Novo Nordisk A focused global healthcare company with biotech expertise EXANE pharma conference - Paris 11 May 2001

1
Novo NordiskA focused global healthcare
company with biotech expertiseEXANE pharma
conference - Paris 11 May 2001
2
Novo Nordisk Today

• Consistent, strong organic growth
• Focused on few therapeutic areas with large
  unmetmedical needs
• Leadership in diabetes care and haemostasis
  management
• Strong presence in Europe and Japan, strong
  growth in the US
• Proven biotech and drug delivery capabilities
• Low exposure to patent expirations
• Track record of delivering on promises

3
Turnover by Therapy
DKK billion

• Key observations
• Diabetes business has delivered more than 10
  growth on average per annum for 77 years
• Strong market penetration by NovoSeven
• Conversion from Norditropin to Norditropin
  SimpleXxTM

4
Turnover by Region
DKK billion

• Key observations
• Stable underlying growth in Europe and Japan
• Increasing insulin sales and good market
  penetration of NovoSeven in the US
• Strong foothold in emerging markets

USA
Europe
Japan
RoW
5
Novo Nordisk Future Key Drivers
Coagulation disorders
Primarygrowth drivers
Diabetes care
Secondary valuedrivers
Human growth hormone
Intellectual property
HRT
6
Novo Nordisk Future Key Drivers
Coagulation disorders
Primarygrowth drivers
Diabetes care
Secondary valuedrivers
Human growth hormone
Intellectual property
HRT
7
Diabetes an Unfolding Epidemic
WHO estimates that the number of diabetics
world wide will reach 300 million by 2025 World
Health Organisation, September 1998
220
150
The cost of treating people with diabetes is
expected to
amount to about USD 1 trillion annually in the
US in 2025 Dr G Bernstein, former president of ADA
2000
2010
Increase in the number of people with diabetes
from 150 million to 220 million 10 years from
now yearly growth of 3.9.
Source Amos A.., McCarty DJ, Zimmet P Diabet.
Med. 1997 14
8
Only about One Third are Diagnosed
175
150
150
Increased rate of diagnosis will lead to
increased use of insulin
125
100
75
50
50
25
0
Estimated number of diagnosed people with
diabetes
Estimated number of people with diabetes
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Treatment Matters
Only a small number of patients are in control
Intensive treatment matters
Distribution of patients
HbA1c lowering by one percentage point reduces
micro vascular risk by 35
Close to 80 are exposed to arterial or micro
vascular risk
HbA1c
Measured according to Guidelines for Diabetes
Care, IDF Europe According to epidemiological
analysis of the UKPDS data, 1998
10
More intensive treatment
180
Long acting
Premixes
Short acting
The share of sales of short-acting and
pre-mixable insulin has increased substantially
8
160
7
140
8
25
3
4
Mega Units in 1,000
120
19
100
39
80
33
60

• This indicates intensive/flexible treatment is
  being adapted

40
36
48
20
0
1995
1996
1997
1998
1999
2000
Note Numbers are all MAT Q4
11
Towards more sophisticated devices
pen users in volume split by region
82
74
2000
7.3
1999
1998
1997
61
1996
53
1.6
0
25
50
75
100
Japan
US
Europe
Note Numbers are all MAT Q4
12
Analogues to replace human insulin
insulin volume split by type of insulin
Insulin analogue
9
Human insulin
90
Animal insulin
1
Note Numbers are all MAT Q4
13
Adding Value to Volume at Novo Nordisk
One new device each year
Full range of analogues
NVO
LLY AVE
Rapid-acting Marketed Marketed
Ph1/Ph2 Basal Ph3
Marketed Premix, protracted
Approved Marketed
14
Upgrading the Insulin Market
Vials
Estimated average treatment cost per day
Pens
Human insulin
USD 1.0
USD 1.5
Insulin analogue
USD 2.0
USD 1.3
15
Insulin market overview (99/ 00 MAT Q4 Volumes)
Novo Nordisk Market share
Market growth (00/99)
market size MAT Q4.00
USA
(0.1)
43
25
Europe
15.8
58
47
Japan
8.7
80
4
RoW
6.8
6
61
World
7.6
100
45
Notes Industrialised world only. Mail-order
panel now included in the US figures sales via
Wal-Mart are not. Market growth in
Europe is affected by about 4 -point from
conversion of formulation in Italy and France.
The effect on the world market is
estimated to be just above 2 percentage point.
Adjusting for year 2K hoarding the US
growth is estimated to be 1.5-2.0.
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Key Insulin Market Observations

• Volume to deliver approx 5 growth
• Product mix adding growth of approx 5
• Few players with strong core
• competences
• Large-scale recombinant protein production
  capacity
• Access to superior delivery technology
• Analogues are patented
• Branded among specialists
• Global reach

Estimated 10 growth in attractive market
Excluding pulmonary insulin
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Insulin etc

• Sales in 2000 of DKK 13,491 mn (22)
• Growth of 17 in Q1 2001 versus Q1 2000
• High growth in Europe driven by high market
  growth
• High growth in the US driven by market share gain
  
• NovoLog to be launched in the US in H2 2001

Sales by quarter
DKK million
4,000
3,000
2,000
1,000
Q1
Q2
Q3
Q4
Q1
Q2
Q3
Q4
Q1
Q2
Q3
Q4
Q1
1998
1999
2001
2000
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From Diet and Exercise to Insulin
Type 1 (4 million patients) Type 2 (147
million patients)
Therapy Diet/Exercise Oral
products Oral/Insulin Insulin Approx
66 Approx 7 Approx 27
An estimated 25-30 million using medication

Estimated year 2000 incl. undiagnosed.
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Growth opportunity in Type 2 diabetes

• NovoNormTM/Prandin
• Turnover of DKK 1,087 million in 2000 (49)
• Growth of 50 (y/y) to DKK 355 mn in Q1.2001
• Increased awareness on prandial glucose
  regulation (PGR)
• Experience in the OAD market
• Broad pipeline of innovative approaches for
  treating Type 2 diabetes

Well positioned for further growth in USD 5.4 bn
(23 in MATQ4.00) market
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Type 2 Diabetes the Metabolic Syndrome
Genetic Acquired Glucotoxicity Lipotoxicity
Insulin deficiency
Impaired beta cell function
Hepatic glucose production
Glucose-induced insulin secretion
Post receptor defect
Hyperglycemia
Tissue response to insulin
Glucose uptake
Basal hyper- insulinemia
Glucose transport
Insulin resistance
Insulin binding
Genetic Acquired Obesity Age
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Type 2 Diabetes the Metabolic Syndrome
Genetic Acquired Glucotoxicity Lipotoxicity
Insulin deficiency
Insulin deficiency
Impaired beta cell function
Hepatic glucose production
Glucose-induced insulin secretion
Post receptor defect
Hyperglycemia
Tissue response to insulin
Glucose uptake
Basal hyper- insulinemia
Glucose transport
Insulin resistance
Insulin resistance
Insulin binding
Genetic Acquired Obesity Age
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Diabetes pipeline
Phase 1
Phase 2
Phase 3

• NN1998 (AERx)

• NN304 (Basal analogue)

• NN414 (Insulin secretion)

• NN4201 (Hepatic glucose
• regulator)

• NN2344 (Insulin sensitiser)

• NovoMix

(Premix analogue)

• NN1215 (LABI)

• NN622 (Dual acting sensitiser)

• NN2211 (GLP-1 analogue)

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Novo Nordisk Future Key Drivers
Coagulation disorders
Primarygrowth drivers
Diabetes care
Secondary valuedrivers
Human growth hormone
Intellectual property
HRT
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Coagulation disorders (NovoSeven)

• Sales of 2,270 mn in 2000 (73)
• Growth of 63 in Q1 2001 versus Q1 2000
• Increased use for acquired haemophilia and in
  surgical procedures of inhibitor patients
• Increased investigational use
• Impact from temporary shortage of other products

Sales by quarter
DKK million
800
Inhibitor indication Est. market potential USD
350 million
600
400
200
0
Q1
Q2
Q3
Q4
Q1
Q2
Q3
Q4
Q1
Q2
Q3
Q4
Q1
1998 1999 2000 2001
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Mechanism of Action and Characteristics
The key features of NovoSeven are

• Injury site selective activation of platelets
  creates high local thrombin formation which
  secures a tight fibrin clot
• Correction of coagulation within 10 minutes
• Good safety profile

FVIIa / NovoSeven
Rupture
Tissue factor
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Expanding the Use of NovoSeven
PlateletDisorder
GeneralHaemostasis
Coagulation Factor Deficiency
Surgical bleeding
Single Factor
Multiple Factors
Spontaneous bleeding
Lack of platelets
Defective platelets
Glanzmann Bernard-Souliers
Intra-cerebral bleeds Traumatology
Liver resection Hip replacements Haemorrhagic
dilution coagulopathy Oozing after cardiac valve
replacement Colon cancer surgery
Haemophilia with inhibitors
Liver transplantationsUpper gastrointestinal
bleedings Liver resection
Current indication
Upper gastro- intestinal bleedings
Vitamin K-antagonists
Bone marrow transplantation
Von Willebrands
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Novoseven Is Expected to Make a Difference
Physicians

• Control of bleedings
• Higher rate of success
• Fewer complications

• Dry surgical field
• Flexibility in timing
• Less dependent on blood bank

N7 in general haemostasis
Patients
Payers

• Higher chance of survival
• Fewer days at hospital
• Fewer infections

• Reduced ICU and ward-days
• Reduced mortality
• Less transfusions

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Towards the First General Haemostatic Agent

• 8 studies within 6 clinical areas
• Orthotopic liver transplantations
• Liver resection
• Upper GI bleeds
• Liver resection
• Reversal of anti-coagulantia therapy
• Bone marrow transplantation
• Intra-cerebral bleeds
• Traumatology

• Criteria for moving into clinical area
• Medical need
• Probability of success
• Market potential
• Competitive situation
• Strategic leverage

Patients with chronic liver disease
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Expanding the use of NovoSeven
Coagulation Factor Deficiency
PlateletDisorder
GeneralHaemostasis
Spontaneous bleeding
Single Factor
Multiple Factors
Surgical bleeding
Lack of platelets
Defective platelets
Glanzmann Bernard-Souliers
Intra-cerebral bleeds Traumatology
Liver resection Hip replacements Haemorrhagic
dilution coagulopathy Oozing after cardiac valve
replacement Colon cancer surgery
Haemophilia with inhibitors
Liver transplantationsUpper gastrointestinal
bleedings Liver resection
Current indication
Upper gastro- intestinal bleedings
Vitamin K-antagonists
Bone marrow / stem cell transplantation
Von Willebrands
Patients with chronic liver disease
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Building strong scientific evidence
Clinical area Status on project
Orthotopic liver transplantation Ongoing ph 2/3
project Liver resection Exploratory ph 2 study
has been initiated Upper G.I. bleeds Ph 2 study
initiated Bone marrow / stem cell transplant. Ph
2 study initiated Liver resection Ph 2 study
expected to start in first half 2001 Reserval of
anti-coagulant therapy Ph 2 study expected to
start in first half 2001 Intra-cerebral
bleeds Exploratory ph 2 study expected to start
mid 2001 Traumatology Ph 2 study expected to
start by year end 2001
Patients with chronic liver disease
31
Novo Nordisk Future Key Drivers
Coagulation disorder
Primarygrowth drivers
Diabetes care
Secondary valuedrivers
Human growth hormone
Intellectual property
HRT
32
Novo Nordisk Future Key Drivers
Coagulation disorder
Primarygrowth drivers
Diabetes care
Secondary valuedrivers
Human growth hormone
Intellectual property
HRT
33
A Strong Portfolio of Intellectual Property
Patents by year-end

• A total of 2,102 valid patents by year-end 2000
• First filing for 77 new inventions during 2000
• 233 patents issued to Novo Nordisk during 2000
  alone mostly related to diabetes and devices
• Three major settlements on Novo Nordisk patents
  within the last 12 months
• Novo Nordisk will continue to enforce patents
  pro-actively

34
No Major Patent Expirations
of 1999 sales with patents expiring in 2000-2004
Source ArosMaizels Research and Novo Nordisk
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Financials in the first quarter of 2001
36
Financial results first quarter 2001
DKK million Q1 2001 Q1 2000 change
Net turnover 5,350 4,426 21 Operating profit
as reported 1,358 994 37 Operating profit
adjusted) 1,111 765 45Financial items 237
(34) n/a Profit before tax 1,595 960 66 Net
profit 1,021 600 70 Earnings per share
(DKK) 2.95 1.70 74 Earnings per ADS)
(USD) 0.35 0.20 74 ) Excluding Seroxat
licence income and one-off settlements of patent
disputes ) Translated for convenience at the
end of March 2001 at exchange rate of USD 100
DKK 847.19
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Updated outlook for 2001

• Growth in operating profit of 15 is expected
• Net financial income is expected to be approx
  DKK 300 million
• Tax rate expected at 36
• Investments expected to exceed DKK 3 billion
• Above outlook is based on the assumption that
  exchange rates remain at the current level (8
  May 2001).

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Turnover by region first quarter
DKK million Q1 2001 Q1 2000 of total
change (Q1 2001) Europe
2,669 2,225 50 20 USA 1,120 795 21 41 J
apan 818 829 15 (1) Rest of world 743 577 14
29 Total 5,350 4,426 100 21
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Turnover by therapy first quarter
DKK million 2001 2000 of total
change (2001) Insulin
etc 3,399 2,917 63 17 NovoNorm/Prandin 355 2
36 7 50 Diabetes care, total 3,754 3,153
70 19 Coagulation disorders 730 449
14 63 Human growth hormone 457 440
9 4 HRT 327 280 6 17 Other 82 104 1 (21)
Total 5,350 4,426 100 21
NovoSeven
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Long-term Financial Targets

• New financial targets
• EBIT growth of 15 per annum
• EBIT margin of 25
• ROIC of 25 (post-tax) per annum
• Cash to earnings of 60

• Targets set out in 1996
• EBIT growth of 15 per annum
• EBIT margin of 20
• RONFA of 20 per annum
• Positive cash flow

All reached by 2000
Balancing growth and value
41
Focus on Shareholder Value

• Split of shares effective as of 4 April 2001 1
  B share (nom DKK 10) ? 5 B shares (nom DKK 2
  each) 1 ADS (nom DKK 5) ? 2.5 ADSs (nom DKK
  2 each)
• Reduction in share capital corresponding to 6 of
  the total capital expected to take place in the
  third quarter of 2001
• Share buy-back programme part of the strategy
• Shareholder value driven management incentive
  programmes
• Top management have all invested equal to one
  years gross salary in Novo Nordisk shares
• Four options received on each purchase of Novo
  Nordisk shares
• Annual option programme based on performance
  continues

42
Novo Nordisk Key Drivers
Diabetes care
Coagulation disorders

• World leader with steady growth for 77 years
• 2/3 of business (insulin) growing gt10 p.a.
• Growth platform in the US
• The most comprehensive insulin and insulin
  device portfolio in the industry one new
  device per year
• Sensitisers (NN2344 and NN622)
• Reduction of glucose output from the liver
  (NN4201)
• GLP-1 analogue (NN2211)
• Insulin secretion (NN414)

• Estimated market potential for current NovoSeven
  indication of USD 350 million
• Entering 6 new clinical areas with 8 new studies
  in 2001
• Strategy for making NovoSeven the first general
  haemostatic agent
• Moving towards haemostasis management
• Patent protection in Europe and the US until 2011
• Patent protection in Japan until 2007

Primarygrowthdrivers
Secondary valuedrivers
Human growth hormone
Intellectual property
HRT
43
Forward-looking statements
This conference call contains forward-looking
statements as the term is defined in the US
Private Securities Litigation Reform Act of 1995.
Such forward-looking statements are subject to
risk and uncertainties that may cause actual
results to differ materially from expectations,
including unexpected developments in the
international currency exchange and securities
markets, government-mandated or market-driven
price decreases for Novo Nordisk's products in
the company's major markets and the introduction
of competing products within Novo Nordisk's core
businesses. These and other risks and
uncertainties are further described in reports
filed with the US Securities and Exchange
Commission (SEC) by Novo Nordisk and readily
available to the public, including the company's
Form 20-F, which was filed on 27 April 2001.
44
Appendix
45
Investor Information

• Investor Relations ContactsNovo Nordisk A/S
  Investor Relations Novo Allé DK2880
  BagsværdDenmark
• Fax [phone]. Peter HaahrPhone (45)
  4442 1207 E-mail pehr_at_novonordisk.com
• Palle Holm Olesen
  Phone [phone] E-mail
  phoo_at_novonordisk.com
• Rasmus Holm-JørgensenPhone (1) 212 867 0123
  E-mail rrhj_at_novonordisk.com

Share informationNovo Nordisks B shares are
listed on the stock exchanges in Copenhagen and
London. Its ADSs are listed on the New York Stock
Exchange under the symbol "NVO". For further
company information, visit Novo Nordisk on the
World Wide Web at http//www.novonordisk.com
46
The Vision of Novo Nordisk

• We will be the worlds leading diabetes care
  company
• Our aspiration is to defeat diabetes by finding
  better methods of diabetes prevention, detection
  and treatment
• We will work actively to promote collaboration
  between all parties in the healthcare system in
  order to achieve our common goals
• Our focus is our strength. We will stay
  independent and form alliances whenever they
  serve our business purpose and the cause we stand
  for

47
Profit Loss 1998-2000
DKK million 1998 1999 2000
Net turnover 13,647 16,423 20,811
Y/Y growth 8.4 20.3 26.7
Gross profit 9,896 12,196 15,767
EBIT 2,933 3,527 4,816
EBIT-margin 21.5 21.5 23.1
Net finance 243 -178 24
Pre-tax profit 3,176 3,349 4,840
Tax rate 36.5 40.3 36.2
Net profit 2,016 2,001 3,087
48
Turnover by Therapy 2000 and 1999
DKK million 2000 1999 of total 2000
change Insulin etc 13,491 11,049 65 22
NovoNorm/Prandin 1,087 728 5 49 Diabetes
Care, Total 14,578 11,777 70 24 Coagulation
disorders 2,270 1,313 11 73 Growth
disorders 2,107 1,721 10 22 HRT 1,306 1,130
6 16 Other 550 482 3 14 Total 20,811 16,42
3 100 27 NovoSeven
49
Balance Sheet 1998-2000
DKK million 1998 1999 2000
Fixed assets 12,534 10,576 12,065
Stocks 3,253 3,583 3,972
Debtors 4,895 5,481 4,711
Cash and current inv. 1,476 3,442 3,845
Total assets 22,158 23,082 24,593
Shareholders funds 15,287 15,185 15,738
Provisions 1,121 1,258 1,493
Long-term debt 997 1,007 950
Short-term debt 4,753 5,632 6,412
Total liabilities 22,158 23,082 24,593
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Diabetes Source of Innovation

• Clinical research
• Steno Diabetes Centre
• Oxford Diabetes Centre
• Clinical research centres worldwide

• Basic research
• Hagedorn Research Institute
• Oxford and Steno Diabetes Centre
• Academic collaborations
• Consortia

• Evidence-based medicine
• NN disease mgt programmes
• Outcomes data from gt 100.000 individuals with
  diabetes

RD projects

• Molecular diversity design
• Protein chemistry since 23
• Medicinal chemistry since 68
• Computational chemistry since 75
• Rational drug design since 83
• Combinatorial chemistry since 93

• Drug target screening
• Molecular biology since 80
• HT screening Amersham since 92
• Chemoinformatics since 95
• Dundee MRC consortium since 98
• Ultra HT Screening since 00

• Trinomics
• Genomics Incyte since 95
• Proteomics CPA since 97
• Metabonomics since 99

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Evolution of a Diabetes Project
Stable cell lines
Chemistry
Identify clone target
Establish biological function
High throughput screening
In vitro biological profile
In vivo diabetes models
Diabetes expertise
Diabetes models
PLPc
52
Diabetes a Metabolic Syndrome
Brain - GLP-1.
Liver - Hepatic enzyme inh - PPAR a - Glucokinase
- Glucagon antagonists - Insulin - Insulin
mimetics.
ß-cell - PGR - PCO - GLP-1.
Muscle/Fat - Insulin sensitisers - Insulin -
Insulin mimetics - PPAR g - GLUT4 - TNF a -
PTPase.
Gut - GLP-1.
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