Eli Lilly and Company recently reported its fourth-quarter financial results, showcasing a notable surge in revenue. The pharmaceutical giant recorded $13.53 billion in revenue for the quarter, marking a 45% increase from the same period last year. Excluding one-time items, the company achieved earnings of $5.32 per share, surpassing Wall Street's expectations. Despite impressive sales of its weight loss and diabetes drugs, Eli Lilly faced challenges with lower realized prices and supply constraints.
Eli Lilly's blockbuster incretin drugs, such as Zepbound and Mounjaro, saw significant demand in the U.S., with sales soaring during the fourth quarter. However, the demand far outpaced supply, impacting the company's pricing power. Consequently, Eli Lilly experienced lower realized prices for these popular medications. The company's net income for the quarter stood at $4.41 billion, translating to $4.88 per share.
While Eli Lilly's fourth-quarter results aligned with preliminary figures shared in January, they failed to meet investor expectations. The company had previously slashed its 2024 revenue guidance due to lower demand forecasts for its weight loss and diabetes drugs, despite anticipating strong demand. This adjustment contributed to investor disappointment earlier in the year.
Looking ahead, Eli Lilly reaffirmed its fiscal 2025 profit guidance, projecting earnings of $22.05 to $23.55 per share. This forecast is consistent with analyst predictions and reflects the company's confidence in its future performance. Additionally, Eli Lilly maintained its fiscal 2025 sales guidance of $58 billion to $61 billion.