Interim financial report for the period 1 January 2009 to 30 June
2009
Novo Nordisk increased operating profit by 39% in the first six
months of 2009
Raises outlook for underlying operating profit growth for the full
year
* Sales increased by 17% in Danish kroner and by 11% in
local currencies.
o Sales of modern insulins increased by 31% (25% in local
currencies).
o Sales of NovoSeven® increased by 19% (13% in local
currencies).
o Sales of Norditropin® increased by 16% (8% in local
currencies).
o Sales in North America increased by 34% (18% in local
currencies).
o Sales in International Operations increased by 21% (17% in
local currencies).
* Gross margin improved by 2.8 percentage points to 79.9% in
the first six months of 2009, primarily reflecting continued
productivity improvements and a positive currency impact of around
1.3 percentage points.
* Reported operating profit increased by 39% to DKK 7,900
million. Adjusted for the impact from currencies and non-recurring
costs in 2008 related to the discontinuation of all pulmonary
delivery projects, underlying operating profit increased by more
than 15%.
* Net profit increased by 22% to DKK 5,690 million. Earnings
per share (diluted) increased by 25% to DKK 9.32.
* In a recently completed phase 3 study with approximately
650 people with type 2 diabetes comparing liraglutide (Victoza®)
and sitagliptin, a DPP-IV inhibitor, blood glucose reductions and
weight loss were statistically significantly higher with
liraglutide 1.8 and 1.2 mg compared to sitagliptin. The safety
profile of liraglutide in this study was comparable to the profile
established in the previous clinical studies.
* Novo Nordisk continues the constructive dialogue with the
United States Food and Drug Administration (FDA) regarding the
regulatory process for liraglutide, and formal feedback from the
FDA is expected later this quarter.
* For 2009, operating profit measured in local currencies is
now expected to grow by 12-14% and reported operating profit growth
to be around 4 percentage points higher than the operating profit
growth in local currencies.
Lars Rebien Sørensen, president and CEO, said: "The performance in
the first half of 2009 is encouraging and we raise our guidance for
underlying operating profit growth. We are very pleased that Victoza®
is now launched in the United Kingdom, Germany and Denmark and we
look forward to making Victoza® available to more people with type 2
diabetes."
Financial highlights for the first six months of 2009
The present interim financial report for the first six months of 2009
has been prepared in accordance with IAS 34 Interim Financial
Reporting, as issued by IASB and adopted by the EU, and the
additional Danish disclosure requirements applying to listed
companies' interim reports. The interim financial report has not been
audited. See 'Accounting policies' in appendix 7 for further
information.
Amounts in DKK million, except average number of shares outstanding,
earnings per share and full-time employees.
% change
H1 2008
Profit and loss H1 2009 H1 2008 to H1 2009
Sales 25,499 21,724 17%
Gross profit 20,381 16,757 22%
Gross margin 79.9% 77.1%
Sales and distribution costs 7,681 6,153 25%
Percent of sales 30.1% 28.3%
Research and development costs 3,593 3,838 (6%)
- hereof discontinuation costs for - 375 -
pulmonary diabetes projects
Percent of sales 14.1% 17.7%
Percent of sales adjusted for 14.1% 15.9%
pulmonary diabetes projects
Administrative expenses 1,372 1,253 9%
Percent of sales 5.4% 5.8%
Licence fees and other operating 165 162 2%
income (net)
Operating profit 7,900 5,675 39%
Operating margin 31.0% 26.1%
Net financials (511) 444 -
Profit before tax 7,389 6,119 21%
Net profit 5,690 4,651 22%
Net profit margin 22.3% 21.4%
Other key numbers
Depreciation, amortisation and 1,140 1,130 1%
impairment losses
Capital expenditure 970 542 79%
Cash flow from operating activities 6,756 5,986 13%
Free cash flow 5,688 5,384 6%
Total assets 51,246 48,478 6%
Equity 34,086 33,046 3%
Equity ratio 66.5% 68.2%
Average number of shares outstanding
(million) - diluted 610.3 624.9 (2%)
Diluted earnings per share (in DKK) 9.32 7.44 25%
Full-time employees at the end of the 27,998 26,060 7%
period
Sales development by segments
Sales increased by 17% in Danish kroner and by 11% measured in local
currencies. Growth was realised within both diabetes care and
biopharmaceuticals, the primary growth contribution originated from
the modern insulins and NovoSeven®.
Sales Growth Growth Share of
H1 2009 as in local growth
DKK reported currencies in local
million currencies
The diabetes care segment
Modern insulins 10,404 31% 25% 82%
- NovoRapid® 4,739 32% 24% 36%
- NovoMix® 3,203 23% 18% 20%
- Levemir® 2,462 42% 36% 26%
Human insulins 5,883 0% (6%) (14%)
Protein-related products 976 8% 3% 1%
Oral antidiabetic products 1,366 22% 14% 6%
Diabetes care - total 18,629 18% 11% 75%
The biopharmaceuticals segment
NovoSeven® 3,679 19% 13% 17%
Norditropin® 2,156 16% 8% 6%
Other products 1,035 12% 5% 2%
Biopharmaceuticals - total 6,870 17% 10% 25%
Total sales 25,499 17% 11% 100%
Sales development by regions
In the first six months of 2009, sales growth was realised in all
regions. North America was the main contributor with 50% share of
growth measured in local currencies. International Operations and
Europe contributed 30% and 19%, respectively, of the total sales
growth.
Diabetes care
Sales of diabetes care products increased by 18% measured in Danish
kroner to DKK 18,629 million and by 11% in local currencies compared
with the first six months of 2008.
Modern insulins, human insulins and protein-related products
In the first six months of 2009, sales of modern insulins, human
insulins and protein-related products increased by 17% in Danish
kroner to DKK 17,263 million and by 11% measured in local currencies
compared with the same period last year, driven by North America and
International Operations. Novo Nordisk continues to be the global
leader with 51% of the total insulin market and 45% of the modern
insulin market, both measured by volume.
The portfolio of modern insulins is the main contributor to growth
and increased by 31% in Danish kroner to DKK 10,404 million and by
25% in local currencies compared with the first six months of 2008.
All regions realised solid growth rates, with North America
accounting for more than half of the growth followed by Europe and
International Operations. Sales of modern insulins now constitute 64%
of Novo Nordisk's sales of insulin.
North America
Sales in North America increased by 41% in Danish kroner and by 24%
in local currencies in the first six months of 2009, reflecting a
solid penetration of the modern insulins Levemir®, NovoLog® and
NovoLog® Mix 70/30. Novo Nordisk maintains its leadership position in
the US insulin market with 41% of the total insulin market and 33% of
the modern insulin market, both measured by volume. Currently, around
39% of Novo Nordisk's modern insulin volume in the US is being sold
in FlexPen®.
Europe
Sales in Europe decreased by 2% measured in Danish kroner and
increased by 3% in local currencies, reflecting continued progress
for the portfolio of modern insulins but also declining human insulin
sales. Novo Nordisk holds 55% of the total insulin market and 51% of
the modern insulin market, both measured by volume, and is capturing
the main share of growth in the modern insulin market. The device
penetration in Europe remains high with more than 95% of Novo
Nordisk's insulin volume being administered in devices, primarily
NovoPen® and FlexPen®.
International Operations
Sales within International Operations increased by 21% in Danish
kroner and by 16% in local currencies. The main contributor to growth
in the first six months of 2009 was sales of modern insulins,
primarily in China and Turkey. Furthermore, sales of human insulin,
driven by China, continue to add to overall growth in the region. The
device penetration in China is high with more than 90% of Novo
Nordisk's insulin volume administered in devices, primarily NovoPen®.
Japan & Oceania
Sales in Japan & Oceania increased by 19% measured in Danish kroner
and decreased by 1% in local currencies. The sales development
reflects sales growth for all three modern insulins, NovoRapid®,
NovoRapid Mix® 30 and Levemir®, countered by pressure on the overall
Novo Nordisk market share due to intense competition. Novo Nordisk
holds 69% of the total insulin market in Japan and 61% of the modern
insulin market, both measured by volume. The device penetration in
Japan remains high with more than 95% of Novo Nordisk's insulin
volume being administered in devices, primarily NovoPen® and
FlexPen®.
Oral antidiabetic products (NovoNorm®/Prandin®)
In the first six months of 2009, sales of oral antidiabetic products
increased by 22% in Danish kroner to DKK 1,366 million and by 14% in
local currencies compared with the same period in 2008. Sales
development is positively impacted by timing of sales in 2008 in
China.
Biopharmaceuticals
In the first six months of 2009, sales of biopharmaceutical products
increased by 17% measured in Danish kroner to DKK 6,870 million and
by 10% measured in local currencies compared with the first six
months of 2008.
NovoSeven®
Sales of NovoSeven® increased by 19% in Danish kroner to DKK 3,679
million and by 13% in local currencies compared with the first six
months of 2008. Sales growth for NovoSeven® was primarily realised in
Europe and International Operations. The sales growth for NovoSeven®
primarily reflected increased sales within the congenital bleeding
disorder segments. Treatment of spontaneous bleeds for congenital
inhibitor patients remains the largest area of use.
Norditropin®
Sales of Norditropin® (ie growth hormone in a liquid, ready-to-use
formulation) increased by 16% measured in Danish kroner to DKK 2,156
million and by 8% measured in local currencies compared with the
first six months of 2008. North America and Europe were the main
contributors to growth measured in local currencies. Novo Nordisk is
still the second-largest company in the global growth hormone market
with 25% market share measured by volume.
Other products
Sales of other products within biopharmaceuticals, which
predominantly consist of hormone replacement therapy (HRT)-related
products, increased by 12% in Danish kroner to DKK 1,035 million and
by 5% in local currencies. This development primarily reflects
continued sales progress for Vagifem®, a topical oestrogen product,
countered by generic competition in the US for Activella® (Activelle®
outside the US), Novo Nordisk's continuous-combined HRT product. The
low-dose version of Activelle® was launched in Europe in April 2009
and has been available in the US since 2007.
Costs, licence fees and other operating income
The gross margin increased to 79.9% compared with 77.1% in the same
period of 2008. This improvement reflects improved production
efficiency, higher average selling prices in the US and a positive
product mix effect. The gross margin was positively impacted by
around 1.3 percentage points from a positive currency development,
primarily the higher value of the US dollar and the Japanese yen
versus the Danish krone compared with the first six months of 2008.
In the first six months of 2009, total non-production-related costs
increased by 12% to DKK 12,646 million compared with the same period
last year. Close to half of the increase in non-production-related
costs, or around 6 percentage points, reflects the higher value of
key currencies versus the Danish krone in the first six months of
2009 compared with the first six months of 2008. The underlying
development in non-production-related costs relates to the expanded
sales force in especially the US, UK, Germany and China countered by
lower research and development costs, primarily reflecting the timing
of phase 3 clinical trial programmes as well as the non-recurring
costs of DKK 375 million in the first six months of 2008 related to
the discontinuation of pulmonary diabetes projects.
Licence fees and other operating income were DKK 165 million in the
first six months of 2009 compared with DKK 162 million in the same
period of 2008.
Net financials
Net financials showed a net expense of DKK 511 million in the first
six months of 2009 compared with a net income of DKK 444 million in
the same period of 2008.
For the first six months of 2009, the foreign exchange result was an
expense of DKK 501 million compared with an income of DKK 474 million
in the first six months of 2008. This development reflects losses on
foreign exchange hedging of especially US dollars and Japanese yen
due to the significant appreciation of these currencies versus Danish
kroner in the first six months of 2009 compared to the exchange rate
level prevailing in 2008. The market value of foreign exchange
hedging contracts for future income recognition is now positive with
a loss of approximately DKK 300 million expected to be recognised as
an expense in the second half of 2009, and an income of approximately
DKK 500 million to be recognised in 2010.
Included in net financials is the result from associated companies
with an expense of DKK 46 million, primarily related to Novo
Nordisk's share of losses in ZymoGenetics, Inc. In the same period of
2008, the result from associated companies was an expense of DKK 70
million.
Outlook 2009
The current expectations for 2009 are summarised and compared to the
previous expectations in the table below (changes highlighted in bold
and italic):
+-------------------------------------------------------------------+
| Expectations are as | Current | Previous |
| reported, if not | expectations | expectations |
| otherwise stated | 6 August 2009 | 30 April 2009 |
|-----------------------+---------------------+---------------------|
| Sales growth | | |
| - in local | At the level of 10% | At the level of 10% |
| currencies | Around 2 percentage | Around 4.5 |
| - as reported | points | percentage points |
| | higher | higher |
|-----------------------+---------------------+---------------------|
| Operating profit | | |
| growth | 12-14% | At least 10% |
| - in local | Around 4 percentage | Around 8 percentage |
| currencies | points | points |
| - as reported | higher | higher |
| | | |
|-----------------------+---------------------+---------------------|
| Net financial expense | Around DKK 900 | Around DKK 1.5 |
| | million | billion |
|-----------------------+---------------------+---------------------|
| Effective tax rate | Approximately 23% | Approximately 23% |
|-----------------------+---------------------+---------------------|
| Capital expenditure | Around DKK 3 | Around DKK 3 |
| | billion | billion |
|-----------------------+---------------------+---------------------|
| Depreciation, | Around DKK 2.6 | Around DKK 2.6 |
| amortisation and | billion | billion |
| impairment losses | | |
|-----------------------+---------------------+---------------------|
| Free cash flow | More than DKK 10 | Around DKK 10 |
| | billion | billion |
+-------------------------------------------------------------------+
Novo Nordisk still expects sales growth in 2009 at the level of 10%
measured in local currencies. This is based on expectations of
continued market penetration for Novo Nordisk's key strategic
products within diabetes care and biopharmaceuticals as well as
expectations of continued intense competition during 2009. Given the
current level of exchange rates versus Danish kroner, the reported
sales growth is now expected to be around 2 percentage points higher
than the growth rate measured in local currencies.
For 2009, growth in operating profit is now expected to be 12-14%
measured in local currencies. The increase reflects a reduction in
the expected level of research and development costs for 2009 due to
timing of phase 3 clinical trial programmes. Furthermore, the
forecast is based on assumptions of a continuous improvement of the
gross margin and increased spending for sales and distribution
relative to sales due to the increase in Novo Nordisk's global sales
force. Given the current level of exchange rates versus Danish
kroner, the reported operating profit growth is now expected to be
around 4 percentage points higher than the growth rate measured in
local currencies.
For 2009, Novo Nordisk now expects a net financial expense of around
DKK 900 million. The current expectation reflects significant foreign
exchange hedging losses, primarily related to the US dollar and the
Japanese yen.
The effective tax rate for 2009 is still expected to be around 23%.
Capital expenditure is still expected to be around DKK 3 billion in
2009. Expectations for depreciations, amortisation and impairment
losses of around DKK 2.6 billion are unchanged, whereas free cash
flow is now expected to be more than DKK 10 billion, reflecting
slightly higher expectations for net profit.
All of the above expectations are based on the assumption that the
global economic downturn will not significantly change the business
environment for Novo Nordisk during the remaining part of 2009. In
addition, the above expectations are provided that currency exchange
rates, especially the US dollar, remain at the current level versus
the Danish krone for the rest of 2009 (see appendix 6). 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 below table.
Key invoicing Annual impact on Novo Nordisk's Hedging period
currencies operating profit of a 5% (months)
movement in currency
USD DKK 530 million 15
JPY DKK 150 million 15
GBP DKK 80 million 13
CNY DKK 80 million 15*
CAD DKK 40 million 7
*USD used as proxy when hedging Novo Nordisk's CNY currency exposure
The financial impact from foreign exchange hedging is included in
'Net financials'.
Research and development update
Diabetes care
As announced on 3 July, the European Commission has granted marketing
authorisation for Victoza® for the treatment of type 2 diabetes in
adults. The authorisation covers all 27 European Union member states.
Victoza® is the brand name approved in Europe for liraglutide, the
first once-daily human Glucagon-Like Peptide-1 (GLP-1) analogue
developed for the treatment of type 2 diabetes. The marketing
authorisation covers treatment in combination with metformin or a
sulphonylurea in patients with insufficient glycaemic control despite
maximal tolerated dose of monotherapy with these agents. Furthermore,
the authorisation covers combination treatment with metformin and a
sulphonylurea or metformin and a thiazolidinedione in patients with
insufficient glycaemic control despite these dual therapies. In the
beginning of July, Novo Nordisk launched Victoza® in the UK, Germany
and Denmark and expects to launch Victoza® in more European markets
during the second half of 2009 and throughout 2010.
In the US, Novo Nordisk continues the constructive dialogue with the
United States Food and Drug Administration regarding the regulatory
process for liraglutide. Novo Nordisk expects to receive formal
feedback from the FDA for liraglutide later this quarter.
In a recently completed study, the effect of liraglutide was compared
to sitagliptin, both administered as add-on to metformin in people
with type 2 diabetes. The study was a 26-week, randomised,
open-label, multinational trial in which daily doses of 1.2 and 1.8
mg of liraglutide were compared to 100 mg sitagliptin. The trial
enrolled approximately 650 people with type 2 diabetes failing to
reach an HbA1c level of below 7.5% after daily treatment with at
least 1500 mg of metformin. From a baseline of around 8.5%, HbA1c
decreased by approximately 1.5 percentage points in the 1.8 mg
liraglutide treatment arm and 1.2 percentage points in the 1.2 mg
liraglutide treatment arm, compared to 0.9 percentage points in the
sitagliptin treatment arm. The ADA HbA1c target of below 7% was
reached in approximately 55%, 40% and 20% of the patients in the 1.8
mg liraglutide, 1.2 mg liraglutide and sitagliptin treatment arms,
respectively. In the same groups, a weight loss of approximately 3.5
kg, 3 kg and 1 kg was found, respectively. All the above differences
were statistically significant, in favour of both doses of
liraglutide compared to sitagliptin. The safety profile of
liraglutide in this study was comparable to the profile established
in the previous clinical studies.
At the annual meeting of the American Diabetes Association (ADA) held
in New Orleans in June this year, Novo Nordisk presented the detailed
two-year data with liraglutide in monotherapy (LEAD(TM) 3). The study
investigated the efficacy and safety of two doses of liraglutide (1.2
mg and 1.8 mg) compared with glimepiride treatment in type 2 diabetes
patients. The trial consisted of a 52-week randomised, double-blinded
period followed by a one-year controlled open-label extension.
Once-daily liraglutide, used as monotherapy, led to statistically
significant and sustained reductions in blood glucose and body weight
after two years of treatment. 58% of patients treated with
liraglutide 1.8 mg once daily reached and maintained the ADA's target
of HbA1C less than 7%, versus 37% of patients treated with
glimepiride 8 mg once daily. After two years of treatment with 1.8 mg
of liraglutide, mean body weight decreased by 2.7 kg compared to an
overall weight increase in the glimepiride group of 0.95 kg, a
difference that was statistically significant. Importantly, minor
hypoglycaemia was six times less frequent in the liraglutide
treatment groups compared with the glimepiride group.
Furthermore, detailed results from the LEAD(TM) 6 study were
presented at the ADA meeting and published in The Lancet in June
2009. The LEAD(TM) 6 study was a randomised, open-label study
comparing the efficacy and safety of once-daily liraglutide 1.8 mg to
exenatide 10 µg, given twice daily, for 26 weeks. The study showed
that liraglutide treatment led to statistically significantly greater
lowering of blood glucose than exenatide treatment and that
liraglutide was associated with less persistent nausea than
exenatide. In two subsequent trial extensions, of 14 and 38 weeks'
duration respectively, the efficacy and safety of longer-term
treatment with liraglutide has been investigated as well as the
impact of switching from exenatide to liraglutide treatment. New data
from the recently completed 38-week extension showed that patients
are largely able to maintain the achieved reduction in the blood
glucose levels as well as body weight. Moreover, the extensions of
the LEAD(TM) 6 study confirmed the established safety and
tolerability profile of liraglutide during longer-term treatment.
With regard to the liraglutide phase 3 programme for the treatment of
obesity, the first of three phase 3 trials is progressing according
to plans. The remaining two phase 3 trials are not expected to be
initiated before Novo Nordisk has more clarity on the US regulatory
process for liraglutide for the treatment of type 2 diabetes.
In July 2009, Novo Nordisk received marketing authorisation for
Levemir® in China from the Chinese regulatory authorities (SFDA).
Novo Nordisk expects to launch Levemir® in China in the beginning of
2010 and will thereby become the only company with a complete
portfolio of modern insulins for people with diabetes in China.
The new generation of modern insulins, SIBA (soluble insulin basal
analogue, NN1250) and SIAC (soluble insulin analogue combination,
NN5401), are both expected to start phase 3 clinical trials in the
third quarter this year. SIBA is a neutral, soluble, long-acting
basal insulin developed to provide a duration of more than 24 hours
and a flat and predictable profile. SIAC is a neutral, soluble,
fixed-combination of a long-acting basal insulin and a fast-acting
insulin, without a need for resuspension. The trial programmes for
the two insulins are named BEGIN(TM) and BOOST(TM), respectively. The
large trial programme will be executed in waves and the primary
endpoint will be changes in HbA1C with frequency of hypoglycaemia and
other general safety measures as the most important secondary
endpoints. In total, the BEGIN(TM) programme is expected to include
around 7,000 patients whereas the BOOST(TM) programme is expected to
include approximately 3,000 patients. The first wave of the BEGIN(TM)
programme will include direct comparison with insulin glargine in
insulin naïve type 2 diabetics as well as trials investigating the
use of the new insulin in a basal-bolus treatment regimen for people
with both type 1 and type 2 diabetes. For the BOOST(TM) programme,
wave 1 will be a trial investigating the use of the new insulin
compared to Levemir® in a basal-bolus treatment regimen in people
with type 1 diabetes. As mentioned, the first wave of the two
programmes is expected to be initiated in the third quarter of 2009,
and the subsequent waves are expected to be initiated in the fourth
quarter of 2009 and first half of 2010.
Biopharmaceuticals
In June 2009, at the Endocrine Society's Annual Meeting in Washington
DC, USA, results from the phase 2 study with the once-weekly growth
hormone compound NNC126-0083 in adults with growth hormone deficiency
(AGHD) were presented. The study included 32 patients that were
randomised to one of three different doses of active treatment or
placebo. The patients received weekly doses of growth hormone
compound subcutaneously for three weeks. The study demonstrated a
solid efficacy profile that allows for once-weekly administration of
growth hormone. While the study did not involve a direct comparison
to once-daily injected growth hormone, the results of the trial
indicate an efficacy profile comparable to the efficacy of once-daily
administered growth hormone seen in other trials, as measured by the
IGF-1 blood levels achieved. IGF-1 release is a well-established
biomarker of growth hormone effects. In addition, the compound was
generally well tolerated. Novo Nordisk has now initiated a phase 2a
single dose study in children with growth hormone deficiency (GHD)
expected to enrol 32 individuals and results of this trial are
expected in the beginning of 2010.
Within the area of haemostasis, Novo Nordisk has initiated a
randomised, double-blinded, placebo-controlled, phase 2 trial with
rFXIII in cardiac surgery. The aim of the trial is to investigate the
safety and efficacy of rFXIII on transfusion needs in patients
undergoing heart surgery. The trial is expected to enrol around 400
patients and results are expected early 2011.
The phase 1 trial with subcutaneous injection of rFVIIa has now been
completed. While the study showed that subcutaneous dosing is
possible, the bioavailability was lower than expected. Hence, Novo
Nordisk has decided not to continue into phase 2 clinical development
with this mode of administration for this compound and will instead
focus on subcutaneous administration of a long-acting rFVIIa expected
to enter clinical development this year.
In addition, Novo Nordisk expects to start phase 2 clinical
development in the third quarter this year with the long-acting
recombinant FVIIa derivative, NN7128, intended for prophylactic
treatment of haemophilia patients with inhibitors. The phase 2 trial
will involve around 24 patients and results are expected in 2011.
Furthermore, Novo Nordisk expects to start a phase 1 trial with a
recombinant long-acting factor IX compound in the third quarter of
2009. The trial is expected to enrol around 20 patients in a
dose-finding trial and the study is expected to be completed in
mid-2010.
Finally, within the area of inflammation Novo Nordisk has initiated a
phase 1 trial to evaluate the safety of single and multiple dosing of
a novel monoclonal antibody in patients with rheumatoid arthritis.
With this, Novo Nordisk now has a total of three projects in clinical
development within inflammation.
Equity
Total equity was DKK 34,086 million at the end of the first six
months of 2009, equal to 66.5% of total assets, compared with 65.2%
at the end of 2008. Please refer to appendix 5 for further
elaboration of changes in equity during the first six months of 2009.
Treasury shares and share repurchase programme
As per 5 August 2009, Novo Nordisk A/S and its wholly-owned
affiliates owned 21,462,241 of its own B shares, corresponding to
3.5% of the total share capital. The reduced ownership of own shares
reflects the cancellation of 14,000,000 B shares, which took place on
22 June 2009 following a decision at the Annual General Meeting
earlier this year. After the legal implementation of the share
capital reduction, Novo Nordisk's share capital amounts to DKK
620,000,000 divided into an A share capital of DKK 107,487,200 and a
B share capital of DKK 512,512,800.
In 2009, under the Safe Harbour rules Novo Nordisk has repurchased
10,670,182 B shares equal to a cash value of DKK 3.0 billion. The
ongoing share repurchase programme of DKK 18.5 billion has today been
increased by DKK 0.5 billion to DKK 19 billion, reflecting the
improved outlook for free cash flow generation in 2009. Novo Nordisk
still expects to finalise the share repurchase programme before the
end of 2009. As a consequence Novo Nordisk now expects to repurchase
B shares equal to a cash value of around DKK 6.5 billion in 2009 in
total. In the period from 2006 to 2008 Novo Nordisk repurchased B
shares equal to a cash value of DKK 12.5 billion in total.
Sustainability issues update
Sharing treatment best practices
Novo Nordisk has launched a Changing Diabetes® Barometer website,
changingdiabetesbarometer.com, which shows the current state of
diabetes and diabetes care in more than 70 countries and highlights
areas where improvement is possible. The tool enables policy-makers
and healthcare providers to measure progress and set priorities for
action plans. Offering a set of indicators defined by international
guidelines, the Changing Diabetes® Barometer increases transparency
on the status of diabetes prevention and care with an aim to improve
health outcomes and bring down total costs.
The Changing Diabetes® Barometer is a key element in Novo Nordisk's
contribution to implement the United Nations Declaration on Diabetes.
It is a direct response to the need for robust measurements on the
scale of diabetes and availability of metrics to track performance.
Green electricity for Novo Nordisk in Denmark
Supplies of green electricity to Novo Nordisk began in May 2009, as
part of the company's partnership agreement with its energy supplier
in Denmark, DONG Energy, in which energy savings in the company's
operations are earmarked to purchase green energy. The electricity is
produced at the newly inaugurated offshore wind farm, Horns Rev II.
Projections are that Novo Nordisk will receive 80 - 100 million kWh
during 2009, corresponding to a reduction of CO2 emissions of
40,000-50,000 tons in 2009.
Legal issues update
US hormone therapy litigation
As of 5 August 2009, Novo Nordisk Inc., as well as the majority of
hormone therapy product manufacturers in the US, is a defendant in
product liability lawsuits related to hormone therapy products. These
lawsuits currently involve a total of 53 individuals who allege use
of a Novo Nordisk hormone therapy product. These products (Activella®
and Vagifem®) have been sold and marketed in the US since 2000. Until
July 2003, the products were sold and marketed exclusively in the US
by Pharmacia & Upjohn Company (now Pfizer Inc.). A further 60
individuals currently allege, in relation to similar lawsuits against
Pfizer Inc., that they have also used a Novo Nordisk hormone therapy
product. Novo Nordisk does not have any court trials scheduled for
2009; currently the first court trial is expected in the first
quarter of 2010. Novo Nordisk does not expect the pending claims to
impact Novo Nordisk's financial outlook.
Conference call details
At 13.00 CET today, corresponding to 7.00 am EDT, 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 - Download
centre'. Presentation material for the conference call will be made
available approximately one hour before on the same page.
Forward-looking statements
Novo Nordisk's reports filed with or furnished to the US Securities
and Exchange Commission (SEC), including this document as well as the
company's Annual Report 2008 and Form 20-F, both filed with the SEC
in February 2009, and written information released, or oral
statements made, to the public in the future by or on behalf of Novo
Nordisk, may contain forward-looking statements. Words such as
'believe', 'expect', 'may', 'will', 'plan', 'strategy', 'prospect',
'foresee', 'estimate', 'project', 'anticipate', 'can', 'intend',
'target' and other words and terms of similar meaning in connection
with any discussion of future operating or financial performance
identify forward-looking statements. Examples of such forward-looking
statements include, but are not limited to:
- statements of 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 cooperations in relation thereto,
- statements containing projections of or targets for
revenues, income (or loss), earnings per share, capital expenditures,
dividends, capital structure or other net financials,
- statements of future economic performance, future actions
and outcome of contingencies such as legal proceedings, and
- statements of the assumptions underlying or relating to
such statements.
In this document, examples of forward-looking statements can be found
under the headings 'Outlook 2009', 'Research and development update',
'Equity' and 'Legal issues update'.
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 recall, 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 'Managing Risks'
on pp 24-25 of the Annual Report 2008 available on the company's
website (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.
Management statement
Today, the Board of Directors and Executive Management reviewed and
approved the interim financial report and accounts of Novo Nordisk
A/S for the first six months of 2009.
The interim financial report and accounts have been prepared in
accordance with International Financial Reporting Standards and the
additional Danish disclosure requirements applying to listed
companies' interim reports and accounts.
In our opinion the accounting policies used are appropriate and the
overall presentation of the interim financial report and accounts is
adequate. Furthermore, in our opinion the interim financial report
and accounts include a fair view of the development and performance
of the business and the financial position of the Group, as well as
an overview of the material risks and uncertainties the Group faces.
Bagsværd 6 August 2009
Executive Management:
Lars Rebien Sørensen Jesper Brandgaard
President and CEO CFO
Lise Kingo Kåre Schultz Mads Krogsgaard Thomsen
Board of Directors:
Sten Scheibye Göran A Ando
Chairman Vice chairman
Henrik Gürtler Johnny Henriksen Pamela J Kirby
Anne Marie Kverneland Kurt Anker Nielsen Søren Thuesen Pedersen
Hannu Ryöppönen Stig Strøbæk Jørgen Wedel
Contacts for further information
Media: Investors:
Mike Rulis Mads Veggerby Lausten
Tel: (+45) 4442 3573 Tel: (+45) 4443 7919
E-mail: mike@novonordisk.com E-mail: mlau@novonordisk.com
Kasper Roseeuw Poulsen
Tel: (+45) 4442 4471
E-mail: krop@novonordisk.com
In North America:
Sean Clements Hans Rommer
Tel: (+1) 609 514 8316 Tel: (+1) 609 919 7937
E-mail: secl@novonordisk.com E-mail: hrmm@novonordisk.com
Further information on Novo Nordisk is available on the company's
internet homepage at the address: novonordisk.com
Appendix 1 - Quarterly numbers in DKK
(Amounts in DKK million, except number of employees,
earnings per share and number of shares outstanding.)
%
change
Q2
2009
2009 2008 vs
Q2
Q2 Q1 Q4 Q3 Q2 Q1 2008
Sales 13,001 12,498 12,583 11,246 11,110 10,614 17%
Gross profit 10,391 9,990 10,047 8,640 8,556 8,201 21%
Gross margin 79.9% 79.9% 79.8% 76.8% 77.0% 77.3%
Sales and
distribution
costs 3,837 3,844 3,558 3,155 3,178 2,975 21%
Percent of 29.5% 30.8% 28.3% 28.1% 28.6% 28.0%
sales
Research
and
development
costs 1,849 1,744 2,439 1,579 1,980 1,858 (7%)
- Hereof cost
related to
AERx®* - - - 50 (155) (220)
Percent of 14.2% 14.0% 19.4% 14.0% 17.8% 17.5%
sales
Percent of
sales
(excl. AERx®*) 14.2% 14.0% 19.4% 14.5% 16.4% 15.4%
Administrative
expenses 693 679 749 633 626 627 11%
Percent of 5.3% 5.4% 6.0% 5.6% 5.6% 5.9%
sales
Licence fees
and other
operating
income (net) 78 87 73 51 74 88 5%
Operating
profit 4,090 3,810 3,374 3,324 2,846 2,829 44%
Operating 31.5% 30.5% 26.8% 29.6% 25.6% 26.7%
margin
Operating
profit
(excl.AERx®*) 4,090 3,810 3,374 3,274 3,001 3,049 36%
Operating
margin
(excl. AERx®*) 31.5% 30.5% 26.8% 29.1% 27.0% 28.7%
Share of profit/
(loss) in
associated
companies (11) (35) 4 (58) (3) (67) 267%
Financial
income 166 142 (82) 306 429 474 (61%)
Financial
expenses 361 412 226 66 21 368 1619%
Profit before
income taxes 3,884 3,505 3,070 3,506 3,251 2,868 19%
Net profit 2,991 2,699 2,330 2,664 2,471 2,180 21%
Depreciation,
amortisation
and
impairment
losses 533 607 752 560 567 563 (6%)
Capital
expenditure 557 413 764 448 328 214 70%
Cash flow
from operating
activities 2,608 4,148 3,204 3,673 2,916 3,070 (11%)
Free cash
flow 2,062 3,626 2,421 3,210 2,589 2,795 (20%)
Equity 34,086 31,345 32,979 32,173 33,046 31,251 3%
Total assets 51,246 50,205 50,603 48,990 48,478 47,534 6%
Equity ratio 66.5% 62.4% 65.2% 65.7% 68.2% 65.7%
Full-time
employees at
the end of the
period 27,998 27,429 26,575 26,360 26,060 25,765 7%
Basic
earnings
per share
(in DKK) 4.96 4.44 3.82 4.34 3.99 3.51 24%
Diluted
earnings
per share
(in DKK) 4.91 4.41 3.80 4.30 3.96 3.48 24%
Average
number of
shares
outstanding
(million) 603.1 607.4 609.3 614.2 618.6 620.9 (3%)
Average
number of
shares
outstanding
incl
dilutive effect
of options
'in the money'
(million) 607.9 612.7 614.4 618.6 623.5 626.3 (3%)
Sales by
business
segments:
Modern
insulins
(insulin
analogues) 5,414 4,990 5,028 4,365 4,103 3,821 32%
Human
insulins 2,879 3,004 3,093 2,806 2,966 2,939 (3%)
Protein-
related
sales 492 484 477 464 460 443 7%
Oral
antidiabetic
products
(OAD) 675 691 602 671 478 640 41%
Diabetes
care total 9,460 9,169 9,200 8,306 8,007 7,843 18%
NovoSeven® 1,874 1,805 1,774 1,534 1,648 1,440 14%
Norditropin® 1,122 1,034 1,060 941 986 878 14%
Hormone
replacement
therapy 435 409 442 394 391 385 11%
Other
products 110 81 107 71 78 68 41%
Biopharma-
ceuticals total 3,541 3,329 3,383 2,940 3,103 2,771 14%
Sales by
geographic
segments:
Europe 4,375 4,195 4,453 4,305 4,400 4,061 (1%)
North
America 4,710 4,532 4,478 3,759 3,467 3,450 36%
International
Operations 2,532 2,513 2,186 2,074 2,069 2,096 22%
Japan &
Oceania 1,384 1,258 1,466 1,108 1,174 1,007 18%
Segment
operating
profit:
Diabetes
care 2,333 2,171 2,424 1,963 1,510 1,672 55%
Diabetes
care
(excl. AERx®*) 2,333 2,171 2,424 1,913 1,665 1,892 40%
Biopharma- 32%
ceuticals 1,757 1,639 950 1,361 1,336 1,157
*) Costs related to the discontinuation of all
pulmonary diabetes projects.
Appendix 2 - Income Statement
H1 H1 Q2 Q2
DKK million 2009 2008 2009 2008
Sales 25,499 21,724 13,001 11,110
Cost of goods
sold 5,118 4,967 2,610 2,554
Gross profit 20,381 16,757 10,391 8,556
Sales and
distribution
costs 7,681 6,153 3,837 3,178
Research and
development
costs 3,593 3,838 1,849 1,980
- hereof costs
related to
AERx® *) - (375) - (155)
Administrative
expenses 1,372 1,253 693 626
Licence fees
and other
operating
income (net) 165 162 78 74
Operating
profit 7,900 5,675 4,090 2,846
Operating
profit (excl
AERx® *) 7,900 6,050 4,090 3,001
Share of profit/
(loss) in
associated
companies (46) (70) (11) (3)
Financial
income 308 903 166 429
Financial
expenses 773 389 361 21
Profit before
income taxes 7,389 6,119 3,884 3,251
Income taxes 1,699 1,468 893 780
NET PROFIT 5,690 4,651 2,991 2,471
Basic
earnings per
share (DKK) 9.40 7.50 4.96 3.99
Diluted
earnings per
share (DKK) 9.32 7.44 4.91 3.96
Segment
Information
Segment sales:
Diabetes care 18,629 15,850 9,460 8,007
Biopharmaceuticals 6,870 5,874 3,541 3,103
Segment operating
profit**):
Diabetes care 4,504 3,182 2,333 1,510
Operating margin 24.2% 20.1% 24.7% 18.9%
Biopharmaceuticals 3,396 2,493 1,757 1,336
Operating margin 49.4% 42.4% 49.6% 43.1%
Total segment
operating profit 7,900 5,675 4,090 2,846
Statement of
comprehensive
income
Net profit for
the period 5,690 4,651 2,991 2,471
Other
comprehensive
income:
Exchange rate
adjustment of
investments in
subsidiaries 328 124 165 233
Novo Nordisk
share of equity
recognised by
associated
companies 9 14 1 5
Deferred (gain)/
loss on cash flow
hedges at the
beginning of the year
recognised in the
Income statement
for the period 333 (481) 220 (273)
Fair value
adjustments on
financial instruments 554 708 735 136
Tax on fair
value adjustments
on financial
instruments 1 0 (3) 0
Other
adjustments (15) 12 (1) 50
Tax on
other adjustments (31) 0 (48) 0
Other
comprehensive
income for the
period, net of
tax 1,179 377 1,069 151
TOTAL
COMPREHENSIVE
INCOME FOR
THE PERIOD 6,869 5,028 4,060 2,622
*) Excluding costs related to the
discontinuation of AERx® and all
other pulmonary diabetes projects.
**) Group financing (including
financial expense and financial
income) and income taxes are
managed on a group basis and
are not allocated to operating
segments.
Appendix 3 - Statement of financial position
DKK million 30 Jun 2009 31 Dec 2008
ASSETS
Intangible assets 911 788
Property, plant and equipment 18,760 18,639
Investments in associated
companies 170 222
Deferred income tax assets 1,489 1,696
Other financial assets 189 194
TOTAL LONG-TERM ASSETS 21,519 21,539
Inventories 9,900 9,611
Trade receivables 7,254 6,581
Tax receivables 717 1,010
Other receivables 1,902 1,704
Marketable securities and
financial derivatives 1,091 1,377
Cash at bank and in hand 8,863 8,781
TOTAL CURRENT ASSETS 29,727 29,064
TOTAL ASSETS 51,246 50,603
EQUITY AND LIABILITIES
Share capital 620 634
Treasury shares (20) (26)
Retained earnings 33,369 33,433
Other comprehensive income 117 (1,062)
TOTAL EQUITY 34,086 32,979
Long-term debt 979 980
Deferred income tax liabilities 2,359 2,404
Provision for pensions 437 419
Other provisions 910 863
Total long-term liabilities 4,685 4,666
Short-term debt and financial
derivatives 453 1,334
Trade payables 1,660 2,281
Tax payables 755 567
Other liabilities 6,723 5,853
Other provisions 2,884 2,923
Total current liabilities 12,475 12,958
TOTAL LIABILITIES 17,160 17,624
TOTAL EQUITY AND
LIABILITIES 51,246 50,603
Appendix 4 - Statement of Cash flows
DKK million H1 2009 H1 2008
Net profit 5,690 4,651
Adjustment for non-cash items 2,785 3,121
Income taxes paid and net
interest received (872) (930)
Cash flow before change
in working capital 7,603 6,842
Net change in working capital (847) (856)
Cash flow from operating
activities 6,756 5,986
Net investments in intangible
assets and long-term financial
assets (116) (230)
Capital expenditure for property,
plant and equipment (970) (542)
Net change in marketable securities
(maturity exceeding three months) - 3
Dividend received 18 170
Net cash used in investing
activities (1,068) (599)
Cash flow from financing
activities (5,866) (4,233)
NET CASH FLOW (178) 1,154
Unrealised gain/(loss) on exchange
rates and marketable securities
included in cash and cash equivalents 23 14
Net change in cash and cash
equivalents (155) 1,168
Cash and cash equivalents at the
beginning of the year 8,726 4,617
Cash and cash equivalents at
the end of the period 8,571 5,785
Bonds with original term to maturity
exceeding three months 1,016 1,471
Undrawn committed credit facilities 7,447 7,458
FINANCIAL RESOURCES AT THE
END OF THE PERIOD 17,034 14,714
Cash flow from operating activities 6,756 5,986
+ Net cash used in investing activities (1,068) (599)
- Net change in marketable securities
(maturity exceeding three months) - 3
FREE CASH FLOW 5,688 5,384
Appendix 5 - Statement of changes in equity
Other
reserves
Share Trea- Re- Ex- De- Other Total
capital sury tained change ferred adjust-
shares earn- rate gain/ ments
ings adjust- loss
ments on cash
flow
hedges
DKK million
H1 2009
Balance at
the
beginning
period 634 (26) 33,433 (256) (859) 53 32,979
Total
comprehen-
sive
income
for the
period 5,690 328 888 (37) 6,869
Dividends (3,650) (3,650)
Share-
based
payment 104 104
Reduction
of the
B share
capital (14) 14 -
Purchase
of treasury
shares (9) (2,280) (2,289)
Sale of
treasury
shares 1 72 73
Balance
at the
end of the
period 620 (20) 33,369 72 29 16 34,086
At the end of the year proposed
dividends (declared in 2008) of DKK
3,650 million (6.00 DKK per share)
are included in Retained earnings.
No dividend is declared on treasury
shares
Other
reserves
Share Trea- Re- Ex- De- Other Total
capital sury tained change ferred adjust-
shares earn- rate gain/ ments
ings adjust- loss
ments on cash
flow
hedges
DKK million
H1 2008
Balance at
the
beginning
period 647 (26) 30,661 209 678 13 32,182
Total
comprehen-
sive
income
for the
period - - 4,651 124 227 26 5,028
Dividends (2,795) (2,795)
Share-
based
payment 69 69
Reduction
of the
B share
capital (13) 13 -
Purchase
of treasury
shares (5) (1,517) (1,522)
Sale of
treasury
shares 1 83 84
Balance
at the
end of the
period 634 (17) 31,152 333 905 39 33,046
At the end of the year proposed
dividends (declared in 2008) of DKK
3,650 million (6.00 DKK per share)
are
included in Retained earnings. No
dividend is declared on treasury
shares
Appendix 6 - Assumptions for key currencies
+-------------------------------------------------------------------+
| DKK per | 2008 average | YTD 2009 average | Current exchange |
| 100 | exchange rates | exchange rates as | rate |
| | | of | as of 3 August |
| | | 3 August 2009 | 2009 |
|---------+----------------+-------------------+--------------------|
| USD | 509 | 555 | 521 |
|---------+----------------+-------------------+--------------------|
| JPY | 4.96 | 5.82 | 5.48 |
|---------+----------------+-------------------+--------------------|
| GBP | 938 | 838 | 877 |
|---------+----------------+-------------------+--------------------|
| CNY | 73 | 81 | 76 |
|---------+----------------+-------------------+--------------------|
| CAD | 479 | 465 | 487 |
+-------------------------------------------------------------------+
Appendix 7 - Accounting policies
The interim financial report for the first six months of 2009 has
been prepared in accordance with IAS 34 Interim Financial Reporting,
as issued by IASB and adopted by the EU, and the additional Danish
disclosure requirements applying to listed companies' interim
reports.
The following standards relevant to Novo Nordisk have been adopted by
the EU and were implemented with effective date 1 January 2009 as
described in the 2008 Annual Report:
* IAS 1 (Revised) 'Presentation of financial statements'.
* IAS 23 (Amendment) 'Borrowing costs'.
* IFRS 2 (Amendment) 'Share-based payment'.
* IAS 28 (Amendment) 'Investment in associates' (and consequential
amendments to IAS 32, 'Financial Instruments: Disclosure and
Presentation'.
* IAS 36 (Amendment) 'Impairment of assets'.
* IAS 38 (Amendment) 'Intangible assets'.
* IAS 19 (Amendment) 'Employee benefits'.
* Minor amendments to IFRS 7, IAS 1, IAS 8, IAS 10, IAS 18, IAS 34
and IAS 39.
* IFRIC 16 'Hedges of net investment in a foreign operation'.
The adoption of these standards has not affected recognition and
measurement in Novo Nordisk's interim financial report for the first
six months of 2009. Except for the above-mentioned implemented
standards, the interim financial report has been prepared using the
same accounting policies as in the Annual Report for 2008.
Appendix 8 - Quarterly numbers in EUR
(Supplementary information)
(Amounts in EUR million, except number of employees,
earnings per share and number of shares outstanding.)
Key figures are translated into EUR as supplementary
information - the translation is based on average exchange
rate
for income statement and exchange rate at the balance
sheet date for balance sheet items.
The specified percent changes are based on the
changes in the
'Quarterly numbers in DKK', see appendix 1.
%
change
Q2
2009
2009 2008 vs
Q2
Q2 Q1 Q4 Q3 Q2 Q1 2008
Sales 1,746 1,677 1,688 1,508 1,489 1,424 17%
Gross profit 1,395 1,341 1,348 1,159 1,147 1,100 21%
Gross margin 79.9% 79.9% 79.8% 76.8% 77.0% 77.3%
Sales and
distribution
costs 515 516 478 423 426 399 21%
Percent of
sales 29.5% 30.8% 28.3% 28.1% 28.6% 28.0%
Research and
development
costs 248 234 327 211 266 249 (7%)
- Hereof costs
related to
AERx* - - - 7 (20) (30)
Percent of
sales 14.2% 14.0% 19.4% 14.0% 17.8% 17.5%
Percent of
sales
(excl. AERx®*) 14.2% 14.0% 19.4% 14.4% 16.4% 15.4%
Administrative
expenses 93 91 100 85 84 84 11%
Percent of
sales 5.3% 5.4% 6.0% 5.6% 5.6% 5.9%
Licence fees
and other
operating
income (net) 10 12 10 7 10 12 5%
Operating
profit 549 512 453 446 381 380 44%
Operating
margin 31.5% 30.5% 26.8% 29.6% 25.6% 26.7%
Operating
profit (excl.
AERx®*) 549 512 453 439 401 410 36%
Operating
margin
(excl. AERx®*) 31.5% 30.5% 26.8% 29.1% 27.0% 28.7%
Share of profit/
(loss) in
associated
companies (1) (5) 2 (8) 0 (9) 267%
Financial
income 22 19 8 41 57 64 (61%)
Financial
expenses 49 55 50 9 3 49 1619%
Profit before
income taxes 521 471 413 470 436 385 19%
Net profit 402 362 313 357 332 292 21%
Depreciation,
amortisation
and impairment
losses 72 81 101 75 76 76 (6%)
Capital
expenditure 75 55 102 60 44 29 70%
Cash flow from
operating
activities 350 557 429 492 391 412 (11%)
Free cash
flow 277 487 325 430 347 375 (20%)
Equity 4,577 4,208 4,426 4,312 4,431 4,191 3%
Total assets 6,881 6,741 6,792 6,566 6,500 6,375 6%
Equity ratio 66.5% 62.4% 65.2% 65.7% 68.2% 65.7%
Full-time
employees at
the end of the
period 27,998 27,429 26,575 26,360 26,060 25,765 7%
Basic earnings
per share
(in EUR) 0.66 0.60 0.51 0.58 0.54 0.47 24%
Diluted earnings
per share
(in EUR) 0.66 0.59 0.51 0.57 0.53 0.47 24%
Average number
of shares
outstanding
(million) 603.1 607.4 609.3 614.2 618.6 620.9 (3%)
Average number
of shares
outstanding incl
dilutive effect
of
options 'in the
money' (million)
607.9 612.7 614.4 618.6 623.5 626.3 (3%)
Sales by
business
segments:
Modern
insulins
(insulin
analogues) 727 670 675 585 550 513 32%
Human
insulins 387 403 415 376 398 394 (3%)
Insulin-related
sales 66 65 64 62 62 59 7%
Oral
antidiabetic
products (OAD) 90 93 81 90 64 86 41%
Diabetes care
total 1,270 1,231 1,235 1,113 1,074 1,052 18%
NovoSeven® 252 242 238 206 221 193 14%
Norditropin® 150 139 142 126 132 118 14%
Hormone
replacement
therapy 58 55 59 53 52 52 11%
Other
products 16 10 14 9 11 9 41%
Biopharma-
ceuticals total 476 446 453 394 416 372 14%
Sales by
geographic
segments:
Europe 587 563 597 577 590 545 (1%)
North America 633 608 601 504 465 463 36%
International
Operations 340 337 293 278 278 281 22%
Japan &
Oceania 186 169 197 149 157 135 18%
Segment
operating
profit:
Diabetes care 314 291 325 263 203 224 55%
Diabetes care
(excl. AERx®*) 314 291 325 256 223 254 40%
Biopharma-
ceuticals 235 221 127 183 179 155 32%
*) Costs related to the discontinuation of all
pulmonary diabetes projects.
Company Announcement no 46 / 2009
