#20: The Profitability of Skinny - How Semaglutides made Novo Nordisk Europe's most profitable company

In this episode, we explore the economics of thinness and the phenomenal rise of GLP-1 receptor agonists in the weight loss market. Novo Nordisk, the Danish pharmaceutical company behind Ozempic and Wegovy, has become Europe's most profitable company, surpassing even the luxury giant LVMH. We delve into the social and economic capital associated with thinness, examining how societal attitudes toward body image drive the profitability of weight loss drugs.

We also break down the science behind GLP-1 receptor agonists, including their mechanisms and market dynamics. We'll discuss the first-in-class drugs like Saxenda, and best-in-class competitors such as Trulicity and Mounjaro. Novo Nordisk’s strategic business moves, including their significant investment in R&D and marketing, have cemented their market dominance. Additionally, we highlight the broader implications of these drugs on global health and their potential for continued growth in a competitive landscape.

Resources

1. Skinny at all costs? Unravelling the weight loss sensation causing supply chain mayhem
2. : Q1 Pharma Financials Published Across the sector - Guess who's in the lead?
3. Economist: The economics of thinness
4. Lancet: Semaglutide versus GLP-1 agonists 
5. Fortune: Wegovy and Ozempic have ignited a gold rush in pharma as well as an upsurge in fake ‘skinny jabs’, leading to surge in hospitalizations ft Bloomberg
6. Vanity Fair: Why Counterfeit Ozempic Is a Global- Growth Industry
7. Economist: The battle over the trillion-dollar weight-loss bonanza Novo Nordisk and Eli Lilly are making blockbuster drugs. Can they maintain their lead?
8. Life After Food? A diabetes drug has become an off-label appetite suppressant
9. How Do Diabetes Medicines Work for Weight Loss? (Yottled) 
10. Cleaveland Clinic: GLP-1 Agonists
11. Wegovy vs. Ozempic
12. Guardian: Wegovy maker Novo Nordisk becomes Europe’s most valuable firm
13. Wegovy (semaglutide): a new weight loss drug for chronic weight management - Singh et al. 
14. Guardian: firm behind weight loss drug Wegovy raises profit forecast to £15.3bn
15. First in class, best in class or a wild card
16. Compare and Contrast the Glucagon-Like Peptide-1 Receptor Agonists (GLP1RAs) - Feb '24 
17. Ozempic, Trulicity, and More: 10 GLP-1 Agonist Drugs and How to Navigate Your Options
18. Guardian: Women advised to pair effective contraception with ‘skinny jabs’ Amid baby boom reports linked to drugs such as Wegovy and Ozempic, experts say it would be ‘wise’ to take extra precautions
19. SciAm: Oze