Eli Lilly Beats Wall Street by $1.7 Billion, and Mounjaro and Zepbound Are Still Doing All the Work
The drugmaker raised its full-year revenue guidance for the third time this year, even as a new obesity pill landed short of estimates.
Eli Lilly posted third-quarter revenue of $24.4 billion, beating Wall Street's $22.7 billion estimate by roughly 8%. Mounjaro brought in $10.7 billion and Zepbound added $5.4 billion, both ahead of analyst forecasts, and the company now claims 63% of the US market and 58% of the overseas market for incretin-modulating drugs. Shares rose as much as 9% on the news.
Lilly raised its full-year revenue guidance to $91 billion to $92 billion, up from $85 billion to $87 billion just one quarter ago and $80 billion to $83 billion at the start of the year. Not everything beat expectations: the company's newer obesity pill, Foundayo, brought in $184 million, about $44 million below analyst estimates, and the psoriasis drug Taltz also came in under consensus.
The bigger story is what the quarter did for investor nerves. Worries about Medicare's new "Bridge" program and about pricing pressure on GLP-1 drugs had been building for months; RBC analyst Trung Huynh credited "strong execution across the GLP-1 franchise" with more than offsetting those concerns. For a company whose entire growth story now runs through two drugs, that execution is not optional, and Lilly knows it.
Source: BioPharma Dive
Kyle Duford, Founder & Editor, BRNDWIRE. More from Kyle →
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