Eli Lilly’s Foundayo Drives 56% Q1 Revenue Growth Despite 12% Pricing Headwind
LLY•Eli Lilly’s new oral GLP-1 pill Foundayo launched in early April, intensifying competition with Novo Nordisk’s oral Wegovy despite strong early uptake of around 721,000 U.S. prescriptions for Wegovy in Q1. Lilly reported 56% year-over-year revenue growth and a 156% jump in EPS, though pricing declines may cut Q1 obesity drug sales by about 12%.
1. Q1 Financial Results
Eli Lilly posted 56% year-over-year revenue growth and a 156% increase in earnings per share for the first quarter, driven by robust demand for its GLP-1 therapies Mounjaro and Zepbound along with the launch of its new oral treatment Foundayo.
2. Foundayo Launch and Competitive Dynamics
Foundayo received U.S. approval in early April, marking Lilly’s entry into the oral obesity pill market and setting up direct competition with Novo Nordisk’s oral Wegovy, which recorded around 721,000 U.S. prescriptions in the first quarter.
3. Pricing Headwinds in Obesity Market
U.S. pricing declines, especially for the lowest 1.5 mg starter doses priced at $149 per month, are putting pressure on obesity drug revenue, with estimates suggesting first-quarter pill sales may fall about 12% short of the $1 billion consensus forecast.
4. Pipeline Expansion and Future Outlook
Beyond its GLP-1 franchise, Lilly’s development pipeline in oncology, dermatology and other therapeutic areas offers additional growth catalysts, with several candidates nearing regulatory milestones that could diversify revenue streams.
