TLDR
- Eli Lilly (LLY) stock rose 4% to $1,344 in premarket trading Thursday after a third-quarter beat.
- Adjusted EPS was $7.48 on revenue of $24.4 billion, up 39% from a year ago.
- Mounjaro brought in $10.7 billion and Zepbound added $5.3 billion, both above estimates.
- Full-year revenue guidance rose to $91 billion to $92 billion, up from $85 billion to $87 billion.
- Adjusted EPS guidance was trimmed to $35 to $36 per share because of pipeline spending.
Eli Lilly (LLY) stock rose 4% to $1,344 in premarket trading Thursday after the drugmaker beat third-quarter estimates. It closed Wednesday at $1,288.30.
Adjusted earnings came in at $7.48 per share. FactSet analysts expected $5.68, while Investing.com put the consensus at $5.60.
Revenue climbed 39% to $24.4 billion. Wall Street had forecast between $22.42 billion and $22.58 billion, depending on the source.
By Investing.com’s count, that is an EPS beat of $1.88. Not a small gap for a company this size.
The weight-loss and diabetes drugs did the heavy lifting again. Mounjaro, approved for Type 2 diabetes, brought in $10.7 billion.
Analysts had penciled in $9.95 billion for Mounjaro. It stayed the company’s top seller.
Zepbound, which uses the same active ingredient for chronic weight management, generated $5.3 billion. The estimate was $5.02 billion.
Guidance Moves Higher
Lilly now expects full-year revenue of $91 billion to $92 billion. Its earlier range was $85 billion to $87 billion.
Analysts were looking for about $88.8 billion. The new range sits above that mark.
CEO David Ricks pointed to continued demand for the company’s GLP-1 medications. He also cited “expanded U.S. coverage for obesity care.”
There was one softer spot in the outlook. Lilly trimmed its adjusted earnings forecast to $35 to $36 per share, down from $35.50 to $36.50.
The company blamed third-quarter spending on its drug pipeline and assets in development. The new range still tops the analyst consensus of $34.46.
Stock Run and Analyst Revisions
The stock was already on a run before the report. It is up 12% over the last three months and 53% over the past year.
Analyst estimates were mixed heading in. Lilly saw 4 positive EPS revisions and 13 negative ones over the last 90 days.
Fellow drugmaker Merck (MRK) also reported before the opening bell. Its stock rose 2% in premarket trading.
InvestingPro rates Lilly’s financial health as “great performance.” Regular trading opens later this morning, with Lilly stock at $1,344 in premarket, up 4% from Wednesday’s close.
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