Eli Lilly Posts 53.9% Revenue Growth, Boosts Quarterly Dividend to $1.73
Eli Lilly reported Q3 earnings of $7.02 per share, beating estimates by $0.60, on revenue of $17.60 billion, up 53.9% year-over-year. The company raised its quarterly dividend from $1.50 to $1.73, setting an annualized $6.92 dividend for payment on March 10th and provided FY 2025 EPS guidance of $23.00–$23.70.
1. Strategic Collaboration to Develop Gene Editing for Hearing Loss
Eli Lilly has entered into a global research and licensing agreement with Seamless Therapeutics to advance programmable recombinase–based treatments for genetic hearing loss. Under the deal, Lilly secures exclusive rights to Seamless’s proprietary platform—which enables precise, large DNA insertions independent of native cellular repair pathways—for preclinical and clinical development. Seamless will receive over $1.12 billion in upfront, R&D funding and potential milestone payments, while Lilly assumes responsibility for all subsequent development and commercialization activities across defined hearing loss indications.
2. Q3 Institutional Trading Activity
According to the most recent Form 13F filing, Alta Wealth Advisors LLC reduced its position in Eli Lilly by 17.0%, selling 522 shares and ending the quarter with 2,541 shares. That followed modest stakes added by several institutions in the second quarter, including Sumitomo Mitsui Financial Group, Evolution Wealth Management and Financial Gravity Companies, each acquiring positions valued between $27,000 and $31,000. Overall, institutional and hedge fund ownership of Lilly stands at approximately 82.5%.
3. Latest Financial Performance and Guidance
In the most recent quarter, Lilly reported EPS of $7.02, beating consensus estimates by $0.60, and delivered revenue of $17.60 billion, up 53.9% year-over-year and exceeding forecasts by $1.51 billion. Net margin reached 30.99% and return on equity hit 109.52%. The company reaffirmed full-year guidance of 23.00–23.70 EPS, with analysts projecting an average of 23.48 EPS for the current fiscal year. Debt-to-equity remains at 1.71, the quick ratio at 1.24 and the current ratio at 1.55.
4. Dividend Increase and Analyst Ratings
Lilly recently raised its quarterly dividend from $1.50 to $1.73, marking a 15% increase and translating into an annualized payout of $6.92 with a dividend payout ratio around 29.35%. Several brokerages have adjusted their outlooks, with Daiwa Capital Markets and Leerink Partners setting new price targets above prior levels and Zacks Research upgrading the stock to a “strong-buy.” Of the 26 analysts tracking the company, 22 currently rate it ‘buy’ or ‘strong-buy,’ while four maintain a ‘hold’ rating.