Novo Nordisk Announces Major Restructuring Amid Wegovy Sales Slowdown

Novo Nordisk (NVO) is cutting 9,000 jobs—11% of its global workforce—as part of a restructuring plan aimed at saving $1.25 billion annually by 2026. The MOVE follows a 20% July stock plunge and a 35% year-to-date decline, driven by slowing demand for its obesity drug Wegovy and competitive pressure from Eli Lilly (LLY).

New CEO Mike Doustdar, who took the helm in August, framed the layoffs as a necessary step to streamline operations and reallocate resources toward diabetes and obesity care. Approximately 5,000 job cuts will occur in Denmark, the company's home base.

The restructuring carries an 8 billion kroner one-time cost, partially offset by 1 billion kroner in Q4 savings. Novo also slashed its 2025 profit growth forecast to 4%–10%, marking the second guidance reduction in six weeks.