Novo Nordisk to report Q1 2023 results with Wegovy sales in focus
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Danish drugmaker Novo Nordisk (NVO) is scheduled to report its financials for the first three months of 2023 before the U.S. markets open on Thursday amid the rising popularity of its weight loss medication Wegovy.
In 2022, Wegovy sales jumped 346% YoY to DKK6.2B, expanding the topline contribution from the company’s obesity care franchise by ~101% YoY to DKK16.9B, offsetting a ~5% YoY decline in its insulin sales.
However, a potential competitor for GLP-1 receptor agonist Wegovy is emerging, and major drugmakers are facing lawmaker scrutiny over their pricing strategy for insulin.
Days ago, Eli Lilly (LLY) exceeded Q1 sales expectations for its diabetes therapy Mounjaro and announced plans to complete rolling submissions to seek a label expansion for the GLP-1 receptor agonist in the U.S. as a treatment for weight loss, expecting a regulatory action later this year.
Meanwhile, leading insulin manufacturers, including Novo (NVO) and LLY, announced major price reductions for older versions of their insulin products in March amid attempts by state-level and congressional lawmakers to rein in their pricing strategy for key diabetes therapy.
As for Q1 financials, Wall Street projects Novo (NVO) to report $1.25 earnings per share for the quarter, implying a ~42% YoY growth, and expects its quarterly revenue to rise ~29% YoY to ~$7.7B.
Over the past two years, NVO has posted five quarterly earnings beats and three misses, while its revenue figures have exceeded Wall Street estimates seven times and lagged expectations once.
In April, citing strong demand for Wegovy, Novo (NVO) raised its 2023 outlook for sales growth and operating profit growth to 28% – 34% in local currency from 13% – 19% in the previous forecast in February.