Core Viewpoint - The healthcare sector is facing volatility due to President Trump's tariff threat on imported pharmaceuticals, which has led to a 2.74% decline in the sector over the past week and a 5.13% loss year-to-date, the worst among all S&P 500 sectors [1] Company-Specific Insights - Novo Nordisk experienced a 5.79% decline in stock price over the past five days following disappointing earnings, but rebounded due to weak trial data from Eli Lilly, which saw its shares drop nearly 11% [2] - Eli Lilly reported strong demand for its anti-obesity drugs, Mounjaro and Zepbound, despite a recent stock decline of 14.49% this year [9][15] - Novo Nordisk's Q2 revenue was $11.95 billion, slightly below expectations, but it reported a 16% increase in sales for its diabetes drug Ozempic and weight loss drug Wegovy compared to the previous year [10] Industry Trends - The Trump administration's initiative to cover weight loss drugs under Medicare and Medicaid could significantly increase access to these medications, potentially benefiting Eli Lilly and Novo Nordisk [5][8] - The global weight loss drug market is projected to grow at a compound annual growth rate of 31.66% from 2024 to 2030, with North America currently holding a 37.67% revenue share [13][14] - The U.S. anti-obesity drug market is valued at $6.62 billion and is expected to reach $7.13 billion by 2030 [14]

PART I. FINANCIAL INFORMATION [Item 1. Financial Statements (unaudited)](index=4&type=section&id=Item%201.%20Financial%20Statements%20(unaudited)) The unaudited financial statements show a slight asset decrease, with six-month net income and operating cash flow significantly improving year-over-year [Consolidated Balance Sheets](index=4&type=section&id=Consolidated%20Balance%20Sheets) Total assets slightly decreased to **$3.78 billion**, while liabilities increased and partners' equity declined as of June 30, 2025 Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2025 | December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | **Total current assets** | $1,215,163 | $1,207,380 | $7,783 | | Property and equipment, net | $1,668,367 | $1,706,605 | ($38,238) | | **Total assets** | **$3,784,338** | **$3,788,198** | **($3,860)** | | **Total current liabilities** | $1,027,264 | $1,000,121 | $27,143 | | Senior notes | $1,270,916 | $1,186,723 | $84,193 | | **Total liabilities** | **$3,098,033** | **$3,071,585** | **$26,448** | | **Total partners' equity** | **$686,305** | **$716,613** | **($30,308)** | [Consolidated Statements of Operations](index=5&type=section&id=Consolidated%20Statements%20of%20Operations) Q2 2025 sales increased but net income decreased, while six-month sales and net income both improved year-over-year Consolidated Statements of Operations Summary (in thousands, except per unit data) | Metric | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :--- | :--- | :--- | :--- | :--- | | Sales | $4,626,925 | $4,409,698 | $9,219,122 | $8,555,090 | | Gross Profit | $272,362 | $287,884 | $527,603 | $503,019 | | Operating Income | $60,066 | $83,869 | $115,953 | $109,705 | | Net Income | $25,210 | $46,149 | $43,894 | $40,547 | | Diluted EPS | $0.55 | $1.10 | $0.92 | $0.73 | [Consolidated Statements of Cash Flows](index=7&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Operating cash flow significantly improved to a provision of **$164.7 million**, while investing and financing activities shifted due to acquisitions and debt refinancing Six Months Ended June 30, Cash Flow Summary (in thousands) | Cash Flow Category | 2025 | 2024 | | :--- | :--- | :--- | | Net cash provided by (used in) operating activities | $164,730 | ($158,356) | | Net cash used in investing activities | ($44,435) | ($232,174) | | Net cash (used in) provided by financing activities | ($112,406) | $385,002 | | **Increase (decrease) in cash and cash equivalents** | **$7,889** | **($5,528)** | [Notes to Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) Detailed notes cover accounting policies, significant 2025 events including debt refinancing and credit agreement amendments, and segment performance - In June 2025, the Partnership issued **$450.0 million** of 7.125% senior notes due 2033, using proceeds to redeem 2027 notes and repay credit facility borrowings[20](index=20&type=chunk)[21](index=21&type=chunk) - The credit agreement was amended in March 2025, extending maturity to March 2028, increasing the working capital facility to **$1.0 billion**, and decreasing the revolving credit facility to **$500.0 million**[22](index=22&type=chunk)[47](index=47&type=chunk) - The Gasoline Distribution and Station Operations (GDSO) segment is the largest contributor to product margin, accounting for **68%** and **67%** of the consolidated total in Q2 and H1 2025, respectively[31](index=31&type=chunk) Cash Distributions Paid in 2025 (in thousands, except per unit data) | Payment Date | Security | Quarter Ended | Per Unit | Total Paid | | :--- | :--- | :--- | :--- | :--- | | 2/14/2025 | Common Units | 12/31/24 | $0.7400 | $29,483 | | 5/15/2025 | Common Units | 03/31/25 | $0.7450 | $29,815 | | 2/18/2025 | Series B Preferred | 11/15/24 - 2/14/25 | $0.59375 | $1,781 | | 5/15/2025 | Series B Preferred | 2/15/25 - 5/14/25 | $0.59375 | $1,781 | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=55&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses increased sales driven by volume, a Q2 gross profit decline due to market conditions, and key financing activities impacting liquidity [Results of Operations](index=66&type=section&id=Results%20of%20Operations) Q2 sales increased but gross profit declined due to gasoline margins, while H1 sales and gross profit grew, with SG&A expenses rising Gross Profit by Period (in millions) | Period | Q2 2025 | Q2 2024 | Change | H1 2025 | H1 2024 | Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Gross Profit | $272.4 | $287.9 | -5% | $527.6 | $503.0 | +5% | - Wholesale segment product margin decreased by **16%** in Q2 2025 for gasoline due to unfavorable market conditions, but increased by **53%** for distillates due to more favorable conditions[227](index=227&type=chunk)[230](index=230&type=chunk) - GDSO segment gasoline distribution product margin decreased **6%** in Q2 2025, primarily due to lower sales volume and a reduced site count year-over-year[232](index=232&type=chunk) - SG&A expenses increased by **$2.4 million (3%)** in Q2 2025, driven by wages, benefits, and professional fees, partially offset by lower expenses related to the Revere Terminal sale[239](index=239&type=chunk) [Liquidity and Capital Resources](index=60&type=section&id=Liquidity%20and%20Capital%20Resources) Liquidity is supported by operations and credit facilities, with working capital decreasing and significant debt refinancing activities undertaken - Working capital decreased by **$19.3 million** from year-end 2024 to **$187.9 million** at June 30, 2025, mainly due to a **$98.5 million** decrease in inventories and an **$80.4 million** increase in accounts payable[251](index=251&type=chunk) 2025 Capital Expenditure Outlook | Category | Expected 2025 Capex | | :--- | :--- | | Maintenance | $60.0 million - $70.0 million | | Expansion (ex-acquisitions) | $65.0 million - $75.0 million | - On June 23, 2025, the Partnership issued **$450.0 million** of 7.125% senior notes due 2033 and used the proceeds to redeem **$360.3 million** of its 2027 notes, resulting in a **$2.8 million** loss on early extinguishment of debt[286](index=286&type=chunk)[287](index=287&type=chunk)[288](index=288&type=chunk) - As of June 30, 2025, the Partnership had **$1.13 billion** in remaining availability under its credit facilities, subject to borrowing base limitations[280](index=280&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=64&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The Partnership faces interest rate risk from variable debt and commodity price risk managed by derivatives, with a 10% price change impacting derivatives by **$45.0 million** - The company is exposed to interest rate risk on its **$286.7 million** of variable rate debt, where a **1%** increase in interest rates would raise annual interest expense by about **$2.9 million**[302](index=302&type=chunk) Commodity Derivative Sensitivity Analysis (in thousands) | Derivative Type | Fair Value at June 30, 2025 | Effect of 10% Price Increase | Effect of 10% Price Decrease | | :--- | :--- | :--- | :--- | | Exchange traded | ($28,648) | ($26,324) | $26,324 | | Forward contracts | $4,251 | ($18,698) | $18,698 | | **Total** | **($24,397)** | **($45,022)** | **$45,022** | [Item 4. Controls and Procedures](index=66&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of June 30, 2025, with no material changes to internal controls - The Principal Executive Officer and Principal Financial Officer concluded that the company's disclosure controls and procedures were effective as of June 30, 2025[312](index=312&type=chunk) - No material changes to the internal control over financial reporting occurred during the quarter ended June 30, 2025[313](index=313&type=chunk) PART II. OTHER INFORMATION [Item 1. Legal Proceedings](index=67&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in routine legal proceedings not expected to have a material adverse impact on its financial condition - The company does not believe it is a party to any litigation that will have a material adverse impact on its financial condition or results of operations, with details provided in Note 15[151](index=151&type=chunk)[316](index=316&type=chunk) [Item 1A. Risk Factors](index=67&type=section&id=Item%201A.%20Risk%20Factors) No material changes occurred to the risk factors previously disclosed in the Annual Report on Form 10-K for the year ended December 31, 2024 - The report refers to the risk factors discussed in the Annual Report on Form 10-K for the year ended December 31, 2024, for a detailed discussion of potential risks[317](index=317&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=67&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company repurchased **58,367** common units during Q2 2025 under its LTIP, with over **1 million** units remaining authorized for repurchase Common Unit Repurchases (Q2 2025) | Period | Units Purchased | Average Price Paid ($) | | :--- | :--- | :--- | | April 2025 | — | — | | May 2025 | 33,367 | — | | June 2025 | 25,000 | $53.21 | - The repurchase program is for meeting obligations under the LTIP and employment agreements, with **1,001,654** units remaining authorized for repurchase as of August 7, 2025[318](index=318&type=chunk) [Item 5. Other Information](index=67&type=section&id=Item%205.%20Other%20Information) The COO adopted a Rule 10b5-1 trading plan on March 25, 2025, for the sale of up to **44,994** common units - Mark A. Romaine, the company's COO, adopted a Rule 10b5-1 trading plan on March 25, 2025, for the sale of up to **44,994** common units[320](index=320&type=chunk) [Item 6. Exhibits](index=67&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the Form 10-Q, including officer certifications and XBRL data files - Lists various filed exhibits, including certifications under Rule 13a-14(a)/15d-14(a) and Section 1350, as well as Inline XBRL documents[321](index=321&type=chunk)[323](index=323&type=chunk)

Financial Data and Key Metrics Changes - For Q2 2025, net income increased by 8%, adjusted EBITDA increased by 7%, and adjusted DCF increased by 9% year-over-year [5] - Net income for Q2 2025 was $25.2 million compared to $46.1 million in Q2 2024, while adjusted EBITDA was $98.2 million compared to $121.1 million in the same period [9] - Adjusted DCF for Q2 2025 was $52.3 million compared to $74.2 million in Q2 2024 [9] Business Line Data and Key Metrics Changes - GDSO product margin decreased by $13.6 million to $207.9 million due to lower site count and adverse weather conditions [10] - Gasoline distribution product margin decreased by $9.4 million to $137.9 million, reflecting lower fuel volumes [10] - Station operations product margin decreased by $4.2 million to $70 million, impacted by weather and lower site count [10] Market Data and Key Metrics Changes - The wholesale segment's product margin was $91.7 million, with gasoline and gasoline blend stocks decreasing by $11.6 million to $58.8 million [11] - Product margin from distillates and other oils increased by $11.4 million to $32.9 million due to favorable market conditions [12] Company Strategy and Development Direction - The company is focused on operational excellence, disciplined capital allocation, and delivering consistent returns for unitholders [16] - Recent terminal acquisitions have expanded the company's reach and strengthened its presence in key markets, establishing a stronger platform for long-term value [6] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the impact of adverse weather conditions on performance, particularly in May and early June [20] - The company is satisfied with its current site portfolio and anticipates minimal further rationalization [23] Other Important Information - The company approved a quarterly cash distribution of $0.75 per unit, marking the fifteenth consecutive increase [6] - The company completed a private offering of $450 million senior unsecured notes to strengthen its balance sheet and extend its debt maturity profile [14] Q&A Session Summary Question: Can you quantify the impact of weather on the quarter? - Management noted that the weather had a material impact, particularly in May, but did not provide an exact number [20][22] Question: How close is the company to completing site rationalization? - Management indicated that they are very satisfied with the current site count and expect minimal further changes [23][25] Question: Is the strength in CPG tied to terminal acquisitions? - Management clarified that the strength is independent of terminal acquisitions and is more related to supply advantages and vertical integration [26] Question: What is the acquisition outlook? - Management stated that bid-ask spreads are wide on the terminaling side, but the retail side remains active with potential opportunities [29]

[Overview of Second Quarter 2025 Performance](index=1&type=section&id=Overview%20of%20Second%20Quarter%202025%20Performance) [CEO Commentary](index=1&type=section&id=CEO%20Commentary) The CEO highlighted solid year-over-year growth in earnings and cash flow for the first half of 2025, attributing it to a diversified asset base and disciplined execution First Half 2025 Year-over-Year Growth | Metric | YoY Growth | | :--- | :--- | | Net Income | 8% | | Adjusted EBITDA | 7% | | Adjusted DCF | 9% | - The company is pleased with the second-quarter performance of its retail, terminal, and wholesale liquid energy portfolio[4](index=4&type=chunk) - The strategic acquisition of key terminals has expanded the company's reach and enhanced its market presence[4](index=4&type=chunk) [Financial Highlights](index=1&type=section&id=Financial%20Highlights) Global Partners reported a decline in key profitability metrics for the second quarter of 2025 compared to the same period in 2024, impacted by a **$2.8 million** loss on the early extinguishment of debt Q2 2025 vs. Q2 2024 Financial Metrics (in millions, except per unit data) | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Net Income | $25.2 | $46.1 | | Diluted EPS | $0.55 | $1.10 | | EBITDA | $95.7 | $118.8 | | Adjusted EBITDA | $98.2 | $121.1 | | Distributable Cash Flow (DCF) | $52.0 | $73.1 | | Adjusted DCF | $52.3 | $74.2 | | Gross Profit | $272.4 | $287.9 | - All reported non-GAAP financial measures for Q2 2025 include a **$2.8 million** loss on the early extinguishment of debt related to the redemption of the Partnership's **7.00%** senior notes due 2027[7](index=7&type=chunk) [Segment Performance](index=2&type=section&id=Segment%20Performance) In Q2 2025, the Wholesale segment's product margin remained stable, while the GDSO segment saw a decrease due to lower site count, with overall sales increasing to **$4.6 billion** driven by Wholesale volume Q2 2025 vs. Q2 2024 Product Margin by Segment (in millions) | Segment | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | GDSO | $207.9 | $221.5 | | Wholesale | $91.7 | $91.9 | | Commercial | $6.1 | $6.2 | Q2 2025 vs. Q2 2024 Sales and Volume by Segment | Segment | Sales (Q2 2025) | Sales (Q2 2024) | Volume (Q2 2025) | Volume (Q2 2024) | | :--- | :--- | :--- | :--- | :--- | | Wholesale | $3.1B | $2.6B | 1.5B gal | 1.1B gal | | GDSO | $1.2B | $1.5B | 382.4M gal | 407.0M gal | | Commercial | $275.8M | $280.9M | 141.9M gal | 119.5M gal | | **Total** | **$4.6B** | **$4.4B** | **2.0B gal** | **1.6B gal** | - The decline in GDSO product margin from both gasoline distribution and station operations was partly attributed to a decreased site count year-over-year[10](index=10&type=chunk) [Recent Developments](index=2&type=section&id=Recent%20Developments) The company completed a **$450 million** senior unsecured notes offering due 2033 to refinance debt and announced a quarterly cash distribution of **$0.7500 per common unit** - Completed an upsized private offering of **$450 million** of **7.125%** senior unsecured notes due 2033[15](index=15&type=chunk) - Net proceeds were used to purchase outstanding **$400 million** **7.00%** senior notes due 2027 and to repay a portion of borrowings under its credit agreement[15](index=15&type=chunk) - Announced a quarterly cash distribution of **$0.7500 per common unit** (**$3.00 annualized**), payable on August 14, 2025[15](index=15&type=chunk) [Financial Statements](index=6&type=section&id=Financial%20Statements) [Consolidated Statements of Operations](index=6&type=section&id=Consolidated%20Statements%20of%20Operations) For Q2 2025, Global Partners reported total sales of **$4.63 billion** and net income of **$25.2 million**, a decrease from **$46.1 million** in Q2 2024, while six-month net income increased to **$43.9 million** Income Statement Highlights (in thousands, except per unit data) | Metric | Q2 2025 | Q2 2024 | Six Months 2025 | Six Months 2024 | | :--- | :--- | :--- | :--- | :--- | | Sales | $4,626,925 | $4,409,698 | $9,219,122 | $8,555,090 | | Gross Profit | $272,362 | $287,884 | $527,603 | $503,019 | | Operating Income | $60,066 | $83,869 | $115,953 | $109,705 | | Net Income | $25,210 | $46,149 | $43,894 | $40,547 | | Diluted Net Income per Unit | $0.55 | $1.10 | $0.92 | $0.73 | [Consolidated Balance Sheets](index=7&type=section&id=Consolidated%20Balance%20Sheets) As of June 30, 2025, Global Partners had total assets of **$3.78 billion** and total liabilities of **$3.10 billion**, with cash and cash equivalents increasing to **$16.1 million** Balance Sheet Highlights (in thousands) | Account | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $16,097 | $8,208 | | Total current assets | $1,215,163 | $1,207,380 | | Total assets | $3,784,338 | $3,788,198 | | Total current liabilities | $1,027,264 | $1,000,121 | | Senior notes | $1,270,916 | $1,186,723 | | Total liabilities | $3,098,033 | $3,071,585 | | Partners' equity | $686,305 | $716,613 | [Non-GAAP Financial Measures and Reconciliations](index=3&type=section&id=Non-GAAP%20Financial%20Measures%20and%20Reconciliations) [Explanation of Non-GAAP Measures](index=3&type=section&id=Explanation%20of%20Non-GAAP%20Measures) The company uses non-GAAP measures like Product Margin, EBITDA, Adjusted EBITDA, DCF, and Adjusted DCF to evaluate core profitability, operational performance, and cash generation for distributions and debt service - Product Margin (product sales minus product costs) is used to measure the core profitability of operations[19](index=19&type=chunk) - EBITDA and Adjusted EBITDA are used to assess financial performance, ability to generate cash, and compliance with debt covenants[20](index=20&type=chunk)[23](index=23&type=chunk) - Distributable Cash Flow (DCF) and Adjusted DCF serve as indicators of the company's success in providing a cash return to limited partners[21](index=21&type=chunk)[24](index=24&type=chunk) [Financial Reconciliations](index=8&type=section&id=Financial%20Reconciliations) The report provides detailed reconciliations, showing Q2 2025 gross profit of **$272.4 million** reconciled to a combined product margin of **$305.7 million**, and net income of **$25.2 million** reconciled to Adjusted EBITDA of **$98.2 million** and Adjusted DCF of **$52.3 million** Q2 2025 Reconciliations (in thousands) | Reconciliation | Starting Value (GAAP) | Ending Value (Non-GAAP) | | :--- | :--- | :--- | | Gross Profit to Product Margin | $272,362 | $305,725 | | Net Income to Adjusted EBITDA | $25,210 | $98,158 | | Net Income to Adjusted DCF | $25,210 | $52,281 | - EBITDA, adjusted EBITDA, DCF and adjusted DCF for Q2 2025 all include a loss on early extinguishment of debt of **$2.8 million**[32](index=32&type=chunk) [Other Information](index=3&type=section&id=Other%20Information) [About Global Partners LP](index=3&type=section&id=About%20Global%20Partners%20LP) Global Partners LP is a Fortune 500 master limited partnership operating **54 liquid energy terminals** and approximately **1,700 retail locations** across the Northeast, Mid-Atlantic, and Texas, trading on the NYSE under the ticker symbol **"GLP"** - A Fortune 500 company operating **54 liquid energy terminals** and approximately **1,700 retail locations**[17](index=17&type=chunk) - Distributes gasoline, distillates, residual oil, and renewable fuels to wholesale, retail, and commercial customers[17](index=17&type=chunk) - Trades on the New York Stock Exchange as a master limited partnership under the ticker symbol **"GLP"**[18](index=18&type=chunk) [Forward-Looking Statements](index=5&type=section&id=Forward-Looking%20Statements) This section contains a standard safe harbor statement, cautioning readers that forward-looking statements are based on current expectations and are subject to significant risks and uncertainties - The press release contains forward-looking statements based on current expectations, which are not guarantees of future performance[26](index=26&type=chunk) - Readers are cautioned about significant risks and uncertainties and are directed to the Partnership's SEC filings (Form 10-K, 10-Q, 8-K) for more details[26](index=26&type=chunk)[27](index=27&type=chunk)

Core Insights - Eli Lilly's investigational oral medication orforglipron has shown significant efficacy in weight loss and cardiovascular risk factor improvement in the Phase 3 ATTAIN-1 trial, with plans for regulatory submission by year-end [1][4][5] Efficacy Results - In the ATTAIN-1 trial, orforglipron demonstrated a mean weight reduction of 12.4% (27.3 lbs) at the highest dose (36 mg) compared to 0.9% (2.2 lbs) with placebo after 72 weeks [1][2] - Key secondary endpoints showed that 59.6% of participants on the highest dose lost at least 10% of their body weight, while 39.6% lost at least 15% [1][2] - The treatment also resulted in significant reductions in cardiovascular risk markers, including non-HDL cholesterol and systolic blood pressure [1][3] Safety Profile - The safety profile of orforglipron was consistent with existing GLP-1 receptor agonists, with gastrointestinal-related adverse events being the most common [3] - The most frequently reported adverse events included nausea (28.9% to 35.9%), constipation (21.7% to 29.8%), and diarrhea (21.0% to 23.1%) across different doses, compared to lower rates in the placebo group [3] Clinical Trial Details - The ATTAIN-1 trial involved 3,127 participants with obesity or overweight and at least one weight-related medical issue, randomized to receive either orforglipron or placebo [6][7] - The trial's primary objective was to demonstrate superior body weight reduction compared to placebo after 72 weeks [6] Future Plans - Eli Lilly plans to present detailed results from the ATTAIN-1 trial at the European Association for the Study of Diabetes Annual Meeting in 2025 and publish findings in a peer-reviewed journal [4] - Additional results from the ATTAIN Phase 3 clinical trial program and the ACHIEVE Phase 3 program for type 2 diabetes are expected later this year [4]

Core Insights - Novo Nordisk A/S (NVO) reported Q2 2025 earnings of 97 cents per ADR, surpassing the Zacks Consensus Estimate of 93 cents, and up from 65 cents per ADR in the same quarter last year [1][7] - Revenues reached $11.68 billion, a 13% increase year-over-year in Danish kroner (DKK) and an 18% increase at constant exchange rates (CER), driven by higher sales in Diabetes and Obesity Care, although total revenues fell short of the Zacks Consensus Estimate of $11.79 billion [2][7] Revenue Breakdown - The Diabetes and Obesity Care segment generated sales of DKK 71.94 billion, reflecting a 17% increase. Notably, sales of fast-acting insulin Fiasp decreased by 5%, while NovoRapid sales rose by 26% [4] - Sales of Ozempic reached DKK 31.8 billion, up 15%, while Rybelsus sales were DKK 5.65 billion, down 1%. Victoza sales saw a significant decline of 57% [5][6] - Obesity Care sales (Saxenda and Wegovy) increased by 53% to DKK 20.37 billion, with Wegovy sales growing 75% to DKK 19.53 billion, although growth was impacted by illegal compounded versions in the U.S. market [6][7] Rare Disease Segment - Sales in the Rare disease segment rose by 28% to DKK 4.92 billion, with rare blood disorder products contributing DKK 3.1 billion, up 13%. NovoSeven sales increased by 16% to DKK 2 billion [9] Cost Structure - Sales and distribution costs increased by 19% to DKK 17.53 billion, primarily due to promotional activities for Wegovy in the U.S. [10] - Research and development (R&D) costs decreased by 26% to DKK 11.69 billion, mainly due to a prior year impairment loss, despite increased investment in late-stage clinical studies [11] Outlook Revision - Novo Nordisk revised its 2025 sales growth outlook to 8-14%, down from 13-21%, and operating profit growth to 10-16%, down from 16-24%, reflecting weaker-than-expected momentum for key drugs Wegovy and Ozempic [12][13] - The company cited challenges from unregulated compounded GLP-1 alternatives and slower-than-expected uptake of Wegovy in the U.S. market [13][14] Competitive Landscape - Novo Nordisk's global diabetes market share declined by 1.4% to 32.6%, attributed to increased competition from Eli Lilly's tirzepatide products [15] - Despite the competitive pressure, Novo Nordisk aims to maintain a market share of over one-third by 2025 [15] Future Prospects - The company is optimistic about increasing Wegovy sales in the second half of 2025 through initiatives like NovoCare Pharmacy and exclusive formulary coverage with CVS [19] - Ongoing FDA reviews for expanded indications of semaglutide drugs and other pipeline candidates are expected to bolster future revenues [17][18]

Core Insights - The article emphasizes the investment philosophy focused on small cap companies, highlighting the importance of identifying mispriced securities through understanding financial drivers and utilizing DCF model valuation [1] Group 1 - The investment strategy is not confined to traditional categories such as value, dividend, or growth investing, but rather considers all prospects of a stock to assess risk-to-reward [1]

Core Insights - Hims & Hers Health, Inc. is actively expanding into European markets through ZAVA and is pursuing new growth opportunities [1] Group 1 - The company is focusing on solid expansion strategies in Europe [1] - Hims & Hers Health, Inc. has been involved in various initiatives to enhance its market presence [1]

Core Viewpoint - The article discusses the author's long-term investment in Novo Nordisk (NVO) and reflects on the perceived value of the stock despite current losses, emphasizing a fundamental analysis approach to investing [1]. Group 1: Investment Perspective - The author initially invested in Novo Nordisk when the stock was priced at $80 per share, believing it to be a bargain [1]. - Despite experiencing considerable losses, the author maintains that the initial investment price was reasonable [1]. - The author expresses a preference for fundamental analysis over technical analysis, focusing on actual company performance rather than stock price movements [1]. Group 2: Investor Background - The author is a 27-year-old investor from Italy, with a background in Business Administration and completion of CFA level 1 [1]. - The author has been involved in financial markets for about five years, transitioning from trading to a focus on fundamental analysis [1]. - The investment strategy is characterized by a long-term view and often takes a contrarian approach, primarily investing in stocks and ETFs, with a preference for US companies but also analyzing European and Chinese firms [1].

Core Viewpoint - McKesson Corporation is set to report its first-quarter fiscal 2026 results, with expectations of revenue growth driven by the adoption of GLP-1 weight loss drugs and demand for specialty pharmaceuticals [1][2]. Revenue Growth - Revenue growth has been significantly influenced by the rapid adoption of GLP-1 weight loss drugs and sustained demand for branded pharmaceuticals [2]. - The rising demand for specialty pharmaceuticals has also played a crucial role in revenue expansion [2]. Segment Performance - The U.S. Pharmaceutical segment is expected to continue its steady growth, driven by strong demand for specialty pharmaceuticals, particularly oncology treatments [5]. - The Prescription Technology Solutions segment is projected to see revenues of $1.31 billion, reflecting a 5.7% year-over-year improvement, supported by strong demand for technology services [12]. - The Medical Surgical Solutions segment is estimated to generate $2.74 billion, indicating a 3.9% year-over-year increase, aided by a rebound in primary care visits [14]. Earnings Estimates - The Zacks Consensus Estimate for earnings is $8.23 per share, representing a 4.4% year-over-year improvement, while revenue estimates are pegged at $96.1 billion, indicating a 21.2% year-over-year surge [4]. Challenges - The sale of European operations and divestments in Canada may negatively impact sales [8]. - Lower distribution volumes of COVID-19 vaccines and changes in formularies could weigh on segmental performance [9][10]. - Margin pressures from low-margin GLP-1 sales and increased costs may limit earnings upside [10].