LLY · 10-Q · 2026Q1 · Full report
U.S. GLP-1 Bridge Program
ELI LILLY & Co · 2026-04-30 · Importance 65 · Surprise 60 · In source text
In Q1 2026 Lilly finalized voluntary agreements with the U.S. government that include lowering Medicaid and certain other drug prices for U.S. patients and launch commitments with a more balanced pricing approach across developed nations. Under the Medicare GLP-1 Bridge Program, Medicare beneficiaries will have access to discounted Lilly obesity medicines from July 1, 2026 through December 31, 2027, and individual state Medicaid programs may expand access. Lilly states it is engaging with CMS on long-term Medicare access for obesity medicines, but uptake from the expanded access is unknown. This arrangement directly affects Lilly’s incretin franchise (Mounjaro, Zepbound, Foundayo), which together represented ~65% of total revenue for the three months ended March 31, 2026, making the program material to near-term demand and pricing dynamics.
Key facts
- Under the Medicare GLP-1 Bridge program, Medicare beneficiaries will have access to discounted Lilly obesity medicines by July 1, 2026 through December 31, 2027, and individual state Medicaid programs will have the option to expand access to these medicines. source
- We expect near-term financial performance will be impacted by the timing of additional potential regulatory approvals for orforglipron, as well as the demand and pace of uptake in new incretin channels and markets, including in U.S. Medicare for Zepbound and Foundayo. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| revenue | unclear | committed | — | Under the Medicare GLP-1 Bridge program, Medicare beneficiaries will have access to discounted Lilly obesity medicines by July 1, 2026… |
| revenue | unclear | contingent | — | We expect near-term financial performance will be impacted by the timing of additional potential regulatory approvals for orforglipron, as… |