LLY earnings analysis
What we found in LLY's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Eli Lilly posted a robust Q1 2026 with revenues of $19.8 billion, a 56% increase from $12.7 billion in Q1 2025, and diluted EPS of $8.26, soaring 170% year-over-year. This strong performance was driven by significant volume increases from products like Mounjaro and Zepbound despite pricing pressures. The company also improved its guidance for the full year, indicating substantial confidence in continued growth.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Strong Revenue Growth Year-Over-Year
- Revenue for Q1 2026 reached $19.8 billion, up 56% from $12.7 billion in Q1 2025.
- Substantial EPS Increase
- Diluted EPS was reported at $8.26, marking a 170% rise from $3.06 in the same quarter last year.
- High Gross Margin Maintained
- Gross margin stood at 81.9%, only slightly down from 82.5% in Q1 2025.
- Significant Volume Growth
- Volume growth contributed 65% to consolidated revenue growth, mainly from Mounjaro and Zepbound.
- Effective Management of Costs
- Acquired IPR&D charges decreased by 63%, which positively impacted net income.
- Raised Full-Year Guidance
- Management now expects full-year revenue between $82 billion and $85 billion, an increase of $2 billion from prior forecasts.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Increased Regulatory Scrutiny
- Ongoing developments from the Inflation Reduction Act could significantly impact pricing strategies and revenue.
- Pricing Pressure on Key Products
- Lower realized prices were noted, particularly for Zepbound and Taltz, which could hinder future revenue growth.
- Market Risk from Currency Fluctuations
- The company's exposure to foreign currency exchange rates may adversely affect consolidated results.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $8.26
- Gross margin
- 81.9%
- Segment
- Mounjaro
- Segment
- Zepbound
- Segment
- Verzenio
- Segment
- Jardiance
- Segment
- Trulicity
What they said about what is next.
Full-year revenue guidance raised by $2 billion from previous estimates.
The filing reads better than the one before it.
What came before.
- 10-K · February 12, 2026
- The 2025 Form 10-K reiterates Lilly’s single-segment, R&D-driven strategy to discover, develop, and commercialize innovative human pharmaceuticals globally (products sold in approximately 90 countries). The filing…
- 10-Q · October 30, 2025
- Eli Lilly reported a strong Q3 with revenue of $17,600.8 million and diluted EPS of $6.21, both well above last year's quarter and consensus. Growth was driven by cardiometabolic products (Mounjaro and Zepbound) while…
- 10-Q · May 1, 2025
- Eli Lilly reported strong Q1 results with revenue of $12,728.5 million (up from $8,768.0 million a year ago) and diluted EPS of $3.06 (vs. $2.48 in Q1 2024). Growth was concentrated in the cardiometabolic franchise…
- 10-K · February 19, 2025
- The 10-K emphasizes Lilly's strategy of developing and commercializing innovative human pharmaceutical products with a concentrated commercial footprint ("Our products are sold in approximately 95 countries").…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
Read the next one first.
We read every filing LLY makes the day it lands, and put it next to what the options market did about it. Members get both, and an alert when a filing arrives.
Cancel anytime · Month to month · Switch tiers whenever