LLY · 10-Q · 2026Q3

ELI LILLY & Co

Filed 2026-10-29 · Healthcare · View original filing on EDGAR

Ranked Events

• Acquired IPR&D ChargesImportance 83 · Surprise 82
  Acquired in-process research and development charges totaled $4.181 billion in the third quarter of 2026 and $7.541 billion for the first nine months, compared with $2.381 billion for the first nine months of 2025. The…
• Market Demand TrendsImportance 69 · Surprise 64
  Mounjaro revenue increased 41% in the U.S. and 93% outside the U.S. in the third quarter of 2026, with strong U.S. demand and international volume growth. Zepbound revenue increased 48% in the U.S., primarily on strong…
• Incretin Revenue ConcentrationImportance 68 · Surprise 24
  Mounjaro, Zepbound, and Foundayo together generated 66% of Lilly's total revenue for the nine months ended September 30, 2026. The three medicines therefore represented more than two-thirds of revenue during that…
• Revenue Performance and MixImportance 68 · Surprise 56
  Revenue was $24.397 billion in the third quarter of 2026, up approximately 39% from $17.601 billion, and $67.170 billion for the first nine months, up approximately 46% from $45.887 billion. Third-quarter U.S. revenue…
• Acquisition / Partnership / DivestitureImportance 64 · Surprise 42
  Lilly paid $18.2 billion for business development activity during the first nine months of 2026, primarily for Centessa, Kelonia, AtaiBeckley, Orna, Ventyx, Curevo, and Ajax. In October 2026, the company acquired…
• Gross Margin DriversImportance 64 · Surprise 56
  Gross margin increased to $20.464 billion in the third quarter of 2026 from $14.593 billion a year earlier, and to $56.392 billion for the first nine months from $38.207 billion. Gross margin as a percentage of revenue…
• Geographic Market Commentary - China & InternationalImportance 63 · Surprise 64
  Outside the U.S., Mounjaro revenue increased 93% in the third quarter and 153% over the first nine months of 2026, primarily from volume growth. Lower realized prices partly offset that growth, driven primarily by…
• Liquidity and Cash PositionImportance 60 · Surprise 40
  Cash and cash equivalents were $4.9 billion at September 30, 2026, down from $7.3 billion at December 31, 2025; total investments increased to $4.1 billion from $2.9 billion. Total debt was $49.5 billion at September…
• Operating Expense Trends - R&DImportance 59 · Surprise 48
  Research and development expense was $4.247 billion in the third quarter of 2026, up 23% year over year, and $11.576 billion for the first nine months, up 21%. Lilly attributed the increases to continued investment in…
• Income Tax Rate ChangesImportance 56 · Surprise 46
  The effective tax rate was 23.3% in the third quarter of 2026, compared with 22.8% in the third quarter of 2025, and 21.0% for the first nine months of 2026, compared with 19.8% in 2025. Income tax expense rose to…
• Operating Expense Trends - SG&AImportance 48 · Surprise 40
  Marketing, selling, and administrative expense was $3.125 billion in the third quarter of 2026, up 14% year over year, and $9.489 billion for the first nine months, up 19%. The nine-month increase was $1.526 billion…
• Manufacturing CapacityImportance 40 · Surprise 42
  Lilly has undertaken significant manufacturing expansion initiatives to support anticipated demand for current and prospective products. Additional capacity is expected to become operational over the next several…
• Capital Return ProgramImportance 37 · Surprise 6
  Lilly repurchased $4.3 billion of shares during the first nine months of 2026 under its $15.0 billion share repurchase authorization approved in December 2024. At September 30, 2026, $6.6 billion remained under the…
• Medicare GLP-1 Bridge ProgramImportance 34 · Surprise 42
  Under the Medicare GLP-1 Bridge program, Medicare beneficiaries gained access to discounted Lilly obesity medicines from July 1, 2026 through December 31, 2027. Individual state Medicaid programs may separately choose…
• Product Launch - FoundayoImportance 34 · Surprise 42
  Lilly launched Foundayo (orforglipron) in the U.S. in the second quarter of 2026 for obesity treatment and submitted it to the FDA for type 2 diabetes. Internationally, the company has submitted or launched…
• Guidance and OutlookImportance 32 · Surprise 24
  Lilly expects near-term financial performance to be affected by the timing of potential additional regulatory approvals for orforglipron and by demand and uptake in new incretin channels and markets. It specifically…
• Inflation Reduction Act ImpactImportance 32 · Surprise 24
  The Inflation Reduction Act of 2022 requires HHS to effectively set prices for certain single-source drugs and biologics reimbursed under Medicare Part B and Part D. Government prices generally begin nine years after…
• FDA Compounding RestrictionsImportance 26 · Surprise 24
  Lilly says production, marketing, and sale of counterfeit, misbranded, adulterated, and mass-compounded incretins continue, creating patient-safety concerns and potentially undermining the drug-approval process. The…
• Supply Chain Tariff ImpactImportance 26 · Surprise 24
  The U.S. and other countries have imposed or aligned on tariffs, some of which are paused but could take effect quickly and unpredictably. Lilly and pharmaceuticals are exempt from certain tariffs, but the exemptions…

Revenue by Product (in millions)

Revenue by Geography (in millions)