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Danish pharmaceutical giant Novo Nordisk has projected reduced growth for 2025 amidst mounting competition in the weight-loss drugs market from American rivals. The company, renowned for its obesity treatments Ozempic and Wegovy, anticipates sales growth between 16 and 24 per cent in 2025, marking a decline from 26 per cent growth achieved in 2024.
Despite market concerns, Novo Nordisk’s shares climbed 3.9 per cent in early Copenhagen trading following fourth-quarter sales that exceeded analyst expectations. Wegovy sales demonstrated remarkable performance, more than doubling to 19.9 billion Danish krone (£2.2 billion) in the fourth quarter, compared to 9.6 billion (£1.07 billion) in the corresponding period last year.
The company’s shares have retreated from their peak levels as they struggle to meet overwhelming demand for Wegovy since its 2021 launch. Simultaneously, the organisation faces increasing pressure from Washington to reduce prices, whilst contending with competition from US pharmaceutical company Eli Lilly.
Market analysts have valued the weight-loss sector at potentially £150 billion by 2030, with Novo Nordisk and Eli Lilly leading the charge. The breakthrough stems from GLP-1 therapies, which target gastrointestinal receptors to suppress appetite in patients.
Operating profits for the fourth quarter reached 36.7 billion Danish krone (£4.1 billion), representing a 37 per cent increase year-on-year and surpassing consensus forecasts. The company projects operating profit growth between 19 and 27 per cent for 2025, compared to 26 per cent in 2024.
UBS analyst Jo Walton expressed optimism about the results, noting, “Fourth quarter results demonstrate solid underlying growth in GLP1 (obesity & diabetes).” The analyst anticipates a significant market rally following recent investor uncertainty and profit downgrades at competitor Eli Lilly during January 2025.
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