Novo Nordisk A/S Class B · OMXCOP:NOVO_B
Novo Nordisk A/S Class B — Barclays Global Healthcare Conference 2012
78 slides from Novo Nordisk A/S Class B's conference presentation, Mar 14, 2012
Slide 1: Barclays Global Healthcare Conference, 14 March 2012
Slide no 1 Barclays Global Healthcare Conference Barclays Global Healthcare Conference, 14 March 2012
Slide 2: Forward-looking statements
Barclays Global Healthcare Conference Slide no 2 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 2011 and Form 20-F, both expected to be filed with the SEC in
Slide 3: Content
Barclays Global Healthcare Conference Slide no 3 Content Highlights and key events Sales update R&D update Financials and outlook
Slide 4: Highlights - full year 2011
Barclays Global Healthcare Conference Slide no 4 Highlights - full year 2011 Sales development • Sales increased by 11% in local currencies driven by Victoza® and modern insulins • Victoza® sales reached DKK 5,991 million (growth of 159% in DKK) • Healthcare reforms impacted sales growth negatively
Slide 5: Victoza and modern insulins continue to drive growth
Barclays Global Healthcare Conference Slide no 5 Victoza® and modern insulins continue to drive growth – full year 2011 Sales as reported Growth analysis Other Local currencies Growth Share of Norditropin® +13% growth +5% 4% Modern insulins 11% 41% 8% Human insulins (8%) (14%) NovoSeven® +4% Victoza
Slide 6: Novo Nordisk continues to expand leadership position within diabetes care
Barclays Global Healthcare Conference Slide no 6 Novo Nordisk continues to expand leadership position within diabetes care Global diabetes care market Global diabetes care by treatment class value market share DKK billion Novo Nordisk Lilly BMS GLP-1 Insulin OAD 30% Takeda Merck Novartis Total marke
Slide 7: Victoza reached blockbuster status in 2011
Barclays Global Healthcare Conference Slide no 7 Victoza® reached blockbuster status in 2011 Reported Victoza® sales Victoza® sales split per region DKK North America Europe billion Int. Operations Japan & Korea 5% 6% 27% 62% Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY 2011 sales of DKK 6.0 billion 2009 2010 2011
Slide 8: Victoza continues to drive the growth of the GLP-1 class in the US
Barclays Global Healthcare Conference Slide no 8 Victoza® continues to drive the growth of the GLP-1 class in the US Expansion of the GLP-1 market Key observations for the US market GLP-1 TRx scripts (thousands) GLP-1 % of diabetes market value (right axis) • Close to 70% of new patients come from O
Slide 9: In key European markets Victoza has expanded the GLP-1 class to nearly 10%
Barclays Global Healthcare Conference Slide no 9 In key European markets Victoza® has expanded the GLP-1 class to nearly 10% of the diabetes market Development in key European GLP-1 markets following Victoza® launch Germany UK France Market value*: DKK 10 billion Market value*: DKK 5 billion Market
Slide 10: Degludec and DegludecPlus regulatory update
Barclays Global Healthcare Conference Slide no 10 Degludec and DegludecPlus regulatory update • New drug applications (NDA) submitted to FDA on 29 September 2011 USA • FDA review ongoing, PDUFA action date set for 29 July 2012 • NDA submitted to EMA on 26 September 2011 EU • EMA review ongoing, ‘Day
Slide 11: Research and Development update
Barclays Global Healthcare Conference Slide no 11 Research and Development update Diabetes care and obesity • Degludec and DegludecPlus regulatory process progressing according to plan in Europe, US, Japan1 Switzerland and Canada • In two 52+52 weeks extension trials2 in people with type 1 and type
Slide 12: Significant growth opportunities fuelled by strong R&D pipeline
Barclays Global Healthcare Conference Slide no 12 Significant growth opportunities fuelled by strong R&D pipeline Diabetes care Degludec/ NN1218 – ultra NN1953 – oral DegludecPlus fast acting insulin insulin NN9926 – oral IdegLira Liraglutide depot GLP-1 Liraglutide for NN9924 – oral Semaglutide obe
Slide 13: Financial outlook 2012
Barclays Global Healthcare Conference Slide no 13 Financial outlook 2012 Expectations 2 February 2012 Sales growth - local currencies 7-11% Around 4 percentage points higher than Sales growth - reported growth in local currencies Operating profit growth - local Around 10% currencies Operating profit
Slide 14: Closing remarks
Barclays Global Healthcare Conference Slide no 14 Closing remarks Solid market performance Promising pipeline • +10% annual diabetes care market growth • The only company with two new generation driven by diabetes prevalence1 insulins submitted for approval • 24% market share in diabetes care and •
Slide 15: Investor information
Barclays Global Healthcare Conference Slide no 15 Investor information Share information Investor Relations contacts Novo Nordisk‟s B shares are listed on the stock exchange in Novo Nordisk A/S Copenhagen under the symbol „NOVO B‟. Its ADRs are listed on Investor Relations the New York Stock Exchang
Slide 16: Appendix
Barclays Global Healthcare Conference Slide no 16 Appendix 1. Novo Nordisk at a glance 2. Diabetes 3. Biopharmaceuticals 4. Financials
Slide 17: Novo Nordisk at a glance
Barclays Global Healthcare Conference Slide no 17 Novo Nordisk at a glance The core equity story Global leader in diabetes care Global insulin market share: 50% • A focused pharmaceutical company with leading positions in diabetes, haemophilia and hGH Europe: • Double digit top line growth, driven b
Slide 18: Novo Nordisk has leading positions in diabetes, haemophilia and growth disorders
Barclays Global Healthcare Conference Slide no 18 Novo Nordisk has leading positions in diabetes, haemophilia and growth disorders Diabetes care Haemophilia hGH DKK Market value DKK Market value DKK Market value billion Novo Nordisk market share billion Novo Nordisk market share billion Novo Nordisk
Slide 19: Double digit top line growth driven by diabetes pandemic
Barclays Global Healthcare Conference Slide no 19 Double digit top line growth driven by diabetes pandemic Novo Nordisk reported quarterly Number of people with diabetes sales by therapy continues to grow DKK Million billion Diabetes care Haemophilia Growth disorders Other people North America Europ
Slide 20: Diabetes pandemic is fuelled by growing rates of obesity
Barclays Global Healthcare Conference Slide no 20 Diabetes pandemic is fuelled by growing rates of obesity US CDC data on obesity and diabetes prevalence among adults 1994 2000 2009 Obesity (BMI ≥30 kg/m2) No Data <14.0% 14.0-17.9% 18.0-21.9% 22.0-25.9% >26.0% Diabetes No Data <4.5% 4.5-5.9% 6.0-7.4
Slide 21: Insulin is the ultimate care for people with diabetes
Barclays Global Healthcare Conference Slide no 21 Insulin is the ultimate care for people with diabetes Progression of type 2 diabetes and Distribution of patients and value across treatment intensification treatment classes Tablets GLP-1 Insulin Diet and excercise -cell function Tablets GLP-1 Insu
Slide 22: Novo Nordisk strategic injectable therapies exhibit steady sales growth
Barclays Global Healthcare Conference Slide no 22 Novo Nordisk strategic injectable therapies exhibit steady sales growth Sales as reported Key growth drivers DKK billion • Steady growth in global diabetes prevalence • Clear strategic focus on expanding and Total: achieving leadership in CAGR 21.3%1
Slide 23: Global insulin volume continues to grow as the diabetes pandemic expands
Barclays Global Healthcare Conference Slide no 23 Global insulin volume continues to grow as the diabetes pandemic expands Number of people with diabetes Regional insulin volume growth continues to grow North America China Million people North America Europe China Europe International Operations Jap
Slide 24: Only company with a full portfolio of modern insulins
Barclays Global Healthcare Conference Slide no 24 Novo Nordisk is uniquely positioned being the only company with a full portfolio of modern insulins Brand share Sales of segment Patent Brand name Type Launch 2011 Nov 2011 expiration Fast-acting EU: 1999 12.8 bDKK EU: 2017* 47% insulin US: 2001 (+8%
Slide 25: Growth opportunities supported by strong global presence in sales and manufacturing
Barclays Global Healthcare Conference Slide no 25 Growth opportunities supported by strong global presence in both sales and manufacturing FTEs in sales regions excl. headquarter and manufacturing Global manufacturing setup • API production North America: ~4,200 • Formulation & filling • Assembly •
Slide 26: High barriers to entry in biologics
Barclays Global Healthcare Conference Slide no 26 High barriers to entry in biologics Novo Nordisk position is protected by ...and significant barriers to entry value chain setup, patents... for biosimilar players Unique value Chain position Patent protection1 Research & Development • Need to show c
Slide 27: Operating profit growth targeting 15%
Barclays Global Healthcare Conference Slide no 27 Operating profit growth targeting 15%, driven by gross margin improvements and operational leverage The fundamental drivers of Operating profit operating profit growth DKK billion Gross margin improvement • On-going productivity improvements of manuf
Slide 28: Operating profit after tax to net operating assets, and Free Cash flow to earnings both targeting 90%
Barclays Global Healthcare Conference Slide no 28 Operating profit after tax to net operating assets, and Free Cash flow to earnings both targeting 90% Operating profit after tax to net operating assets and Invested capital Free cash flow DKK DKK billion billion Note: Operating profit after tax to n
Slide 29: Cash generated is returned to shareholders in form of dividends and share buybacks
Barclays Global Healthcare Conference Slide no 29 Cash generated is returned to shareholders in form of dividends and share buybacks Dividend and payout ratio Share repurchases programmes DKK Payout DKK Share repurchase programme 2007-2010 Dividend paid Payout ratio billion ratio billion Expansion f
Slide 30: Diabetes
Barclays Global Healthcare Conference Slide no 30 Diabetes
Slide 31: Diabetes – the inability to manage blood sugar levels appropriately
Barclays Global Healthcare Conference Slide no 31 Diabetes – the inability to manage blood sugar levels appropriately Definition Insulin secretion profile ‟A metabolic disorder of multiple aetiology characterised by chronic hyperglycaemia with disturbances of carbohydrate, fat and protein metabolism
Slide 32: UKPDS: Tight glycaemic control reduces risk of complications
Barclays Global Healthcare Conference Slide no 32 UKPDS: Tight glycaemic control reduces risk of micro- and macro-vascular complications UKPDS 10 year follow-up: Risk reduction by lowering HbA1c by 1% Legacy effect of tight glycaemic control Diabetes- Peripheral related Myocardial Microvascular vasc
Slide 33: Insulin – a hormone enabling blood sugar to enter cells
Barclays Global Healthcare Conference Slide no 33 Insulin – a hormone enabling blood sugar to enter cells The aim of insulin therapy is to recreate Insulin enables food to become energy normal blood insulin profile • Facilitates uptake of blood sugar into cells 70 Short-lived, rapidly generated meal
Slide 34: The insulin market is comprised of three segments
Barclays Global Healthcare Conference Slide no 34 The insulin market is comprised of three segments Global insulin volume market by segments Action profiles of insulins tMU CAGR volume: 7.7% CAGR value*: 14.0% Fast acting 33% Fast acting 32% Premix 30% Premix 35% Long acting 37% Long acting 33% Nov
Slide 35: Sustained double-digit insulin market growth
Barclays Global Healthcare Conference Slide no 35 Sustained double-digit insulin market growth Global insulin market growth The fundamental growth drivers 2006-2011 of the insulin market DKK billion Volume CAGR: CAGR: 6.3%* 14.0%* • Prevalence of diabetes 19.2 • Rising diagnosis rates and treatment
Slide 36: Value growth driven by conversion to modern insulins and better devices
Barclays Global Healthcare Conference Slide no 36 Value growth driven by conversion to modern insulins and better devices 2006 North America Japan & Korea China 2011 Europe IO Global Modern insulin volume penetration Device volume penetration Note: Monthly MAT Nov 2011, volume figures. Size of bubbl
Slide 37: Maintaining insulin leadership by sustaining modern insulin market share
Barclays Global Healthcare Conference Slide no 37 Maintaining insulin leadership by sustaining modern insulin market share Novo Nordisk volume market share across insulin classes Novo Nordisk Sanofi Eli Lilly Class % of total market Human insulin Modern insulin Total insulin Market value*: DKK 16 bi
Slide 38: Solid insulin growth across diverse regions
Barclays Global Healthcare Conference Slide no 38 Solid insulin growth across diverse regions Market Market volume Novo Nordisk volume value size & growth composition market share 16% Basal Novo Nordisk 47.1 5% 7% 52.7 47% North America 37% Fast-acting 59% 41% Rest Premix 23.5 3% 2% 24.5 26% Europe
Slide 39: Significant potential on the US modern insulin market
Barclays Global Healthcare Conference Slide no 39 Still a significant potential for Novo Nordisk on the US modern insulin market US insulin market by segments US modern insulin volume market shares Modern insulin penetration tMU Penetration Novo Nordisk Sanofi Eli Lilly Device penetration 120 80% 60
Slide 40: Solid leadership on the European modern insulin market
Barclays Global Healthcare Conference Slide no 40 Maintaining the solid leadership position on the European modern insulin market EU insulin market by segments EU modern insulin volume market shares Modern insulin penetration tMU Penetration Novo Nordisk Sanofi Eli Lilly Device penetration 160 100%
Slide 41: Stable leadership on the rapidly growing Chinese insulin market
Barclays Global Healthcare Conference Slide no 41 Stable leadership position on the rapidly growing Chinese insulin market China insulin market by segments China insulin volume market shares Modern insulin penetration Novo Nordisk Sanofi Eli Lilly tMU Penetration Device penetration Shanghai Fosun To
Slide 42: Stable leadership position in International Operations
Barclays Global Healthcare Conference Slide no 42 Stable leadership position in International Operations International Operations insulin market by International Operation insulin volume segments market shares Modern insulin penetration Novo Nordisk Sanofi tMU Penetration Device penetration Eli Lill
Slide 43: Sustained leadership position in Japan
Barclays Global Healthcare Conference Slide no 43 Sustained leadership position in Japan Japan insulin market by segments Japan modern insulin volume market shares Modern insulin penetration Novo Nordisk Sanofi Eli Lilly tMU Penetration Device penetration 16 100% 70% 14 CAGR volume: 3.3% 60% CAGR va
Slide 44: Phase 3a programmes for Degludec and DegludecPlus completed in less than 18 months
Barclays Global Healthcare Conference Slide no 44 Phase 3a programmes for Degludec and DegludecPlus completed in less than 18 months BEGINTM and BOOSTTM timeline NN1250-3579: 12 mth vs. IGlar, T2 (N=1030) NN1250-3582: 12 mth vs. IGlar, T2 (N=1006) NN1250-3583 : 12 mth vs. IGlar, T1 (N=629) NN1250-36
Slide 45: BEGIN and BOOST confirm the profiles of Degludec and DegludecPlus
Barclays Global Healthcare Conference Slide no 45 BEGINTM and BOOSTTM confirm the profiles of Degludec and DegludecPlus Degludec OD vs insulin glargine OD1 DegludecPlus BD vs NovoMix® BD2 • Basal insulin with flatter, less variable profile and • First basal-prandial combination product of a doubling
Slide 46: Degludec and DegludecPlus current phase 3b trials
Barclays Global Healthcare Conference Slide no 46 Degludec and DegludecPlus current phase 3b trials Degludec Trial ID Comparator Purpose Participants Duration LPLV NN1250-3948 Degludec+NovoRapid® Victoza® add-on to Degludec N = 420, T2 26 weeks H2 2012 NN1250-3923 Degludec Compare formulations N = 4
Slide 47: Assessment of the insulin industry
Barclays Global Healthcare Conference Slide no 47 Assessment of the insulin industry • Suppliers Resistor Enabler for biosimilar competitor Driver Uniqueness of suppliers High Low • Customers Size of target audience Large Small Administration of drug Patients Physicians Cost pressure from payers Low
Slide 48: GLP-1 effect dependent on level of blood glucose
Barclays Global Healthcare Conference Slide no 48 GLP-1 effect dependent on level of blood glucose - which reduces risk of hypoglycaemia When blood sugar levels increase then GLP-1 GLP-1 lowers blood glucose in patients with does the following: type 2 diabetes Type 2 diabetes patients, no GLP-1 • In
Slide 49: Victoza, the only once-daily human GLP-1 analogue for type 2 diabetes
Barclays Global Healthcare Conference Slide no 49 Victoza®, the only once-daily human GLP-1 analogue for type 2 diabetes Characteristics of Victoza® • Reduces blood glucose levels with a very low risk of hypoglycaemia • 13 hours half-life allows for once-daily dosing • Reduces weight • Reduces systo
Slide 50: The global GLP-1 market is expanding
Barclays Global Healthcare Conference Slide no 50 The global GLP-1 market is expanding Victoza® is driving the expansion of North America constitutes the majority of the global GLP-1 market the GLP-1 value market* GLP-1 sales in bDKK (right axis) DKK billion 5% 9 Other 8 6% Diabetes market share (va
Slide 51: R&D pipeline: Diabetes and obesity
Barclays Global Healthcare Conference Slide no 51 R&D pipeline: Diabetes and obesity Compound Type Indication Status (phase) 1 2 3 Filed Appr. Degludec Ultra-long-acting basal insulin Type 1+2 DegludecPlus Ultra-long-acting basal insulin with a bolus boost Type 1+2 IDegLira GLP-1 and basal insulin c
Slide 52: Biopharmaceuticals
Barclays Global Healthcare Conference Slide no 52 Biopharmaceuticals
Slide 53: Biopharmaceuticals – global leadership in select, high-value disease areas
Barclays Global Healthcare Conference Slide no 53 Biopharmaceuticals – global leadership in select, high-value disease areas Haemophilia Growth Hormone Inflammation with inhibitors Therapy 2011 sales: DKK 8.3 billion 2011 sales: DKK 5.0 billion 2011 sales: DKK 0 Global market position: #1 Global mar
Slide 54: Haemophilia – a significant market suited for Novo Nordisk's core strengths
Barclays Global Healthcare Conference Slide no 54 Haemophilia – a significant market suited for Novo Nordisk’s core strengths within human proteins Number of people with haemophilia A and B and haemophilia with inhibitors Sales of recombinant coagulation factors USD Novoseven® Xyntha®/Refacto® Benef
Slide 55: Haemophilia: Location of bleedings and the consequences
Barclays Global Healthcare Conference Slide no 55 Haemophilia: Location of bleedings and the consequences Head and neck • Bleeding in the joint space causes a strong Nose and gums inflammatory reaction which predisposes to further bleeding Joints • Inadequate or delayed treatment of repeated Gut Joi
Slide 56: Characteristics of the haemophilia market
Barclays Global Healthcare Conference Slide no 56 Characteristics of the haemophilia market • Hereditary disease with an increasing life expectancy leading to steady growing patient population • Relative few haemophilia physicians, i.e. a small target audience • Chronic disease leading to life-long
Slide 57: NovoSeven - a unique biologic for the treatment of a rare bleeding disorder
Barclays Global Healthcare Conference Slide no 57 NovoSeven® - a unique biologic for the treatment of a rare bleeding disorders Reported sales Key NovoSeven® proporties DKK billion 2.2 CAGR 7.7% • Product characteristics: powder and solvent for solution for i.v. injection, available 2.0 in multiple
Slide 58: Characteristics of the haemophilia market
Barclays Global Healthcare Conference Slide no 58 Characteristics of the haemophilia market • Suppliers Resistor Enabler for biosimilar competitor Driver Uniqueness of suppliers High Low • Customers Size of target audience Large Small Administration of drug Patients Physicians Cost pressure from pay
Slide 59: Vatreptacog alfa phase 2: Very low treatment failure rate
Barclays Global Healthcare Conference Slide no 59 Vatreptacog alfa1 phase 2: Very low treatment failure rate Comparison of treatment failure2 rate between Vatreptacog alfa and rFVIIa Summary and conclusions Treatment failure rate 12% • Vatreptacog alfa was well-tolerated at all doses 10.5% investiga
Slide 60: Human growth hormone market
Barclays Global Healthcare Conference Slide no 60 Human growth hormone market Development in global hGH market Growth hormone volume market share MAT volume kg (left axis) Pfizer Novo Nordisk kg bDKK Eli Lilly Roche MAT Value DKK (right axis) Merck Kgaa Sandoz 40% 35% 30% CAGR volume: 4.2% 25% CAGR
Slide 61: Solid Norditropin sales growth
Barclays Global Healthcare Conference Slide no 61 Solid Norditropin® sales growth Reported Norditropin® sales Key Norditropin® properties DKK billion 1.5 • Product characteristics: Premixed, prefilled CAGR 8.4% multi-use delivery systems available in multiple strengths, some stable at room- temperat
Slide 62: R&D pipeline: Haemophilia and hGH
Barclays Global Healthcare Conference Slide no 62 R&D pipeline: Haemophilia and hGH Compound Type Indication Status (phase) 1 2 3 Filed Appr. Catridecacog rFXIII Congenital FXIII deficiency Turoctocog alfa rFVIII Haemophilia A N9-GP Long-acting rFIX derivative Haemophilia B Vatreptacog alfa rFVIIa H
Slide 63: Inflammation well suited to leverage Novo Nordisk's core capabilities
Barclays Global Healthcare Conference Slide no 63 Inflammation well suited to leverage Novo Nordisk’s core capabilities Protein focus • Mainstay of modern anti-inflammatory therapies Immunology focus • Novo Nordisk core competence • Direct pathogenic mechanism Protein for all autoimmune diseases the
Slide 64: R&D pipeline: Inflammation
Barclays Global Healthcare Conference Slide no 64 R&D pipeline: Inflammation Compound Type Indication Status (phase) 1 2a 2b 3 Filed Appr. Anti-NKG2D Monoclonal antibody Rheumatoid arthritis Anti-NKG2D Monoclonal antibody Crohn‟s disease Anti-IL-20 Monoclonal antibody Rheumatoid arthritis Anti-C5aR
Slide 65: Financial performance
Barclays Global Healthcare Conference Slide no 65 Financial performance
Slide 66: North America continues to drive sales growth
Barclays Global Healthcare Conference Slide no 66 North America continues to drive sales growth – full year 2011 Sales as reported Growth analysis Region China Local currencies Growth Share of +11% growth Japan & Korea North America 18% 61% +10% 8% Europe 2% 6% 9% North America International Operati
Slide 67: US dollar and Japanese Yen currently above 2011 average
Barclays Global Healthcare Conference Slide no 67 US dollar and Japanese Yen currently above 2011 average 650 Spot rates Quarterly average Annual average Currency 2010 2011 Current assumptions1 average average rate2 600 USD/DKK USD 562 535 567 550 JPY 6.42 6.73 7.39 CNY 83 83 90 500 GBP 869 859 890
Slide 68: Financial results – full year 2011
Barclays Global Healthcare Conference Slide no 68 Financial results – full year 2011 DKK million 2011 2010 Change Sales 66,346 60,776 9% Gross profit 53,757 49,096 9% Gross margin 81.0% 80.8% Sales and distribution costs 19,004 18,195 4% Percent of sales 28.6% 29.9% Research and development costs 9,
Slide 69: Solid sales growth driven by North America and International Operations
Barclays Global Healthcare Conference Slide no 69 Solid sales growth driven by North America and International Operations Reported annual sales Reported annual sales split by region DKK Diabetes Biopharmaceuticals billion North America Europe China Int. Operations Japan CAGR 9.7% 17% 14% 8% 11% 9% 3
Slide 70: Solid operating profit growth driven by diabetes
Barclays Global Healthcare Conference Slide no 70 Solid operating profit growth driven by diabetes Operating profit Operating profit therapy split DKK billion Diabetes Biopharm 54% 46% 65% 35% 2007 2011 Note: Excl. cost related to discontinuation of all pulmonary activities in 2007 and 2008.
Slide 71: Profitability per segment
Barclays Global Healthcare Conference Slide no 71 Profitability per segment Diabetes P&L, 2011 Biopharmaceuticals P&L, 2011 DKK DKK billion billion 60 60 -21% 50 50 -33% 40 40 30 30 -13% 20 -5% 20 -11% +1% 29% -16% -20% 10 10 -5% +1% 49% 0 0 Sales COGS S&D R&D Admin OOI OP Sales COGS S&D R&D Admin O
Slide 72: Continued gross margin improvement combined with stable investment level
Barclays Global Healthcare Conference Slide no 72 Continued gross margin improvement combined with stable investment level COGS CAPEX DKK DKK billion billion COGS COGS as % of sales CAPEX CAPEX as % of sales 12 25% 4 6% 10 20% 3 8 4% 15% 6 2 10% 4 2% 1 5% 2 0 0% 0 0% 2007 2008 2009 2010 2011 2007 20
Slide 73: Growing profits converted into free cash flow
Barclays Global Healthcare Conference Slide no 73 Growing profits converted into free cash flow Net profit Free cash flow (absolute) DKK DKK billion DKK billion Free cash flow Free cash flow as % of net profit 20 140% 18 120% 16 14 100% 12 80% 10 60% 8 6 40% 4 20% 2 0 0% 2007 2008 2009 2010 2011
Slide 74: Long term financial targets
Barclays Global Healthcare Conference Slide no 74 Long term financial targets: Operating profit growth and operating margin Operating profit growth Operating margin New long term financial target New long term financial target 30% Previous long term financial targets 40% Previous long term financial
Slide 75: Long term financial targets
Barclays Global Healthcare Conference Slide no 75 Long term financial targets: Operating profit after tax to net operating assets, and cash to earnings Operating profit after tax to net Cash to earnings operating assets (three years’ average) New long term financial target New long term financial ta
Slide 76: Long-term financial targets
Barclays Global Healthcare Conference Slide no 76 Long-term financial targets Performance against long-term financial targets Average Result Previous Updated 2007-2011** 2011 targets targets Operating profit growth 20% 18% 15% 15%* Operating margin 29% 34% 35% 35%* Operating profit after tax to net
Slide 77: Cash generated is returned to shareholders in form of dividends and share buybacks
Barclays Global Healthcare Conference Slide no 77 Cash generated is returned to shareholders in form of dividends and share buybacks Dividend and payout ratio Share repurchases programmes DKK Payout DKK Share repurchase programme 2007-2010 Dividend paid Payout ratio billion ratio billion Expansion f
Slide 78: Stable ownership structure
Barclays Global Healthcare Conference Slide no 78 Stable ownership structure - secured through A and B-share structure Share structure The Novo Nordisk Foundation Novo Nordisk • The Novo Nordisk Foundation is a self- Foundation Institutional and governing institution that: private investors • provid
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