FDA Approves Lilly’s Oral Pill Foundayo, Amplifying Obesity Drug Growth Prospects
LLY•Novo Nordisk reported first‐quarter adjusted operating profit of 32.86 billion Danish crowns versus a 28.74 billion‐crown forecast and narrowed its 2026 adjusted sales and profit decline outlook to 4–12% from 5–13%. Eli Lilly’s FDA approval of its oral obesity pill Foundayo in April intensifies competition as Lilly simultaneously raised full‐year profit and revenue forecasts on surging weight-loss and diabetes drug demand.
1. Novo Nordisk Q1 Beat and Outlook
Novo Nordisk delivered an adjusted operating profit of 32.86 billion Danish crowns in Q1, surpassing the 28.74 billion‐crown consensus. The company narrowed its full-year guidance to a 4–12% decline in adjusted sales and operating profit at constant exchange rates, up from a prior 5–13% reduction range.
2. Foundayo FDA Approval and Market Impact
Eli Lilly secured FDA clearance for its oral obesity treatment, Foundayo, in early April, ending Novo Nordisk’s brief exclusivity in the U.S. oral obesity pill segment. The approval positions Lilly to capture market share through pharmacies as weight-loss treatments shift toward non‐injectable options.
3. Lilly’s Upgraded Full-Year Forecast
Following strong demand for its weight-loss and diabetes portfolio, Lilly raised its full-year profit and revenue forecasts. The company cited robust volume growth as price cuts exert pressure on margins, but maintained a positive outlook on sustained sales momentum into 2026.
