Eli Lilly & Co. (NYSE: LLY) has reported financial results for the first quarter of 2024 that exceeded expectations, with sales up 26% year-on-year (YOY) to USD 8.77 billion. The growth was driven by the strong performance of the weight-loss drug Mounjaro (tirzepatide), diabetes therapy Zepbound (tirzepatide), Jardiance (empagliflozin) for diabetes, and Verzenio (abemaciclib) for breast cancer. This growth compensated for the declining sales of the antidiabetic Trulicity (dulaglutide).
The demand for the GLP-1 targeted compound tirzepatide, which includes both Mounjaro and Zepbound, exceeded supply, resulting in backorders at the end of the quarter. While Eli Lilly is taking steps to increase production, the company anticipates that supply constraints will persist in the short to mid-term, with sales growth for incretin medicines being largely dependent on production and shipping volumes.
The robust performance of Mounjaro and Zepbound has prompted Lilly to raise its full-year 2024 revenue guidance by USD 2.0 billion to a range of USD 42.4 billion to USD 43.6 billion. This updated guidance reflects the company’s confidence in its ability to expand production capabilities throughout the year. Eli Lilly currently has six sites involved in the manufacturing of tirzepatide, with production either underway or being increased to meet demand. These sites are located across two sites in North Carolina, two in Indiana, one in Ireland, and one in Germany. On April 22, 2024, Eli Lilly announced its plans to purchase a manufacturing facility from Nexus, a sterile manufacturer based in Wisconsin, further bolstering production capacity.- Flcube.com
