Novo Nordisk reported third-quarter results ahead of expectations and raised its 2026 outlook. Obesity care sales rose 22%, but impairment charges pushed reported operating profit lower.
Novo Nordisk posted quarterly earnings ahead of expectations on Wednesday as sales of its Wegovy pill blew past estimates. The Danish weight-loss drug maker is looking to regain momentum after a tumultuous year in which it fell behind rival Eli Lilly, according to CNBC.
Sales and profit beat forecasts
Third-quarter sales came in at 79.2 billion Danish kroner ($11.9 billion), up 4% year-on-year and ahead of FactSet estimates of 73.6 billion kroner. Adjusted operating profit (EBIT) was 31.7 billion kroner, compared with the expected 28.6 billion kroner.
Investing.com reported that adjusted operating profit rose 27% at constant exchange rates to 31.72 billion kroner from 23.68 billion kroner. Total obesity care sales rose 22% at constant exchange rates to 26.15 billion kroner, driven by volume growth in the United States and international markets.
Impairments drag reported operating profit
However, reported operating profit fell 9% at constant exchange rates to 23.01 billion kroner. The company booked non-cash impairment charges of 8.7 billion kroner, including a 4.6 billion kroner write-down related to ziltivekimab and 4.1 billion kroner in charges linked to the restructuring of its manufacturing network.
Outlook moves up
Novo now sees adjusted revenue and operating profit growth of between negative 2% and 2% at constant exchange rates. It previously saw negative 6% to flat for both metrics, which it hiked in August.
The company also expects free cash flow of between 60 billion and 70 billion kroner in 2026. Separately, it plans to cut the U.S. wholesale acquisition cost of Wegovy and Ozempic by about 50% and 35%, respectively, to $675 from January 1, 2027.
Sources: CNBC, Investing.com
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