Novo Nordisk Files 2024 Annual Report

Ticker: NONOF · Form: 20-F · Filed: Feb 5, 2025 · CIK: 353278

Sentiment: neutral

Topics: annual-report, 20-F, pharmaceuticals

TL;DR

Novo Nordisk dropped its 2024 20-F, get the deets on their financials.

AI Summary

Novo Nordisk A/S filed its 20-F annual report for the fiscal year ending December 31, 2024. The filing provides comprehensive financial and operational details for the Danish pharmaceutical company. Key financial data and disclosures are presented, reflecting the company's performance and strategic positioning in the global healthcare market.

Why It Matters

This filing offers investors and analysts a detailed look into Novo Nordisk's financial health and business operations for 2024, crucial for understanding its market performance and future prospects.

Risk Assessment

Risk Level: medium — As a large, publicly traded pharmaceutical company, Novo Nordisk faces inherent risks related to drug development, regulatory approvals, market competition, and global economic conditions.

Key Numbers

Key Players & Entities

FAQ

What is the primary SIC code for Novo Nordisk A/S?

The primary SIC code for Novo Nordisk A/S is 2834, which corresponds to Pharmaceutical Preparations.

What is the SEC file number for Novo Nordisk A/S?

The SEC file number for Novo Nordisk A/S is 333-82318.

When was Novo Nordisk A/S formerly known as Novo Industri A/S?

Novo Nordisk A/S was formerly known as Novo Industri A/S, with a date of name change on 19890811.

What is the fiscal year end date reported in this 20-F filing?

The fiscal year end date reported in this 20-F filing is December 31, 2024 (20241231).

What is the business phone number listed for Novo Nordisk A/S?

The business phone number listed for Novo Nordisk A/S is +4544448888.

Filing Stats: 4,530 words · 18 min read · ~15 pages · Grade level 16.8 · Accepted 2025-02-05 07:04:21

Filing Documents

o Item 18 o

Item 17 o Item 18 o If this is an annual report, indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes o No x TABLE OF CONTENTS TABLE OF CONTENTS INTRODUCTION 2 Part I ITEM 1 IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVIS E RS 3 ITEM 2 OFFER STATISTICS AND EXPECTED TIMETABLE 3 ITEM 3 KEY INFORMATION 3 ITEM 4 INFORMATION ON THE COMPANY 4 ITEM 4A UNRESOLVED STAFF COMMENTS 10 ITEM 5 OPERATING AND FINANCIAL REVIEW AND PROSPECTS 10 ITEM 6 DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES 15 ITEM 7 MAJOR SHAREHOLDERS AND RELATED PARTY TRANSACTIONS 18 ITEM 8 FINANCIAL INFORMATION 20 ITEM 9 THE OFFER AND LISTING 20 ITEM 10 ADDITIONAL INFORMATION 20 ITEM 11 QUALITATIVE AND QUANTITATIVE DISCLOSURES ABOUT MARKET RISK 23 ITEM 12

DESCRIPTION OF SECURITIES OTHER THAN EQUITY SECURITIES

DESCRIPTION OF SECURITIES OTHER THAN EQUITY SECURITIES 24 Part II ITEM 13 DEFAULTS, DIVIDEND ARREARAGES AND DELINQUENCIES 25 ITEM 14 MATERIAL MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF PROCEEDS 25 ITEM 15

CONTROLS AND PROCEDURES

CONTROLS AND PROCEDURES 25 ITEM 16A AUDIT COMMITTEE FINANCIAL EXPERT 26 ITEM 16B CODE OF ETHICS 26 ITEM 16C PRINCIPAL ACCOUNTANT FEES AND SERVICES 26 ITEM 16D EXEMPTIONS FROM THE LISTING STANDARDS FOR AUDIT COMMITTEES 27 ITEM 16E PURCHASES OF EQUITY SECURITIES BY THE ISSUER AND AFFILIATED PURCHASERS 27 ITEM 16F CHANGE IN REGISTRANT'S CERTIFYING ACCOUNTANT 28 ITEM 16G CORPORATE GOVERNANCE 28 ITEM 16H MINE SAFETY DISCLOSURE 30 ITEM 16I DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS 30 ITEM 16 J INSIDER TRADING POLICIES 30 ITEM 16K CYBERSECURITY 31 Part III ITEM 17

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS 32 ITEM 18

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS 32 ITEM 19 EXHIBITS 36

SIGNATURES

SIGNATURES 38 1 Novo Nordisk Form 20-F 2024 INTRODUCTION INTRODUCTION In this Form 20-F the terms the Company', Novo Nordisk' and the Group' refer to the parent company Novo Nordisk A/S together with its consolidated subsidiaries. The term Novo Nordisk A/S' is used when addressing matters specifically related to this legal entity. Pursuant to Rule 12b-23(a) of the Securities Exchange Act of 1934, as amended, certain information for the 2024 Form 20-F of Novo Nordisk A/S set out herein is being incorporated by reference from the Company's statutory Annual Report 2024, including the consolidated financial statements of Novo Nordisk A/S (hereafter the "Annual Report 2024") and the Company's Remuneration Report 2024 as specified elsewhere in this Form 20-F (with the exception of the items and pages so specified, the Annual Report 2024 and Remuneration Report 2024 are not deemed to be filed as part of this Form 20-F). Therefore, the information in this Form 20-F should be read in conjunction with the Annual Report 2024 and the Remuneration Report 2024 (see Exhibits 15.1 and 15.3, respectively)

Forward-looking statements

Forward-looking statements The information set forth in this Form 20-F and in the items and pages so specified as incorporated herein by reference to Novo Nordisk's statutory Annual Report 2024, contains certain forward-looking statements as the term is defined in the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they do not relate to historical or current facts and include guidance. Words such as believe', expect', may', will', plan', strategy', 'transition plan', prospect', foresee', estimate', project', anticipate', can', intend', target' and other words and terms of similar meaning in connection with any discussion of future operating, financial or sustainability performance identify forward-looking statements. Examples of such forward-looking statements include, but are not limited to: These statements are based on current plans, estimates, opinions, views and projections. Although Novo Nordisk believes that the expectation reflected in such forward-looking statements are reasonable, there can be no assurance that such expectation will prove to be correct. By their very nature, forward-looking statements involve risks, uncertainties, and assumptions, both g

IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVISORS

ITEM 1 IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVISORS PART I

IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVISERS

ITEM 1 IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVISERS Not applicable.

OFFER STATISTICS AND EXPECTED TIMETABLE

ITEM 2 OFFER STATISTICS AND EXPECTED TIMETABLE Not applicable.

KEY INFORMATION

ITEM 3 KEY INFORMATION A. [RESERVED] B. CAPITALIZATION AND INDEBTEDNESS Not applicable. C. REASONS FOR THE OFFER AND USE OF PROCEEDS Not applicable. D. RISK FACTORS For information on risk factors, reference is made to Risks' on pages 38-40 of our Annual Report 2024, excluding the section Mitigating actions' on page 40. Outlined in greater detail below, we are subject to cybersecurity risks and the risk related to climate change. The potential risk on our business as a result of cybersecurity breaches We rely on our IT systems to protect our intellectual property, business confidential information, and personal data. Therefore, disruption as a result of cybersecurity breaches could negatively impact the Company's business and operations or financial results. IT systems act as a backbone for the Company. They support processes in research & development, manufacturing, sales and supply, and business administration. As we are a global company, the size and complexity of our IT systems are significant, and our IT infrastructure and networks are spread across the geographic regions in which we operate. The dedicated cybersecurity teams who operate our global IT security infrastructure may be unable to respond sufficiently to the threats facing us or may fail to prevent service interruptions or security breaches resulting from attacks by malicious third parties. Many of these cyber threats have the potential to cause significant downtime of critical IT systems or the unintended disclosure of confidential information and personal data. Although we have not previously experienced material losses as a result of such incidents, we cannot guarantee that we will be able to prevent similar incidents from occurring or adversely affecting our business in the future. We are subject to data privacy regulation in the EU (including the General Data Protection Regulation) and to privacy laws in many other jurisdictions where we do business that impose obligations and r

KEY INFORMATION

ITEM 3 KEY INFORMATION At Novo Nordisk, climate-related risks are identified and assessed through our risk management process. The risk assessment includes a natural hazards risk rating of supplier locations, provided by external insurance companies. The risk rating is related to various parameters, including natural events such as flooding, earthquakes, high-speed winds, tornados, hail storms, and lightning. The risk assessment serves to provide input for risk mitigation, and consequently prioritize actions to prevent or minimize the impact of supply disruptions on manufacturing. The Company's main production facilities are located in Denmark, where the risk of natural events is assessed lower; however, the Company also has other production facilities in countries that are at greater risk of natural disasters. For example, our production facility in Koriyama, Japan is exposed to a higher risk of earthquakes, our production facility in Tianjin, China is located in an area prone to storm surges due to rising s ea levels and our production facilities in North Carolina, United States and Bloomington, Indiana, United States are exposed to a higher ri sk of tornadoes and subsequent rainfall and lightening. In addition, availability of high-quality water is essential for the production of diabetes and biopharmaceutical products and hence the Company's operations. The Company has production facilities in countries with high water stress levels, such as China, the United States (Clayton and Durham, North Carolina), Iran and Algeria (Blida). Despite our commitment to identify climate-related risks, we could be unable to meet our environmental objectives in an efficient and timely manner, or at all. Our CO2e emissions continue to rise as the company grows, in particular within scope 3 emissions, which account for approximately 95% of our emissions. To mitigate our contribution to climate change, Novo Nordisk is committed to reaching net zero emissions across scope 1

INFORMATION ON THE COMPANY

ITEM 4 INFORMATION ON THE COMPANY A. HISTORY AND DEVELOPMENT OF THE COMPANY Novo Nordisk A/S was formed in 1989 by a merger of two Danish companies, Nordisk Gentofte A/S and Novo Industri A/S. Novo Industri A/S was the continuing company and its name was changed to Novo Nordisk A/S. The business activities of Nordisk Gentofte were established in 1923 by August Krogh, H. C. Hagedorn and A. Kongsted, and the business activities of Novo Industri A/S were established in 1925 by Harald and Thorvald Pedersen. From the beginning, the business of both companies was the production and sale of insulin for the treatment of diabetes. Novo Nordisk's B shares are listed on Nasdaq Copenhagen (NOVO-B). Its ADRs are listed on the New York Stock Exchange (NVO). Legal name: Novo Nordisk A/S Commercial name: Novo Nordisk Date of incorporation: November 28, 1931 Legal form of the Company: A Danish public limited liability company Legislation under which the Company operates: Danish law Country of incorporation: Denmark Reference is made to More information', on pag e 146 of o ur Annual Report 2024 for information on domicile. Important events in 2024 Reference is made to Introducing Novo Nordisk', pages 4-10 and 2024 performance and 2025 outlook', pages 32-37 of our Annual Report 2024 for a description of important events in 2024. 4 Novo Nordisk Form 20-F 2024

INFORMATION ON THE COMPANY

ITEM 4 INFORMATION ON THE COMPANY Capital expenditure in 2024, 2023 and 2022 For capital expenditure in 2024, 2023 and 2022, reference is made to the section entitled Cash flow and capital allocation' on page 34 o f our Annual Report 2024. No significant divestments took place in the period from 2022–2024. For capital expenditures expected in 2025, reference is made to pages 34-35 in the subsection 2025 outlook' in our Annual Report 2024. Such expenditures are expected to be financed with cash flow from operating activities. Public takeover offers in respect of the Company's shares No such offers occurred during 2024 or 2025 to date. B. BUSINESS OVERVIEW Reference is made to the sections 'Key fi gures' on page 7, 'Purpose and strategy' on page 8 and S trategic Aspirations' on pages 11-31 of our Annual Report 2024. Novo Nordisk is a global healthcare company and a world leader in Diabetes and Obesity care. The Company manufactures and markets pharmaceutical products and services that make a significant difference to patients, the medical profession and society. Headquartered in Denmark, Novo Nordisk employs more than 75,000 employees in 80 countries, and markets its products in approximately 170 countries. The Company has a broad product portfolio across Diabetes and Obesity care and Rare disease, including a portfolio of glucagon-like-peptide-1 (GLP-1) receptor agonists for the treatment of diabetes and obesity, modern insulins and human insulins. During 2024, there has been continued strong growth across therapy areas and geographic areas in which Novo Nordisk operates. High demand during 2024 has led to periodic supply constraints for certain products in some markets, including the leading product by sales, Ozempic for the treatment of type 2 diabetes 1 . The Company also markets two drugs - Saxenda and Wegovy - for the treatment of obesity. In its fourth year after launch the GLP-1 product, Wegovy revenue, grew 86% to DKK 58 billion. Further, Nov

INFORMATION ON THE COMPANY

ITEM 4 INFORMATION ON THE COMPANY countries except for North America) and North America (covering the United States and Canada). For 2024, the Company's most important markets in terms of sales were the United States, China, Canada, Japan, and the major European countries. Due to the increasing number of people with diabetes, the global pharmaceutical market for treatment of diabetes continues to grow. Several of the major international pharmaceutical companies have entered the diabetes market, specifically in the area of oral products for the treatment of type 2 diabetes. In the global diabetes market, Novo Nordisk and Eli Lilly are the most significant companies measured by market share. The market for anti-obesity medications, primarily GLP-1s, continues to grow and expand, driven by innovative treatments coming to the market and the significant unmet medical need for safe and efficacious treatment options. Novo Nordisk and Eli Lilly are the most significant companies measured by market share, but several major international pharmaceutical companies and smaller biotech companies have anti-obesity medications under development. The use of GLP-1 as a treatment option for people with type 2 diabetes has continued to increase resulting in significant growth of the GLP-1 market. Novo Nordisk and Eli Lilly are the most significant companies in the global GLP-1 market measured by market share. In February 2018, Novo Nordisk launched the once-weekly GLP-1 product, Ozempic , for the treatment of adults with type 2 diabetes in the United States and Canada. Since then, Ozempic has become a market leading product and the Company's best performing product by sales, with global sales of more than DKK 120 billion in 2024. The global branded obesity market almost doubled by volume in 2024. Wegovy has been launched in the United States and more than 15 other countries outside the United States. Market conditions within the pharmaceutical industry continue to change,

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