Eli Lilly Raises Guidance After Strong Weight-Loss Drug Sales Drive Record Earnings
Eli Lilly reported third-quarter financial results that were much better than expected. The company saw a large increase in revenue, rising 54% to $17.60 billion, and posted earnings per share of $7.02 on an adjusted basis. These results exceeded analyst estimates.
The main reason for the strong performance was soaring demand for Eli Lilly’s weight-loss drug Zepbound and diabetes treatment Mounjaro, which belong to a class of medicines known as GLP-1s. Sales of Zepbound nearly tripled during the quarter, contributing significantly to the company’s record results.
Based on these results, Eli Lilly raised its full-year forecast for both profit and revenue, indicating that it expects the strong demand for its weight-loss drugs to continue. The company's stock rose as much as 4% following the release of the earnings report.
Eli Lilly is working to maintain its position as a leader in the growing market for obesity and diabetes treatments, facing competition from other major drugmakers.
Eli Lilly's revenue and profit rose mainly because of strong sales of its weight-loss and diabetes drugs, especially Zepbound and Mounjaro.
GLP-1 drugs are medicines used to help people lose weight or manage diabetes. They work by influencing how the body regulates blood sugar and appetite.
Eli Lilly's shares increased by nearly 4% after the company reported earnings that were much better than expected and raised its profit forecast.
Yes, Eli Lilly is competing with other companies in the fast-growing market for obesity and diabetes treatments.
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