On July 29, Danish pharmaceutical giant Novo Nordisk announced a reduction in its sales and profit growth forecasts for the first half of 2025 (both calculated at CER) and updated its full-year outlook.

Novo Nordisk expects sales to grow by 18% and operating profit to increase by 29% in the first half of 2025. For the full year 2025, sales growth is expected to be 8%-14%, and operating profit growth is expected to be 10%-16%.

Influenced by this news, Novo Nordisk's stock price plummeted 21.83%. Its current market value is less than US$240 billion, down more than 60% from more than US$600 billion in July last year.

Novo Nordisk announced that the downward revision of its performance expectations was mainly affected by the slowdown in sales growth of its core product semaglutide:

1.The growth of the US weight loss drug Wegovy has slowed, impacted by the continued use of unsafe and illegal GLP-1 compounded drugs, slower-than-expected market expansion, and intensified competition. On the one hand, Novo Nordisk's market research shows that despite the end of the FDA's grace period for illegal compounded drugs, several institutions are selling compounded GLP-1 drugs under the guise of "personalized customization." The company is using multiple strategies, including litigation, to protect patients from counterfeit "semaglutide" drugs and is calling on federal and state regulators to strengthen law enforcement. On the other hand, despite the launch of new commercial activities in the first half of 2025, penetration remains below expectations. However, the CVS national template formulary change, which took effect on July 1, 2025, makes Wegovy the only GLP-1 drug covered for obesity, which is expected to have a positive impact.

2.The growth of the diabetes drug Ozempic in the United States has slowed down: market competition pressure has increased.

3.Wegovy’s penetration rate in the international business (IO) market is lower than expected.

Semaglutide is Novo Nordisk's flagship product. The combined sales of its three brands will be close to US$30 billion in 2024. In the first quarter of this year, its sales reached US$7.9 billion, successfully surpassing Keytruda to become the new "King of Medicine".

However, as Novo Nordisk noted, both its weight loss and glucose-lowering versions of semaglutide face intense competition. On the one hand, it faces strong competition from similar innovative drugs such as Eli Lilly's tilpotide, and on the other hand, it faces market pressure from illegal generic drugs. Consequently, sales growth has not been as strong as expected.

Under pressure from both performance and stock price, Novo Nordisk CEO Lars Fruergaard Jørgensen, who had been at the helm for eight years, announced his upcoming departure in May. On July 29, Novo Nordisk announced the appointment of Maziar Mike Doustdar as President and CEO, effective August 7, 2025.

Maziar Mike Doustdar has been Novo Nordisk's Senior Vice President of International Business since 2013, overseeing all 80 Novo Nordisk subsidiaries, excluding the United States. He has a strong track record of creating value and driving growth. Over the past decade, he has led international sales, more than doubling to approximately DKK 112 billion in 2024.

Novo Nordisk's organizational restructuring, effective August 7, also includes the merger of its two business areas, Research & Early Development (R&ED) and Development (D&E), into a single R&D organization. Martin Holst Lange, MD, PhD, currently Executive Vice President of Development, will become Chief Scientific Officer (CSO). Marcus Schindler, Executive Vice President of R&EED and CSO, has decided to retire.

Emil Kongshøj Larsen, currently Senior Vice President, Europe and Canada (EUCAN), will join the executive team, succeeding Mike Doustdar as Executive Vice President, International.

The global capital market is waiting to see whether Novo Nordisk can regain its strength and lead the field of diabetes and obesity treatment under the new organizational structure.

Source：https://news.yaozh.com/archive/45849.html