Eli Lilly & Co. (NYSE: LLY) reported its Q4 2022 financials, revealing a 9% year-on-year (YOY) drop in global sales to USD 7.3 billion, primarily due to falling COVID-19 revenues and unfavorable exchange rates. Excluding COVID-19 antibodies, sales were up 10% YOY in constant currency terms. For the full year, Lilly reported 4% growth in constant currency terms, reaching USD 28.54 billion in sales.
Key Market Performers
The underlying growth was driven by several key products, including the CDK4/6 inhibitor Verzenio (abemaciclib), diabetes therapies Mounjaro (tirzepatide), Trulicity (dulaglutide), and Jardiance (empagliflozin), psoriatic arthritis drug Taltz (ixekizumab), thyroid cancer drug Retevmo (selpercatinib), migraine drug Emgality (galcanezumab), anti-VEGFR cancer drug Cyramza (ramucirumab), the PD-1 drug Tyvyt (sintilimab) partnered with Innovent Biologics, and arthritis therapy Olumiant (baricitinib). These drugs collectively grew revenues by 21% YOY and accounted for 70% of revenue in Q4 2022.
Regulatory and Market Developments
During Q4, Lilly achieved a significant US market approval for the next-generation Bruton’s tyrosine kinase (BTK) inhibitor Jaypirca (pirtobrutinib). However, the company also received a Complete Response Letter for its Alzheimer’s disease therapy donanemab. CEO David Ricks described 2023 as a key “inflection point” for Lilly, with plans to launch up to four new medicines for challenging diseases while advancing its next-generation molecules currently in Phase III.
China Market Performance
In China, revenue grew 2% in constant currency terms during Q4 to USD 351 million, while full-year sales fell by 10% YOY to USD 1.453 billion. Q4 saw ongoing volume growth for the insulin product Humalog, but this was offset by lower pricing following last year’s volume-based procurement tender. Tyvyt’s Q4 revenues in China were reported at USD 57.5 million, down 26% YOY due to the impact of the National Reimbursement Drug List (NRDL) pricing, growing market competition, and COVID-19-related disruptions.-Fineline Info & Tech
