Profit falls at Lilly but meets Wall Street expectations

Back to TopCommentsE-mailPrintBookmark and Share

Profit fell at Eli Lilly and Co. in the third quarter but met Wall Street analysts’ expectations.

The Indianapolis-based drugmaker earned $1.24 billion in the three months ended Sept. 30, down 5 percent from the same quarter a year ago.

Profit per share was $1.11 in the quarter. Excluding severance costs for laid-off workers, Lilly would have earned $1.13 per share, the same number analysts were expecting, according to a survey by Thomson Reuters.

Lilly’s revenue in the quarter surged 9 percent from the third quarter of last year to $6.15 billion. Analysts were expecting revenue of $6.06 billion.

“In the third quarter Lilly continued to drive revenue growth for many key brands, including Cymbalta, Humalog, Forteo and Strattera, with strong growth also seen in animal health, Japan and China. This growth offset the continued erosion of Gemzar sales due to generic competition,” said Lilly CEO John Lechleiter in a prepared statement.

Lilly is three days away from the expiration of its U.S. patent on Zyprexa, its best-selling drug. The $5 billion-a-year antipsychotic therapy also loses patent protection in Europe this month.

In a statement this morning, Lilly said, “the company expects the introduction of generics to result in a rapid and severe decline in Zyprexa sales.”

Lilly is trying desperately to offset those lost sales with rapid growth of its other products. The four Lechleiter cited all saw their sales grow by 20 percent or more in the third quarter compared with the same period a year ago.

Cymbalta led the way, growing sales by 29 percent over last year to $1.1 billion.

Sales at Lilly’s animal health subsidiary, Greenfield-based Elanco, grew 28 percent in the quarter to $451 million.

Sales of the cancer drug Gemzar, which saw its patent expire in November 2010, plummeted 72 percent in the quarter to just $91 million.

Lilly did not raise its full-year profit forecast, but narrowed the range of its expectations. The company expects to earn $3.89 to $3.94 per share for the year, compared with an earlier prediction of $3.85 to $3.95 per share.

Excluding charges for licensing drugs from other companies and laying off workers, Lilly expects to earn $4.30 to $4.35 per share. On that basis, Lilly previously said it would earn $4.25 to $4.35 for the year.


  • Zyprexa issues linger
    PTSD treatment for Veterans found ineffective.
    Eli Lilly Zyprexa Olanzapine.
    The use of powerful antipsychotic drugs has increased in children as young as three years old. Weight gain, increases in triglyceride levels and associated risks for diabetes and cardiovascular disease. The average weight gain (adults) over the 12 week study period was the highest for Zyprexa—17 pounds. You’d be hard pressed to gain that kind of weight sport-eating your way through the holidays.One in 145 adults died in clinical trials of those taking the antipsychotic drugs Zyprexa.
    This was Lilly's # 1 product over $ 4 billion per year sales,moreover Lilly also make billions on drugs that treat the diabetes often that has been caused by the zyprexa!
    --- Daniel Haszard Zyprexa victim activist and patient who got diabetes from it.

Post a comment to this story

We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
You are legally responsible for what you post and your anonymity is not guaranteed.
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
Subscribe to IBJ
  1. $800M is a lot. There's over 800,000 people in the county/city though. I'm betting the cost of services(police, fire, roads, economic incentives to bring in new business, etc.) in Hamilton County is much more than $1000 per person. In 2012, the city of Carmel's audit report shows receipts of $268,742,988 (about 1/3 of Indianapolis's receipts) for a population of 83,573 (almost 1/10 the size of Indianapolis)...hmm, I wonder why Carmel is such a safer place to live...

  2. Would you let a mechanic diagnose your car over the internet without seeing it or taking it for a test drive? The patient needs face to face interaction with a physician to be properly diagnosed. It would seem to me that the internet diagnosis is about as silly as going to ones mirror and saying, "I wonder what I have"? And then you diagnose yourself. That's free and probably wrong too.

  3. Maybe if we treated the parents of juvie offenders who have 5 babies from 4 different daddies like stray cats and dogs who go around creating a bigger animal control problem, we wouldn't have so much of a "parenting" problem flooding both the social services and (later) correctional systems. The breakdown of morals and parental responsibilities from horndogs who can't keep it in their pants and keep their families together has caused this. If a pit bull attacks someone, it's destroyed. Everyone encourages that pets are spayed and neutered to control the pet population and prevent further issues. Maybe it's time to control the welfare population...

  4. Blocking two blocks of a street along Broadripple Ave. is not going to stop "pedestrians" from walking around. The article stated that seven people were injured as a result of a skirmish between two gun-toting "pedestrians"...not drive-bys. Most of the crimes that are committed in BR area are done by "pedestrians" that are walking in the area...not driving by. This may alleviate traffic going through the area and may steer some folks away from coming to the area because of the extra inconvenience but it will not stop a pedestrian, on foot from toting a gun while walking in that area....period.

  5. Please run for mayor Joe. We need someone to come in and clean house. They past two mayors have run administrations rampant with corruption. We need to clean house before corruption is accepted as normal like Chicago.