Shares of Eli Lilly (NYSE: LLY) fell sharply on Thursday, dropping more than 11% in regular trading after the company lowered its full-year 2025 profit outlook. The revised guidance overshadowed stronger-than-expected first-quarter results.
The pharmaceutical giant reported adjusted earnings per share of $3.34, topping analyst estimates of $3.25. Revenue jumped 45% year-over-year to $12.73 billion, also beating the $12.62 billion consensus, according to Visible Alpha.
The company’s strong revenue growth was primarily driven by its key diabetes and obesity drugs, Mounjaro and Zepbound. Mounjaro generated $3.84 billion in sales, more than double from a year ago and above the $3.76 billion estimate. Zepbound brought in $2.31 billion, up significantly from $517.4 million last year, but slightly below the $2.33 billion forecast.
Despite the strong earnings report, Eli Lilly has lowered its full-year profit guidance. The company expects 2025 EPS to range between $20.17 and $21.67, down from its prior guidance of $22.05 to $23.55. Adjusted EPS is now projected to range between $20.78 and $22.28, a reduction from the previous outlook of $22.50 to $24.00.
The drugmaker attributed the downward revision to “net losses on investments in equity securities” and acquired in-process research and development (IPR&D) charges, which totaled approximately $1.57 billion in the first quarter.
At the latest check, Eli Lilly (NYSE: LLY) shares were trading at $794.10, marking an 11.66% decline for the day. However, the stock remains up 2.86% year-to-date and has gained 7.72% over the past 12 months.
Salman Akhtar is a finance, stocks, and technology journalist with years of experience across various news organizations. He has contributed his expertise to outlets such as 24NewsHD, TrimFeed, The Voice Pakistan, and TheTechBasic. Salman is passionate about making complex topics accessible to a broad audience. His dedication to delivering accurate and timely information has established him as a trusted voice in the industry. Read Full Bio
