the PIONEER programme for oral semaglutide, where all 10 planned
trials have been initiated, and the fast-acting insulin aspart phase 3b development programme. The increase in development costs
was partly countered by lower costs related to the completion of the cardiovascular outcomes trial DEVOTE and the SWITCH phase
3b development programme, both for insulin degludec, as well as the phase 3a programme SUSTAIN for the once-weekly GLP-1 analogue
semaglutide and by lower Biopharmaceuticals development costs.
Administration costs increased by 5% in local currencies and by 3% in Danish kroner to
DKK 3,962 million. The higher administrative costs are mainly related to increased employee-related costs in International Operations.
Other operating income (net) was DKK 737 million compared with DKK 3,482 million in 2015.
The lower level of income reflects the non-recurring income from the partial divestment of NNIT, an IT service and consultancy
company, in connection with the Initial Public Offering on Nasdaq Copenhagen as well as non-recurring income related to the out-licensing
of assets for inflammatory disorders, both in 2015.
Operating profit was unchanged in local currencies and decreased by 2% in Danish kroner
to DKK 48,432 million. Adjusted for the income related to the partial divestment of NNIT (DKK 2,376 million) and the income related
to the out-licensing of assets for inflammatory disorders (DKK 449 million), both in 2015. The growth in operating profit was 6%
in local currencies, which is in line with the latest guidance for adjusted operating profit growth measured in local currencies
of ‘5-7%’ for 2016.
Financial items (net) and tax
Financial items (net) showed a net loss of DKK 634 million compared with a net loss of
DKK 5,961 million in 2015. The reported net financial loss in 2016 is in line with the latest guidance of ‘loss of around
DKK 600 million’.
In line with Novo Nordisk’s treasury policy, the most significant foreign exchange
risks for the group have been hedged, primarily through foreign exchange forward contracts. The foreign exchange result was a loss
of DKK 576 million compared with a loss of DKK 5,898 million in 2015. The result in 2016 reflects loss on foreign exchange hedging
involving especially the US dollar, Japanese yen and Chinese yuan versus the Danish krone.
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The effective tax rate for 2016 was 20.7%, which is in line with the latest guidance
of a tax rate of ‘20-22%’ for the full year 2016. The higher tax rate compared with the 2015 level of 19.8% reflects
the tax-free gain from the partial divestment of NNIT in 2015, offset by a positive effect from settlement of tax cases related
to prior years and the reduction of the corporate income tax rate in Denmark from 23.5% in 2015 to 22.0% in 2016.
Capital expenditure and free cash flow
Net capital expenditure for property, plant and equipment was DKK 7.1
billion compared with DKK 5.2 billion in 2015, which is in line with the latest guidance of ‘around DKK 7.0 billion’.
Net capital expenditure was primarily related to investments in a
new production facility
for a range of diabetes active pharmaceutical ingredients
, a new diabetes care filling capacity and an expansion of the
manufacturing capacity for biopharmaceutical products.
Free cash flow was DKK 40.0 billion compared with DKK 34.2 billion in 2015, which is
in line with the latest guidance of DKK 38-41 billion. The 17% increase compared with 2015 primarily reflects higher cash flow
from operating activities including a lower level of tax payments in 2016 due to a positive effect from settlement of tax cases
related to prior years. The higher free cash flow is further positively impacted by a higher net profit in 2016, partly countered
by a planned increase in inventory levels and trade receivables as well as the non-recurring cash impact from the partial divestment
of NNIT in 2015.
Key developments in the fourth quarter
of 2016
Please refer to appendix 1 for an overview of the quarterly numbers in DKK and to appendix
6 for details on sales in the fourth quarter of 2016.
Sales in the fourth quarter of 2016 increased by 3% in local currencies and by 2% in
Danish kroner compared with the same period in 2015. The growth was driven by Tresiba
®
, Victoza
®
,
Saxenda
®
and Norditropin
®
, partly offset by modern insulin and Other biopharmaceuticals due to the
launch of a generic version of Vagifem
®
in the USA. From a geographic perspective, sales growth in local currencies
was driven by International Operations and Region China, growing by 16% and 15% respectively. In the USA, sales were unchanged
reflecting continued strong Victoza
®
and Saxenda
®
growth and the positive contribution from the introduction
of Tresiba
®
in the basal insulin segment, but countered by the aforementioned Vagifem
®
sales decline,
Levemir
®
rebate adjustments, a NovoLog
®
and NovoLog
®
Mix 70/30 contract loss effective
from 1 January 2016, lower modern insulin prices, a declining premix insulin segment as well as lower NovoSeven
®
sales.
The gross margin was 83.4% in the fourth quarter of 2016 compared with 84.0% in the same
period last year. The decline of 0.6 percentage point reflects a less favourable product mix due to a lower share of NovoSeven
®
and Vagifem
®
sales and lower US modern insulin prices partly countered by increased Victoza
®
sales.
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Sales and distribution costs decreased by 1% in local currencies and 2% in Danish kroner
in the fourth quarter of 2016 compared with the same period last year, primarily reflecting cost management in the USA partly offset
by promotional activities in Europe and Region Pacific.
Research and development costs increased by 11% in both local currencies and Danish kroner
in the fourth quarter of 2016 compared with the same period last year. The increase in costs is driven by increased research costs
incurred in connection with the updated research and development strategy including impairment charges of intangible assets related
to a number of early-stage projects and development costs related to the oral semaglutide phase 3a PIONEER development programme
and the phase 3b activities for fast-acting insulin aspart.
Administrative costs increased by 1% in local currencies and were unchanged in Danish
kroner in the fourth quarter of 2016 compared with the same period last year. The modest increase in costs reflects cost control
across the organisation.
Other operating income (net) was DKK 97 million in the fourth quarter of 2016 compared
with DKK 94 million in the same period last year.
Operating profit increased by 3% in local currencies and by 1% in Danish kroner in the
fourth quarter of 2016 compared with the same period last year.
Outlook
Outlook
2017
The current expectations for 2017 are summarised in the table below:
Expectations are as reported,
|
Expectations
|
if not otherwise stated
|
2 February 2017
|
Sales growth
|
|
in local currencies
|
-1% to 4%
|
as reported
|
Around 2 percentage points higher
|
|
|
Operating profit growth
|
|
in local currencies
|
-2% to 3%
|
as reported
|
Around 2 percentage points higher
|
|
|
Financial items (net)
|
Loss of around DKK 2.4 billion
|
Effective tax rate
|
21% to 23%
|
Capital expenditure
|
Around DKK 10.0 billion
|
Depreciation,
amortisation
and impairment losses
|
Around DKK 3.0 billion
|
Free cash flow
|
DKK 29-33 billion
|
For 2017,
sales growth
is expected to be in the range of a decline of 1% to a
growth of 4%, measured in local currencies. This reflects expectations for continued robust performance for Victoza
®
and Tresiba
®
as well as a contribution from Saxenda
®
and Xultophy
®
. These sales drivers
are expected to be partly countered by an impact from
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lower realised prices in the USA, especially in the basal insulin and growth
hormone segments, the loss of exclusivity for products within hormone replacement therapy in the USA, further intensifying competition
within diabetes and biopharmaceuticals especially in the USA, as well as adverse macroeconomic conditions in several markets in
International Operations. Growth in 2017 is expected to be unevenly distributed across the quarters as growth is expected to be
impacted by two non-recurring events; the adjustment to Medicaid rebates in 2016 for Norditropin
®
, which primarily
impacts the first quarter of 2017 and the launch of a generic version of Vagifem
®
in the USA, which impacts the
first three quarters of 2017. Given the current level of exchange rates versus the Danish krone, growth reported in DKK is expected
to be around 2 percentage points higher than the local currency level.
For 2017,
operating profit growth
is expected to be in the range of a decline
of 2% to a growth of 3%, measured in local currencies. The expectation for operating profit growth primarily reflects the modest
outlook for sales growth. The outlook also reflects a modest increase in both sales and distribution costs to support continued
launch activities and in research and development costs to support the progress of Novo Nordisk’s pipeline. Given the current
level of exchange rates versus the Danish krone, growth reported in DKK is expected to be around 2 percentage points higher than
the local currency level.
For 2017, Novo Nordisk expects financial items (net) to be a loss of around DKK 2.4 billion.
The current expectation reflects losses associated with foreign exchange hedging contracts, mainly related to the US dollar, Japanese
yen and Chinese yuan versus the Danish krone.
The
effective tax rate
for 2017 is expected to be in the range of 21-23%, a level
broadly similar to the statutory corporate tax rate in Denmark of 22%.
Capital expenditure
is expected to be around DKK 10.0 billion in 2017, primarily
related to investments in additional capacity for active pharmaceutical ingredient production within diabetes care, a capacity
expansion of the diabetes care filling and an expansion of the manufacturing capacity for biopharmaceutical products.
Depreciation,
amortisation and impairment losses
are expected to be around DKK 3.0 billion.
Free cash flow
is expected to be DKK 29-33
billion. The lower level of free cash flow compared with the DKK 40.0 billion in free cash flow in 2016 reflects increased capital
expenditures in 2017 and a low level of tax payments in 2016 due to settlement of tax cases related to prior years.
All of the above expectations are based on the assumptions that the global economic and
political environment will not significantly change business conditions for Novo Nordisk during 2017, and that currency exchange
rates, especially the US dollar, will remain at the current level versus the Danish krone. Please refer to appendix 7 for key currency
assumptions.
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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
|
Annual impact on Novo Nordisk’s
operating profit of a 5%
movement in currency
|
Hedging period
(months)
|
|
|
|
USD
|
DKK 2,100 million
|
12
|
CNY
|
DKK 320 million
|
9*
|
JPY
|
DKK 200 million
|
14
|
GBP
|
DKK 90 million
|
12
|
CAD
|
DKK 80 million
|
11
|
* 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).
Research & Development
update
Diabetes
Xultophy
®
100/3.6 (NN9068) approved by the US FDA
In November 2016, Novo Nordisk announced that the US Food and Drug Administration (FDA)
had approved the New Drug Application (NDA) for Xultophy
®
100/3.6. Xultophy
®
100/3.6 is indicated
as an adjunct to diet and exercise to improve glycaemic control in adults with type 2 diabetes mellitus inadequately controlled
on basal insulin (less than 50 units daily) or liraglutide (less than or equal to 1.8 mg daily).
Xultophy
®
100/3.6, the approved brand name for IDegLira in the US, is
a once-daily, single-injection fixed combination of long-acting insulin degludec (Tresiba
®
) and the GLP-1 analogue
liraglutide (Victoza
®
). In the DUAL phase 3 clinical trial programme, Xultophy
®
100/3.6 consistently
showed an improvement of glycaemic control in adults with type 2 diabetes uncontrolled on liraglutide or basal insulin therapy.
For adults inadequately controlled on insulin glargine U100, treatment with Xultophy
®
100/3.6 demonstrated a reduction
in HbA
1c
of 1.7% after 26 weeks. Xultophy
®
100/3.6 can be taken at the same time each day with or without
food and will be available in a prefilled pen.
Fast-acting insulin aspart (NN1218) approved in EU and Canada. Resubmission of new
drug application in the USA planned within the next three months
In January 2017, Novo Nordisk announced that the European Commission has granted marketing
authorisation for Fiasp
®
for the treatment of diabetes in adults. The authorisation covers all 28 European Union
member states. The approval follows the Committee for Medicinal Products for Human Use (CHMP), under the European Medicines Agency
(EMA), adoption of a positive opinion for the use of Fiasp
®
in
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November 2016, recommending marketing authorisation
for the treatment of adults with type 1 and type 2 diabetes, including pump use.
Fiasp
®
is the brand name for fast-acting insulin aspart.
Fiasp
®
provides improved mealtime and overall glucose control with a similar safety profile versus
NovoRapid
®
. Fiasp
®
will be available in vial, Penfill
®
and FlexTouch
®
pen
and Novo Nordisk expects to launch Fiasp
®
in the first European countries in the first half of 2017.
In January 2017, Novo Nordisk also received marketing authorisation for Fiasp
®
from Health Canada.
In October 2016, Novo Nordisk announced that it had received a complete response letter
from the US Food and Drug Administration (FDA) regarding the New Drug Application for fast-acting insulin aspart. In the letter,
the FDA requested additional information related to the assay for the immunogenicity and the assay used to generate the clinical
pharmacokinetics data before the review of the New Drug Application can be completed. Novo Nordisk has now evaluated the content
of the complete response letter and completed the end-of-review meeting with FDA. Based on these reviews, Novo Nordisk now expects
to submit the fast-acting insulin aspart new drug application as a class II re-submission within the next three months.
Xultophy
®
(NN9068) demonstrates similar glucose control with reduced
risk of hypoglycaemia and a superior weight profile compared to basal-bolus therapy
In December 2016, Novo Nordisk announced results of the DUAL VII phase 3b trial with
Xultophy
®
(IDegLira). The open-label trial investigated the efficacy and safety of once-daily administration
of Xultophy
®
compared with a combination therapy of once-daily insulin glargine U100 and insulin aspart at
all main meals for 26 weeks of treatment in 506 adults with type 2 diabetes.
The trial successfully achieved its objective by demonstrating that treatment with Xultophy
®
is non-inferior to insulin glargine U100 in combination with insulin aspart with regards to lowering of HbA
1c
. From
a mean baseline HbA
1c
of 8.2%, both patient groups reached a similar HbA
1c
level of 6.7% after 26 weeks of
treatment. At the end of the trial, people treated with Xultophy
®
required 40 units compared to a total of
85 units of insulin for people treated with insulin glargine U100 in combination with insulin aspart.
People treated with Xultophy
®
showed a superior reduction of 89%
in the rate of severe or blood glucose confirmed symptomatic hypoglycaemic episodes compared to insulin glargine U100 in combination
with insulin aspart. Furthermore, from a mean baseline body weight of 87.7 kg, people treated with Xultophy
®
experienced weight loss of 0.9 kg compared with weight gain of 2.6 kg for people treated with the basal-bolus regimen; a superior
weight difference of -3.6 kg.
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Real-world evidence study EU-TREAT with Tresiba
®
completed
In December 2016, Novo Nordisk concluded EU-TREAT with Tresiba
®
, the European,
non-interventional, multicentre, retrospective assessment of patient records in approximately 2,500 people with either type 1 or
type 2 diabetes. The study was designed to validate a number of findings from randomised clinical trials with Tresiba
®
in a routine clinical practice. In a real-world setting, the study confirmed that switching people to Tresiba
®
from
other basal insulins improved glycaemic control including a statistically significant reduction in HbA
1c
and fasting
plasma glucose. Furthermore, a statistically significant reduction in the risk of severe and non-severe hypoglycaemia was observed
as well as a statistically significant reduction in the total insulin doses in both type 1 and type 2 diabetes. Novo Nordisk plans
to present the detailed data at a scientific conference during 2017.
Tresiba
®
(NN1250) demonstrates a safe cardiovascular profile and reduces
the risk of severe hypoglycaemia compared to insulin glargine U100 in the DEVOTE trial
In November 2016, Novo Nordisk announced the headline results from the DEVOTE trial,
a long-term, randomised, double-blinded and event-driven trial conducted to confirm the cardiovascular safety of Tresiba
®
(insulin degludec) compared to insulin glargine U100 when added to standard of care. In the trial, more than 7,500 people with
type 2 diabetes at high risk of major adverse cardiovascular events were treated for a period of approximately two years.
The trial achieved its primary endpoint by demonstrating non-inferiority of major adverse
cardiovascular events (MACE) with Tresiba
®
compared to insulin glargine U100. The trial thereby confirmed the results
of the DEVOTE interim analysis submitted to the US Food and Drug Administration (FDA) in March 2015, on the basis of which Tresiba
®
and Ryzodeg
®
70/30 were approved in the USA in September 2015.
The primary endpoint of the DEVOTE trial was defined as the MACE composite outcome of
the first occurrence of cardiovascular death, non-fatal myocardial infarction or non-fatal stroke and showed a hazard ratio of
0.91 in favour of Tresiba
®
relative to insulin glargine U100, with no statistically significant difference between
the two treatments.
From a mean HbA
1c
baseline of 8.4%, the trial showed a similar reduction with
Tresiba
®
compared to insulin glargine U100 with an end-of-trial treatment difference of 0.01 percentage point between
the two treatment arms, thus fulfilling the requirements for objectively comparing hypoglycaemia rates between the two treatments.
In the trial, Tresiba
®
demonstrated superiority on the secondary confirmatory
endpoint of severe hypoglycaemia: 27% fewer patients in the Tresiba
®
treated group experienced an episode of severe
hypoglycaemia, resulting in a 40% reduction of total episodes of adjudicated severe hypoglycaemia with Tresiba
®
compared to insulin glargine U100. Furthermore, patients in the Tresiba
®
treated group experienced a 53% reduction
in the rate of nocturnal severe hypoglycaemia compared to insulin glargine U100. Tresiba
®
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appeared to have a safe
and well-tolerated profile consistent with previous clinical studies conducted with Tresiba
®
.
Novo Nordisk submits application in the EU for including data from the two SWITCH
trials in Tresiba
®
(NN1250) label
In November 2016, Novo Nordisk announced the submission of a type II variation application
to the European Medicines Agency (EMA) for including data from the two SWITCH phase 3b trials in the label for Tresiba
®
.
In SWITCH 1, people with type 1 diabetes were randomised to treatment with Tresiba
®
and insulin glargine U100 respectively, both in combination with insulin aspart, in a cross-over trial design. During the trial’s
maintenance period, people treated with Tresiba
®
on average had 11% fewer episodes of severe or symptomatic blood
glucose confirmed hypoglycaemia, 36% fewer episodes of nocturnal severe or symptomatic blood glucose confirmed hypoglycaemia and
35% fewer episodes of severe hypoglycaemia compared to insulin glargine U100. All of the above results were statistically significant,
and similar results were seen in the full treatment period.
In SWITCH 2, people with type 2 diabetes were randomised to treatment with Tresiba
®
and insulin glargine U100, both in combination with oral antidiabetic drugs, in a cross-over trial design. During the trial’s
maintenance period, people treated with Tresiba
®
on average had 30% fewer episodes of severe or symptomatic blood
glucose confirmed hypoglycaemia and 42% fewer episodes of nocturnal severe or symptomatic blood glucose confirmed hypoglycaemia
compared to insulin glargine U100. Both observations were statistically significant, and similar results were observed for the
full treatment period. For severe hypoglycaemia there was a 46%, but not statistically significant, reduction of the episodes in
the maintenance period, and a statistically significant 51% reduction of the episodes in the full treatment period for Tresiba
®
compared to insulin glargine U100.
In both studies, the mean baseline for HbA
1c
was 7.6%, and both studies showed
that Tresiba
®
was non-inferior in terms of HbA
1c
reduction compared to insulin glargine U100. This means
that the requirements for objectively comparing hypoglycaemia episodes between the two treatments were fulfilled. In both studies,
Tresiba
®
generally appeared to have a safe and well-tolerated profile.
Novo Nordisk files for regulatory approval of once-weekly semaglutide (NN9535) in
the USA and EU for the treatment of type 2 diabetes
In December 2016, Novo Nordisk announced the submission of a New Drug Application (NDA)
to the US Food and Drug Administration (FDA) and a Marketing Authorisation Application (MAA) to the European Medicines Agency (EMA)
for semaglutide, a new glucagon-like peptide-1 (GLP-1) analogue administered once-weekly, for the treatment of adults with type
2 diabetes.
The submission is based on the results from the SUSTAIN clinical trial programme, which
included more than 8,000 adults with type 2 diabetes. In the SUSTAIN
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programme, once-weekly semaglutide was studied in combination
with oral-antidiabetic agents and basal insulin. Semaglutide demonstrated statistically significant and sustained blood glucose
control compared to sitagliptin, exenatide extended-release, once-daily insulin glargine U100 and placebo. Furthermore, the cardiovascular
outcomes trial, SUSTAIN 6, demonstrated a statistically significant cardiovascular risk reduction compared to placebo, as add-on
to standard of care in patients with high cardiovascular risk. In addition, semaglutide demonstrated statistically significantly
greater reductions in mean body weight versus comparators.
Across the SUSTAIN clinical trial programme, once-weekly semaglutide had a safe and well-tolerated
profile with the most common adverse event being nausea.
All 10 clinical trials in the oral semaglutide (NN9924) phase 3a PIONEER programme
now initiated
In February 2016, Novo Nordisk initiated the first phase 3a trial with oral semaglutide,
an oral formulation of Novo Nordisk’s long-acting GLP-1 analogue semaglutide using the Emisphere Eligen
®
technology.
Novo Nordisk has now initiated all 10 clinical trials, including PIONEER 6 (a pre-approval cardiovascular outcomes trial in approximately
3,100 people), PIONEER 8 (an insulin add-on trial in approximately 700 people), PIONEER 9 (a monotherapy trial in approximately
200 Japanese people) and PIONEER 10 (an oral anti-diabetic combination trial in approximately 300 Japanese people).
Results from a phase 2 trial comparing once-daily subcutaneous administration of the
GLP-1 analogue semaglutide (NN9535) with placebo and liraglutide
In January 2017, Novo Nordisk completed a double-blind trial in 706 people with type
2 diabetes, previously on diet and exercise or metformin, investigating the efficacy and safety of daily doses of 0.05 mg, 0.1
mg, 0.2 mg and 0.3 mg subcutaneous semaglutide during 26 weeks of treatment compared with placebo and liraglutide in volume matched
injections. The nine active treatment arms enrolled between 63 and 65 people and the average HbA
1c
baseline levels were
between 7.9% and 8.2%. The trial confirmed previous findings for the two active treatments with an average lowering of the highest
dose of up to 1.9% of HbA
1c
with semaglutide and up to 1.3% with liraglutide and a reduction of weight for semaglutide
of up to 8.2 kg and up to 3.7 kg for liraglutide. The observed adverse event profile for both active treatments was as previously
observed. Further activities with once-daily administration of semaglutide will be decided on following availability of results
of the currently ongoing phase 2 trial in patients with obesity.
Anti-IL-21 and GLP-1 in type 1 diabetes (NN9828) granted US orphan drug designation
In January 2017, the US Office of Orphan Products Development (OOPD) informed Novo Nordisk
that orphan drug designation for Anti IL-21 in combination with liraglutide had been granted for treatment of type 1 diabetes with
residual beta cell function.
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Obesity and other areas
Phase 2 trial with once-daily semaglutide (NN9931)
initiated in NASH
In November 2016, Novo Nordisk initiated a phase 2 dose-finding trial in patients with
NASH (non-alcoholic steatohepatitis) to investigate the effect of subcutaneous semaglutide once-daily for 72 weeks on the histological
resolution of NASH. The trial will include 372 patients globally randomised to one of three doses of semaglutide or placebo and
is planned to be concluded in 2019.
Phase 1 trial with once-weekly FGF21 analogue (NN9499) initiated in obesity
In January 2017, Novo Nordisk initiated a phase 1 trial in obesity with FGF21 (fibroblast
growth factor 21 analogue). The single-dose trial will investigate safety, tolerability and pharmacokinetics of the product in
approximately 60 healthy adults.
Biopharmaceuticals
Concizumab (NN7415) phase 1b trial explorer 3 completed
In December 2016, Novo Nordisk completed the concizumab explorer 3 trial, a multiple-dose,
double-blind dose-escalation phase 1b trial in haemophilia A patients. The trial showed an exposure-dependent inhibition of free
Tissue Factor Pathway Inhibitor and increased thrombin generation potential as well as changes in certain haemostatic markers.
The phase 1b trial was not powered to demonstrate efficacy, but a trend towards clinically relevant reduction of bleeding frequency
was observed. Novo Nordisk plans to initiate phase 2 activities and present the clinical data at a scientific conference during
2017.
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
22
of 42
|
Sustainability UPDATE
Highlights from the Consolidated social
and environmental statements for 2016
SOCIAL PERFORMANCE
|
|
|
2016
|
|
|
|
2015
|
|
|
|
2014
|
|
|
|
2013
|
|
|
|
2012
|
|
|
|
%
change
2015 to
2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Patients
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Patients reached with diabetes care products (estimate in millions)
|
|
|
28.0
|
|
|
|
26.8
|
|
|
|
24.4
|
|
|
|
24.3
|
|
|
|
22.8
|
|
|
|
4
|
%
|
Least
developed countries where Novo Nordisk sells insulin according to the differential pricing policy
1)
|
|
|
22
|
|
|
|
23
|
|
|
|
32
|
|
|
|
35
|
|
|
|
35
|
|
|
|
-4
|
%
|
Employees
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Employees (FTEs)
|
|
|
41,971
|
|
|
|
40,638
|
|
|
|
40,957
|
2)
|
|
|
37,978
|
2)
|
|
|
34,286
|
2)
|
|
|
3
|
%
|
Employee turnover
|
|
|
9.7
|
%
|
|
|
9.2
|
%
|
|
|
9.0
|
%
|
|
|
8.1
|
%
|
|
|
9.1
|
%
|
|
|
|
|
Gender in Management (men/women)
|
|
|
59%/41
|
%
|
|
|
59%/41
|
%
|
|
|
60%/40
|
%
|
|
|
61%/39
|
%
|
|
|
61%/39
|
%
|
|
|
|
|
Working the Novo Nordisk Way (scale 1- 5)
|
|
|
4.4
|
|
|
|
4.3
|
|
|
|
4.3
|
|
|
|
4.4
|
|
|
|
4.3
|
|
|
|
|
|
Assurance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Relevant employees trained in business ethics
|
|
|
99
|
%
|
|
|
98
|
%
|
|
|
98
|
%
|
|
|
97
|
%
|
|
|
99
|
%
|
|
|
|
|
Product recalls
|
|
|
6
|
|
|
|
2
|
|
|
|
2
|
|
|
|
6
|
|
|
|
6
|
|
|
|
200
|
%
|
Failed inspections
|
|
|
0
|
|
|
|
0
|
|
|
|
0
|
|
|
|
0
|
|
|
|
1
|
|
|
|
-
|
|
Company reputation (scale 0-100)
|
|
|
79.2
|
|
|
|
82.4
|
|
|
|
80.8
|
|
|
|
82.9
|
3)
|
|
|
N/A
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ENVIRONMENTAL PERFORMANCE
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Resources
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Energy consumption (1,000 GJ)
|
|
|
2,935
|
|
|
|
2,778
|
|
|
|
2,556
|
|
|
|
2,572
|
|
|
|
2,433
|
|
|
|
6
|
%
|
Water consumption (1,000 m
3
)
|
|
|
3,293
|
|
|
|
3,131
|
|
|
|
2,959
|
|
|
|
2,685
|
|
|
|
2,475
|
|
|
|
5
|
%
|
Emissions, organic residues and waste
|
|
|
78
|
%
|
|
|
78
|
%
|
|
|
73
|
%
|
|
|
74
|
%
|
|
|
74
|
%
|
|
|
|
|
Share of renewable power for production CO2 emissions from energy consumption (1,000 tons)
|
|
|
92
|
|
|
|
107
|
|
|
|
120
|
|
|
|
125
|
|
|
|
122
|
|
|
|
-14
|
%
|
1)
|
According to the
UN there are 48 least developed countries in the world.
|
2)
|
I
ncludes
employees in NNIT A/S.
|
3)
|
Data for people with diabetes
and employees are not included due to lack of availability.
|
Social performance
Patients
Of the 415 million people living with diabetes worldwide, three out of four live in low-
and middle-income countries with weak healthcare systems, implying that millions of people have inadequate access to diabetes care.
Novo Nordisk’s strategy for global access to diabetes care addresses this unmet
need. The company’s long-term target is to reach 40 million people with its diabetes care products by 2020 - double the 2010
baseline number.
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
23
of 42
|
Novo Nordisk provided medical treatments to an estimated 28 million people with diabetes
worldwide in 2016, compared with 26.8 million in 2015. This 4% increase was driven by sales of human insulin (0.6 million people)
and modern and new-generation insulin (0.5 million people).
Current projections show that it will not be possible to reach this target. This is due
to a more challenging market environment than anticipated in 2013 when the long-term target was set. Novo Nordisk remains committed
to continuing its efforts to reach more patients and improve diabetes care. In 2016, the company announced a new Novo Nordisk Access
to Insulin Commitment with a broader scope to replace the longstanding differential pricing policy. It provides low-income countries
and humanitarian relief organisations with an effective guarantee that Novo Nordisk will ensure availability of low-priced human
insulin at a lower ceiling price than the previous pricing policy. In 2017, the price will be 4 US dollars per vial.
Novo Nordisk sold human insulin according to the company’s differential pricing
policy in 22 of the 48 Least Developed Countries in 2016, compared with 23 countries in 2015. The pricing policy is offered through
government tenders or private market distributors to all Least Developed Countries (LDCs) as defined by the UN. In 2016, the ceiling
price for insulin treatment per patient per day was USD 0.18, while the average realised price for insulin sold under the programme
was USD 0.15. The total number of people treated with insulin sold at or below the pricing policy price in the LDC’s decreased
from 411,000 in 2015 to 349,000 in 2016. Beyond this scheme, Novo Nordisk sells human insulin at similar prices in low-income countries.
In 2016, an estimated 6.5 million people were treated with insulin below the LDC ceiling price worldwide compared with 5.5 million
people in 2015.
Employees
In November 2016, Novo Nordisk reduced its global workforce by 2% across its organisation.
The decision was one of several actions to reduce operating costs in response to a challenging competitive environment, especially
in the USA. The workforce reductions affected R&D units, headquarter staff functions and positions in the global commercial
organisation mainly in the USA. At the end of 2016, the total number of employees was 42,446, corresponding to 41,971 full-time
positions, which is a 3% increase compared with 2015. The growth is primarily driven by expansion within the International Operations
sales region and in Product Supply. The employee turnover increased from 9.2% in 2015 to 9.7% in 2016.
Measured on a scale from 1 to 5, with 5 being the best score, the consolidated score
in the annual employee survey, eVoice, was 4.4 in 2016, compared with 4.3 in 2015. The survey was conducted in the second quarter
of 2016 and measures the extent to which the organisation is working in accordance with the Novo Nordisk Way. The 2016 result reflects
a strong culture and commitment to the company’s values.
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
24
of 42
|
By the end of 2016, gender diversity among managers was 59% men and 41% women. Of the
newly promoted managers, 43% were women. All management teams, from entry level upwards, strive for enhanced diversity with the
aim of ensuring a robust pipeline of talent for management positions.
The average frequency rate of occupational accidents with absence in 2016 was 3.0 per
million working hours, unchanged from 2015. One Novo Nordisk employee in Pakistan died in a work-related accident. Novo Nordisk
is working with a zero-injury mind-set and has a long-term commitment to continuously improve safety performance. The link between
company values and safety behaviour is emphasised to ensure that employees always make the safe choice.
Assurance
Novo Nordisk had six product recalls from the market in 2016, of which one was critical,
compared with two in 2015. Two of the recalls were due to inappropriate product storage in the external distribution chain while
four were due to products that did not fully meet specifications. Local health authorities were informed in all instances to ensure
that distributors, pharmacies, doctors and patients received appropriate information.
The consolidated reputation score was 79.2 in 2016, compared with 82.4 in 2015. Data
were collected from January through October 2016. Although still a strong score, the decline reflects a general trend across the
healthcare sector. Reputation among key stakeholders – people with diabetes, general practitioners, diabetes specialists
and employees – is an indicator of the extent to which the company lives up to their expectations and the likelihood that
they will trust, support and engage with the company.
Environmental performance
In line with expectations, use of resources and waste increased, while organic residues
and CO
2
emissions from energy use and product distribution decreased.
Resources
Despite a sharp focus on process optimisations, energy use increased by 6% and water
use by 5% due to increases in production, increased capacity and expansions to meet market demands. Two facilities are located
in regions subject to high water stress, consuming 6% of the total water used at Novo Nordisk sites. There were no water shortage
incidents, and overall water consumption at these facilities decreased in 2016.
Emissions, organic residues and waste
Novo Nordisk’s climate action programme aims to reduce CO
2
emissions
throughout the value chain. The current focus includes energy used in production, distribution of products, company cars and business
flights. As of 2015, indirect emissions from the supply chain are included in the climate action programme. Novo Nordisk engages
with strategic suppliers with the aim of increasing energy efficiency and shifting to renewable energy.
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
25
of 42
|
While energy consumption increased, the overall CO
2
emissions from energy
consumption decreased from 107,000 tons to 92,000 tons. This is a result of ongoing conversion to less CO
2
intensive
energy sources as part of the effort to grow the share of renewable energy. At the end of 2016, 78% of all power for production
came from renewable sources.
In 2015, Novo Nordisk set a target for all production sites to use electricity from renewable
sources by 2020. The company has signed up to the RE100 initiative, a coalition of companies, committed to 100% renewable electricity
led by The Climate Group in partnership with CDP, a not-for-profit that runs the global disclosure system for environmental impacts.
Novo Nordisk plans to set targets for other focus areas under the climate ambition programme.
The ambition is to align the targets with the goals of the Paris Agreement to keep the rise in global temperature well below 2
degrees Celsius.
Organic residues, a by-product of production of active pharmaceutical ingredients (API),
decreased slightly due to changes in the product mix of API. The energy in these residues is first recovered in biogas plants,
and the digested slurry is then used as fertiliser on local farmland.
Waste increased by 9% compared with 2015, mainly due to increased pilot production where
regeneration of ethanol is not possible. Reducing ethanol waste is a high priority for Novo Nordisk, and efficient regeneration
plants enable repeated reuse of the ethanol.
Equity
Total equity was DKK 45,269 million
at the end of 2016, equivalent to 46.4% of total assets, compared with 51.2% at the end of 2015. Please refer to appendix 5 for
further elaboration of changes in equity.
2016 share repurchase programme
On 28 October 2016, Novo Nordisk announced a share repurchase programme of up to DKK
4.5 billion to be executed from 28 October 2016 to 31 January 2017, as part of an overall 2016 programme of up to DKK 15 billion
to be executed during a 12-month period. The purpose of the programme is to reduce the company’s share capital. Under the
programme, Novo Nordisk has repurchased 18,595,694 B shares for an amount of DKK 4.5 billion in the period from 28 October 2016
to 31 January 2017. The programme was concluded on 31 January 2017.
As of 31 January 2017, Novo Nordisk A/S has repurchased a total of 49,771,031 B shares
equal to a transaction value of DKK 15.0 billion under the up to DKK 15 billion programme beginning 3 February 2016.
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
26
of 42
|
As of 31 January 2017, Novo Nordisk A/S and its wholly-owned affiliates owned 51,694,676
of its own B shares, corresponding to 2.0% of the total share capital.
Proposed final dividend of DKK 4.60 for each Novo Nordisk A and B share of DKK 0.20
At the Annual General Meeting on 23 March 2017, the Board of Directors will propose a
final dividend of DKK 4.60 for each Novo Nordisk A and B share of DKK 0.20. The total dividend for 2016 of DKK 7.60 for each Novo
Nordisk A and B share of DKK 0.20 includes both the interim dividend of DKK 3.00 for each Novo Nordisk A and B share of DKK 0.20,
which was paid in August 2016, and the proposed final dividend of DKK 4.60 for each Novo Nordisk A and B share of DKK 0.20 to be
paid in March 2017. The total dividend is hence expected to increase by 19% compared with the 2015 dividend of DKK 6.40 for each
Novo Nordisk A and B share of DKK 0.20. The total dividend for 2016 corresponds to a payout ratio of 50.2%, whereas Novo Nordisk’s
peer group of comparable pharmaceutical companies operated with a payout ratio around 56% in 2015. No dividend will be paid on
the company’s holding of own B shares.
2017 share repurchase programme
The Board of Directors has approved a new share repurchase programme of up to DKK 16
billion to be executed during the coming 12 months. The total programme may be reduced in size, if significant product in-licensing
or bolt-on acquisition opportunities arise during 2017.
As part of the up to DKK 16 billion share repurchase programme, a new share repurchase
programme for an amount of up to DKK 4.0 billion has now been initiated in accordance with Article 5 of Regulation No 596/2014
of the European Parliament and Council of 16 April 2014 (MAR). For that purpose, Novo Nordisk has appointed Nordea Danmark, subsidiary
of Nordea Bank AB (publ) as lead manager to execute the programme independently and without influence from Novo Nordisk. The purpose
of the programme is to reduce the company's share capital. Under the agreement, Nordea Danmark, subsidiary of Nordea Bank AB (publ)
will repurchase B shares on behalf of Novo Nordisk during the trading period starting today, 2 February and ending on 1 May 2017.
A maximum of 695,548 B shares can be bought during one single trading day, equal to 20% of the average daily trading volume of
Novo Nordisk B shares on Nasdaq Copenhagen during the month of January 2017, and a maximum of 41,732,880 B shares in total can
be bought during the trading period. At least once every seven trading days, Novo Nordisk will issue an announcement in respect
of the transactions made under the repurchase programme.
As announced in January 2014, Novo Nordisk’s majority shareholder Novo A/S, a holding
company fully owned by the Novo Nordisk Foundation, has informed Novo Nordisk that it intends to consider its participation in
the Novo Nordisk share repurchase programme on a case by case basis. For 2017, Novo A/S has informed Novo Nordisk that it does
not plan to participate in the share repurchase programme.
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
27
of 42
|
CORPORATE GOVERNANCE
Changes in Novo Nordisk’s management
On 1 September 2016, changes in Novo Nordisk’s management were announced and implemented.
Lars Rebien Sørensen, president and chief executive officer, who has been with
the company for 34 years and the last 16 years as CEO, retired from the company by the end of 2016. Lars Fruergaard Jørgensen,
who has been with the company for 25 years, has succeeded him, effective 1 January 2017, from a position as executive vice president
and head of Corporate Development.
As of 1 January 2017, the members of Novo Nordisk’s Executive Management are:
|
·
|
Lars Fruergaard Jørgensen, president and CEO as of 1 January 2017
|
|
·
|
Jesper Brandgaard, EVP, chief financial officer
|
|
·
|
Maziar Mike Doustdar, EVP, International Operations, based in Zurich, Switzerland
|
|
·
|
Jakob Riis, EVP, North America Operations, based in Princeton, New Jersey, United States
|
|
·
|
Mads Krogsgaard Thomsen, EVP, chief science officer
|
|
·
|
Henrik Wulff, EVP, Product Supply
|
Only Danish-based members of Executive Management are registered with the Danish Business
Authority.
Remuneration principles for executives
Novo Nordisk’s remuneration principles aim to attract, retain and motivate members
of Executive Management. Remuneration levels are designed to be competitive and to align the interests of the executives with shareholder
interests.
Long-term, share-based incentive programme for senior management
As of 2004, members of Novo Nordisk's Executive Management (seven at the end of 2016)
and other members of the Senior Management Board (33 in 2016) have participated in a performance-based incentive programme. In
the programme, a proportion of the economic profit generation for the calendar year has been allocated to a joint pool for the
participants. For 2016, the joint pool operated with a yearly maximum allocation equal to 12 months’ fixed base salary plus
pension contribution for the chief executive officer, nine months’ fixed base salary plus pension contribution for the other
members of Executive Management and eight months’ fixed base salary plus pension contribution for other members of the Senior
Management Board. Once the joint pool has been approved by the Board of Directors, the total cash amount is converted into Novo
Nordisk B shares at market price. The market price is calculated as the average trading price for Novo Nordisk B shares on Nasdaq
Copenhagen in the open trading window following the release of the full-year financial results for the year prior to the relevant
bonus year. The shares in the joint pool are locked up for a three-year
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
28
of 42
|
period before they are transferred to the participants.
In the lock-up period, the Board of Directors may remove shares from the joint pool in the event of lower than planned economic
profit generation during such lock-up period.
For 2013, 245,520 shares were allocated to the joint pool and the value at launch of
the programme (DKK 51 million) was expensed in 2013. The number of shares in the 2013 joint pool has not subsequently been reduced
by the Board of Directors as the financial performance in the following years (2014–2016) reached specified threshold levels.
Hence, the original number of shares allocated to the joint pool will, according to the principles of the scheme, be transferred
to 33 current and former members of senior management immediately after the announcement of the 2016 full-year financial results
on 2 February 2017.
In 2016, Novo Nordisk marginally exceeded the planned incentive target for economic profit
generation by 1.8% primarily due to a favourable net impact from currencies and a lower than planned level of average invested
capital. Sales were 1.3% below the target level in local currencies. Some of the of non-financial targets were not met; due to
among others, the complete response letter received for fast-acting insulin aspart in the USA, slower progress of the early-stage
research portfolio than planned, the critical product recall of GlucaGen
®
Hypokit
®
across 31 countries
and a lower than targeted reputation amongst key stakeholders. On this basis, 27% of the maximum share allocation will be granted
to the participants in the long-term share-based incentive programme.
The Board of Directors on 1 February 2017 consequently approved the establishment of
a joint pool for the financial year of 2016 by allocating a total of 96,705 Novo Nordisk B shares. This allocation amounts to 3.2
months of fixed base salary plus pension contribution for the chief executive officer, 2.4 months of fixed base salary plus pension
contribution for the other members of Executive Management as per 1 March 2016 and 2.1 months of fixed base salary plus pension
contribution for senior vice presidents as per 1 March 2016, corresponding to a value at launch of the programme of DKK 29 million,
which has been expensed in the 2016 accounts. According to the principles of the programme, the share price used for the conversion
of the performance programme to the share pool was the average share price (DKK 330 per share of DKK 0.20) for Novo Nordisk B shares
on Nasdaq Copenhagen in the 15 days trading window (3 February–17 February 2016) following the release of the annual report
for 2015 when the programme was approved by the Board of Directors.
Long-term, share-based incentive programme for corporate vice presidents and vice
presidents
As of 2007, a number of key employees below senior management also participate in a share-based
programme with similar performance criteria as the programme for senior management. The share-based incentive programme for key
employees will, as is the case for the programme for senior management, be based on an annual calculation of economic profit generation
compared to the planned performance for the year. At the beginning of each year, the Board of Directors defines a maximum number
of shares per
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
29
of 42
|
participant targeting around three to four months of fixed base salary. The shares in
the pool are also locked up for a three-year period before they may be transferred to the participants.
For 2013, 622,190 shares were allocated to a share pool for key employees, and the value
at launch of the programme (DKK 126 million) has been amortised over the period 2013–2016. The number of shares in the 2013
share pool has not subsequently been reduced by the Board of Directors as the financial performance in the following years (2014–2016)
reached specified threshold levels. 501,824 shares will be transferred to 657 employees after the announcement of the 2016 full-year
financial results on 2 February 2017. The number of shares to be transferred is lower than the original number of shares allocated
to the share pool as some participants have left the company before the release conditions of the programme have been met.
For 2016, based on an assessment similar to the senior management programme, the Board
of Directors on 1 February 2017 approved the establishment of a share pool for 2016 for key employees by allocating a total of
224,055 Novo Nordisk B shares. This allocation corresponds to a value at launch of the programme of DKK 68 million using the same
share price mechanism as described for the senior management programme. The value of the programme will be amortised over four
years. The number of participants for 2016 is approximately 950.
It is planned to continue the long-term share-based incentive programmes for both senior
management and other key employees in 2017. It will be proposed to the Annual Shareholders Meeting to change the target structure
of the program. A separate sales target will be introduced, and the pool structure for Senior Management is abolished.
Legal matters
Product liability lawsuits related to Victoza
®
As of 30 January 2017, Novo Nordisk, along with the majority of incretin-based product
manufacturers in the USA, is a defendant in product liability lawsuits related to use of incretin-based medications. To date, 224
plaintiffs have named Novo Nordisk in product liability lawsuits, predominantly claiming damages for pancreatic cancer that allegedly
developed as a result of using Victoza
®
and other GLP-1/DPP-IV products. 149 of the Novo Nordisk plaintiffs have
also named other defendants in their lawsuits. Most Novo Nordisk plaintiffs have filed suit in California federal and state courts.
In November 2015, the California federal and state courts overseeing the vast majority
of cases in the incretin-based products liability litigation issued an order granting the defendants’ motion for summary
judgment on federal pre-emption in all pancreatic cancer cases before those courts as of mid-Q4 2015. As a result of these rulings,
219 of the pancreatic cancer claims naming Novo Nordisk have been dismissed or stayed pending the outcome of an appeal. Currently,
Novo Nordisk does not have any individual trials scheduled in 2017. Novo Nordisk does not expect the pending claims to have a material
impact on its financial position, operating profit and cash flow.
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
30
of 42
|
Securities class-action law suit filed against Novo Nordisk A/S
On 11 January 2017, a class-action lawsuit was filed against Novo Nordisk A/S, former
Chief Executive Officer Lars Rebien Sørensen and Chief Financial Officer Jesper Brandgaard in the United States District
Court for the District of New Jersey by the Lehigh County Employees’ Retirement System on behalf of all purchasers of Novo
Nordisk American Depository Receipts (ADRs) between April 2015 and October 2016. The lawsuit alleges that Novo Nordisk colluded
with other insulin manufacturers to increase drug prices, artificially inflated its financial results and made materially misleading
statements to potential investors. Subsequently, two other class-action lawsuits were filed against Novo Nordisk A/S, former Chief
Executive Officer Lars Rebien Sørensen and Chief Financial Officer Jesper Brandgaard, in the same court. These lawsuits
contain broadly similar allegations as the lawsuit filed on 11 January 2017. Novo Nordisk does not expect the litigation to have
a material impact on Novo Nordisk’s financial position, operating profit or cash flow.
State of Minnesota’s Civil Investigative Demand on long-acting insulin pricing
and trade practices
On 18 January 2017, Novo Nordisk Inc. received a Civil Investigative Demand from the
Minnesota State Attorney General’s office calling for the production of documents and information relating to pricing and
trade practices for Novo Nordisk’s long-acting insulin products, including Levemir
®
and Tresiba
®
,
from 1 January 2008 until now. Novo Nordisk is cooperating with the Minnesota Attorney General in this investigation and does not
expect the investigation to have a material impact on Novo Nordisk’s financial position, operating profit or cash flow.
Teva Pharmaceuticals has filed an Abbreviated New Drug Application for liraglutide
with the US FDA
In January 2017, Teva Pharmaceuticals notified Novo Nordisk, that it had filed an Abbreviated
New Drug Application (ANDA) for liraglutide with the US FDA. According to Teva, the ANDA contains Paragraph IV certifications to
obtain approval to engage in the commercial manufacture, use, or sale of liraglutide before the expiration of five of the nine
patents listed for liraglutide in the Orange Book with expiration dates ranging from January 2021 until September 2032 including
the drug substance patent expiring August 2022. Teva has not made any allegations challenging the four remaining listed patents
for liraglutide, which have expiration dates ranging from August 2017 until January 2019. Novo Nordisk is currently assessing its
legal options, which could lead to litigation against Teva. Novo Nordisk does not expect the matter to have a material impact on
Novo Nordisk’s financial position, operating profit or cash flow.
Class-action lawsuit filed against Novo Nordisk Inc and other insulin manufacturers
on insulin pricing
On 30 January 2017, a class-action lawsuit was filed against Novo Nordisk Inc, Eli Lilly
and Company and Sanofi US in the United States District Court for the District of Massachusetts on behalf of a U.S. class of purchasers
of insulin products, who allege that their out-of-pocket costs for insulin products (NovoLog
®
and Levemir
®
for Novo
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
31
of 42
|
Nordisk) were based on artificially inflated benchmark prices. The lawsuit alleges that insulin manufacturers, including
Novo Nordisk, negotiated significantly discounted prices with Pharmacy Benefit Managers at the expense of the class members and
concealed the existence of these rebates. Novo Nordisk does not expect the litigation to have a material impact on Novo Nordisk’s
financial position, operating profit or cash flow.
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
32
of 42
|
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 2016
and Form 20-F, both
expected to be filed with the SEC in February 2017, 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:
|
Ÿ
|
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
|
|
Ÿ
|
statements containing projections of or targets for revenues, costs, income (or loss), earnings per share, capital expenditures,
dividends, capital structure, net financial and other financial measures
|
|
Ÿ
|
statements regarding future economic performance, future actions and outcome of contingencies such as legal proceedings
|
|
Ÿ
|
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’, Equity’ and ‘Legal matters’.
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, including 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, 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, 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, unexpected growth in costs and expenses, failure to recruit and retain the right employees,
and failure to maintain a culture of compliance.
Please also refer to the overview of risk factors in ‘Risk Management: Protecting
long-term value creation’ on pp 40–43 of the statutory
Annual Report 2016
available on novonordisk.com.
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
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
33
of 42
|
Management statement
The Board of Directors and Executive Management have approved the
Annual Report 2016
of Novo Nordisk A/S – including the audited consolidated financial statements. The Board of Directors and Executive Management
also approved this financial statement containing condensed financial information for 2016.
The consolidated financial statements in the
Annual Report 2016
have been prepared
in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board
(IASB) and with the IFRS as endorsed by the EU. Furthermore, the
Annual Report 2016
, including the consolidated financial
statements and management review, is prepared in accordance with additional Danish disclosure requirements for listed companies
and in accordance with the International Integrated Reporting Framework.
This financial statement has been prepared in accordance with the recognition and measurement
requirements in the IFRS, the accounting policies as applied in the audited consolidated financial statements of 2016 and additional
Danish disclosure requirements for listed companies.
In our opinion, the accounting policies used are appropriate, and the overall presentation
of this financial statement is adequate. Furthermore, in our opinion, this company announcement of the financial statement for
2016 includes a true and fair account of the development in the operations and financial circumstances of the results for the year
and of the financial position of the Group as well as a reference to the most significant risks and elements of uncertainty facing
the Group in accordance with Danish disclosure requirements for listed companies.
Bagsværd, 2 February 2017
Executive Management:
|
|
|
|
|
|
Lars Fruergaard Jørgensen
|
Jesper Brandgaard
|
Mads Krogsgaard Thomsen
|
President and CEO
|
CFO
|
|
|
|
|
Henrik Wulff
|
|
|
|
|
|
Board of Directors:
|
|
|
|
|
|
Göran Ando
|
Jeppe Christiansen
|
Bruno Angelici
|
Chairman
|
Vice chairman
|
|
|
|
|
Brian Daniels
|
Sylvie Grégoire
|
Liz Hewitt
|
|
|
|
Liselotte Hyveled
|
Anne Marie Kverneland
|
Søren Thuesen Pedersen
|
|
|
|
Stig Strøbæk
|
Mary Szela
|
|
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
34
of 42
|
Financial
information
Appendix
1: Quarterly numbers in DKK (unaudited)
(Amounts in DKK million, except number of full-time equivalent employees, earnings per share and number of shares outstanding).
|
|
|
2016
|
|
2015
|
|
|
%
change
Q4 2016 vs
|
|
|
|
Q4
|
|
Q3
|
|
Q2
|
|
Q1
|
|
Q4
|
|
Q3
|
|
Q2
|
|
Q1
|
|
|
Q4
2015
|
|
Net sales
|
|
|
29,572
|
|
|
|
27,537
|
|
|
|
27,459
|
|
|
|
27,212
|
|
|
|
28,876
|
|
|
|
26,792
|
|
|
|
27,059
|
|
|
|
25,200
|
|
|
|
2
|
%
|
Gross profit
|
|
|
24,654
|
|
|
|
23,551
|
|
|
|
23,414
|
|
|
|
22,978
|
|
|
|
24,268
|
|
|
|
22,945
|
|
|
|
23,200
|
|
|
|
21,326
|
|
|
|
2
|
%
|
Gross margin
|
|
|
83.4
|
%
|
|
|
85.5
|
%
|
|
|
85.3
|
%
|
|
|
84.4
|
%
|
|
|
84.0
|
%
|
|
|
85.6
|
%
|
|
|
85.7
|
%
|
|
|
84.6
|
%
|
|
|
|
|
Sales and distribution costs
|
|
|
7,909
|
|
|
|
6,860
|
|
|
|
6,867
|
|
|
|
6,741
|
|
|
|
8,039
|
|
|
|
6,951
|
|
|
|
7,175
|
|
|
|
6,147
|
|
|
|
(2
|
%)
|
Percentage of sales
|
|
|
26.7
|
%
|
|
|
24.9
|
%
|
|
|
25.0
|
%
|
|
|
24.8
|
%
|
|
|
27.8
|
%
|
|
|
25.9
|
%
|
|
|
26.5
|
%
|
|
|
24.4
|
%
|
|
|
|
|
Research and development costs
|
|
|
4,470
|
|
|
|
3,458
|
|
|
|
3,331
|
|
|
|
3,304
|
|
|
|
4,034
|
|
|
|
3,289
|
|
|
|
3,035
|
|
|
|
3,250
|
|
|
|
11
|
%
|
Percentage of sales
|
|
|
15.1
|
%
|
|
|
12.6
|
%
|
|
|
12.1
|
%
|
|
|
12.1
|
%
|
|
|
14.0
|
%
|
|
|
12.3
|
%
|
|
|
11.2
|
%
|
|
|
12.9
|
%
|
|
|
|
|
Administrative costs
|
|
|
1,166
|
|
|
|
1,015
|
|
|
|
873
|
|
|
|
908
|
|
|
|
1,164
|
|
|
|
952
|
|
|
|
887
|
|
|
|
854
|
|
|
|
0
|
%
|
Percentage of sales
|
|
|
3.9
|
%
|
|
|
3.7
|
%
|
|
|
3.2
|
%
|
|
|
3.3
|
%
|
|
|
4.0
|
%
|
|
|
3.6
|
%
|
|
|
3.3
|
%
|
|
|
3.4
|
%
|
|
|
|
|
Other operating income, net
|
|
|
97
|
|
|
|
202
|
|
|
|
154
|
|
|
|
284
|
|
|
|
94
|
|
|
|
227
|
|
|
|
379
|
|
|
|
2,782
|
|
|
|
3
|
%
|
- Non-recurring income from the partial divestment of NNIT A/S
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
2,376
|
|
|
|
N/A
|
|
Operating profit
|
|
|
11,206
|
|
|
|
12,420
|
|
|
|
12,497
|
|
|
|
12,309
|
|
|
|
11,125
|
|
|
|
11,980
|
|
|
|
12,482
|
|
|
|
13,857
|
|
|
|
1
|
%
|
Operating margin
|
|
|
37.9
|
%
|
|
|
45.1
|
%
|
|
|
45.5
|
%
|
|
|
45.2
|
%
|
|
|
38.5
|
%
|
|
|
44.7
|
%
|
|
|
46.1
|
%
|
|
|
55.0
|
%
|
|
|
|
|
Financial income
|
|
|
(21
|
)
|
|
|
(3
|
)
|
|
|
93
|
|
|
|
23
|
|
|
|
18
|
|
|
|
9
|
|
|
|
(227
|
)
|
|
|
285
|
|
|
|
(217
|
%)
|
Financial expenses
|
|
|
243
|
|
|
|
116
|
|
|
|
(12
|
)
|
|
|
379
|
|
|
|
829
|
|
|
|
1,853
|
|
|
|
1,707
|
|
|
|
1,657
|
|
|
|
(71
|
%)
|
Financial items (net)
|
|
|
(264
|
)
|
|
|
(119
|
)
|
|
|
105
|
|
|
|
(356
|
)
|
|
|
(811
|
)
|
|
|
(1,844
|
)
|
|
|
(1,934
|
)
|
|
|
(1,372
|
)
|
|
|
(67
|
%)
|
Profit before income taxes
|
|
|
10,942
|
|
|
|
12,301
|
|
|
|
12,602
|
|
|
|
11,953
|
|
|
|
10,314
|
|
|
|
10,136
|
|
|
|
10,548
|
|
|
|
12,485
|
|
|
|
6
|
%
|
Income taxes
|
|
|
2,243
|
|
|
|
2,498
|
|
|
|
2,634
|
|
|
|
2,498
|
|
|
|
2,056
|
|
|
|
1,753
|
|
|
|
2,205
|
|
|
|
2,609
|
|
|
|
9
|
%
|
Net profit
|
|
|
8,699
|
|
|
|
9,803
|
|
|
|
9,968
|
|
|
|
9,455
|
|
|
|
8,258
|
|
|
|
8,383
|
|
|
|
8,343
|
|
|
|
9,876
|
|
|
|
5
|
%
|
Depreciation, amortisation and impairment losses
|
|
|
1,116
|
|
|
|
736
|
|
|
|
717
|
|
|
|
624
|
|
|
|
1,015
|
|
|
|
633
|
|
|
|
648
|
|
|
|
663
|
|
|
|
10
|
%
|
Capital expenditure (net)
|
|
|
2,502
|
|
|
|
1,784
|
|
|
|
1,684
|
|
|
|
1,091
|
|
|
|
2,181
|
|
|
|
1,246
|
|
|
|
1,018
|
|
|
|
764
|
|
|
|
15
|
%
|
Net cash generated from operating activities
|
|
|
11,153
|
|
|
|
15,189
|
|
|
|
14,497
|
|
|
|
7,475
|
|
|
|
10,119
|
|
|
|
12,088
|
|
|
|
11,974
|
|
|
|
4,106
|
|
|
|
10
|
%
|
Free cash flow
|
|
|
8,388
|
|
|
|
12,501
|
|
|
|
12,743
|
|
|
|
6,359
|
|
|
|
6,942
|
|
|
|
10,807
|
|
|
|
10,830
|
|
|
|
5,643
|
|
|
|
21
|
%
|
Total assets
|
|
|
97,539
|
|
|
|
87,340
|
|
|
|
88,269
|
|
|
|
82,368
|
|
|
|
91,799
|
|
|
|
85,195
|
|
|
|
81,313
|
|
|
|
77,457
|
|
|
|
6
|
%
|
Total equity
|
|
|
45,269
|
|
|
|
41,327
|
|
|
|
42,585
|
|
|
|
37,284
|
|
|
|
46,969
|
|
|
|
43,109
|
|
|
|
39,111
|
|
|
|
32,108
|
|
|
|
(4
|
%)
|
Equity ratio
|
|
|
46.4
|
%
|
|
|
47.3
|
%
|
|
|
48.2
|
%
|
|
|
45.3
|
%
|
|
|
51.2
|
%
|
|
|
50.6
|
%
|
|
|
48.1
|
%
|
|
|
41.5
|
%
|
|
|
|
|
Full-time equivalent employees end of period
|
|
|
41,971
|
|
|
|
42,605
|
|
|
|
42,265
|
|
|
|
41,571
|
|
|
|
40,638
|
|
|
|
40,261
|
|
|
|
39,658
|
|
|
|
39,062
|
|
|
|
3
|
%
|
Basic earnings per share/ADR (in DKK)
|
|
|
3.46
|
|
|
|
3.88
|
|
|
|
3.93
|
|
|
|
3.72
|
|
|
|
3.25
|
|
|
|
3.27
|
|
|
|
3.24
|
|
|
|
3.80
|
|
|
|
6
|
%
|
Diluted earnings per share/ADR (in DKK)
|
|
|
3.46
|
|
|
|
3.87
|
|
|
|
3.92
|
|
|
|
3.71
|
|
|
|
3.24
|
|
|
|
3.26
|
|
|
|
3.23
|
|
|
|
3.79
|
|
|
|
7
|
%
|
Average number of shares outstanding (million)
|
|
|
2,512.6
|
|
|
|
2,526.5
|
|
|
|
2,536.3
|
|
|
|
2,544.3
|
|
|
|
2,553.2
|
|
|
|
2,565.9
|
|
|
|
2,578.1
|
|
|
|
2,596.7
|
|
|
|
(2
|
%)
|
Average number of diluted shares
outstanding (million)
|
|
|
2,517.1
|
|
|
|
2,530.9
|
|
|
|
2,540.8
|
|
|
|
2,550.1
|
|
|
|
2,559.7
|
|
|
|
2,571.8
|
|
|
|
2,584.1
|
|
|
|
2,604.2
|
|
|
|
(2
|
%)
|
Sales by business segment:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New-generation insulin
|
|
|
1,707
|
|
|
|
1,143
|
|
|
|
983
|
|
|
|
626
|
|
|
|
461
|
|
|
|
376
|
|
|
|
330
|
|
|
|
271
|
|
|
|
270
|
%
|
Modern insulin (insulin analogues)
|
|
|
12,219
|
|
|
|
11,770
|
|
|
|
11,806
|
|
|
|
11,715
|
|
|
|
13,562
|
|
|
|
12,500
|
|
|
|
12,604
|
|
|
|
11,498
|
|
|
|
(10
|
%)
|
Human insulin
|
|
|
2,938
|
|
|
|
2,760
|
|
|
|
2,667
|
|
|
|
2,725
|
|
|
|
2,778
|
|
|
|
2,772
|
|
|
|
2,784
|
|
|
|
2,897
|
|
|
|
6
|
%
|
Victoza®
|
|
|
5,397
|
|
|
|
5,106
|
|
|
|
4,952
|
|
|
|
4,591
|
|
|
|
4,904
|
|
|
|
4,680
|
|
|
|
4,486
|
|
|
|
3,957
|
|
|
|
10
|
%
|
Other diabetes and obesity care
|
|
|
1,566
|
|
|
|
1,513
|
|
|
|
1,391
|
|
|
|
1,374
|
|
|
|
1,237
|
|
|
|
1,223
|
|
|
|
1,075
|
|
|
|
1,195
|
|
|
|
27
|
%
|
Diabetes and obesity care total
|
|
|
23,827
|
|
|
|
22,292
|
|
|
|
21,799
|
|
|
|
21,031
|
|
|
|
22,942
|
|
|
|
21,551
|
|
|
|
21,279
|
|
|
|
19,818
|
|
|
|
4
|
%
|
Haemophilia
|
|
|
2,821
|
|
|
|
2,285
|
|
|
|
2,530
|
|
|
|
2,836
|
|
|
|
2,785
|
|
|
|
2,371
|
|
|
|
2,757
|
|
|
|
2,734
|
|
|
|
1
|
%
|
Norditropin® (human growth hormone)
|
|
|
2,202
|
|
|
|
2,003
|
|
|
|
2,158
|
|
|
|
2,407
|
|
|
|
2,065
|
|
|
|
1,842
|
|
|
|
2,083
|
|
|
|
1,830
|
|
|
|
7
|
%
|
Other biopharmaceuticals
|
|
|
722
|
|
|
|
957
|
|
|
|
972
|
|
|
|
938
|
|
|
|
1,084
|
|
|
|
1,028
|
|
|
|
940
|
|
|
|
818
|
|
|
|
(33
|
%)
|
Biopharmaceuticals total
|
|
|
5,745
|
|
|
|
5,245
|
|
|
|
5,660
|
|
|
|
6,181
|
|
|
|
5,934
|
|
|
|
5,241
|
|
|
|
5,780
|
|
|
|
5,382
|
|
|
|
(3
|
%)
|
Sales by geographic segment:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
USA
|
|
|
15,343
|
|
|
|
14,174
|
|
|
|
13,947
|
|
|
|
13,730
|
|
|
|
15,169
|
|
|
|
13,939
|
|
|
|
13,820
|
|
|
|
12,011
|
|
|
|
1
|
%
|
Europe
|
|
|
5,275
|
|
|
|
5,093
|
|
|
|
5,298
|
|
|
|
5,016
|
|
|
|
5,399
|
|
|
|
5,200
|
|
|
|
5,222
|
|
|
|
4,977
|
|
|
|
(2
|
%)
|
International Operations
|
|
|
3,877
|
|
|
|
3,326
|
|
|
|
3,331
|
|
|
|
3,516
|
|
|
|
3,681
|
|
|
|
3,111
|
|
|
|
3,596
|
|
|
|
3,423
|
|
|
|
5
|
%
|
Region China
|
|
|
2,540
|
|
|
|
2,534
|
|
|
|
2,509
|
|
|
|
2,875
|
|
|
|
2,325
|
|
|
|
2,415
|
|
|
|
2,284
|
|
|
|
2,847
|
|
|
|
9
|
%
|
Pacific
|
|
|
2,537
|
|
|
|
2,410
|
|
|
|
2,374
|
|
|
|
2,075
|
|
|
|
2,302
|
|
|
|
2,127
|
|
|
|
2,137
|
|
|
|
1,942
|
|
|
|
10
|
%
|
Segment operating profit:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diabetes and obesity care
|
|
|
8,575
|
|
|
|
9,874
|
|
|
|
9,229
|
|
|
|
8,424
|
|
|
|
8,153
|
|
|
|
9,085
|
|
|
|
8,713
|
|
|
|
7,950
|
|
|
|
5
|
%
|
Biopharmaceuticals
|
|
|
2,631
|
|
|
|
2,546
|
|
|
|
3,268
|
|
|
|
3,885
|
|
|
|
2,972
|
|
|
|
2,895
|
|
|
|
3,769
|
|
|
|
3,531
|
|
|
|
(11
|
%)
|
Income from the initial public offering of NNIT A/S (unallocated to segments)
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
2,376
|
|
|
|
N/A
|
|
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
35
of 42
|
Appendix
2: Income statement and statement of comprehensive income
|
|
|
|
|
DKK million
|
|
|
2016
|
|
|
|
2015
|
|
|
|
|
|
|
|
|
|
|
Income statement
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net sales
|
|
|
111,780
|
|
|
|
107,927
|
|
Cost of goods sold
|
|
|
17,183
|
|
|
|
16,188
|
|
Gross profit
|
|
|
94,597
|
|
|
|
91,739
|
|
|
|
|
|
|
|
|
|
|
Sales and distribution costs
|
|
|
28,377
|
|
|
|
28,312
|
|
Research and development costs
|
|
|
14,563
|
|
|
|
13,608
|
|
Administrative costs
|
|
|
3,962
|
|
|
|
3,857
|
|
Other operating income, net
|
|
|
737
|
|
|
|
3,482
|
|
- Non-recurring income from the partial divestment of NNIT A/S
|
|
|
-
|
|
|
|
2,376
|
|
Operating profit
|
|
|
48,432
|
|
|
|
49,444
|
|
|
|
|
|
|
|
|
|
|
Financial income
|
|
|
92
|
|
|
|
85
|
|
Financial expenses
|
|
|
726
|
|
|
|
6,046
|
|
Profit before income taxes
|
|
|
47,798
|
|
|
|
43,483
|
|
|
|
|
|
|
|
|
|
|
Income taxes
|
|
|
9,873
|
|
|
|
8,623
|
|
NET PROFIT
|
|
|
37,925
|
|
|
|
34,860
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per share (DKK)
|
|
|
14.99
|
|
|
|
13.56
|
|
Diluted earnings per share (DKK)
|
|
|
14.96
|
|
|
|
13.52
|
|
|
|
|
|
|
|
|
|
|
Segment Information
|
|
|
|
|
|
|
|
|
Segment sales:
|
|
|
|
|
|
|
|
|
Diabetes and obesity care
|
|
|
88,949
|
|
|
|
85,590
|
|
Biopharmaceuticals
|
|
|
22,831
|
|
|
|
22,337
|
|
|
|
|
|
|
|
|
|
|
Segment and operating profit:
|
|
|
|
|
|
|
|
|
Diabetes and obesity care
|
|
|
36,102
|
|
|
|
33,901
|
|
Operating margin
|
|
|
40.6
|
%
|
|
|
39.6
|
%
|
Biopharmaceuticals
|
|
|
12,330
|
|
|
|
13,167
|
|
Operating margin
|
|
|
54.0
|
%
|
|
|
58.9
|
%
|
Income from the initial public offering of NNIT A/S (unallocated to segments)
|
|
|
-
|
|
|
|
2,376
|
|
Total segment operating profit
|
|
|
48,432
|
|
|
|
49,444
|
|
|
|
|
|
|
|
|
|
|
Statement of comprehensive income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net profit for the year
|
|
|
37,925
|
|
|
|
34,860
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive income
|
|
|
|
|
|
|
|
|
Items that will not subsequently be reclassified to the Income statement
|
|
|
|
|
|
|
|
|
Remeasurements on defined benefit plans
|
|
|
(205
|
)
|
|
|
(37
|
)
|
|
|
|
|
|
|
|
|
|
Items that will be reclassified subsequently to the Income statement
|
|
|
|
|
|
|
|
|
Exchange rate adjustments of investments in subsidiaries
|
|
|
(7
|
)
|
|
|
(669
|
)
|
Cash flow hedges, realisation of previously deferred (gains)/losses
|
|
|
682
|
|
|
|
2,216
|
|
Cash flow hedges, deferred gains/(losses) incurred during the period
|
|
|
(1,911
|
)
|
|
|
(681
|
)
|
Other items
|
|
|
(74
|
)
|
|
|
366
|
|
Tax on other comprehensive income, income/(expense)
|
|
|
324
|
|
|
|
(87
|
)
|
Other comprehensive income for the year, net of tax
|
|
|
(1,191
|
)
|
|
|
1,108
|
|
|
|
|
|
|
|
|
|
|
TOTAL COMPREHENSIVE INCOME FOR THE YEAR
|
|
|
36,734
|
|
|
|
35,968
|
|
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
36
of 42
|
Appendix
3: Balance sheet
DKK million
|
|
|
31 Dec 2016
|
|
|
|
31 Dec 2015
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Intangible assets
|
|
|
2,714
|
|
|
|
2,158
|
|
Property, plant and equipment
|
|
|
30,179
|
|
|
|
25,545
|
|
Investment in associated company
|
|
|
809
|
|
|
|
811
|
|
Deferred income tax assets
|
|
|
2,683
|
|
|
|
6,806
|
|
Other financial assets
|
|
|
1,388
|
|
|
|
1,339
|
|
TOTAL NON-CURRENT ASSETS
|
|
|
37,773
|
|
|
|
36,659
|
|
|
|
|
|
|
|
|
|
|
Inventories
|
|
|
14,341
|
|
|
|
12,758
|
|
Trade receivables
|
|
|
20,234
|
|
|
|
15,485
|
|
Tax receivables
|
|
|
1,552
|
|
|
|
3,871
|
|
Other receivables and prepayments
|
|
|
2,411
|
|
|
|
2,257
|
|
Marketable securities
|
|
|
2,009
|
|
|
|
3,542
|
|
Derivative financial instruments
|
|
|
529
|
|
|
|
304
|
|
Cash at bank
|
|
|
18,690
|
|
|
|
16,923
|
|
TOTAL CURRENT ASSETS
|
|
|
59,766
|
|
|
|
55,140
|
|
|
|
|
|
|
|
|
|
|
TOTAL ASSETS
|
|
|
97,539
|
|
|
|
91,799
|
|
|
|
|
|
|
|
|
|
|
EQUITY
AND LIABILITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Share capital
|
|
|
510
|
|
|
|
520
|
|
Treasury shares
|
|
|
(9
|
)
|
|
|
(10
|
)
|
Retained earnings
|
|
|
46,111
|
|
|
|
46,816
|
|
Other reserves
|
|
|
(1,343
|
)
|
|
|
(357
|
)
|
TOTAL EQUITY
|
|
|
45,269
|
|
|
|
46,969
|
|
|
|
|
|
|
|
|
|
|
Deferred income tax liabilities
|
|
|
13
|
|
|
|
6
|
|
Retirement benefit obligations
|
|
|
1,451
|
|
|
|
1,186
|
|
Provisions
|
|
|
3,370
|
|
|
|
2,765
|
|
Total non-current liabilities
|
|
|
4,834
|
|
|
|
3,957
|
|
|
|
|
|
|
|
|
|
|
Current debt
|
|
|
229
|
|
|
|
1,073
|
|
Trade payables
|
|
|
6,011
|
|
|
|
4,927
|
|
Tax payables
|
|
|
3,976
|
|
|
|
3,777
|
|
Other liabilities
|
|
|
14,181
|
|
|
|
12,655
|
|
Derivative financial instruments
|
|
|
2,578
|
|
|
|
1,382
|
|
Provisions
|
|
|
20,461
|
|
|
|
17,059
|
|
Total current liabilities
|
|
|
47,436
|
|
|
|
40,873
|
|
|
|
|
|
|
|
|
|
|
TOTAL LIABILITIES
|
|
|
52,270
|
|
|
|
44,830
|
|
|
|
|
|
|
|
|
|
|
TOTAL EQUITY AND LIABILITIES
|
|
|
97,539
|
|
|
|
91,799
|
|
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
37
of 42
|
Appendix
4: Statement of cash flows
DKK million
|
|
|
2016
|
|
|
|
2015
|
|
|
|
|
|
|
Net profit
|
|
|
37,925
|
|
|
|
34,860
|
|
|
|
|
|
|
|
|
|
|
Adjustment for non-cash items:
|
|
|
|
|
|
|
|
|
Income taxes in the Income Statement
|
|
|
9,873
|
|
|
|
8,623
|
|
Depreciation, amortisation and impairment losses
|
|
|
3,193
|
|
|
|
2,959
|
|
NNIT non-recurring income included in 'other operating income'
|
|
|
-
|
|
|
|
(2,526
|
)
|
Other non-cash items
|
|
|
3,882
|
|
|
|
5,908
|
|
Change in working capital
|
|
|
(3,708
|
)
|
|
|
(2,157
|
)
|
Interest received
|
|
|
114
|
|
|
|
55
|
|
Interest paid
|
|
|
(66
|
)
|
|
|
(61
|
)
|
Income taxes paid
|
|
|
(2,899
|
)
|
|
|
(9,374
|
)
|
Net cash generated from operating activities
|
|
|
48,314
|
|
|
|
38,287
|
|
|
|
|
|
|
|
|
|
|
Proceeds from the partial divestment of NNIT A/S
|
|
|
-
|
|
|
|
2,303
|
|
Purchase of intangible assets
|
|
|
(1,199
|
)
|
|
|
(1,182
|
)
|
Proceeds from sale of property, plant and equipment
|
|
|
7
|
|
|
|
15
|
|
Purchase of property, plant and equipment
|
|
|
(7,068
|
)
|
|
|
(5,224
|
)
|
Proceeds from other financial assets
|
|
|
23
|
|
|
|
32
|
|
Purchase of other financial assets
|
|
|
(112
|
)
|
|
|
(9
|
)
|
Sale of marketable securities
|
|
|
2,064
|
|
|
|
1,500
|
|
Purchase of marketable securities
|
|
|
(531
|
)
|
|
|
(3,533
|
)
|
Dividend received from associated company
|
|
|
26
|
|
|
|
-
|
|
Net cash used in investing activities
|
|
|
(6,790
|
)
|
|
|
(6,098
|
)
|
|
|
|
|
|
|
|
|
|
Purchase of treasury shares, net
|
|
|
(15,057
|
)
|
|
|
(17,196
|
)
|
Dividends paid
|
|
|
(23,830
|
)
|
|
|
(12,905
|
)
|
Net cash used in financing activities
|
|
|
(38,887
|
)
|
|
|
(30,101
|
)
|
|
|
|
|
|
|
|
|
|
NET CASH GENERATED FROM ACTIVITIES
|
|
|
2,637
|
|
|
|
2,088
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents at the beginning of the year
|
|
|
15,850
|
|
|
|
13,676
|
|
Exchange gain/(loss) on cash and cash equivalents
|
|
|
(26
|
)
|
|
|
86
|
|
Cash and cash equivalents at the end of the period
|
|
|
18,461
|
|
|
|
15,850
|
|
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
38
of 42
|
Appendix
5: Statement of changes in equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other reserves
|
|
|
|
|
DKK million
|
|
|
Share
capital
|
|
|
|
Treasury
shares
|
|
|
|
Retained
earnings
|
|
|
|
Exchange
rate adjust-
ments
|
|
|
|
Cash flow
hedges
|
|
|
|
Tax and
other
adjust-
ments
|
|
|
|
Total other
reserves
|
|
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at the beginning of the year
|
|
|
520
|
|
|
|
(10
|
)
|
|
|
46,816
|
|
|
|
(917
|
)
|
|
|
(686
|
)
|
|
|
1,246
|
|
|
|
(357
|
)
|
|
|
46,969
|
|
Net profit for the year
|
|
|
|
|
|
|
|
|
|
|
37,925
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
37,925
|
|
Other comprehensive income for the year
|
|
|
|
|
|
|
|
|
|
|
(205
|
)
|
|
|
(7
|
)
|
|
|
(1,229
|
)
|
|
|
250
|
|
|
|
(986
|
)
|
|
|
(1,191
|
)
|
Total comprehensive income for the year
|
|
|
|
|
|
|
|
|
|
|
37,720
|
|
|
|
(7
|
)
|
|
|
(1,229
|
)
|
|
|
250
|
|
|
|
(986
|
)
|
|
|
36,734
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transactions with owners:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends
|
|
|
|
|
|
|
|
|
|
|
(23,830
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(23,830
|
)
|
Share-based payments
|
|
|
|
|
|
|
|
|
|
|
368
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
368
|
|
Tax related to restricted stock units
|
|
|
|
|
|
|
|
|
|
|
85
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
85
|
|
Purchase of treasury shares
|
|
|
|
|
|
|
(9
|
)
|
|
|
(15,048
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(15,057
|
)
|
Reduction of the B share capital
|
|
|
(10
|
)
|
|
|
10
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
-
|
|
Balance at the end of the year
|
|
|
510
|
|
|
|
(9
|
)
|
|
|
46,111
|
|
|
|
(924
|
)
|
|
|
(1,915
|
)
|
|
|
1,496
|
|
|
|
(1,343
|
)
|
|
|
45,269
|
|
At the end of the year proposed final dividends (not yet declared) of DKK 11,448 million (4.60 DKK per share of DKK 0.20) are included in Retained earnings.
No dividend is declared on treasury shares.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other reserves
|
|
|
|
|
|
|
Share
capital
|
|
|
|
Treasury
shares
|
|
|
|
Retained
earnings
|
|
|
|
Exchange
rate adjust-
ments
|
|
|
|
Cash flow
hedges
|
|
|
|
Tax and
other
adjust-
ments
|
|
|
|
Total other
reserves
|
|
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at the beginning of the year
|
|
|
530
|
|
|
|
(11
|
)
|
|
|
41,277
|
|
|
|
(248
|
)
|
|
|
(2,221
|
)
|
|
|
967
|
|
|
|
(1,502
|
)
|
|
|
40,294
|
|
Net profit for the year
|
|
|
|
|
|
|
|
|
|
|
34,860
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
34,860
|
|
Other comprehensive income for the year
|
|
|
|
|
|
|
|
|
|
|
(37
|
)
|
|
|
(669
|
)
|
|
|
1,535
|
|
|
|
279
|
|
|
|
1,145
|
|
|
|
1,108
|
|
Total comprehensive income for the year
|
|
|
|
|
|
|
|
|
|
|
34,823
|
|
|
|
(669
|
)
|
|
|
1,535
|
|
|
|
279
|
|
|
|
1,145
|
|
|
|
35,968
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transactions with owners:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends
|
|
|
|
|
|
|
|
|
|
|
(12,905
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(12,905
|
)
|
Share-based payments
|
|
|
|
|
|
|
|
|
|
|
442
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
442
|
|
Tax related to restricted stock units
|
|
|
|
|
|
|
|
|
|
|
366
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
366
|
|
Purchase of treasury shares
|
|
|
|
|
|
|
(10
|
)
|
|
|
(17,219
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(17,229
|
)
|
Sale of treasury shares
|
|
|
|
|
|
|
1
|
|
|
|
32
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
33
|
|
Reduction of the B share capital
|
|
|
(10
|
)
|
|
|
10
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
-
|
|
Balance at the end of the year
|
|
|
520
|
|
|
|
(10
|
)
|
|
|
46,816
|
|
|
|
(917
|
)
|
|
|
(686
|
)
|
|
|
1,246
|
|
|
|
(357
|
)
|
|
|
46,969
|
|
At the end of the year proposed final dividends of DKK 16.230 million (6.40 DKK per share of DKK 0.20) are included in Retained earnings.
No dividend is declared on treasury shares.
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
39
of 42
|
Appendix
6: Regional sales split
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Q4 2016 sales split per region
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DKK million
|
|
Total
|
|
|
USA
|
|
|
Europe
|
|
|
Inter- national Operations
|
|
|
Region China
|
|
|
Pacific
|
|
The diabetes and obesity care segment
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New generation insulin
|
|
|
1,707
|
|
|
|
1,003
|
|
|
|
287
|
|
|
|
182
|
|
|
|
-
|
|
|
|
235
|
|
% change in local currencies
|
|
|
269
|
%
|
|
|
-
|
|
|
|
81
|
%
|
|
|
71
|
%
|
|
|
-
|
|
|
|
41
|
%
|
Modern insulin
|
|
|
12,219
|
|
|
|
6,617
|
|
|
|
2,104
|
|
|
|
1,454
|
|
|
|
1,250
|
|
|
|
794
|
|
% change in local currencies
|
|
|
(8
|
%)
|
|
|
(16
|
%)
|
|
|
(10
|
%)
|
|
|
13
|
%
|
|
|
26
|
%
|
|
|
(10
|
%)
|
NovoRapid
®
|
|
|
5,539
|
|
|
|
3,196
|
|
|
|
1,081
|
|
|
|
551
|
|
|
|
270
|
|
|
|
441
|
|
% change in local currencies
|
|
|
(2
|
%)
|
|
|
(8
|
%)
|
|
|
0
|
%
|
|
|
27
|
%
|
|
|
33
|
%
|
|
|
(4
|
%)
|
NovoMix
®
|
|
|
2,596
|
|
|
|
515
|
|
|
|
501
|
|
|
|
513
|
|
|
|
843
|
|
|
|
224
|
|
% change in local currencies
|
|
|
(5
|
%)
|
|
|
(29
|
%)
|
|
|
(4
|
%)
|
|
|
(7
|
%)
|
|
|
22
|
%
|
|
|
(16
|
%)
|
Levemir
®
|
|
|
4,084
|
|
|
|
2,906
|
|
|
|
522
|
|
|
|
390
|
|
|
|
137
|
|
|
|
129
|
|
% change in local currencies
|
|
|
(17
|
%)
|
|
|
(21
|
%)
|
|
|
(29
|
%)
|
|
|
27
|
%
|
|
|
46
|
%
|
|
|
(18
|
%)
|
Human insulin
|
|
|
2,938
|
|
|
|
557
|
|
|
|
605
|
|
|
|
804
|
|
|
|
830
|
|
|
|
142
|
|
% change in local currencies
|
|
|
8
|
%
|
|
|
10
|
%
|
|
|
20
|
%
|
|
|
11
|
%
|
|
|
3
|
%
|
|
|
(16
|
%)
|
Victoza
®
|
|
|
5,397
|
|
|
|
3,862
|
|
|
|
857
|
|
|
|
323
|
|
|
|
60
|
|
|
|
295
|
|
% change in local currencies
|
|
|
10
|
%
|
|
|
9
|
%
|
|
|
5
|
%
|
|
|
39
|
%
|
|
|
30
|
%
|
|
|
6
|
%
|
Other diabetes and obesity care
|
|
|
1,566
|
|
|
|
623
|
|
|
|
173
|
|
|
|
171
|
|
|
|
362
|
|
|
|
237
|
|
% change in local currencies
|
|
|
28
|
%
|
|
|
46
|
%
|
|
|
8
|
%
|
|
|
33
|
%
|
|
|
13
|
%
|
|
|
27
|
%
|
Saxenda
®
|
|
|
540
|
|
|
|
448
|
|
|
|
12
|
|
|
|
40
|
|
|
|
-
|
|
|
|
40
|
|
% change in local currencies
|
|
|
148
|
%
|
|
|
112
|
%
|
|
|
N/A
|
|
|
|
N/A
|
|
|
|
-
|
|
|
|
N/A
|
|
Diabetes and obesity care total
|
|
|
23,827
|
|
|
|
12,662
|
|
|
|
4,026
|
|
|
|
2,934
|
|
|
|
2,502
|
|
|
|
1,703
|
|
% change in local currencies
|
|
|
5
|
%
|
|
|
2
|
%
|
|
|
1
|
%
|
|
|
18
|
%
|
|
|
16
|
%
|
|
|
1
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The biopharmaceuticals segment
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Haemophilia
|
|
|
2,821
|
|
|
|
1,153
|
|
|
|
640
|
|
|
|
658
|
|
|
|
34
|
|
|
|
336
|
|
% change in local currencies
|
|
|
2
|
%
|
|
|
(8
|
%)
|
|
|
(0
|
%)
|
|
|
17
|
%
|
|
|
(15
|
%)
|
|
|
22
|
%
|
Norditropin
®
(human growth hormone)
|
|
|
2,202
|
|
|
|
1,149
|
|
|
|
424
|
|
|
|
241
|
|
|
|
4
|
|
|
|
384
|
|
% change in local currencies
|
|
|
8
|
%
|
|
|
24
|
%
|
|
|
1
|
%
|
|
|
(9
|
%)
|
|
|
0
|
%
|
|
|
(9
|
%)
|
Other biopharmaceuticals
|
|
|
722
|
|
|
|
379
|
|
|
|
185
|
|
|
|
44
|
|
|
|
-
|
|
|
|
114
|
|
% change in local currencies
|
|
|
(34
|
%)
|
|
|
(50
|
%)
|
|
|
(4
|
%)
|
|
|
18
|
%
|
|
|
(100
|
%)
|
|
|
0
|
%
|
Biopharmaceuticals total
|
|
|
5,745
|
|
|
|
2,681
|
|
|
|
1,249
|
|
|
|
943
|
|
|
|
38
|
|
|
|
834
|
|
% change in local currencies
|
|
|
(2
|
%)
|
|
|
(8
|
%)
|
|
|
0
|
%
|
|
|
8
|
%
|
|
|
(16
|
%)
|
|
|
3
|
%
|
Total sales
|
|
|
29,572
|
|
|
|
15,343
|
|
|
|
5,275
|
|
|
|
3,877
|
|
|
|
2,540
|
|
|
|
2,537
|
|
% change in local currencies
|
|
|
3
|
%
|
|
|
0
|
%
|
|
|
1
|
%
|
|
|
16
|
%
|
|
|
15
|
%
|
|
|
2
|
%
|
% change as reported
|
|
|
2
|
%
|
|
|
1
|
%
|
|
|
(2
|
%)
|
|
|
5
|
%
|
|
|
9
|
%
|
|
|
10
|
%
|
Share of growth
|
|
|
100
|
%
|
|
|
0
|
%
|
|
|
3
|
%
|
|
|
58
|
%
|
|
|
35
|
%
|
|
|
4
|
%
|
2016 sales split per region
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DKK million
|
|
Total
|
|
|
USA
|
|
|
Europe
|
|
|
Inter- national Operations
|
|
|
Region China
|
|
|
Pacific
|
|
The diabetes and obesity care segment
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New generation insulin
|
|
|
4,459
|
|
|
|
2,246
|
|
|
|
886
|
|
|
|
558
|
|
|
|
-
|
|
|
|
769
|
|
% change in local currencies
|
|
|
212
|
%
|
|
|
-
|
|
|
|
65
|
%
|
|
|
76
|
%
|
|
|
-
|
|
|
|
41
|
%
|
Modern insulin
|
|
|
47,510
|
|
|
|
25,337
|
|
|
|
8,728
|
|
|
|
5,412
|
|
|
|
4,969
|
|
|
|
3,064
|
|
% change in local currencies
|
|
|
(3
|
%)
|
|
|
(9
|
%)
|
|
|
(4
|
%)
|
|
|
14
|
%
|
|
|
21
|
%
|
|
|
(5
|
%)
|
NovoRapid
®
|
|
|
19,945
|
|
|
|
11,058
|
|
|
|
4,200
|
|
|
|
1,971
|
|
|
|
1,059
|
|
|
|
1,657
|
|
% change in local currencies
|
|
|
(2
|
%)
|
|
|
(9
|
%)
|
|
|
1
|
%
|
|
|
20
|
%
|
|
|
29
|
%
|
|
|
0
|
%
|
NovoMix
®
|
|
|
10,482
|
|
|
|
2,032
|
|
|
|
2,025
|
|
|
|
2,183
|
|
|
|
3,363
|
|
|
|
879
|
|
% change in local currencies
|
|
|
(2
|
%)
|
|
|
(27
|
%)
|
|
|
(4
|
%)
|
|
|
7
|
%
|
|
|
17
|
%
|
|
|
(10
|
%)
|
Levemir
®
|
|
|
17,083
|
|
|
|
12,247
|
|
|
|
2,503
|
|
|
|
1,258
|
|
|
|
547
|
|
|
|
528
|
|
% change in local currencies
|
|
|
(4
|
%)
|
|
|
(6
|
%)
|
|
|
(12
|
%)
|
|
|
16
|
%
|
|
|
40
|
%
|
|
|
(10
|
%)
|
Human insulin
|
|
|
11,090
|
|
|
|
1,827
|
|
|
|
2,103
|
|
|
|
3,240
|
|
|
|
3,361
|
|
|
|
559
|
|
% change in local currencies
|
|
|
2
|
%
|
|
|
(3
|
%)
|
|
|
6
|
%
|
|
|
9
|
%
|
|
|
0
|
%
|
|
|
(14
|
%)
|
Victoza
®
|
|
|
20,046
|
|
|
|
14,146
|
|
|
|
3,391
|
|
|
|
1,141
|
|
|
|
255
|
|
|
|
1,113
|
|
% change in local currencies
|
|
|
12
|
%
|
|
|
12
|
%
|
|
|
2
|
%
|
|
|
32
|
%
|
|
|
25
|
%
|
|
|
15
|
%
|
Other diabetes and obesity care
|
|
|
5,844
|
|
|
|
2,142
|
|
|
|
677
|
|
|
|
546
|
|
|
|
1,697
|
|
|
|
782
|
|
% change in local currencies
|
|
|
26
|
%
|
|
|
73
|
%
|
|
|
1
|
%
|
|
|
(1
|
%)
|
|
|
12
|
%
|
|
|
25
|
%
|
Saxenda
®
|
|
|
1,577
|
|
|
|
1,366
|
|
|
|
28
|
|
|
|
70
|
|
|
|
-
|
|
|
|
113
|
|
% change in local currencies
|
|
|
245
|
%
|
|
|
202
|
%
|
|
|
N/A
|
|
|
|
N/A
|
|
|
|
-
|
|
|
|
N/A
|
|
Diabetes and obesity care total
|
|
|
88,949
|
|
|
|
45,698
|
|
|
|
15,785
|
|
|
|
10,897
|
|
|
|
10,282
|
|
|
|
6,287
|
|
% change in local currencies
|
|
|
6
|
%
|
|
|
5
|
%
|
|
|
1
|
%
|
|
|
15
|
%
|
|
|
12
|
%
|
|
|
4
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The biopharmaceuticals segment
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Haemophilia
|
|
|
10,472
|
|
|
|
4,710
|
|
|
|
2,520
|
|
|
|
1,936
|
|
|
|
158
|
|
|
|
1,148
|
|
% change in local currencies
|
|
|
0
|
%
|
|
|
(7
|
%)
|
|
|
6
|
%
|
|
|
4
|
%
|
|
|
(18
|
%)
|
|
|
15
|
%
|
Norditropin
® (human growth hormone)
|
|
|
8,770
|
|
|
|
4,495
|
|
|
|
1,661
|
|
|
|
1,079
|
|
|
|
15
|
|
|
|
1,520
|
|
% change in local currencies
|
|
|
14
|
%
|
|
|
24
|
%
|
|
|
1
|
%
|
|
|
21
|
%
|
|
|
0
|
%
|
|
|
(2
|
%)
|
Other biopharmaceuticals
|
|
|
3,589
|
|
|
|
2,291
|
|
|
|
716
|
|
|
|
138
|
|
|
|
3
|
|
|
|
441
|
|
% change in local currencies
|
|
|
(6
|
%)
|
|
|
(11
|
%)
|
|
|
1
|
%
|
|
|
(1
|
%)
|
|
|
(40
|
%)
|
|
|
6
|
%
|
Biopharmaceuticals total
|
|
|
22,831
|
|
|
|
11,496
|
|
|
|
4,897
|
|
|
|
3,153
|
|
|
|
176
|
|
|
|
3,109
|
|
% change in local currencies
|
|
|
4
|
%
|
|
|
2
|
%
|
|
|
4
|
%
|
|
|
9
|
%
|
|
|
(18
|
%)
|
|
|
5
|
%
|
Total sales
|
|
|
111.780
|
|
|
|
57.194
|
|
|
|
20.682
|
|
|
|
14.050
|
|
|
|
10.458
|
|
|
|
9.396
|
|
% change in local currencies
|
|
|
6
|
%
|
|
|
4
|
%
|
|
|
2
|
%
|
|
|
14
|
%
|
|
|
12
|
%
|
|
|
5
|
%
|
% change as reported
|
|
|
4
|
%
|
|
|
4
|
%
|
|
|
(1
|
%)
|
|
|
2
|
%
|
|
|
6
|
%
|
|
|
10
|
%
|
Share of growth
|
|
|
100
|
%
|
|
|
37
|
%
|
|
|
5
|
%
|
|
|
32
|
%
|
|
|
19
|
%
|
|
|
7
|
%
|
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
40
of 42
|
Appendix
7: Key currency assumptions
DKK per 100
|
|
2015 average
exchange rates
|
|
|
2016 average
exchange rates
|
|
|
YTD 2017 average
exchange rates
as of 27 January 2017
|
|
|
Current
exchange rates
as of 27 January 2017
|
|
USD
|
|
|
673
|
|
|
|
673
|
|
|
|
701
|
|
|
|
697
|
|
CNY
|
|
|
107.0
|
|
|
|
101.3
|
|
|
|
101.6
|
|
|
|
101.3
|
|
JPY
|
|
|
5.56
|
|
|
|
6.21
|
|
|
|
6.08
|
|
|
|
6.05
|
|
GBP
|
|
|
1,028
|
|
|
|
911
|
|
|
|
863
|
|
|
|
873
|
|
CAD
|
|
|
527
|
|
|
|
508
|
|
|
|
530
|
|
|
|
531
|
|
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
41
of 42
|
Appendix
8: Quarterly numbers in USD (additional information - unaudited)
Key figures are translated into USD as additional information
- the translation is based on the average exchange rate for income statement and the exchange rate at the balance sheet date for
balance sheet items. The specified percent changes in DKK are based on the changes in the 'Quarterly numbers in DKK', see appendix
1. The specified percentage changes in USD is calculated as a development in USD numbers in this appendix.
(Amounts in USD million, except full-time equivalent employees,
earnings per share and number of shares outstanding).
|
|
|
|
|
|
|
|
|
|
% change
|
|
% change
|
|
|
2016
|
|
2015
|
|
Q4 2016 vs
|
|
Q4 2016 vs
|
|
|
Q4
|
|
Q3
|
|
Q2
|
|
Q1
|
|
Q4
|
|
Q3
|
|
Q2
|
|
Q1
|
|
Q4 2015 in USD
|
|
Q4 2015 in DKK
|
Net sales
|
|
|
4,290
|
|
|
|
4,130
|
|
|
|
4,165
|
|
|
|
4,017
|
|
|
|
4,240
|
|
|
|
3,991
|
|
|
|
4,004
|
|
|
|
3,808
|
|
|
|
1
|
%
|
|
|
2
|
%
|
Gross profit
|
|
|
3,575
|
|
|
|
3,532
|
|
|
|
3,551
|
|
|
|
3,392
|
|
|
|
3,562
|
|
|
|
3,418
|
|
|
|
3,434
|
|
|
|
3,222
|
|
|
|
0
|
%
|
|
|
2
|
%
|
Gross margin
|
|
|
83.4
|
%
|
|
|
85.5
|
%
|
|
|
85.3
|
%
|
|
|
84.4
|
%
|
|
|
84.0
|
%
|
|
|
85.6
|
%
|
|
|
85.7
|
%
|
|
|
84.6
|
%
|
|
|
|
|
|
|
|
|
Sales and distribution costs
|
|
|
1,150
|
|
|
|
1,028
|
|
|
|
1,042
|
|
|
|
995
|
|
|
|
1,181
|
|
|
|
1,035
|
|
|
|
1,064
|
|
|
|
928
|
|
|
|
(3
|
%)
|
|
|
(2
|
%)
|
Percentage of sales
|
|
|
26.7
|
%
|
|
|
24.9
|
%
|
|
|
25.0
|
%
|
|
|
24.8
|
%
|
|
|
27.8
|
%
|
|
|
25.9
|
%
|
|
|
26.5
|
%
|
|
|
24.4
|
%
|
|
|
|
|
|
|
|
|
Research and development costs
|
|
|
651
|
|
|
|
519
|
|
|
|
505
|
|
|
|
488
|
|
|
|
593
|
|
|
|
491
|
|
|
|
448
|
|
|
|
491
|
|
|
|
10
|
%
|
|
|
11
|
%
|
Percentage of sales
|
|
|
15.1
|
%
|
|
|
12.6
|
%
|
|
|
12.1
|
%
|
|
|
12.1
|
%
|
|
|
14.0
|
%
|
|
|
12.3
|
%
|
|
|
11.2
|
%
|
|
|
12.9
|
%
|
|
|
|
|
|
|
|
|
Administrative costs
|
|
|
169
|
|
|
|
152
|
|
|
|
133
|
|
|
|
134
|
|
|
|
171
|
|
|
|
142
|
|
|
|
131
|
|
|
|
129
|
|
|
|
(1
|
%)
|
|
|
0
|
%
|
Percentage of sales
|
|
|
3.9
|
%
|
|
|
3.7
|
%
|
|
|
3.2
|
%
|
|
|
3.3
|
%
|
|
|
4.0
|
%
|
|
|
3.6
|
%
|
|
|
3.3
|
%
|
|
|
3.4
|
%
|
|
|
|
|
|
|
|
|
Other operating income, net
|
|
|
13
|
|
|
|
30
|
|
|
|
24
|
|
|
|
42
|
|
|
|
12
|
|
|
|
34
|
|
|
|
52
|
|
|
|
420
|
|
|
|
8
|
%
|
|
|
3
|
%
|
- Non-recurring income from the partial divestment of
NNIT A/S
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
359
|
|
|
|
N/A
|
|
|
|
N/A
|
|
Operating profit
|
|
|
1,618
|
|
|
|
1,863
|
|
|
|
1,895
|
|
|
|
1,817
|
|
|
|
1,629
|
|
|
|
1,784
|
|
|
|
1,843
|
|
|
|
2,094
|
|
|
|
(1
|
%)
|
|
|
1
|
%
|
Operating margin
|
|
|
37.9
|
%
|
|
|
45.1
|
%
|
|
|
45.5
|
%
|
|
|
45.2
|
%
|
|
|
38.5
|
%
|
|
|
44.7
|
%
|
|
|
46.1
|
%
|
|
|
55.0
|
%
|
|
|
|
|
|
|
|
|
Financial income
|
|
|
(3
|
)
|
|
|
(1
|
)
|
|
|
15
|
|
|
|
3
|
|
|
|
3
|
|
|
|
1
|
|
|
|
(34
|
)
|
|
|
43
|
|
|
|
(200
|
%)
|
|
|
(217
|
%)
|
Financial expenses
|
|
|
36
|
|
|
|
17
|
|
|
|
-
|
|
|
|
55
|
|
|
|
121
|
|
|
|
276
|
|
|
|
252
|
|
|
|
251
|
|
|
|
(70
|
%)
|
|
|
(71
|
%)
|
Financial items (net)
|
|
|
(39
|
)
|
|
|
(18
|
)
|
|
|
15
|
|
|
|
(52
|
)
|
|
|
(118
|
)
|
|
|
(275
|
)
|
|
|
(286
|
)
|
|
|
(208
|
)
|
|
|
(67
|
%)
|
|
|
(67
|
%)
|
Profit before income taxes
|
|
|
1,579
|
|
|
|
1,845
|
|
|
|
1,910
|
|
|
|
1,765
|
|
|
|
1,511
|
|
|
|
1,509
|
|
|
|
1,557
|
|
|
|
1,886
|
|
|
|
5
|
%
|
|
|
6
|
%
|
Income taxes
|
|
|
323
|
|
|
|
375
|
|
|
|
399
|
|
|
|
369
|
|
|
|
301
|
|
|
|
260
|
|
|
|
326
|
|
|
|
394
|
|
|
|
7
|
%
|
|
|
9
|
%
|
Net profit
|
|
|
1,256
|
|
|
|
1,470
|
|
|
|
1,511
|
|
|
|
1,396
|
|
|
|
1,210
|
|
|
|
1,249
|
|
|
|
1,231
|
|
|
|
1,492
|
|
|
|
4
|
%
|
|
|
5
|
%
|
Depreciation, amortisation and impairment losses
|
|
|
163
|
|
|
|
110
|
|
|
|
109
|
|
|
|
92
|
|
|
|
150
|
|
|
|
94
|
|
|
|
96
|
|
|
|
100
|
|
|
|
9
|
%
|
|
|
10
|
%
|
Capital expenditure (net)
|
|
|
366
|
|
|
|
268
|
|
|
|
254
|
|
|
|
161
|
|
|
|
322
|
|
|
|
186
|
|
|
|
151
|
|
|
|
115
|
|
|
|
14
|
%
|
|
|
15
|
%
|
Net cash generated from operating activities
|
|
|
1,611
|
|
|
|
2,277
|
|
|
|
2,184
|
|
|
|
1,104
|
|
|
|
1,485
|
|
|
|
1,802
|
|
|
|
1,784
|
|
|
|
620
|
|
|
|
8
|
%
|
|
|
10
|
%
|
Free cash flow
|
|
|
1,207
|
|
|
|
1,874
|
|
|
|
1,920
|
|
|
|
939
|
|
|
|
1,014
|
|
|
|
1,611
|
|
|
|
1,609
|
|
|
|
853
|
|
|
|
19
|
%
|
|
|
21
|
%
|
Total assets
|
|
|
13,826
|
|
|
|
13,082
|
|
|
|
13,173
|
|
|
|
12,585
|
|
|
|
13,441
|
|
|
|
12,794
|
|
|
|
12,195
|
|
|
|
11,157
|
|
|
|
3
|
%
|
|
|
6
|
%
|
Total equity
|
|
|
6,417
|
|
|
|
6,190
|
|
|
|
6,355
|
|
|
|
5,697
|
|
|
|
6,877
|
|
|
|
6,474
|
|
|
|
5,866
|
|
|
|
4,625
|
|
|
|
(7
|
%)
|
|
|
(4
|
%)
|
Equity ratio
|
|
|
46.4
|
%
|
|
|
47.3
|
%
|
|
|
48.2
|
%
|
|
|
45.3
|
%
|
|
|
51.2
|
%
|
|
|
50.6
|
%
|
|
|
48.1
|
%
|
|
|
41.5
|
%
|
|
|
|
|
|
|
|
|
Full-time equivalent employees end of period
|
|
|
41,971
|
|
|
|
42,605
|
|
|
|
42,265
|
|
|
|
41,571
|
|
|
|
40,638
|
|
|
|
40,261
|
|
|
|
39,658
|
|
|
|
39,062
|
|
|
|
3
|
%
|
|
|
3
|
%
|
Basic earnings per share/ADR (in USD)
|
|
|
0.50
|
|
|
|
0.59
|
|
|
|
0.59
|
|
|
|
0.55
|
|
|
|
0.48
|
|
|
|
0.49
|
|
|
|
0.48
|
|
|
|
0.57
|
|
|
|
4
|
%
|
|
|
6
|
%
|
Diluted earnings per share/ADR (in USD)
|
|
|
0.50
|
|
|
|
0.58
|
|
|
|
0.59
|
|
|
|
0.55
|
|
|
|
0.48
|
|
|
|
0.48
|
|
|
|
0.48
|
|
|
|
0.57
|
|
|
|
4
|
%
|
|
|
7
|
%
|
Average number of shares outstanding (million)
|
|
|
2,512.6
|
|
|
|
2,526.5
|
|
|
|
2,536.3
|
|
|
|
2,544.3
|
|
|
|
2,553.2
|
|
|
|
2,565.9
|
|
|
|
2,578.1
|
|
|
|
2,596.7
|
|
|
|
(2
|
%)
|
|
|
(2
|
%)
|
Average number of diluted shares
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
outstanding (million)
|
|
|
2,517.1
|
|
|
|
2,530.9
|
|
|
|
2,540.8
|
|
|
|
2,550.1
|
|
|
|
2,559.7
|
|
|
|
2,571.8
|
|
|
|
2,584.1
|
|
|
|
2,604.2
|
|
|
|
(2
|
%)
|
|
|
(2
|
%)
|
Sales by business segment:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New-generation insulin
|
|
|
250
|
|
|
|
171
|
|
|
|
149
|
|
|
|
92
|
|
|
|
68
|
|
|
|
56
|
|
|
|
49
|
|
|
|
41
|
|
|
|
268
|
%
|
|
|
270
|
%
|
Modern insulin (insulin analogues)
|
|
|
1,772
|
|
|
|
1,765
|
|
|
|
1,790
|
|
|
|
1,730
|
|
|
|
1,992
|
|
|
|
1,862
|
|
|
|
1,867
|
|
|
|
1,736
|
|
|
|
(11
|
%)
|
|
|
(10
|
%)
|
Human insulin
|
|
|
426
|
|
|
|
414
|
|
|
|
405
|
|
|
|
402
|
|
|
|
407
|
|
|
|
413
|
|
|
|
411
|
|
|
|
438
|
|
|
|
5
|
%
|
|
|
6
|
%
|
Victoza®
|
|
|
783
|
|
|
|
766
|
|
|
|
750
|
|
|
|
678
|
|
|
|
721
|
|
|
|
697
|
|
|
|
664
|
|
|
|
598
|
|
|
|
9
|
%
|
|
|
10
|
%
|
Other diabetes and obesity care
|
|
|
227
|
|
|
|
227
|
|
|
|
211
|
|
|
|
203
|
|
|
|
181
|
|
|
|
183
|
|
|
|
158
|
|
|
|
181
|
|
|
|
25
|
%
|
|
|
27
|
%
|
Diabetes and obesity care total
|
|
|
3,458
|
|
|
|
3,343
|
|
|
|
3,305
|
|
|
|
3,105
|
|
|
|
3,369
|
|
|
|
3,211
|
|
|
|
3,149
|
|
|
|
2,994
|
|
|
|
3
|
%
|
|
|
4
|
%
|
Haemophilia
|
|
|
409
|
|
|
|
343
|
|
|
|
384
|
|
|
|
419
|
|
|
|
409
|
|
|
|
353
|
|
|
|
408
|
|
|
|
413
|
|
|
|
0
|
%
|
|
|
1
|
%
|
Norditropin® (human growth hormone)
|
|
|
319
|
|
|
|
301
|
|
|
|
328
|
|
|
|
355
|
|
|
|
303
|
|
|
|
274
|
|
|
|
308
|
|
|
|
277
|
|
|
|
5
|
%
|
|
|
7
|
%
|
Other biopharmaceuticals
|
|
|
104
|
|
|
|
143
|
|
|
|
148
|
|
|
|
138
|
|
|
|
159
|
|
|
|
153
|
|
|
|
139
|
|
|
|
124
|
|
|
|
(35
|
%)
|
|
|
(33
|
%)
|
Biopharmaceuticals total
|
|
|
832
|
|
|
|
787
|
|
|
|
860
|
|
|
|
912
|
|
|
|
871
|
|
|
|
780
|
|
|
|
855
|
|
|
|
814
|
|
|
|
(4
|
%)
|
|
|
(3
|
%)
|
Sales by geographic segment:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
USA
|
|
|
2,226
|
|
|
|
2,127
|
|
|
|
2,114
|
|
|
|
2,027
|
|
|
|
2,230
|
|
|
|
2,076
|
|
|
|
2,045
|
|
|
|
1,816
|
|
|
|
0
|
%
|
|
|
1
|
%
|
Europe
|
|
|
765
|
|
|
|
763
|
|
|
|
803
|
|
|
|
741
|
|
|
|
792
|
|
|
|
774
|
|
|
|
773
|
|
|
|
752
|
|
|
|
(3
|
%)
|
|
|
(2
|
%)
|
International Operations
|
|
|
563
|
|
|
|
499
|
|
|
|
506
|
|
|
|
519
|
|
|
|
540
|
|
|
|
464
|
|
|
|
532
|
|
|
|
517
|
|
|
|
4
|
%
|
|
|
5
|
%
|
Region China
|
|
|
367
|
|
|
|
380
|
|
|
|
382
|
|
|
|
424
|
|
|
|
340
|
|
|
|
360
|
|
|
|
337
|
|
|
|
430
|
|
|
|
8
|
%
|
|
|
9
|
%
|
Pacific
|
|
|
369
|
|
|
|
361
|
|
|
|
360
|
|
|
|
306
|
|
|
|
338
|
|
|
|
317
|
|
|
|
317
|
|
|
|
293
|
|
|
|
9
|
%
|
|
|
10
|
%
|
Segment operating profit:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diabetes and obesity care
|
|
|
1,240
|
|
|
|
1,480
|
|
|
|
1,399
|
|
|
|
1,243
|
|
|
|
1,194
|
|
|
|
1,353
|
|
|
|
1,290
|
|
|
|
1,201
|
|
|
|
4
|
%
|
|
|
5
|
%
|
Biopharmaceuticals
|
|
|
378
|
|
|
|
383
|
|
|
|
496
|
|
|
|
574
|
|
|
|
435
|
|
|
|
431
|
|
|
|
557
|
|
|
|
534
|
|
|
|
(13
|
%)
|
|
|
(11
|
%)
|
Income from the initial public offering of NNIT A/S (unallocated to segments)
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
359
|
|
|
|
N/A
|
|
|
|
N/A
|
|
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
Company announcement No 7 / 2017
|
|
Financial report for the period 1 January 2016 to 31 December 2016
|
Page
42
of 42
|
Appendix
9: New regional sales split (additional information - unaudited)
As per 1 January 2017, Novo Nordisk
will change reporting structure for its regional sales split.
Q1 to Q4 2016 sales split - new
regions as per 1 January 2017
Q1 2016 sales split per region - DKK million
|
Total
|
North
America
|
Hereof
USA
|
International
operations
|
Europe
|
Africa,
Asia,
Middle East &
Oceania
|
Region China
|
Japan &
Korea
|
Latin
America
|
The diabetes and obesity
care segment
|
|
|
|
|
|
|
|
|
|
New generation insulin
|
626
|
200
|
200
|
426
|
169
|
59
|
-
|
143
|
55
|
Modern insulin
|
11,715
|
6,435
|
6,266
|
5,280
|
2,157
|
1,274
|
1,288
|
399
|
162
|
NovoRapid
®
|
4,628
|
2,622
|
2,532
|
2,006
|
987
|
478
|
264
|
217
|
60
|
NovoMix
®
|
2,698
|
575
|
563
|
2,123
|
503
|
565
|
887
|
142
|
26
|
Levemir
®
|
4,389
|
3,238
|
3,171
|
1,151
|
667
|
231
|
137
|
40
|
76
|
Human insulin
|
2,725
|
430
|
384
|
2,295
|
501
|
604
|
947
|
68
|
175
|
Victoza
®
|
4,591
|
3,299
|
3,185
|
1,292
|
832
|
180
|
65
|
126
|
89
|
Other diabetes and obesity
care
|
1,374
|
465
|
418
|
909
|
161
|
123
|
514
|
97
|
14
|
Saxenda
®
|
243
|
233
|
224
|
10
|
3
|
5
|
-
|
-
|
2
|
Diabetes and obesity
care total
|
21,031
|
10,829
|
10,453
|
10,202
|
3,820
|
2,240
|
2,814
|
833
|
495
|
The biopharmaceuticals
segment
|
|
|
|
|
|
|
|
|
|
Haemophilia
|
2,836
|
1,248
|
1,208
|
1,588
|
633
|
519
|
56
|
151
|
229
|
Norditropin
®
(human growth hormone)
|
2,407
|
1,421
|
1,420
|
986
|
404
|
197
|
4
|
329
|
52
|
Other
biopharmaceuticals
|
938
|
699
|
649
|
239
|
159
|
55
|
1
|
22
|
2
|
Biopharmaceuticals
total
|
6,181
|
3,368
|
3,277
|
2,813
|
1,196
|
771
|
61
|
502
|
283
|
Total
sales
|
27,212
|
14,197
|
13,730
|
13,015
|
5,016
|
3,011
|
2,875
|
1,335
|
778
|
|
|
Q2
2016 sales split per region - DKK million
|
Total
|
North
America
|
Hereof
USA
|
International
operations
|
Europe
|
Africa, Asia,
Middle East &
Oceania
|
Region China
|
Japan &
Korea
|
Latin
America
|
The diabetes and obesity
care segment
|
|
|
|
|
|
|
|
|
|
New generation insulin
|
983
|
461
|
461
|
522
|
204
|
63
|
-
|
191
|
64
|
Modern insulin
|
11,806
|
6,446
|
6,265
|
5,360
|
2,253
|
1,259
|
1,202
|
466
|
180
|
NovoRapid
®
|
4,890
|
2,783
|
2,691
|
2,107
|
1,064
|
460
|
262
|
256
|
65
|
NovoMix
®
|
2,651
|
549
|
536
|
2,102
|
526
|
572
|
812
|
164
|
28
|
Levemir
®
|
4,265
|
3,114
|
3,038
|
1,151
|
663
|
227
|
128
|
46
|
87
|
Human insulin
|
2,667
|
408
|
360
|
2,259
|
508
|
655
|
810
|
80
|
206
|
Victoza
®
|
4,952
|
3,572
|
3,450
|
1,380
|
892
|
178
|
60
|
160
|
90
|
Other diabetes and obesity
care
|
1,391
|
577
|
521
|
814
|
162
|
134
|
391
|
112
|
15
|
Saxenda
®
|
376
|
358
|
339
|
18
|
6
|
8
|
-
|
-
|
4
|
Diabetes and obesity
care total
|
21,799
|
11,464
|
11,057
|
10,335
|
4,019
|
2,289
|
2,463
|
1,009
|
555
|
The biopharmaceuticals
segment
|
|
|
|
|
|
|
|
|
|
Haemophilia
|
2,530
|
1,256
|
1,214
|
1,274
|
654
|
243
|
41
|
194
|
142
|
Norditropin
®
(human growth hormone)
|
2,158
|
1,034
|
1,034
|
1,124
|
435
|
254
|
4
|
382
|
49
|
Other
biopharmaceuticals
|
972
|
699
|
642
|
273
|
190
|
56
|
1
|
26
|
-
|
Biopharmaceuticals
total
|
5,660
|
2,989
|
2,890
|
2,671
|
1,279
|
553
|
46
|
602
|
191
|
Total
sales
|
27,459
|
14,453
|
13,947
|
13,006
|
5,298
|
2,842
|
2,509
|
1,611
|
746
|
|
|
Q3
2016 sales split per region - DKK million
|
Total
|
North
America
|
Hereof
USA
|
International
operations
|
Europe
|
Africa, Asia,
Middle East &
Oceania
|
Region China
|
Japan &
Korea
|
Latin
America
|
The diabetes and obesity care segment
|
|
|
|
|
|
|
|
|
|
New generation insulin
|
1,143
|
582
|
582
|
561
|
226
|
64
|
-
|
200
|
71
|
Modern insulin
|
11,770
|
6,375
|
6,189
|
5,395
|
2,214
|
1,327
|
1,229
|
457
|
168
|
NovoRapid
®
|
4,888
|
2,736
|
2,639
|
2,152
|
1,068
|
501
|
263
|
256
|
64
|
NovoMix
®
|
2,537
|
431
|
418
|
2,106
|
495
|
607
|
821
|
158
|
25
|
Levemir
®
|
4,345
|
3,208
|
3,132
|
1,137
|
651
|
219
|
145
|
43
|
79
|
Human insulin
|
2,760
|
571
|
526
|
2,189
|
489
|
626
|
774
|
76
|
224
|
Victoza
®
|
5,106
|
3,770
|
3,649
|
1,336
|
810
|
171
|
70
|
166
|
119
|
Other diabetes and obesity
care
|
1,513
|
643
|
580
|
870
|
181
|
142
|
430
|
90
|
27
|
Saxenda
®
|
418
|
380
|
355
|
38
|
7
|
15
|
-
|
-
|
16
|
Diabetes and obesity
care total
|
22,292
|
11,941
|
11,526
|
10,351
|
3,920
|
2,330
|
2,503
|
989
|
609
|
The biopharmaceuticals
segment
|
|
|
|
|
|
|
|
|
|
Haemophilia
|
2,285
|
1,212
|
1,135
|
1,073
|
593
|
131
|
27
|
177
|
145
|
Norditropin
®
(human growth hormone)
|
2,003
|
892
|
892
|
1,111
|
398
|
265
|
3
|
389
|
56
|
Other
biopharmaceuticals
|
957
|
674
|
621
|
283
|
182
|
64
|
1
|
33
|
3
|
Biopharmaceuticals
total
|
5,245
|
2,778
|
2,648
|
2,467
|
1,173
|
460
|
31
|
599
|
204
|
Total
sales
|
27,537
|
14,719
|
14,174
|
12,818
|
5,093
|
2,790
|
2,534
|
1,588
|
813
|
|
|
Q4
2016 sales split per region - DKK million
|
Total
|
North
America
|
Hereof
USA
|
International
operations
|
Europe
|
Africa, Asia,
Middle East &
Oceania
|
Region China
|
Japan &
Korea
|
Latin
America
|
The diabetes and obesity
care segment
|
|
|
|
|
|
|
|
|
|
New generation insulin
|
1,707
|
1,003
|
1,003
|
704
|
287
|
93
|
-
|
235
|
89
|
Modern insulin
|
12,219
|
6,787
|
6,617
|
5,432
|
2,104
|
1,424
|
1,250
|
465
|
189
|
NovoRapid
®
|
5,539
|
3,286
|
3,196
|
2,253
|
1,081
|
556
|
270
|
269
|
77
|
NovoMix
®
|
2,596
|
525
|
515
|
2,071
|
501
|
547
|
843
|
155
|
25
|
Levemir
®
|
4,084
|
2,976
|
2,906
|
1,108
|
522
|
321
|
137
|
41
|
87
|
Human insulin
|
2,938
|
602
|
557
|
2,336
|
605
|
609
|
830
|
78
|
214
|
Victoza
®
|
5,397
|
3,983
|
3,862
|
1,414
|
857
|
186
|
60
|
171
|
140
|
Other diabetes and obesity
care
|
1,566
|
691
|
623
|
875
|
173
|
152
|
362
|
135
|
53
|
Saxenda
®
|
540
|
475
|
448
|
65
|
12
|
18
|
-
|
-
|
35
|
Diabetes and obesity
care total
|
23,827
|
13,066
|
12,662
|
10,761
|
4,026
|
2,464
|
2,502
|
1,084
|
685
|
The biopharmaceuticals
segment
|
|
|
|
|
|
|
|
|
|
Haemophilia
|
2,821
|
1,218
|
1,153
|
1,603
|
640
|
208
|
34
|
215
|
506
|
Norditropin
®
(human growth hormone)
|
2,202
|
1,151
|
1,149
|
1,051
|
424
|
190
|
4
|
369
|
64
|
Other
biopharmaceuticals
|
722
|
438
|
379
|
284
|
185
|
75
|
-
|
23
|
1
|
Biopharmaceuticals
total
|
5,745
|
2,807
|
2,681
|
2,938
|
1,249
|
473
|
38
|
607
|
571
|
Total
sales
|
29,572
|
15,873
|
15,343
|
13,699
|
5,275
|
2,937
|
2,540
|
1,691
|
1,256
|
|
|
|
|
|
|
|
|
|
|
Total
2016 sales split per region - DKK million
|
Total
|
North
America
|
Hereof
USA
|
International
operations
|
Europe
|
Africa, Asia,
Middle East &
Oceania
|
Region China
|
Japan
&
Korea
|
Latin America
|
The diabetes and obesity
care segment
|
|
|
|
|
|
|
|
|
|
New generation insulin
|
4,459
|
2,246
|
2,246
|
2,213
|
886
|
279
|
-
|
769
|
279
|
Modern insulin
|
47,510
|
26,043
|
25,337
|
21,467
|
8,728
|
5,284
|
4,969
|
1,787
|
699
|
NovoRapid
®
|
19,945
|
11,427
|
11,058
|
8,518
|
4,200
|
1,995
|
1,059
|
998
|
266
|
NovoMix
®
|
10,482
|
2,080
|
2,032
|
8,402
|
2,025
|
2,291
|
3,363
|
619
|
104
|
Levemir
®
|
17,083
|
12,536
|
12,247
|
4,547
|
2,503
|
998
|
547
|
170
|
329
|
Human insulin
|
11,090
|
2,011
|
1,827
|
9,079
|
2,103
|
2,494
|
3,361
|
302
|
819
|
Victoza
®
|
20,046
|
14,624
|
14,146
|
5,422
|
3,391
|
715
|
255
|
623
|
438
|
Other diabetes and obesity
care
|
5,844
|
2,376
|
2,142
|
3,468
|
677
|
551
|
1,697
|
434
|
109
|
Saxenda
®
|
1,577
|
1,446
|
1,366
|
131
|
28
|
46
|
-
|
-
|
57
|
Diabetes and obesity
care total
|
88,949
|
47,300
|
45,698
|
41,649
|
15,785
|
9,323
|
10,282
|
3,915
|
2,344
|
The biopharmaceuticals
segment
|
|
|
|
|
|
|
|
|
|
Haemophilia
|
10,472
|
4,934
|
4,710
|
5,538
|
2,520
|
1,101
|
158
|
737
|
1,022
|
Norditropin
®
(human growth hormone)
|
8,770
|
4,498
|
4,495
|
4,272
|
1,661
|
906
|
15
|
1,469
|
221
|
Other
biopharmaceuticals
|
3,589
|
2,510
|
2,291
|
1,079
|
716
|
250
|
3
|
104
|
6
|
Biopharmaceuticals
total
|
22,831
|
11,942
|
11,496
|
10,889
|
4,897
|
2,257
|
176
|
2,310
|
1,249
|
Total sales
|
111,780
|
59,242
|
57,194
|
52,538
|
20,682
|
11,580
|
10,458
|
6,225
|
3,593
|
% change in local
currencies
|
6%
|
4%
|
4%
|
7%
|
2%
|
7%
|
12%
|
4%
|
28%
|
% change as reported
|
4%
|
4%
|
4%
|
3%
|
(1%)
|
3%
|
6%
|
15%
|
(3%)
|
Share
of growth
|
100%
|
41%
|
37%
|
59%
|
5%
|
14%
|
19%
|
4%
|
17%
|
Financial
Performance
|
Outlook
|
R&D
|
Sustainability
|
Equity
|
Corporate
Governance
|
Legal
|
Financial
Information
|
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has
duly caused this report to be signed on its behalf of the undersigned, thereunto duly authorized.
Date: February 2, 2017
|
NOVO NORDISK A/S
Lars Rebien Sørensen,
Chief Executive Officer
|
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