U.S. pharmaceutical giant Eli Lilly (LLY) has reported mixed fourth-quarter 2024 financial results even as the company’s net income doubled and its revenue grew 45% from a year earlier.
Driven by sales of its blockbuster drugs Zepbound and Mounjaro, Eli Lilly announced earnings per share (EPS) of $5.32 U.S., which surpassed the $4.95 U.S. expected on Wall Street.
However, revenue of $13.53 billion U.S. came in slightly below the $13.57 billion U.S. consensus forecast of analysts. Still, sales were up 45% from the same period a year ago.
Additionally, Eli Lilly reported net income of $4.41 billion U.S., or $4.88 U.S. per share, which was double the profit of $2.19 billion U.S., or $2.42 U.S. a share, booked a year earlier.
The results were consistent with preliminary results Eli Lilly shared in January of this year.
Mounjaro for diabetes, posted $3.53 billion U.S. of revenue in the fourth quarter, up 60% from a year earlier. However, analysts expected the drug to book $3.62 billion U.S. in sales.
Zepbound, which is used for weight loss, posted sales of $1.91 billion U.S. in the fourth quarter, which was also below the $1.98 billion U.S. that analysts expected.
Eli Lilly blamed lower realized prices for the sales misses, saying it used rebates and discounts to promote the two medications.
Zepbound and Mounjaro have now underperformed expectations for two straight quarters. In the third quarter of last year, Eli Lilly blamed the miss on inventory decreases with wholesalers.
But demand in the U.S. still outpaces the available supply for the drugs, says Eli Lilly.
Looking ahead, the pharmaceutical company said that it expects a profit of $22.05 U.S. to $23.55 U.S. per share this year, which is in line with Wall Street’s expectations.
Eli Lilly also reiterated its 2025 sales guidance of $58 billion U.S. to $61 billion U.S.
The company also said that it plans to report late-stage trial data on its next-generation obesity drug called “Retatrutide” later this year, a few months earlier than anticipated.
The stock of Eli Lilly was flat in premarket trading on news of its latest financial results. The company’s share price has gained 20% over the last 12 months to trade at $842.18 U.S. per share.
