Eli Lilly’s revenue for the full year 2024 reached $45 billion, a 32% increase from 2023, but fell short of its October estimate. The company reported weaker-than-expected sales for its GLP-1 diabetes and obesity treatments, Mounjaro and Zepbound.
In Q4, Zepbound’s sales came in at $1.9 billion, below analyst expectations, while Mounjaro generated $3.5 billion. CEO David Ricks attributed the slowdown to slower-than-expected market growth for GLP-1 drugs. As a result, Lilly shares plummeted 8% in morning trading, wiping out tens of billions of dollars from its valuation.
Despite underperforming in Q4, Eli Lilly remains well-positioned to dominate the market for “incretin” drugs, which treat diabetes, obesity, and metabolic disease. Zepbound previously beat a rival drug in a head-to-head trial, but supply chain issues have hindered its success.
Lilly forecasts 32% revenue growth for 2025, with sales reaching $58-61 billion. CEO Ricks assured investors that the company will boost manufacturing capacity and increase production of GLP-1 treatments by 60%. Analysts like David Risinger expect better results in 2025, citing pipeline drugs, including a follow-up oral GLP-1 for obesity.
Source: https://www.biopharmadive.com/news/eli-lilly-zepbound-sales-obesity-2024-guidance-jpm/737282