08:39 AM EDT, 05/02/2024 (MT Newswires) -- Novo Nordisk ( NVO ) raised its full-year sales growth outlook on Thursday after the Danish drugmaker's topline topped Wall Street's expectations, buoyed by robust demand for its diabetes and obesity treatments.

Sales are now anticipated to grow between 19% and 27% at constant exchange rates, compared with prior projections for an increase of 18% to 26%. Sales reported in Danish kroner are forecast to be in line with the constant currency growth, while the company previously guided the metric to be 1 percentage point lower.

The outlook reflects expectations for revenue to rise in the company's North America and international operations, mainly driven by volume growth of glucagon-like peptide-1-based treatments for obesity and diabetes, according to the pharmaceutical firm. The guidance also assumes continued periodic supply constraints and related drug shortages across several products and geographies.

For the quarter ended March 31, Novo Nordisk's ( NVO ) net earnings advanced to 5.68 kroner ($0.82) per share, up from 4.39 kroner the year before. Three analysts polled by Capital IQ expected GAAP EPS of 5.36 kroner. Sales climbed 22% to 65.35 billion kroner, surpassing the Street's view for 63.57 billion kroner.

"The quarterly sales growth reflects solid commercial execution across operating units," Chief Executive Lars Jorgensen said during an earnings call, according to a Capital IQ transcript. "Both our operating units contributed to sales growth driven by demand for our once for both diabetes and obesity."

Revenue in the company's diabetes care segment climbed 22% to 49.93 billion kroner, led by a 42% jump for its Ozempic drug driven by North America and international business. Sales of the Victoza medication slipped 23% as the GLP-1 market moves towards once-weekly treatments.

In the obesity care division, sales soared 41% to 11.04 billion kroner led by a 106% surge in the Wegovy weight loss drug for cardiovascular risk reduction. The firm said it has reduced supply of lower Wegovy dose strengths in the US since May last year to "safeguard continuity of care," as demand for the product exceeds supply. Rare disease segment revenue declined 4%.

Price: 129.04, Change: -0.17, Percent Change: -0.13