Eli Lilly reported second-quarter revenue of $22.97bn, an increase of about 48 per cent on the same period last year, and raised its full-year guidance, sending its shares up as much as 7 per cent.
Adjusted earnings came in at $8.38 a share against a consensus estimate of about $6.01, an overshoot of $2.37. Analysts had expected revenue of roughly $20.7bn.
What drove the quarter?
Demand for the company’s GLP-1 therapies accounted for most of the increase. Sales of Mounjaro rose 91 per cent year on year, while United States revenue from Zepbound increased 44 per cent.
The two products treat type 2 diabetes and obesity respectively and share the same active ingredient, tirzepatide.
| Measure | Q2 2026 | Consensus |
|---|---|---|
| Revenue | $22.97bn | $20.69bn |
| Adjusted EPS | $8.38 | $6.01 |
| Revenue growth | +47.7% | — |
| FY2026 guidance | $85bn-$87bn | Raised |
What did Eli Lilly report in Q2 2026?
Eli Lilly reported second-quarter 2026 revenue of $22.97bn, a year-on-year increase of 47.7 per cent, and adjusted earnings of $8.38 a share. Both figures exceeded analyst expectations, which stood at approximately $20.69bn in revenue and $6.01 a share. The results were driven principally by demand for the company’s GLP-1 medicines, with Mounjaro sales rising 91 per cent year on year and United States revenue from Zepbound up 44 per cent. Eli Lilly raised its full-year 2026 revenue guidance to a range of $85bn to $87bn, above prior consensus. Shares rose between 5 and 7 per cent following the announcement, contributing to record closing highs for the Dow Jones Industrial Average and the S&P 500.
How does it compare with earlier quarters?
The company reported first-quarter revenue of $19.8bn, up 56 per cent year on year, with volume growth of 65 per cent partly offset by a 13 per cent decline from lower realised prices. That pattern of rising volumes against falling prices has held across recent quarters.
Revenue outside the United States grew faster than domestic sales in the first quarter, rising 81 per cent against 43 per cent, though from a smaller base.
What does it mean for the sector?
FactSet data puts the expected second-quarter earnings growth rate for the S&P 500 at 47.5 per cent, well above the five-year average of 16.4 per cent.
Lilly’s result was among the largest single contributors to that figure. The scale of the guidance increase also signals the company does not expect pricing pressure on obesity drugs to compress margins within this financial year.
What is the competitive picture?
The obesity drug market has become the most contested area in pharmaceuticals, with Lilly and Novo Nordisk holding the bulk of supply. Both have expanded manufacturing capacity repeatedly to meet demand that has consistently outrun forecasts.
Falling realised prices reflect that competition as well as rebates negotiated with insurers and health systems. Lilly has offset the effect so far through volume, but the gap between volume growth and revenue growth has widened across recent quarters.
The company reported the quarter alongside a broad run of corporate results that lifted United States equity indices to record closes.
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Sources for this report
The Redline News Desk
The Redline News desk files and edits world reporting. Every story carries the sources it was built from, and corrections are published on the story itself.
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