Some experts say Denmark's economy has performed better than that of most other European countries since the pandemic. And the country likely owes much of that to its pharmaceutical industry. One company that has been at the center of this phenomenon is Novo Nordisk (NVO 0.35%), a biotech that specializes in diabetes and obesity care.

In addition to helping push Denmark's economy forward, Novo Nordisk could deliver excellent returns to investors over the long run. Let's find out why.

Its anti-obesity drugs are soaring

One of Novo Nordisk's fastest-growing products is weight-loss medicine Wegovy. It was first approved in the U.S. in mid-2021 and has been on fire since. The clamor for Wegovy has been so high that Novo Nordisk has had trouble meeting this demand.

Wegovy's sales in the first half of the year came in at about 12 billion Danish kroner (about $1.7 billion), up an impressive 367% from the year-ago period. Wegovy's recent approval means it won't face patent issues anytime soon and will continue to grow its sales rapidly for a while. Novo Nordisk's portfolio also features Saxenda, another weight-loss drug.

Saxenda's sales in the first half of 2023 were 6.1 billion DKK ($871 million), jumping 36% compared to the year-ago period. According to some estimates, the anti-obesity drug market will be worth as much as $44 billion by 2030, up from just $2.5 billion in 2022. Although it will face competition from other companies -- primarily Eli Lilly in this space -- Novo Nordisk should still be one of the major winners of this massive growth. 

Overall financial results are solid 

Novo Nordisk's portfolio also includes diabetes medicines Ozempic and Rybelsus. In the first half of the year, the former saw its sales grow by 58% year over year to 41.7 billion DKK ($6 billion). Rybelsus' revenue of 8.3 billion DKK ($1.2 billion) was 97% higher than the year-ago period. These four products -- Ozempic, Rybelsus, Saxenda, and Wegovy -- were responsible for Novo Nordisk's performance in the first half of 2023.

The company's total sales came in at 107.7 billion DKK ($15.5 billion), 29% higher than the prior-year period. For a pharmaceutical company of this size, that's an amazing year-over-year sales increase. Novo Nordisk's net profit of 39.2 billion DKK ($5.6 billion) increased by 43% year over year.

What's next for Novo Nordisk?

If Novo Nordisk has proven anything over the years, it is its ability to innovate in its core diabetes market, where it held a 32.7% share as of May, an increase of 1.7% year over year. The company should add key growth drivers to its portfolio. It is awaiting approval for icodec, a potential once-weekly insulin product, in the U.S., Europe, and China. Icodec aced several late-stage clinical trials, so unless some unforeseen accident happens, it should earn the nod from regulators.

And it looks likely to become a blockbuster product, too. Not all type 2 diabetes patients need to take insulin, but those who do typically do so daily. The once-a-week dosing schedule would be more than welcome for many of them. Novo Nordisk has plenty of other pipeline candidates within its core therapeutic area and elsewhere as it has sought to diversify its portfolio.

Novo Nordisk is working on other potential medicines, including one for nonalcoholic steatohepatitis, a highly promising space. It is also developing therapies for Alzheimer's disease, another area where there is a significant unmet need despite recent approvals. That's just the tip of the iceberg with Novo Nordisk.

With its extremely strong financial results, solid lineup, and exciting pipeline, the company should continue to deliver market-beating returns for a while, regardless of what happens to the Danish economy.