Lilly raises 2026 guidance after Q3 revenue surge driven by Mounjaro and Zepbound

Financial results

Worldwide revenue for Q3 2026 was $24.4 billion, up 39% versus Q3 2025, driven by a 53% increase in volume and partially offset by a 15% decrease in realized prices. U.S. revenue increased 34% to $15.1 billion; revenue outside the U.S. rose 47% to $9.3 billion, with $410 million of sales‑based Jardiance milestones recorded outside the U.S. in the quarter. Reported net income was $6.5 billion with reported EPS of $7.22; non‑GAAP net income was $6.7 billion with non‑GAAP EPS of $7.48. Q3 results included acquired IPR&D charges of $4.2 billion (≈$4.57 per share).

Guidance

The company raised its 2026 full‑year revenue guidance to $91.0–$92.0 billion (up from $85–$87 billion), increasing the midpoint by $5.5 billion. Updated non‑GAAP EPS guidance is $35.00–$36.00. Performance margin and tax‑rate guidance were also revised upward.

Regulatory and pipeline progress

Regulatory actions in Q3 included FDA approvals for Mounjaro to reduce cardiovascular risk in adults with type 2 diabetes, Onswik (once‑weekly basal insulin) for adults with type 2 diabetes, Inluriyo with Verzenio for ER+, HER2‑, ESR1‑mutated advanced/metastatic breast cancer, and an expanded Jaypirca indication for untreated CLL/SLL. Pipeline readouts included positive topline Phase 3 retatrutide versus Ozempic 2 mg in adults with type 2 diabetes, Phase 3 results for Ebglyss in hand and foot atopic dermatitis, and Phase 2 results for EloraTZP with Phase 3 trials planned to start in Q4 2026.

Business development

Q3 activity included completion of the AtaiBeckley acquisition; Q3 IPR&D charges primarily related to AtaiBeckley and Curevo. Subsequent to quarter end, Lilly completed the acquisition of Merida Biosciences. The quarter also benefited from adjustments to rebate and discount estimates contributing to reported revenue.