Eli Lilly announced strong first-quarter earnings on Thursday, with revenue exceeding expectations. The demand for its weight loss drug Zepbound and diabetes treatment Mounjaro has risen significantly. This increase has prompted the company to revise its full-year sales forecast, now estimating revenue between $82 billion and $85 billion for 2026.
Mounjaro’s global revenue increased by 125% to $8.66 billion, with $4.2 billion in U.S. sales. This was much higher than analyst predictions. Zepbound, introduced about three years ago, generated $4.16 billion in U.S. sales, an 80% increase compared to last year. Both products contributed to Lilly’s strong performance despite lower prices in the U.S.
The company holds a significant share of the GLP-1 drug market, which treats obesity and diabetes, with a 60.1% market share in the U.S. Analysts had expected lower earnings and revenue, but Lilly reported earnings of $8.55 per share, higher than the anticipated $6.66, and total revenue of $19.80 billion.
Lilly’s net income for the quarter was $7.40 billion, compared to $2.76 billion a year earlier. Their new GLP-1 pill, Foundayo, recently launched but is not included in these earnings. Analysts suggest its early sales performance has been modest. Lilly also anticipates gaining from Foundayo and increased Medicare coverage for obesity drugs but expects pricing pressures from various factors.
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