Eli Lilly (LLY) earnings Q4 2025

Eli Lilly On Wednesday, it announced fourth-quarter earnings and revenue that beat 2026 forecasts, as demand for its blockbuster weight-loss drug Zepbound and diabetes treatment Mounjaro surged.

The pharmaceutical giant estimates 2026 revenue will be between $80 billion and $83 billion. Analysts expected revenue of $77.62 billion, according to LSEG.

Lilly also expected adjusted earnings for this year to be between $33.50 and $35 per share. That compares with analysts’ estimates of $33.23 per share, according to LSEG.

The strong outlook comes just days after Lilly CEO Dave Ricks told CNBC in an exclusive interview that the government expects Medicare coverage of obesity treatments to expand the U.S. market for these drugs this year and that it’s a “huge multiplier in the eligible patient pool.”

Lilly’s guidance stands in stark contrast to the outlook for rival Novo Nordisk, which has struggled with low prices in the U.S. following both companies’ landmark deals with President Donald Trump to lower obesity and diabetes drug costs. Novo, unlike Lilly, warned on Tuesday that it expected sales and profits to decline this year as prices fell in the U.S. and the end of exclusivity for its blockbuster obesity and diabetes drugs in China, Brazil and Canada.

Novo sees its new Wegovy pill for obesity get a big launch in the US, while Lilly looks to maintain its dominance in the emerging market for these drugs, called GLP-1. Lilly hopes to win approval for its own oral weight-loss drug, or forglipron, by the end of this year.

Mounjaro generated $7.41 billion in revenue this quarter, an increase of 110% compared to the same period of the previous year. US sales of Mounjaro rose 57% to $4.1 billion as demand increased but prices proved lower. These numbers exceeded what analysts expected for the quarter, according to StreetAccount.

Zepbound, which entered the market nearly three years ago, generated $4.2 billion in U.S. revenue in the fourth quarter. This was a 122% increase compared to the same period the previous year; because while the demand for the drug increased, the realized prices also decreased. Analysts expected Zepbound to make sales of $3.91 billion in the U.S., according to StreetAccount.

Here’s what the company reported for the fourth quarter compared to Wall Street’s expectations, based on a survey of analysts by LSEG:

• Earnings per share: $7.54 adjusted, expected $6.67
• Revenues: 19.29 billion dollars, while the expectation was 17.96 billion dollars

Eli Lilly shares rose more than 7% in premarket trading.

The company’s fourth-quarter revenue was $19.29 billion, an increase of 43% compared to the same period a year ago.

In the US, revenue rose to $12.9 billion. Eli Lilly said this was due to a 50% increase in volume (or number of prescriptions or units sold) for its products, primarily Mounjaro and Zepbound. This was partially offset by the realized lower prices of these drugs, the company said.

The pharmaceutical giant had net income of $6.64 billion, or $7.39 per share, in the fourth quarter. This compares with net income of $4.41 billion, or $4.88 per share, a year ago.

Excluding one-time items related to the value of intangible assets and other adjustments, Eli Lilly reported fourth-quarter earnings of $7.54 per share.

Novo and Lilly’s deals with Trump are expected to eventually increase prescription numbers but ultimately hurt overall sales.

Under the agreements, Lilly and Novo agreed to lower prices for those treatments for Medicare and Medicaid beneficiaries in 2026 and offer them directly to consumers at a discount on TrumpRx, the Trump administration’s yet-to-launch direct-to-consumer platform.

In return, both companies will be given a three-year tariff exemption.

In an interview with CNBC on Friday, Lilly’s Ricks acknowledged there will be a “reduction in prices” early this year under the drug pricing agreement. But he said volume growth for the company’s drugs “will pick up in the back half of the year.”