Novo Nordisk A/S Class B

Sales Growth and Financial Performance: Novo Nordisk reported an 18% sales growth and a 20% operating profit growth in Q1 2025 compared to the same period last year. However, the company has reduced its full-year sales growth outlook to a range of 13% to 21% due to lower-than-expected penetration of branded GLP-1 treatments impacted by compounded products in the U.S.

Impact of Compounding Drugs: The rapid expansion of compounding in the U.S. is significantly affecting the uptake of Wegovy and overall GLP-1 treatment prescriptions. Novo Nordisk is facing challenges in countering compounding, especially with competitors like HIMS continuing to promote their compounded versions. The company is actively working on collaborations with telehealth services and pharmacies to combat unlawful compounding and expects to gain market share from compounded prescriptions starting mid-2025.

Opportunities in Obesity Care: Novo Nordisk is focusing on the obesity treatment market, which is seen as a significant growth opportunity. The company continues to expand its product offerings internationally, having launched Wegovy in multiple new markets with growth rates of 137% for obesity care sales across regions. Additionally, recent FDA priority reviews for Wegovy in treating metabolic dysfunction and new oral semaglutide formulations present further growth potential.