2017 guidance raised based on strong revenue growth and improved profitability

HIGHLIGHTS

• Revenue reached DKK 4,211 million in the first quarter of 2017 representing an increase of 12% compared to the same period last year
  • Revenue in North America increased by 21% to DKK 2,437 million (21% in local currency)
  • Revenue in International Markets increased by 6% to DKK 991 million (3% in local currencies)
  • Revenue in Europe decreased by 5% to DKK 709 million (6% decline in local currencies)

• Revenue from key products grew 46% (46% in local currencies) to DKK 1,980 million in the period representing 47% of total revenue
  • Revenue of Abilify Maintena^® increased by 22% to DKK 312 million (23% in local currencies)
  • Revenue of Brintellix^®/Trintellix^® increased by 54% to DKK 367 million (49% in local currencies)
  • Revenue of Northera^® increased by 70% to DKK 340 million (73% in local currency)
  • Revenue of Onfi^® increased by 27% to DKK 690 million (27% in local currency)
  • Revenue of Rexulti^® increased by 133% to DKK 271 million (136% in local currency)  

• EBIT improved significantly reaching DKK 1,011 million from DKK 483 million in 2016 and the EBIT margin reached 24.0% compared to an EBIT margin of 12.8% the year before
• EPS grew more than 200% in the quarter to DKK 2.98 compared to DKK 0.94 in 2016
• The free cash flow reached DKK 681 million compared to a free cash flow of DKK 320 million last year. The net cash position has further improved to DKK 975 million compared to net debt of DKK 2,052 million at the end of the first quarter of 2016
• Following the solid sales performance for products such as Sabril^®, Lundbeck now expects revenue to reach DKK 16.5-17.3 billion and profit from operations (EBIT) to reach DKK 3.6-4.0 billion for 2017 compared to previously DKK 16.3-17.1 billion and DKK 3.4-3.8 billion, respectively. The potential gain from the divestiture of properties announced 5 May 2017 is not included in the revised financial guidance
• Brexpiprazole demonstrates improvement of agitation symptoms related to Alzheimer’s-type dementia following treatment with brexpiprazole relative to placebo

In connection with the financial report, Lundbeck’s President and CEO, Kåre Schultz said:

“Lundbeck is off to a strong start in 2017 by delivering double-digit revenue growth and more than doubling earnings. I am pleased with the performance and confident that 2017 will be our best financial year ever.”

*For definition of the measures “Core Revenue”, “Core EBIT” and “Core EPS”, see note 7 Core reporting