Novo Nordisk Reports Strong Growth, Predicts Milder 2025 Amid Obesity Drug Success

Novo Nordisk, the Danish pharmaceutical giant, has reported impressive financial results for 2024, driven largely by the success of its obesity and diabetes medications. However, the company anticipates a more moderate growth trajectory for 2025 as it navigates an evolving market landscape.

Record-Breaking Sales and Financial Performance

Novo Nordisk delivered stellar financial results for 2024, with total sales reaching 290.4 billion Danish kroner (nearly $41 billion), representing a 26% growth at constant currencies. The company's operating profits soared to 128.3 billion kroner ($18 billion) for the year. The fourth quarter of 2024 was particularly strong, with sales of 85.68 billion kroner (around $12 billion), marking a 30% increase from the same period in 2023.

Wegovy Leads the Charge in Obesity Treatment

The obesity medication Wegovy emerged as a standout performer in Novo Nordisk's portfolio. In the fourth quarter of 2024, Wegovy sales more than doubled to 19.9 billion kroner (roughly $2.8 billion) compared to 9.6 billion kroner in the same period of 2023. For the full year 2024, global Wegovy sales reached an impressive 58.2 billion kroner (around $8 billion), up from 31.3 billion kroner the previous year.

David Moore, Novo Nordisk's head of U.S. operations and global business development, highlighted the rapid adoption of Wegovy, noting that weekly prescriptions in the United States have reached approximately 200,000, doubling from the start of 2024.

Market Expansion and Future Outlook

Despite the remarkable growth in 2024, Novo Nordisk is tempering expectations for 2025. The company projects sales growth at constant currencies between 16% and 24% for the coming year, a range that analysts at ODDO BHF described as "wide but reassuring."

Karsten Munk Knudsen, Novo Nordisk's finance chief, attributed the broad guidance to three main factors that could affect performance: supply capabilities, the "magnitude of competition," and net pricing levels. The company remains committed to expanding its production capacity, with plans to invest around 65 billion kroner ($9 billion) in 2025 to enhance its supply chain.

As the obesity treatment market continues to expand, with U.S. growth of 160% in 2024, Novo Nordisk aims to maintain its competitive edge. The company currently holds about two-thirds of the total GLP-1 market for patients with diabetes and obesity, having nearly tripled its global GLP-1 patient reach in the past three years.