Core Viewpoint - Novo Nordisk's new CEO faces challenges due to "unprecedented" price pressure leading to significant cost reductions for the Wegovy drug [1] Company Summary - Novo Nordisk is experiencing a price war that may negatively impact its profitability and market position [1] - The company is compelled to lower the price of its blockbuster drug Wegovy, which is a treatment for obesity [1] Industry Summary - The pharmaceutical industry, particularly in the obesity treatment sector, is witnessing intense price competition [1] - This price pressure could reshape market dynamics and affect the strategies of companies involved in obesity drug development [1]

FORM 20-F (Mark One) o REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2025 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 OR o SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 333-82318 NOVO NORDISK A/S (Exact name of Reg ...

Economic Indicators - Private sector employment in the U.S. increased by 22,000 jobs in January, significantly below the expected growth of 45,000 jobs, following a downwardly revised increase of 37,000 jobs in December [25][26] - The modest increase was primarily driven by a jump in employment in the education and services sector, which added 74,000 jobs [26] Stock Market Performance - Major U.S. index futures indicate a flat open, with stocks lacking direction after a weak previous session [1] - The tech-heavy Nasdaq experienced a notable decline, dropping 336.92 points or 1.4 percent to 23,255.19, while the S&P 500 fell 58.63 points or 0.8 percent to 6,917.81, and the Dow decreased by 166.67 points or 0.3 percent to 49,240.99 [5] - Advanced Micro Devices (AMD) saw a significant drop of 10.1 percent in pre-market trading after disappointing first-quarter guidance, despite reporting better-than-expected fourth-quarter results [2][3] - Conversely, Super Micro Computer (SMCI) shares surged by 9.5 percent in pre-market trading after exceeding fiscal second-quarter estimates and raising its full-year revenue forecast [3] Sector Performance - Software stocks performed poorly, with the Dow Jones U.S. Software Index declining by 3.5 percent, marking its lowest closing level in over nine months [6] - Semiconductor stocks also faced substantial weakness, with the Philadelphia Semiconductor Index tumbling by 2.1 percent, and NXP Semiconductors (NXPI) shares dropping by 4.5 percent despite exceeding analyst estimates [7] - Retail giant Walmart (WMT) benefited from the rotation out of tech, surging by 2.9 percent and surpassing a $1 trillion market capitalization [7][8] - Gold stocks experienced a rebound, with the NYSE Arca Gold Bugs Index spiking by 4.4 percent amid rising gold prices [9] International Markets - Asian stocks ended mixed, with software stocks declining due to fears over AI impacting future growth [12] - The Eurozone's inflation rate dropped to 1.7 percent in January, below the 2 percent target, influenced by falling energy prices and a stronger euro [18] - The Eurozone private sector recorded its slowest growth in January, with a composite output index of 51.3, indicating expansion for the thirteenth consecutive month [20]

Market Overview - US stock futures are slightly up, with the S&P futures rising 0.2% and Nasdaq futures also up 0.2%, despite concerns over a rotation in tech stocks [1][3] - The AI narrative has shifted, with a focus on perceived losers in the Software sector, leading to significant declines in stocks like AMD, which fell 9% after disappointing sales forecasts [1][3] - Economically sensitive shares, particularly in the Russell 2000 index, gained 0.4%, while tech stocks faced pressure due to fears of AI disruption [4] Company Performance - Alphabet's stock is up 1% ahead of its earnings report, while other major tech stocks like Microsoft, Amazon, and Apple also saw slight increases [3] - Eli Lilly's shares rose 7% after a positive sales forecast driven by strong demand for its weight loss drug [3] - Johnson Controls increased by 8% after raising its adjusted earnings per share forecast for the year [3] - Silicon Laboratories surged 53% after agreeing to be acquired by Texas Instruments for $231 per share [3] - Uber Technologies fell 6% due to a weak profit outlook and a leadership change signaling a focus on driverless vehicles [3] Sector Analysis - The Software sector is experiencing indiscriminate selling, with analysts noting a lack of confidence among investors, leading to reduced software holdings [5][6] - The mood among investors regarding software stocks is grim, with many companies facing punishment for not meeting elevated expectations [5] - European stocks are also facing losses in sectors like software, IT, and data services due to ongoing concerns about AI disruption [10] Economic Indicators - Today's macro data focus is on the ISM Services index, with expectations for a reading that could influence stock market sentiment [1][15] - The dollar is stronger, and bond yields have increased by 1-2 basis points, reflecting a cautious market environment [1][15] Commodities - Gold prices have rebounded above $5,000 per ounce, and silver has risen above $90 per ounce, indicating a recovery in precious metals [1][15]

Novo Nordisk shares tumbled 16% on Wednesday, wiping off around $50 billion from the Wegovy maker's market capitalization after it warned on Tuesday its sales and profits would fall in 2026. ...

Financial Data and Key Metrics Changes - In 2025, the company achieved a 10% sales growth and a 6% operating profit growth, with obesity care sales increasing from DKK 6 billion in 2019 to DKK 82 billion in 2025 [4][10] - The gross margin decreased to 81% from 84.7% in 2024, influenced by amortizations and restructuring costs [34] - Operating profit decreased by 1% in DKK but increased by 6% at constant exchange rates, reflecting higher sales and distribution costs [34] Business Line Data and Key Metrics Changes - GLP-1 sales in diabetes increased by 6%, with U.S. operations growing by 5% and international operations by 7% [10] - Obesity care sales surged by 31%, driven by both U.S. operations (15% growth) and international operations (73% growth) [10] - Rare disease sales increased by 9%, primarily due to the uptake of rare endocrine disorder products [11] Market Data and Key Metrics Changes - The global GLP-1 market grew over 30% in 2025, with Novo Nordisk maintaining a 62% volume market share in GLP-1 products [10][12] - In China, GLP-1 diabetes sales decreased by 5%, negatively impacted by wholesaler inventory movements [12] - Wegovy sales reached DKK 28 billion in 2025, growing 134% after being launched in 35 new countries [13] Company Strategy and Development Direction - The company is focusing on core therapeutic areas of obesity and diabetes, with plans to expand obesity and diabetes markets through new online channels and partnerships [4][10] - The company aims to introduce new strategic aspirations in September 2026, following the conclusion of the 2025 strategic aspirations [43][44] - The company is investing in expanding manufacturing capacity and R&D pipeline, with around DKK 60 billion allocated for manufacturing and DKK 30 billion for R&D [35][36] Management's Comments on Operating Environment and Future Outlook - Management acknowledged significant challenges in 2025 but emphasized resilience and commitment to meet unmet needs in diabetes, obesity, and rare diseases [43] - The company anticipates pricing headwinds in 2026 but aims to pursue volume opportunities in obesity and diabetes [6][39] - The outlook for 2026 includes expected sales growth of -5% to -13% at constant exchange rates, influenced by competitive dynamics and pricing strategies [39][40] Other Important Information - The company returned over DKK 300 billion to shareholders since 2019, with a proposed final dividend of DKK 7.95 for 2025 [4][37] - Changes in the executive management team were announced, with new appointments expected to enhance leadership capabilities [6][9] Q&A Session Summary Question: Guidance breakdown between volumes and price - The company indicated that the U.S. sales decline is driven by price reductions and investments in market access, with expectations for mid-single-digit growth in international operations [47][50] Question: Medicare unlock speed - Management expects a gradual ramp-up in Medicare Part D coverage for Wegovy, with limited benefits anticipated in 2026 and a larger impact expected in 2027 [52] Question: Supply risk for Wegovy pill - The company is monitoring supply capabilities to meet demand for the Wegovy pill, with current capacity expected to service demand through the year [83] Question: CagriSema and REDEFINE 4 trial - Management clarified that REDEFINE 4 is designed to compare CagriSema and tirzepatide, with flexible dosing similar to previous trials [77]

Financial Data and Key Metrics Changes - In 2025, Novo Nordisk achieved a 10% sales growth and a 6% operating profit growth, with obesity care sales increasing from DKK 6 billion in 2019 to DKK 82 billion in 2025 [4][10] - The gross margin decreased to 81% from 84.7% in 2024, influenced by amortizations and restructuring costs [34] - Operating profit decreased by 1% in DKK but increased by 6% at constant exchange rates, reflecting higher sales and distribution costs [34][35] Business Line Data and Key Metrics Changes - GLP-1 sales in diabetes increased by 6%, with U.S. operations growing by 5% and international operations by 7% [10] - Obesity care sales surged by 31%, with U.S. operations growing by 15% and international operations by 73%, primarily driven by Wegovy [10][11] - Rare disease sales increased by 9%, with U.S. operations growing by 7% and international operations by 10%, mainly due to the uptake of Sogroya [11] Market Data and Key Metrics Changes - The global GLP-1 market grew over 30% in 2025, with Novo Nordisk maintaining a 62% volume market share in GLP-1 products [10][12] - Wegovy sales reached DKK 28 billion in 2025, growing 134%, and was launched in 35 new countries [13] - In China, GLP-1 diabetes sales decreased by 5%, negatively impacted by wholesaler inventory movements [12] Company Strategy and Development Direction - Novo Nordisk is focusing on core therapeutic areas of obesity and diabetes, with plans to expand the obesity and diabetes markets through new online channels and partnerships [4][10] - The company aims to introduce new strategic aspirations at the Capital Markets Day in September 2026 [43][44] - The company is investing in expanding manufacturing capacity and R&D pipeline, with around DKK 60 billion allocated for manufacturing and DKK 30 billion for R&D [35][36] Management's Comments on Operating Environment and Future Outlook - Management acknowledged significant challenges in 2025 but emphasized resilience and commitment to meet unmet needs in diabetes, obesity, and rare diseases [43] - The 2026 guidance reflects expectations of pricing headwinds and a potential sales decline in U.S. operations, while anticipating continued growth in international operations [39][40] - The company expects to benefit from the Medicare Part D coverage for Wegovy starting mid-2026, but anticipates a gradual ramp-up in uptake [51][52] Other Important Information - Changes in the executive management team were announced, with new appointments for U.S. Operations and Product and Portfolio Strategy [6][9] - The company returned around DKK 52 billion to shareholders in dividends, marking the thirtieth consecutive year of increasing dividends per share [36][37] Q&A Session Summary Question: Guidance breakdown between volumes and price - Management explained that the U.S. sales decline is driven by price reductions and investments in market access, with expectations for volume growth despite lower prices [50][51] Question: Speed of Medicare unlock - Management anticipates a gradual ramp-up in Medicare Part D coverage for Wegovy, with limited benefits expected in 2026 and a larger impact in 2027 [52] Question: Changes in guidance from previous quarters - Management clarified that the guidance reflects the latest market trends and insights, including the encouraging early uptake of the Wegovy pill [58][59] Question: Supply risk for Wegovy pill - Management confirmed that they are monitoring supply levels closely to meet demand, especially given the strong launch of the Wegovy pill [83] Question: CagriSema and REDEFINE 4 trial insights - Management reiterated that REDEFINE 4 will provide insights into CagriSema's weight loss potential, with further data expected from REDEFINE 11 [78]

Financial Data and Key Metrics Changes - In 2025, Novo Nordisk achieved a 10% sales growth and a 6% operating profit growth, with obesity care sales increasing from DKK 6 billion in 2019 to DKK 82 billion in 2025 [4][11] - The gross margin decreased to 81% from 84.7% in 2024, impacted by amortizations and restructuring costs [35][36] - Operating profit decreased by 1% in DKK but increased by 6% at constant exchange rates, reflecting higher sales and distribution costs [35][36] Business Line Data and Key Metrics Changes - GLP-1 sales in diabetes increased by 6%, with U.S. operations growing by 5% and international operations by 7% [11] - Obesity care sales surged by 31%, driven by both U.S. operations (15% growth) and international operations (73% growth) [11] - Rare disease sales increased by 9%, primarily due to the uptake of Sogroya [12] Market Data and Key Metrics Changes - The global GLP-1 market grew over 30% in 2025, with Novo Nordisk maintaining a 62% volume market share in GLP-1 products [11][12] - Wegovy sales reached DKK 28 billion in 2025, growing 134% after being launched in 35 new countries [13] - In China, GLP-1 diabetes sales decreased by 5%, negatively impacted by wholesaler inventory movements [12] Company Strategy and Development Direction - Novo Nordisk is focusing on core therapeutic areas of obesity and diabetes, with plans to expand into new online channels and partnerships [4][13] - The company aims to introduce new strategic aspirations at the Capital Markets Day in September 2026 [44] - The company is committed to innovation and expanding access to therapies, treating nearly 46 million people with its medicines [5] Management's Comments on Operating Environment and Future Outlook - Management acknowledged pricing headwinds for 2026 but emphasized pursuing volume opportunities in obesity and diabetes [6] - The company expects adjusted sales growth for 2026 to be between -5% to -13% at constant exchange rates, reflecting competitive pressures and pricing dynamics [40][41] - Management remains optimistic about the potential of the Wegovy pill and its early uptake, indicating a positive market response [18][19] Other Important Information - Novo Nordisk returned over DKK 300 billion to shareholders since 2019 and plans to continue delivering returns in 2026 [4][36] - The company announced changes to its executive management team, with new appointments expected to enhance leadership [9][10] Q&A Session Summary Question: Guidance breakdown between volumes and price - Management explained that the U.S. decline is primarily driven by price reductions, with expectations for volume growth in response to lower prices [51][53] Question: Medicare unlock speed - Management anticipates a gradual ramp-up in Medicare coverage for Wegovy, with limited benefits expected in 2026 and a larger impact in 2027 [54] Question: Changes in guidance from previous quarters - Management clarified that the guidance reflects updated market trends and the encouraging early uptake of the Wegovy pill [61][62] Question: Formulary access for Wegovy - Management noted stable access for injectables and positive progress in securing coverage for the Wegovy pill, with ongoing efforts to increase access [71] Question: Supply risk for Wegovy pill - Management expressed confidence in the supply chain for the Wegovy pill, stating that they are prepared to meet demand [89]

Core Viewpoint - Shares in Novo Nordisk have significantly declined following a forecast indicating a drop in sales and profit growth for 2026, which is below analyst expectations due to pricing and patent expiry challenges [1][2]. Sales and Profit Outlook - Novo Nordisk anticipates a potential sales decline of up to 13% at constant exchange rates (CER) for the upcoming year, marking the first sales decrease in years [1] - Adjusted operating profit growth is also expected to decrease by 13% at CER [1] - The 2026 guidance for sales and operating profit is projected to be 8% and 10% below consensus estimates, respectively, at the midpoints [2] Recent Performance - In 2025, Novo reported CER sales growth of 10%, reaching DKr 309 billion [3]. Pricing and Policy Impact - The weak outlook for 2026 is attributed to pricing pressures in the US, particularly due to President Trump's Most Favored Nation (MFN) policy, which led to a pricing deal that significantly reduced prices for its semaglutide brands [4] - The agreement was made in the context of potential tariffs on imported drugs, which posed a significant risk to Novo, as the US is its most profitable market [5] Patent Expiry and Competition - Patent expiries for semaglutide in markets such as Brazil, Canada, and China have negatively impacted the sales outlook for 2026 [6] - Increased competition from Eli Lilly's products, including tirzepatide brands Zepbound and Mounjaro, has further constrained Novo's market share in the obesity treatment sector [6] Market Position - Novo Nordisk has seen a decline in its market value, slipping down the rankings of the most valuable companies in Europe, while Eli Lilly has achieved a trillion-dollar market cap, highlighting the contrasting fortunes of the two companies [7]

RAFAEL VALVERDE Rafael lives with obesity Mexico Novo Nordisk – a focused healthcare company Investor presentation Full year 2025 2 Novo Nordisk® Investor presentation Full year 2025 Forward-looking statements Novo Nordisk's statutory Annual Report 2025, Form 20-F, any quarterly financial reports, and written information released, shown, or oral statements made, to the public in the future by or on behalf of Novo Nordisk, may contain certain forward-looking statements relating to the operating, financial an ...