Eli Lilly and Company released its latest 10-Q, reporting significant increases in revenue and net income for the three months ended March 31, 2025. Revenue surged to $12,728.5 million, marking a 45% increase from the same period in 2024, while net income reached $2,759.3 million, a 23% rise from the previous year. Earnings per share also saw a 23% increase, reaching $3.06.
The company attributed the revenue growth to increased volume, although this was partially offset by lower realized prices and the unfavorable impact of foreign exchange rates. The primary drivers of the revenue increase were the pharmaceuticals Mounjaro and Zepbound.
In terms of the clinical development pipeline, there were notable updates on various compounds. For example, in 2025, Eli Lilly withdrew its U.S. application for tirzepatide for heart failure with preserved ejection fraction. However, positive results were announced for oral GLP-1, orforglipron, in the Phase 3 ACHIEVE-1 trial for type 2 diabetes. Additionally, several compounds received regulatory approvals or faced regulatory challenges in different regions.
The report also highlighted the impact of various trends affecting pharmaceutical pricing, reimbursement, and access, as well as other regulatory developments. These factors include global concerns over access to and affordability of pharmaceutical products, cost containment efforts, and regulatory issues concerning compliance with Good Manufacturing Practices.
Furthermore, the 10-Q discussed the impact of tax matters, acquisitions, and foreign currency exchange rates on the company's operations. The company noted that changes in tax laws and increased scrutiny by tax authorities could have a material adverse impact on its future consolidated results of operations and cash flows.
The breakdown of revenue by region revealed that the U.S. generated $8,489.4 million in revenue, representing a 49% increase from the previous year, while revenue from outside the U.S. amounted to $4,239.1 million, marking a 38% increase.
The company's revenue by product showed significant growth, with Mounjaro, Zepbound, and Verzenio contributing substantially to the overall revenue increase.
As a result of these announcements, the company's shares have moved -10.4% on the market, and are now trading at a price of $805.38. For the full picture, make sure to review Eli Lilly and's 10-Q report.
