This article first appeared on GuruFocus .
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Revenue:DKK 13.6 billion, up 16% at constant exchange rates, with underlying growth of around 13%.
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Adjusted Gross Margin:86.7%, reflecting commission costs from the partnership model and unfavorable product/geographic mix.
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Adjusted EBITDA:Grew 19% at constant exchange rates, driven by strong performance of Vyepti and Rexulti.
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EBIT:Increased 14% to DKK 3.7 billion.
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Net Profit:Increased 36% to DKK 2.8 billion; adjusted net profit grew 28% to DKK 3.7 billion.
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Adjusted EPS:Grew 28%.
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R&D Costs:Increased 24% at constant exchange rates to DKK 2.8 billion, driven by Phase III programs.
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Sales and Distribution Costs:Increased 2% at constant exchange rates.
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Administrative Expenses:DKK 716 million, up 3% at constant exchange rates.
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Cash Flow from Operations:DKK 2.6 billion.
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Net Debt:Reduced to DKK 7.4 billion.
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Vyepti Global Revenue:DKK 2.865 billion, growing 46% at constant exchange rates.
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Rexulti Global Revenue:DKK 3.297 billion, up 17% at constant exchange rates.
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Abilify LAI Franchise Sales:DKK 1.97 billion, with franchise growth of 7% at constant exchange rates.
Release Date: August 19, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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Strong strategic brand growth of 17% in H1 2026, driven by Vyepti (46%) and Rexulti (17%).
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Vyepti achieved record US market share of 13.01%, surpassing Aimovig for the first time.
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Successful transition to partner markets with strong underlying demand and 13% adjusted revenue growth.
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Pipeline progress with bexicaserin closing randomization ahead of schedule and multiple Phase III readouts expected soon.
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Strong financial position with net debt reduced to 1x adjusted EBITDA, enabling continued investment.
Negative Points
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Gross margin impacted by partnership model commissions and unfavorable product mix, expected to persist.
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Rexulti faces increasing competition, particularly from Ovelity in AADAD and Coplyda in MDD, with growth moderating.
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One-time inventory build in Q1 not expected to recur, leading to potential H2 revenue normalization.
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R&D costs increased 24% in H1, pressuring near-term profitability despite strong revenue growth.
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Currency headwinds expected to reduce reported revenue growth by ~4 percentage points and EBITDA growth by ~8 percentage points in 2026.
Q & A Highlights
Q: Regarding the Bexicaserin Deep Ocean trial readout, can you comment on patient demographics, disease severity, baseline seizure frequency, and background therapies that could affect efficacy or placebo response compared to the Pacific trial? Also, regarding Amlenetug, what will the upcoming futility analysis assess, and could it change the sample size or trial design? A: Johan Luthman, EVP of R&D, stated that the Deep Ocean trial's baseline criteria and demographics are not fundamentally different from the Pacific trial, though it covers a much broader range of over 60 different developmental and epileptic encephalopathies (DEEs). He noted a good balance between patients with NoxCoS2 diagnoses and those with other DEEs, with no major differences in background therapies or baseline seizures. For Amlenetug, he declined to comment on any interim analyses, stating only that the trial is progressing well.
Q: With the Deep Ocean trial expected to read out before year-end, is it still your intention to have data from both pivotal trials before filing for approval, or could you file with Deep Ocean data and follow up with additional data in a rolling submission? Also, should your midterm guidance framework be treated as superseded by your current trajectory, or do those targets still represent a ceiling? A: Johan Luthman explained that the two pivotal trials are lined up to read out very close together, allowing the totality of the pivotal program to be delivered in one go, which is advantageous. Maria added that with breakthrough therapy and orphan drug designations in the US, the intention is to follow a global development strategy and file to make the drug available to as many patients as possible. CFO Joerg Hornstein confirmed that the midterm guidance targets remain in place, with an update on future mid-term targets expected towards the end of the year or beginning of next year.
Q: Given the strong Q2 beat and underlying momentum, why are you not raising the full-year guidance? What scenarios would drive top-line above the guidance range versus within it? Also, how is your Orexin program differentiated from the recently approved Takeda drug, in terms of side effects, efficacy, or targeting narcolepsy type 2? A: CFO Joerg Hornstein cited caution due to limited transparency on partner market timing effects, potential competition in Rexulti's market (especially from Ovelity), and the possibility of generic entry for Abilify Maintena in Australia and Canada. He noted the company is trending towards the upper end of the guidance. Johan Luthman explained that the Orexin program differentiates through a focus on a "squeaky clean" safety profile, an optimal half-life to balance daytime efficacy with nighttime sleep, and high potency to be effective in non-degenerative conditions like narcolepsy type 2, where a three to four-fold more potent effect is needed.
Q: The low end of your guidance implies a significant sequential decline in H2 sales and EBITDA. Is this overly conservative, or are there other factors we are overlooking? Also, why is your Orexin Phase 1 program planning to enroll over 100 patients, which seems large for a Phase 1? A: CFO Joerg Hornstein explained that H2 will see increased sales and distribution investments, particularly for Vyepti and geographic expansions, and R&D costs are trending towards the higher end of the range. He also noted gross margin impacts from the partnership model and Vyepti's contribution, which is currently below the group margin. Johan Luthman clarified that the large Phase 1 enrollment is due to the company's preference for Phase 1b studies that allow the molecule to "speak," with flexibility to explore multiple hypersomnolence indications. He noted the program includes two molecules already in clinical development, and the enrollment number is a placeholder for broader activities.
Q: Can you discuss the dynamics with Rexulti, noting that AADAD is now over a third of prescriptions, yet overall performance was in line with expectations? How is MDD progressing, and are there phasing elements between indications? Also, given your deleveraging, are you more interested in the psychedelic space, especially with Lilly and AbbVie moving in? A: Thomas Gibbs, EVP and Head of US, stated Rexulti's performance is in line with expectations given the competitive environment. He highlighted that AADAD has massive unmet need with only one-third of patients diagnosed, and new competitors are helping expand the market. Rexulti remains the preferred treatment, with 47% of HCPs identifying it as their top choice, and its TRX volume is about 11 times that of Ovelity. MDD continues to show resilience with 15.7% growth. On psychedelics, Johan Luthman noted Lundbeck is not currently active in the field but is closely monitoring it, acknowledging the proof of concept and regulatory feasibility, and will see what opportunities may surface.
Q: Can you provide more detail on the dynamics with Rexulti, given that TRX growth moderated in Q2 and a competitor noted strong early trends for its Alzheimer's agitation launch? How should we balance competitive pressures against market expansion opportunities for Rexulti's growth outlook? A: Thomas Gibbs reiterated that Rexulti is performing to expectations in an increasingly competitive marketplace, with new competitor penetration consistent with the company's vision. He emphasized that AADAD will continue to be a strong growth driver, with physicians indicating Rexulti plays an important role in increasing diagnosis and treatment rates. For MDD, the brand remains resilient with double-digit growth, and competitive dynamics are beginning to plateau, as evidenced by Rexulti's NBRx growth rate exceeding Coplyta's in the most recent monthly data for the first time since their launch.
Q: Can you share more about the midterm guidance framework, including how many years it will encompass given upcoming LOEs and readouts? Also, as Vyepti accounts for a larger proportion of group sales, should we expect further pressure on gross margins from product mix? A: CFO Joerg Hornstein stated that an update on the midterm guidance will be provided around Q4 and Q1, declining to specify the timeframe in advance. Regarding gross margins, he explained that the 1% step-down is a structural impact of the partnership model, where SG&A costs are moved into gross-to-net sales. He views this as a consequence of a right strategic choice, accepting the one percentage point decrease for a much larger growth potential. He reiterated the 87% gross margin guidance for the year as the best starting point.
Q: Regarding the Bexicaserin filing strategy, is it still your intention to have data from both trials before filing, or could you file with Deep Ocean data and follow up with additional data in a rolling submission? For the complete transcript of the earnings call, please refer to the full earnings call transcript .
