Investor Presentaiton
Novo Nordisk Annual Report 2023
13 Other provisions
Provisions for pending litigations are recognised as other provisions. For information
on pending litigations, refer to note 3.5 to the consolidated financial statements.
Furthermore, as part of normal business Novo Nordisk issues credit notes for expired
goods. Consequently, a provision for future returns is made, based on historical
product return statistics.
16 Commitments and contingencies
DKK million
Commitments
Leases¹
Research and development obligations
Financial statements of the parent company
2023
2022
804
95
18,448
11,778
Research and development - potential milestones²
25,218
6,727
Commercial product launch - potential milestones²
Purchase obligations relating to investments in property
plant and equipment
11,780
7,746
1,072
232
Purchase obligation relating to contract manufactures
33,107
13,362
2,742
2,533
Guarantees given for subsidiaries³
35,608
31,858
993
127
14 Related party transactions
For information on transactions with related parties, refer to note 5.4 to the
consolidated financial statements.
The parent company's share of services provided by NNIT Group amounts to DKK 327
million (DKK 578 million in 2022).
Novo Nordisk A/S is included in the consolidated financial statements of the Novo
Nordisk Foundation.
Other purchase obligations
15 Fee to statutory auditors
DKK million
Statutory audit¹
2023
2022
9
15
Audit-related services
2
2
Tax advisory services
4
1
Other services
15
9
Total fee to statutory auditors
30
27
1.2022 statutory audit fee includes DKK 6 million of additional fee related to 2021.
Other guarantees
1. Lease commitments predominantly relate to estimated variable property taxes and low value assets.
2. Potential milestone payments are associated with uncertainty as they are linked to successful achievements
in research activities; refer to note 5.2 to the consolidated financial statements. 3. Guarantees given for
subsidiaries mainly relate to guarantees towards Novo Nordisk Finance (Netherlands) B.V. related to issuance
of Eurobonds.
Novo Nordisk A/S and its Danish subsidiaries are jointly taxed with the Danish
companies in Novo Holdings A/S. The joint taxation also covers withholding taxes in
the form of dividend tax, royalty tax and interest tax. The Danish companies are jointly
and severally liable for the joint taxation. Any subsequent adjustments to income taxes
and withholding taxes may lead to a larger liability. The tax for the individual
companies is allocated in full on the basis of the expected taxable income.
For information on pending litigation and other contingencies, refer to notes 3.5 and
5.2 to the consolidated financial statements.
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