Danish drugmaker Novo Nordisk is stoking hopes for a market rebound on the success of its oral obesity treatment, the "Wegovy pill."
As rival Eli Lilly and Company steps up the chase, the oral Wegovy appears to be extending its first-mover advantage in the United States, logging 2 million cumulative prescriptions 16 weeks after launch.
Novo Nordisk said on the 6th (local time) that adjusted net sales in the first quarter came to 70.1 billion Danish kroner (15.96 trillion won). That was down 4% from a year earlier, but beat market expectations on growth in the obesity drug business and strong initial sales of oral Wegovy.
After the earnings release, shares rose about 3% on the morning of the 7th. In particular, market attention focused on the oral Wegovy, which launched in the United States on Jan. 5.
Chief Executive Mike Doustdar said on the earnings conference call, "The Wegovy pill is off to a record start in the U.S. market," adding, "More than 1 million people used it within 16 weeks of launch."
According to the company, prescriptions for the Wegovy pill totaled 1.3 million in the first quarter. As of Apr. 17, cumulative prescriptions had risen to about 2 million. The company estimated that the number of actual treated patients exceeded 1 million.
Early market reaction is also positive. About 80% of Wegovy pill users were new patients starting a glucagon-like peptide (GLP)-1 therapy for the first time.
There was some inflow of users from competing products, but cannibalization of sales of the existing injectable Wegovy was limited, the company said. It means the market itself is expanding rather than eating into demand for the existing injectable Wegovy.
Rival Eli Lilly and Company also hit back by launching the oral obesity drug "Poundayo" in April. Novo Nordisk has highlighted its edge in efficacy. The average weight-loss rate for the Wegovy pill was 17%, and for Poundayo it was 12.4%, the companies have said.
Pricing strategy is also a key variable for market expansion. Doustdar said, "The balance of price and demand is in the 'sweet spot.'" In the United States, the starting dose (1.5 mg) of the Wegovy pill launched at $149 per month for self-pay patients. Those with private insurance can purchase it for as low as $25 per month through a discount program. The second dose is $199 per month, and the highest dose is $299 per month without insurance.
Doustdar said, "We reached 2 million cumulative prescriptions in 16 weeks, with more than 200,000 prescriptions per week," adding, "At this point, we believe we have priced it very appropriately." He added, however, "In the long run, prices will ultimately have to be lower to supply hundreds of millions of patients."
By the numbers, Novo's first-quarter obesity drug revenue was 20.9 billion Danish kroner (about 4.77 trillion won), up 22% at constant exchange rates from a year earlier. Diabetes revenue rose 12% to 44.9 billion Danish kroner (about 10.249 trillion won).
Sales of the injectable Wegovy were 18.2 billion Danish kroner (about 4.154 trillion won). By contrast, the oral Wegovy posted 2.26 billion Danish kroner (about 515.3 billion won) in its first quarter on the market. Ozempic sales grew 8% to about 28 billion Danish kroner (about 6.384 trillion won).
Novo also slightly raised its full-year outlook. It revised its 2026 adjusted sales growth forecast from "-5% to -13%" to "-4% to -12%." Based on that, Jefferies projected Novo's annual sales at 264 billion to 288 billion Danish kroner ($42 billion to $45.3 billion), or about 60 trillion to 65 trillion won.
☞GLP-1 receptor agonist
A drug that mimics the action of the hormone GLP-1, which is naturally secreted in the gut when you eat. This hormone sends a "full" signal to the brain to reduce appetite and slows the rate at which food leaves the stomach. It increases insulin secretion to help stabilize blood sugar. GLP-1 obesity drugs such as Wegovy and Mounjaro artificially enhance these functions to reduce food intake and help with weight loss and blood sugar control.