Friday, November 29

Ozempic and Wegovy sales are so hot they’re powering Denmark’s GDP

Novo Nordisk’s sales in 2023 leapt 31% year-over-year to 232.3 billion Danish kroner ($33.8 billion). Image: Staff (Reuters)

A brand-new class of weight reduction drugs hasn’t merely broadened the earnings of pharmaceutical business: It’s likewise broadened economies. Skyrocketing need for Ozempic and Wegovy, utilized to deal with diabetes and weight problems, boosted Denmark’s gdp by 2% last quarter.

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Danish federal government company Statistics Denmark reported in an initial reading that the pharmaceutical market was a driving force for the country’s growing economy in the 4th quarter of 2023 and the year in general. Denmark’s GDP grew 1.8% in 2023– and much of its increase is owed to the pharmaceutical market. Without pharmaceuticals, the company states, the nation’s GDP would have rather fallen 0.1%.

Novo Nordisk is growing Demark’s GDP

Leading that development is Denmark-based Novo Nordisk, that makes diabetes medication Ozempic and weight-loss drug Wegovy. Called GLP-1s, the drugs reduce hunger by imitating a hormonal agent that manages hunger and blood sugar level. Increasing sales of these drugs have actually made Novo Nordisk the most important business in Europe, exceeding high-end corporation LVMH in 2015.

Novo Nordisk has actually been on an upward climb it does not anticipate to end anytime quickly. The business reported in January that its 2023 sales leapt 31% to 232.3 billion Danish kroner ($33.8 billion), compared to 177 billion Danish kroner ($25 billion) in 2022. It likewise predicts sales will increase by approximately 26% in 2024.

It’s likewise broadening its physical footprint to increase drug production. This month, Novo Nordisk revealed that it has actually purchased 3 centers from the drug producing business Catalent for $11 billion in an effort to fulfill increasing need for Wegovy.

En path to $1 trillion

Thriving sales for Wegovy and Ozempic might cause Novo Nordisk turning into one of the very first pharma business to reach a market cap of $1 trillion, according to Norway’s sovereign wealth fund. Just 7 business on the planet– consisting of Apple, Microsoft, and Nvidia– have market caps over $1 trillion. The pharmaceutical giant’s market cap presently stands at $542 billion.

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