Eli Lilly shares jump as blowout earnings, obesity drug demand fuel profit upgrade

Shares of Eli Lilly rose nearly 4% in premarket trading on Thursday after the pharmaceutical company reported third-quarter earnings that exceeded expectations and lifted its annual profit forecast.

The company posted adjusted earnings of $7.02 per share for the quarter, well ahead of analysts’ consensus estimate of $5.89.

Revenue came in at $17.6 billion, up 54% from the same period a year earlier and above Wall Street’s forecast of $16.1 billion.

The company now expects 2025 revenue to range between $63 billion and $63.5 billion, up from a prior forecast of $60 billion to $62 billion.

Adjusted annual profit is now expected to fall between $23 and $23.7 per share, compared with an earlier range of $21.75 to $23 per share.

“Lilly delivered another strong quarter, with 54% revenue growth year-over-year driven by continued demand for our incretin portfolio,” Chief Executive David A. Ricks said in a statement.

Revenue from Mounjaro, Eli Lilly’s Type 2 diabetes drug, reached $6.5 billion, easily topping analysts’ estimates of $5.4 billion.

Zepbound, its GLP-1 weight-loss injection, generated $3.6 billion in revenue, up 184% from a year earlier and broadly in line with projections.

Significant revenue growth seen both within the US and outside

Revenue in the US rose 45% to $11.3 billion, driven by a 60% increase in volume.

Revenue outside the US surged 74% to $6.3 billion, aided by a favorable currency impact and strong Mounjaro sales.

International results also included a $200 million milestone payment related to Jardiance and $180 million from the divestiture of Cialis rights in certain markets.

Ricks added that the company was expanding manufacturing capacity in the US and Puerto Rico to meet surging demand.

The company said its forecast reflects current US tariffs under President Donald Trump but excludes potential new levies on imported pharmaceuticals.

Weight-loss portfolio drives market leadership

Eli Lilly’s rapid growth has been anchored in the runaway success of its weight-loss and diabetes treatments.

Mounjaro and Zepbound have helped the company seize the majority market share in the GLP-1 category, outpacing rivals such as Novo Nordisk.

The company is now preparing to expand its obesity portfolio with orforglipron, an experimental oral weight-loss drug that analysts believe could attract even more patients reluctant to use injections.

“We advanced orforglipron through four additional Phase 3 trials, enabling global obesity submissions by year-end,” Ricks said.

In a move to expand access, Eli Lilly this week partnered with Walmart to offer discounted in-store pickup for cash-paying Zepbound patients.

AI partnership and global expansion plans

Beyond obesity treatments, Eli Lilly is investing in innovation and capacity expansion.

Earlier this week, the company announced a partnership with Nvidia to build an AI supercomputer to accelerate drug discovery and development.

It also unveiled plans for new manufacturing sites in Virginia and Texas, alongside a major expansion in Puerto Rico.

Despite rising competition, Eli Lilly’s leadership in the weight-loss segment remains solid.

Novo Nordisk on Thursday launched a rival bid for US obesity biotech Metsera, underscoring the intensifying race in the sector.

With a robust product pipeline, strategic partnerships, and expanding production capabilities, Eli Lilly appears well-positioned to sustain growth momentum into 2026.

Investors will now watch whether orforglipron’s launch can further cement the company’s dominance in the fast-growing obesity market.