Danish pharmaceutical giant Novo Nordisk, known for its popular diabetes and weight-loss drugs Ozempic and Wegovy, reported a modest rise in net profit for the second quarter of 2024. The company, which holds the title of Europe’s most valuable firm, announced that its profit after tax reached 20 billion Danish kroner ($2.7 billion) from April to June, marking a 3% increase compared to the same period in 2023. However, this figure fell short of analysts’ expectations.
Despite the modest profit increase, Novo Nordisk saw a significant 25% surge in sales, which climbed to 68 billion kroner during the same period. This robust sales growth was primarily driven by the high demand for its diabetes and obesity treatments.
The company’s earnings were negatively impacted by a 5.7-billion-kroner loss due to the unsuccessful clinical trial of a hypertension treatment. However, this setback did not deter Novo Nordisk from raising its forecast for the full year, thanks to the sustained demand for its key products.
“We are pleased with the sales growth in the first half of 2024, which has enabled us to raise the outlook for the full year,” said Lars Fruergaard Jorgensen, CEO of Novo Nordisk, in the company’s earnings statement.
For the first six months of 2024, Novo Nordisk’s net profit increased by 16%, reaching 45.5 billion kroner. During the same period, sales grew by 24%, totaling 133.4 billion kroner. Encouraged by these positive results, the company revised its sales growth forecast for the entire year to between 22% and 28%, up from the previous estimate of 19% to 27%.
Novo Nordisk’s performance highlights the strong market demand for its innovative diabetes and obesity treatments, despite challenges in other areas of its drug development pipeline. The company continues to lead the way in the pharmaceutical industry, focusing on expanding its product offerings and meeting the growing health needs of the global population.
