Lilly Biotechnology Center on display in San Diego, California, USA on March 1, 2023.
Mike Black | Reuters
Eli Lilly and Company On Wednesday, the company missed third-quarter profit and revenue estimates and slashed its full-year adjusted profit guidance, sending its shares down about 10%.
Sales of the pharma giant’s blockbuster weight loss drug Zepbound and diabetes treatment Mounjaro were lower than expected, which the company attributed to inventory drawdowns in its wholesale pipeline.
The drugmaker now expects full-year adjusted earnings per share of $13.02 to $13.52, down from previous guidance of $16.10 to $16.60 per share. Eli Lilly said $2.8 billion in acquisition-related charges recorded in the third quarter weakened its results.
Eli Lilly also lowered the upper limit of its revenue forecast for this year, now expecting sales to be between $45.4 billion and $46 billion. The company’s previous guidance called for revenue of up to $46.6 billion.
What’s this During the reporting period, Eli Lilly and Company The data as of Sept. 30 compared with Wall Street expectations, according to an LSEG survey of analysts:
- Earnings per share: Adjusted $1.18, expected $1.47
- income: US$11.44 billion, expected US$12.11 billion
The company’s third-quarter net income was $970.3 million, or $1.07 per share, compared with a net loss of $57.4 million, or 6 cents per share, in the third quarter of 2023.
Excluding one-time items related to the value of intangible assets and other adjustments, Lilly earned $1.18 per share in the most recent quarter.
The company reported third-quarter revenue of $11.44 billion, a 20% increase from the same period last year.
Last year, demand for incretin drugs such as Eli Lilly and Co.’s Zepbound and Mounjaro far exceeded supply in the United States. Both treatments mimic certain gut hormones to suppress people’s appetite and regulate blood sugar.
The popularity of these injectable drugs has forced Eli Lilly and its main rival Novo Nordisk to invest billions of dollars in increasing production capacity for the treatments.
Eli Lilly’s supply woes began to ease earlier this year. As of Wednesday, the U.S. Food and Drug Administration Drug database says all doses of Zepbound and Mounjaro are now available in the United States after a long shortage. Still, the agency warned that patients may not always be able to immediately purchase prescriptions for these drugs at specific pharmacies.
This story is developing. Please check back for updates.
