Eli Lilly Reports Strong Earnings, Beating Estimates

Eli Lilly (LLY) released impressive fourth quarter and full-year financial results for 2024, surpassing Wall Street estimates.

Revenue Surge Driven by GLP-1 Sales

Revenue soared by 45% to $13.5 billion in Q4, primarily driven by sales of its GLP-1 drugs:

* Mounjaro (diabetes): $11.5 billion (124% growth)
* Zepbound (weight loss): $4.9 billion

Mounjaro's revenue exceeded revised guidance but fell short of initial estimates.

Full-Year Financial Highlights

For the full year, Lilly posted:

* Revenue: $45 billion, representing a 32% increase
* Net income: $7 billion, a 45% decline due to a non-cash accounting adjustment

Strong Market Position in GLP-1 Space

Lilly remains a market leader in GLP-1s, competing with Novo Nordisk (NVO).

Clinical Trials and Pipeline Expansion

The company is pursuing clinical trials for its GLP-1 drugs in various disease areas, expanding its potential patient population.

* FDA approval for sleep disorder treatment
* Phase 3 trials underway for oral GLP-1 drug Orforglipron, targeting the obesity market

2025 Guidance Upgrade

Lilly revised its 2025 guidance to $58-$61 billion, exceeding Wall Street expectations by $1 billion.

Analyst Insights

Analysts remain bullish on Lilly despite its slight earnings miss in Q4.

* Mizuho's Jared Holz: "Lilly continues to be the preeminent growth story in large-cap pharma."
* JPM's Chris Schott: "We continue to see the company as optimally positioned in the growing incretin market."