#United States #Indianapolis #Zepbound #Eli Lilly #Mounjaro

Eli Lilly's Q4 2024 Financial Results

Eli Lilly and Company has made headlines with its financial results for Q4 2024, showcasing a staggering 45% increase in revenue, reaching $13.53 billion. This remarkable growth is primarily driven by the rising volumes of their high-demand products, namely Mounjaro and Zepbound. The report details significant gains in non-incretin revenue, which surged by 20% compared to the same quarter in the previous year.

Key Highlights of Q4 2024

Lilly's CEO, David A. Ricks, expressed pride in the company’s accomplishments, mentioning crucial data releases related to chronic disease treatments associated with obesity. He noted that the organization is entering 2025 with substantial momentum fueled by major investments in manufacturing capabilities and new product launches, such as Kisunla and Ebglyss. These innovations are poised to cement Lilly's long-term growth trajectory.

Additionally, the company has reported progress in their pipeline, including FDA approvals for Zepbound, the first prescription medication for moderate-to-severe obstructive sleep apnea in adults with obesity, and for Omvoh targeting moderately to severely active Crohn's disease.

Financial Summary

• - Q4 2024 Revenue: $13.53 billion (an increase of 45% from Q4 2023)
• - Net Income (Reported): $4.41 billion, reflecting a 101% increase compared to Q4 2023
• - Earnings Per Share (EPS): Reported EPS climbed to $4.88, a substantial 102% jump
• - Non-GAAP EPS reached $5.32, up 114% compared to the prior year

Lilly's Gross Margin rose to 82.2%, illustrating an increase by 1.3 percentage points due to favorable product mixes, despite lower realized prices impacting some revenue segments. The organization navigated some challenges as the U.S. market saw rising sales volume supported by Zepbound and Mounjaro while experiencing price drops as competitive pressures intensified.

2025 Outlook

Looking ahead, Lilly provided a comprehensive 2025 financial guidance, projecting revenues between $58 billion and $61 billion, with EPS anticipated between $22.05 and $23.55 on a reported basis. The boost in revenue is attributed to the anticipated success of medicines like Mounjaro and Zepbound, alongside potential new market launches.

Lilly plans to further bolster its manufacturing capabilities, with expectations to produce 1.6 times more salable incretin doses in the first half of 2025 compared to the first half of 2024.

Strategic Moves

Recent significant business maneuvers include the announcement of a $15 billion share repurchase program and a 15% dividend increase, marking seven consecutive years of dividend growth. The pending acquisition of Scorpion Therapeutics, focusing on a selective PI3Kα inhibitor program, is also poised to enhance Lilly’s strong market position.

Conclusion

Eli Lilly's Q4 2024 results underscore the company's thriving position in the pharmaceutical landscape, highlighted by significant revenue growth and an optimistic outlook for future performance. As Lilly continues to innovate and expand its product offerings, the company is well-positioned to impact global healthcare positively and sustain its momentum into 2025 and beyond.