Eli Lilly Boosts Forecast Amid Strong Demand for Weight-Loss Drugs
Eli Lilly has significantly raised its full-year profit and revenue forecasts, driven by strong demand for its popular weight-loss drugs, Zepbound and Mounjaro. The company’s third-quarter earnings exceeded expectations, leading to a 7% surge in its share price during pre-market trading.
Eli Lilly’s Impressive Performance
Eli Lilly’s growth comes amidst optimistic projections for its GLP-1 drug portfolio, even as concerns about impending U.S. price negotiations loom. The weight-loss drug market, where Lilly competes closely with Novo Nordisk, is projected to reach $150 billion by the end of the decade. CEO Dave Ricks attributed the company’s robust performance to sustained demand for its incretin drugs.
Sales and Earnings Highlights
- Zepbound Sales: Zepbound recorded $3.6 billion in sales for the recent quarter, surpassing analyst expectations of $3.23 billion.
- Market Position: Despite being launched later than Novo Nordisk’s Wegovy, Zepbound has gained widespread popularity and prescription volume.
- Earnings Per Share: Eli Lilly reported an adjusted earnings per share of $7.02, significantly higher than the analyst average estimate of $5.69.
Future Projections
The company now anticipates an adjusted profit of $23.00 to $23.70 per share for the year, a notable increase from its prior range of $21.75 to $23.00. Analysts had predicted a profit of $22.18 per share for 2025.
In summary, Eli Lilly’s upbeat earnings report showcases its strong demand for weight-loss drugs, signalling a positive outlook for the company in an increasingly competitive market.
