Biotech and Pharma

Eli Lilly raises 2020 profit forecast after second-quarter profit beats

Key Points
  • Eli Lilly raised its full-year profit forecast after increased demand for its diabetes drug, Trulicity, helped it beat second-quarter profit expectations.
  • The company raised its 2020 adjusted earnings forecast to between $7.20 and $7.40 per share, from its prior range of $6.70 to $6.90 per share.
A box of the drug trulicity, made by Eli Lilly Pharmaceutical, sits on a counter at a pharmacy in Provo, Utah, January 9, 2020.
George Frey | Reuters

Eli Lilly raised its full-year profit forecast on Thursday after increased demand for its diabetes drug, Trulicity, helped it beat second-quarter profit expectations.

The company raised its 2020 adjusted earnings forecast to between $7.20 and $7.40 per share, from its prior range of $6.70 to $6.90 per share.

Lilly reported results during a busy week of earnings for drugmakers, and rivals such as Pfizer said sales of some of its treatments were hit as hospitals focus on treating Covid-19 patients.

Eli Lilly said it saw a $250 million hit to second-quarter sales from a delay in patients starting new therapies, and an additional $250 million from decreased buying that offset the gain from an initial stockpiling by customers in the first quarter.

On an adjusted basis, Lilly earned $1.89 per share, beating estimates of $1.56 per share, according to IBES data from Refinitiv.

Revenue fell 2.4% to $5.50 billion.

Trulicity sales of $1.23 billion beat analysts' estimates of $1.21 billion, according to five analysts polled by Refinitiv.