Medical bottles and a syringe are seen with the Novo Nordisk logo displayed on a screen in the background.<\/p>\n
Nurphoto | Nurphoto | Getty Images<\/p>\n
Danish pharmaceutical giant Novo Nordisk on Tuesday cut its full-year sales and profit guidance, citing weaker growth expectations for its blockbuster Wegovy obesity drug in the key U.S. market.<\/p>\n
The company also named Maziar Mike Doustdar, an internal candidate, as its new CEO after the surprise ousting of Lars Fruergaard J\u00f8rgensen\u00a0in May. <\/p>\n
Shares were down 25% at 12:44 p.m. London time, shortly after the announcement (7:44 a.m. ET).<\/p>\n
The company said it now expects full-year sales growth of 8% to 14% at constant exchange rates, down from a prior target of 13% to 21%.<\/p>\n
It expects annual operating profit growth of 10% to 16% versus the previously estimated target of 16% to 24%, also at constant exchange rates.<\/p>\n
Novo Nordisk said Tuesday that the lower outlook was driven by weaker second-half U.S. sales growth forecasts for its Wegovy weight loss drug and Ozempic diabetes treatment.<\/p>\n
“For Wegovy\u00a0in the US, the sales outlook reflects the persistent use of compounded GLP-1s, slower-than-expected market expansion and competition,” it added in a statement.<\/p>\n