Eli Lilly stock soars after Q1 earnings as revenue grows 56% on strength of GLP-1 drug sales

What happened: Eli Lilly (LLY) stock soared nearly 10% in on Thursday.

What’s behind the move: The pharmaceutical company reported strong sales for its GLP-1 drugs Zepbound and Mounjaro, which are used for weight management and diabetes.

Zepbound revenue increased 80% year over year to $4.16 billion, and Mounjaro revenue soared 125% to $8.66 billion. Despite lower prices for those drugs in the US, strong demand helped lift overall revenue for the company 56% year over year to $19.7 billion, meaning GLP-1s accounted for roughly two-thirds of Eli Lilly’s total sales.

What else you need to know: Eli Lilly’s GLP-1 business got another tailwind during the quarter with the FDA’s approval of Foundayo, the pill version of its weight-loss drug.

“A key milestone was the US FDA approval of Foundayo — the only approved GLP-1 pill that can be taken any time of day, without food and water restrictions,” Lilly CEO David Ricks said.

Despite Thursday’s bump, shares of the drugmaker are down roughly 13% year to date as growing competition and pricing pressure have weighed on the stock.

Ines Ferre is a senior business reporter for Yahoo Finance. Follow her on X at @ines_ferre.

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