Eli Lilly Earnings Show 9% Sales Drop on Covid-19 Treatment Decline
Eli Lilly
LLY -0.46%
& Co. said revenue for the recently ended quarter fell 9% as lower sales of its Covid-19 antibodies and the strong U.S. dollar weighed on growth.
The pharmaceutical company said Thursday that quarterly revenue fell 9% to $7.30 billion, slightly below analyst estimates, according to FactSet. Currency translation, lower realized prices and a drop in demand for some products all dragged on sales. Excluding sales of the company’s Covid-19 antibody treatments, revenue in the quarter rose 5%.
In November, the Food and Drug Administration said bebtelovimab, a Covid-19 antibody treatment from Lilly, was no longer authorized for use because it was unlikely to be effective against certain Omicron offshoots that had become dominant in the U.S.
Shares fell more than 2% to $335.02 in the premarket session.
Also weighing on Lilly’s results was last year’s loss of U.S. patent exclusivity for cancer drug Alimta, which allowed the introduction of competing, lower-cost generic copies. Sales of Alimta fell 46% to $236.6 million while sales of the company’s Covid-19 antibodies fell 96% to $38 million.
The company said key growth products, including its Trulicity diabetes treatment and Verzenio cancer drug, helped prop up sales. Quarterly sales of Trulicity rose 3% to $1.94 billion, while sales of Verzenio doubled to $808 million. Antidiabetic medicine Jardiance posted sales growth of 42%.
For the three months ended Dec. 31, Lilly reported earnings of $1.94 billion, or $2.14 a share, compared with $1.73 billion, or $1.90 a share, in the same period a year earlier. Stripping out one-time items, including amortization and gains on investments, adjusted earnings came to $2.09 a share. Analysts surveyed by FactSet were expecting adjusted earnings of $1.78 a share.
The company also raised its 2023 earnings guidance by a quarter a share to a range of $7.90 to $8.10. Adjusted earnings are expected at $8.35 a share to $8.55 a share, also up a quarter on both ends.
Lilly backed its 2023 sales guidance of $30.3 billion to $30.8 billion.
Write to Will Feuer at [email protected]
Copyright ©2022 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
Eli Lilly
LLY -0.46%
& Co. said revenue for the recently ended quarter fell 9% as lower sales of its Covid-19 antibodies and the strong U.S. dollar weighed on growth.
The pharmaceutical company said Thursday that quarterly revenue fell 9% to $7.30 billion, slightly below analyst estimates, according to FactSet. Currency translation, lower realized prices and a drop in demand for some products all dragged on sales. Excluding sales of the company’s Covid-19 antibody treatments, revenue in the quarter rose 5%.
In November, the Food and Drug Administration said bebtelovimab, a Covid-19 antibody treatment from Lilly, was no longer authorized for use because it was unlikely to be effective against certain Omicron offshoots that had become dominant in the U.S.
Shares fell more than 2% to $335.02 in the premarket session.
Also weighing on Lilly’s results was last year’s loss of U.S. patent exclusivity for cancer drug Alimta, which allowed the introduction of competing, lower-cost generic copies. Sales of Alimta fell 46% to $236.6 million while sales of the company’s Covid-19 antibodies fell 96% to $38 million.
The company said key growth products, including its Trulicity diabetes treatment and Verzenio cancer drug, helped prop up sales. Quarterly sales of Trulicity rose 3% to $1.94 billion, while sales of Verzenio doubled to $808 million. Antidiabetic medicine Jardiance posted sales growth of 42%.
For the three months ended Dec. 31, Lilly reported earnings of $1.94 billion, or $2.14 a share, compared with $1.73 billion, or $1.90 a share, in the same period a year earlier. Stripping out one-time items, including amortization and gains on investments, adjusted earnings came to $2.09 a share. Analysts surveyed by FactSet were expecting adjusted earnings of $1.78 a share.
The company also raised its 2023 earnings guidance by a quarter a share to a range of $7.90 to $8.10. Adjusted earnings are expected at $8.35 a share to $8.55 a share, also up a quarter on both ends.
Lilly backed its 2023 sales guidance of $30.3 billion to $30.8 billion.
Write to Will Feuer at [email protected]
Copyright ©2022 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
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