Novo Nordisk Publishes its 2016 Annual Report

Novo Nordisk's 2016 performance for sales and adjusted operating profit growth were both in line with the guidance provided in February 2016, although in the lower end of the ranges reflecting a more challenging competitive situation in the USA. The free cash flow exceeded the outlook provided in February 2016, explained by a positive effect from settlement of tax cases related to prior years. Capital expenditure and other results were in line with the latest guidance provided in October 2016. Sales increased by 6% measured in local currencies and by 4% in Danish kroner. Sales growth was realized within both diabetes care and biopharmaceuticals, with the majority of growth orignating from Tresiba, Victoza, Saxenda and Norditropin which sales of modern insulin and NovoSeven declined.

All regions contributed to sales growth; however, the USA was the largest contributor with 37% share of growth measured in local currencies, followed by International Operations and Region China contributing 32% and 19% respectively. Sales growth of 4% in the USA was positively impacted by approximately 1 percentage point primarily due to non-recurring adjustments to rebates in Medicaid patient segment related to Norditropin. Sales growth in International Operations of 14% measured in local currencies was positively impacted by approximately 2.5 percentage points due to the significant inflationary effects in Argentina and Venezuela. For more in depth information on Novo Nordisk publishing its 2016 Annual Report click on the picture below to read the entire report.