Wegovy maker reported 33.4 billion Danish crowns in adjusted operating profit, above a 28.74 billion forecast, as investors assess whether its turnaround and new Wegovy pill can narrow Eli Lilly's lead.
Novo Nordisk, the Danish maker of weight-loss drug Wegovy, reported second-quarter adjusted operating profit above forecasts on Tuesday and raised its full-year profit and sales outlook. Adjusted operating profit reached 33.4 billion Danish crowns ($5.15 billion), up 11% from a year earlier and ahead of the 28.74 billion Danish crowns expected in a company-compiled poll. The result lands as CEO Mike Doustdar, who took the helm a year ago, tries to restore momentum after repeated sales shortfalls, a collapse in market value and job cuts, with the newly launched Wegovy pill central to the recovery effort. Novo is also taking a more aggressive stance against Eli Lilly, suing its U.S. rival in federal court last month over alleged false advertising, an accusation Lilly denies. The legal fight underscores a rivalry at the center of an obesity drug market that some analysts expect to exceed $100 billion a year by 2030, while investors watch for evidence Novo can compete beyond its current medicines through pipeline progress, deals or a lasting rebound in prescriptions.