Novo Nordisk has published its integrated 2015 Annual Report detailing the company’s year-end performance. The report highlights the company’s progression towards long-term targets taking an integrated approach that accounts for financial, social and environmental performance. This is the company’s 12th integrated report.
Novo Nordisk’s 2015 report features articles highlighting the need for urgent action to address the growing number of people living with undiagnosed diabetes. It also accounts for progress on the company’s flagship programme, Cities Changing Diabetes and introduces an updated environmental strategy to reduce the CO2 impact from so-called indirect emissions (such as purchased goods and services, raw materials and business flights).
In addition, Novo Nordisk publishes its Communication on Progress to the UN Global Compact with a separate section in accordance with the Blueprint for Corporate Sustainability Leadership (LEAD)
Key highlights from financial, social and environmental performance include:
- Sales increased by 22% in Danish kroner and by 8% in local currencies to 107.9 billion.
- Operating profit increased by 43% in Danish kroner and by 21% in local currencies to DKK 49.4 billion. Adjusted for the DKK 2.4 billion non-recurring income related to the partial divestment of NNIT, the operating margin was 43.6% corresponding to an increase in operating profit in local currencies of 14%.
- Net profit increased by 32% to DKK 34.9 billion. Diluted earnings per share increased by 34% to DKK 13.52. Adjusted for the partial divestment of NNIT, net profit and diluted earnings per share increased by 22% and 25% respectively.
- 8.6 DKK billion expensed in company income tax (+13%)
- 26.8 million people with diabetes have been treated with Novo Nordisk’s products of which 5.5 million were treated with insulin for USD 0.19 per day or less, which is the ceiling price for insulin sold according to the differential pricing policy.
- The Changing Diabetes® in Children programme has been rolled out in nine countries since its launch in 2009, reaching more than 13,400 children. A total of 108 clinics have been established and more than 6,500 healthcare professionals have been trained or re-trained in diabetes care.
- The Changing Diabetes® in Pregnancy programme, also launched in 2009, has since screened more than 33,300 women for gestational diabetes mellitus, and more than 3,800 women have been diagnosed and subsequently treated.
- 98% of all relevant employees completed and documented business ethics training and passed the related tests.
- CO2 emissions related to energy consumption at production facilities decreased by 11% despite a 9% increase in energy use. The production plant in Tianjin, China, has started sourcing wind power from a windfarm in Inner Mongolia, and the Danish production facilities are now sourcing bio-natural gas.
- CO2 emissions from transport (product distribution) decreased significantly by 25% compared with 2014. This is mainly due to an increase in the volume of products being distributed via sea from 72% in 2014 to 83% in 2015.
- In 2015, the company generated 34,715 tons of waste, which is an increase of 13% compared to 2014. This is mainly due to an increase in non-recyclable ethanol used in purification processes for insulin production.
- In 2015, water consumption increased by 6%, a reflection of increased production and capacity as well as increased activities within research and development. Of the water used at production sites, 14% is in water-scarce regions in Brazil and China.
Novo Nordisk values feedback and welcomes questions or comments about its reporting and performance at email@example.com.