Eli Lilly reported third-quarter earnings and revenue well ahead of analysts’ expectations on Thursday, lifted by continued demand for its weight-loss drug Zepbound and diabetes treatment Mounjaro. The pharmaceutical company also raised its full-year revenue forecast, although sales of its newer obesity pill Foundayo fell short of expectations.
Lilly now expects 2026 revenue of between $91 billion and $92 billion, up from its previous guidance of $85 billion to $87 billion.
Adjusted earnings are forecast at between $35 and $36 a share, compared with an earlier range of $35.50 to $36.50. The company said underlying profit guidance had increased by $4.07 a share at the midpoint, but that this was more than offset by $4.57 a share in charges linked to deals completed during the quarter.
Shares in Eli Lilly rose by about 7% on Thursday.
The company reported adjusted earnings of $7.48 a share for the three months to the end of September, against analysts’ expectations of $6.26. Revenue reached $24.40 billion, ahead of the $22.61 billion forecast.
Strong demand for Mounjaro and Zepbound
Mounjaro sales rose 65% worldwide to $10.72 billion. The figure included about $5 billion in US revenue and exceeded expectations of $10.10 billion globally and $4.79 billion in the US.
International Mounjaro sales increased by 93%, while Zepbound generated $5.35 billion during the quarter, up 49% on the same period last year. Analysts had expected global Zepbound sales of $5.09 billion.
Lilly said the medicines continued to attract strong demand despite lower realised prices in the US. The company pointed to a 41% increase in sales volume in its home market, driven mainly by Mounjaro and Zepbound, partly offset by a 7% decline in realised prices.
US revenue rose 34% to $15.1 billion. Sales outside the US climbed 47% to $9.3 billion, supported by a 76% increase in volume but reduced by a 29% fall in realised prices.
Lilly chief executive Dave Ricks also referred to expanded US access to obesity treatment, following the decision to begin covering GLP-1 medicines for weight loss under a temporary Medicare pilot programme in July.
“This is a program that’s really working,” Mr Ricks said. “We’re pleased with the early uptake and access, and I think doctors and patients are as well.”
Foundayo sales below expectations
Foundayo, Lilly’s recently launched obesity pill, brought in $184 million in third-quarter sales. That was below analysts’ forecast of about $229 million and marked only the second quarter in which revenue from the treatment had been reported.
The pill, approved in the US in April, is competing with an oral obesity treatment from Novo. Lilly finance chief Lucas Montarces said total US prescriptions and the number of new Foundayo patients had doubled from the previous quarter.
About four in 10 patients starting an oral obesity medicine chose Foundayo, Mr Montarces said. Lilly expects the treatment to receive US approval for type 2 diabetes in the fourth quarter.
Lilly said it held 63% of the US obesity and diabetes drug market during the quarter, compared with 36.6% for Novo. Internationally, its share stood at 58.4%, while Novo held 41.6%.
Net income rose to $6.45 billion, or $7.22 a share, from $5.58 billion, or $6.21 a share, a year earlier. The figure included charges associated with deals, while adjusted earnings excluded one-off items linked to intangible assets and other adjustments.
The quarter also included a $410 million sales-based milestone payment for Jardiance, Lilly’s type 2 diabetes treatment developed through its collaboration with Boehringer Ingelheim.
