Novo Nordisk ups forecast on strong diabetes drug sales

Denmark’s Novo Nordisk, the world’s largest insulin producer, this morning posted financial results for the second quarter of 2012, showing that earnings before interest and tax (EBIT) rose to 7.65 billion Danish kroner ($1.27 billion), a leap of 45% compared with 5.27 billion kroner in the like quarter year ago and beating an average 6.65 billion kroner forecast in a Reuters poll of analysts. The company’s shares rose 5.2% to 975.50 kroner in early trading.

Sales increased 21.7% year-on-year to 19.47 billion kroner, also beating analysts' average 18.89 billion kroner estimate..

Expecting strong market penetration of key products, Novo Nordisk raised its full-year guidance. It now forecasts sales to grow by 9%-12% in local currencies, and be around seven percentage points higher in Danish kroner. It had previously expected sales to grow 7%-11% in local currencies, and around 4% in Danish crowns. EBIT is now expected to grow by around 15% in local currencies, and be about 12 percentage points higher in kroner versus its previous forecast of EBIT to rise at least 10%.