Novo Nordisk' Health Care Business Sees Best Growth

Danish firm Novo Nordisk reported overall sales growth of 4% to 10.73 billion kroner ($1.86 billion) for the first nine months of 1996, with operating income showing a 12% improvement to 1.77 billion kroner and net income up 11% at 1.34 billion kroner.

Within this, the best performance came from its Health Care Business unit, which saw turnover up 8% (equal to a 12% rise in local currency terms) at 7.93 billion kroner ($1.36 billion). This performance reflects a positive development in volume and product mix of around 12%, the company said. Currency exchange rate movements affected HCB's sales negatively by around 3%. Diabetes care product turnover increased 12% to 5.57 billion kroner, reflecting larger volumes and improved product mix, notably higher sales of Penfil for NovoPen and of the disposable pen NovoLet insulin products, especially in Japan. Measured in US dollars, sales in the US market rose by 10%. A direct-to-consumer marketing campaign of NovoPen 1.5 in the USA, which was launched in June, proceeded satisfactorily.

Women's health care products (hormone replacement therapy) sales rose 2% to 541 million kroner. Limiting the growth was increased competition in the UK, especially significant price reductions on Kliogest/Klioferm in November 1995, combined with lower-than-expected market growth in Germany.