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Mar 31

Eli Lilly Q1 2025 Earnings Report

Lilly reported strong Q1 2025 results with double-digit revenue and EPS growth driven by Mounjaro and Zepbound.

Key Takeaways

Eli Lilly delivered a robust performance in Q1 2025, with 45% revenue growth propelled by Mounjaro and Zepbound sales. Both GAAP and non-GAAP earnings rose over 20%, and the company reaffirmed its full-year guidance despite elevated R&D costs.

Revenue rose 45% YoY to $12.73 billion, driven by strong volume growth from Mounjaro and Zepbound.

GAAP EPS was $3.06, up 23%; non-GAAP EPS was $3.34, up 29%.

Net income reached $2.76 billion on a reported basis.

Positive Phase 3 results for oral GLP-1 orforglipron boosted pipeline momentum.

Total Revenue
$12.7B
Previous year: $8.77B
+45.2%
EPS
$3.34
Previous year: $2.58
+29.5%
Volume impact on revenue
53%
Price impact on revenue
-6%
Gross margin
82.5%
Gross Profit
$10.5B
Previous year: $7.09B
+48.2%
Free Cash Flow
$156M

Eli Lilly

Eli Lilly

Eli Lilly Revenue by Segment

Eli Lilly Revenue by Geographic Location

Forward Guidance

Lilly reaffirmed 2025 revenue guidance between $58.0B and $61.0B but adjusted EPS guidance downward due to Q1 IPR&D charges.

Positive Outlook

  • Revenue guidance maintained at $58.0B to $61.0B.
  • Performance margin guidance unchanged.
  • Strong momentum from Mounjaro and Zepbound expected to continue.
  • Multiple pipeline advancements including orforglipron Phase 3 success.
  • Manufacturing investments to support increased product demand.

Challenges Ahead

  • EPS guidance lowered due to $1.57B in acquired IPR&D charges.
  • Higher tax rate forecasted at 17%, up from 16%.
  • Expense pressure from increased R&D and marketing investments.
  • Net losses on equity investments affecting reported results.
  • Unfavorable pricing trends continue to impact revenue.

Revenue & Expenses

Visualization of income flow from segment revenue to net income