Eli Lilly hikes sales outlook, as CEO says there’s room for ‘dramatic’ obesity market expansion

Eli Lilly on Thursday reported third-quarter earnings and revenue that blew past estimates and hiked its full-year sales outlook, as demand for its blockbuster weight loss drug Zepbound and diabetes treatment Mounjaro soared again. 

Despite that strength, sales of its new GLP-1 obesity pill Foundayo, which launched in the U.S. in April, were under Wall Street’s expectations for the quarter.

The pharmaceutical giant now expects 2026 revenue to come in between $91 billion and $92 billion, up from a previous guidance of $85 billion to $87 billion. 

Lilly projects its full-year adjusted earnings will be between $35 and $36 per share, which compares with a previous outlook of $35.50 to $36.50 per share. The company said it raised the underlying profit guidance by $4.07 per share at the midpoint, but noted that it is offset by $4.57 per share in charges tied to deals in the quarter.

The company’s shares rose about 9% on Thursday.

Lilly’s massive diabetes and obesity windfall – and market share lead over chief rival Novo – shows no signs of slowing down, even as the company grapples with lower net prices in the U.S. The pharma giant is converting its massive profits into a dealmaking spree, most recently striking an agreement to buy Merida Biosciences to develop a new class of treatments for serious autoimmune and allergic diseases.