:max_bytes(150000):strip_icc()/GettyImages-2236004136-0a01548d6bc749d2b1480dd76283ef7c.jpg "Eli Lilly Boosts Its Outlook on High Demand for Popular Weight-Loss Drugs")
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Key Takeaways
- Eli Lilly hiked its outlook as sales soared for its popular weight-loss drugs Zepbound and Mounjaro.
- The company also recently announced a partnership with Walmart that will expand access to Zepbound.
Strong sales of Eli Lilly’s weight-loss treatments Mounjaro and Zepbound helped power strong quarterly earnings, and the drugmaker boosted its outlook.
The Indianapolis-based firm reported adjusted earnings of $7.02 per share on revenue that soared 54% year-over-year to $17.60 billion for the third quarter. Analysts surveyed by Visible Alpha had expected $5.91 and $16.06 billion, respectively.
Mounjaro sales more than doubled to $6.52 billion, topping projections of $5.41 billion. Sales of Zepbound nearly tripled to $3.59 billion, while analysts had estimated $3.37 billion.
Why This News Matters
Eli Lilly’s results reflect the booming demand for weight-loss drugs. With new distribution deals and soaring sales of its treatments, Lilly is staking its position in a growing market expected to be worth tens of billions of dollars in years to come.
As a result, Lilly raised its full-year revenue guidance to a range of $63 billion to $63.5 billion from the prior $60 billion to $62 billion, and its adjusted EPS outlook to $23 to $23.70 from $21.75 to $23.
Also this week, the company announced plans to partner with Walmart to sell Zepbound directly to patients. The drug will be available for pickup at Walmart pharmacies by the middle of next month, Eli Lilly said.
Eli Lilly shares climbed 2% in recent trading. They entered Thursday up about 5% year-to-date, trailing the benchmark S&P 500’s 17% advance.
