Earnings Miss For Eli Lilly, But Guidance For The Full Year Is Raised

(CTN News) – Eli Lilly missed expectations when reporting first-quarter earnings. However, the company raised its full-year guidance.

This is in addition to the positive data the company reported on its weight loss drug tirzepatide just prior to the earnings release.

During the pre-market hours, Eli Lilly shares rose more than 3%.

Due to a reduction in sales of its Covid-19 antibodies by $1.5 billion, the company’s revenue dropped 11% compared to the same quarter last year, as a result of a decline in sales of $1 billion.

A report published by Lilly showed that the company’s revenue for the quarter rose to $6.96 billion, a slight increase over analysts’ expectations, but a decline from $7.81 billion in the same period last year.

There was an adjusted earnings per share of $1.62 for the quarter, which fell short of analyst expectations for $1.73 a share for the period.

Compared with the analysts’ estimates compiled by Refinitiv, here’s how the company did compared with what the company was expected to do:

• The adjusted earnings per share were $1.62, compared to the $1.73 per share expected by the market

• Compared with $6.86 billion expected, revenue came in at $6.96 billion

As of the first quarter of 2022, the company reported a net income of $1.3 billion or $1.49 per share, which is a decrease of 29% compared to the company’s first quarter of 2021, which was $1.5 billion.

Eli Lilly raised its guidance for the year as a result of a large part of the U.S. dollar’s weakness in comparison with other major currencies over the past year.

According to the company, revenues are expected to be between $31.2 billion and $31.7 billion, which is compared to its previous projections of $30.3 billion to $30.8 billion.

As a result, the company has increased its adjusted earnings guidance for the year to $8.65 to $8.85 per share, up from $8.35 to $8.55 per share previously.

The results of Lilly’s weight loss drug tirzepatide were also released Thursday morning before the company’s earnings release.

On average, patients with obesity and type 2 diabetes lost between 30 pounds and 34 pounds according to the dose they took, compared to the placebo group who lost 7 pounds on average.

It is expected that Lilly will finalize its application for approval by the Food and Drug Administration within the next few weeks.

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