Eli Lilly's Q3 Sales Miss Expectations Amid Inventory and Competition Pressures

Eli Lilly's third quarter earnings fell short of expectations, reflecting a significant impact from both inventory issues and intensified competition in the obesity and diabetes drug market. Despite a strong 20% increase in year-over-year revenue to $11.4 billion, this figure fell short of the anticipated $12.1 billion due to reduced inventory stocking in the wholesaler channel, affecting its key GLP-1 medications, Mounjaro and Zepbound. These drugs generated $3.11 billion and $1.26 billion in sales, respectively, both missing analyst forecasts and remaining largely flat compared to the previous quarter. The inventory challenges, coupled with heightened competition from other pharmaceutical companies like Novo Nordisk, have prompted Eli Lilly to revise its full-year revenue forecast, reducing it by $600 million[1][2].