Lilly Revenue Surges 39% to $24.4 Billion in Third Quarter
Key Facts
Eli Lilly reported third-quarter 2026 revenue of $24.4 billion, up 39% from the same period in 2025 and above analysts’ estimate of $22.61 billion, according to LSEG data cited by Reuters. Growth came as global demand for the company’s treatments continued, particularly its Mounjaro and Zepbound brands, which use the same active ingredient to treat different conditions. Adjusted earnings per share were $7.48, ahead of expectations of $6.26. The company also reported net income of $6.451 billion and reported earnings per share of $7.22. Lilly, however, lowered its adjusted earnings-per-share guidance range for the year despite raising its full-year revenue outlook.
Mounjaro was the larger sales driver of the two brands, generating $10.723 billion in third-quarter revenue, up 65% year over year. Zepbound posted revenue of $5.352 billion, up 49% from the same quarter in 2025. Mounjaro is marketed to treat type 2 diabetes, while Zepbound is used to treat obesity in markets including the United States. Chief Executive David Ricks said revenue growth was underpinned by broad global demand for the two products. The company also cited the global launch of Foundayo, expanded U.S. coverage for obesity care, and growth in newer products in oncology, immunology and neuroscience.
Lilly’s global sales volume rose 53% during the quarter, while realized prices fell 15%, partially tempering the revenue impact of higher volumes. In the United States, revenue grew 34% to $15.1 billion, driven by a 41% increase in sales volume despite a 7% decline in realized prices. Outside the United States, revenue rose 47% to $9.3 billion as volume increased 76%. Realized prices in those markets fell 29%. Lilly attributed the decline in prices outside the United States mainly to Mounjaro’s inclusion on China’s national reimbursement list.
The quarter included about $900 million in benefits, most of them related to milestone payments, including $410 million from Jardiance sales. The company said no further milestone payments remain. Gross profit rose 40% to $20.5 billion, equal to 83.9% of revenue, up one percentage point from the same quarter a year earlier. At the same time, research and development expenses increased 23% to $4.2 billion, or 17% of revenue. Results included acquired in-process research and development charges of $4.57 per share related to deal activity.
The company lowered its 2026 adjusted earnings-per-share guidance range to $35–36, from its previous range of $35.50–36.50. Lilly said a $4.07 increase at the midpoint in its core adjusted earnings-per-share outlook did not offset acquired in-process research and development charges of $4.57 per share. That led to a lower reported range despite an improved revenue outlook. The divergence reflects the effect of acquisition expenses on reported earnings guidance alongside growth in the business. In the third quarter of 2025, the company reported net income of $5.583 billion and reported earnings per share of $6.21, compared with $6.451 billion and $7.22 per share in the current quarter.
Shares rose more than 6% in afternoon trading on October 29, 2026, after briefly reaching a record $1,408, according to Reuters. EL7 data showed the stock closed at $1,373.70 that day. On expanding access to treatments, Reuters reported that the pilot Medicare weight-loss program, which began in July, brought the company more than 500 thousand new customers. On development, Lilly said Phase 3 trials of EloraTZP will begin in the fourth quarter of 2026. Regulatory developments included U.S. approvals for Mounjaro to reduce heart risks in adults with type 2 diabetes, and for Onswik as a once-weekly basal insulin.