Eli Lilly Q3 2026: Tirzepatide Fuels a Massive Guidance Raise

Eli Lilly posted third-quarter 2026 revenue of $24.40 billion, exceeding expectations and marking a 39% jump from a year ago. Adjusted EPS of $7.48 also exceeded expectations, the fifth straight quarter of consensus beats.

Tirzepatide drove the quarter: worldwide volume for the GLP-1 and GIP agonist, sold as Mounjaro for diabetes and Zepbound for obesity, rose 53% year over year. International demand led the gain, partly driven by Mounjaro's inclusion on China's National Reimbursement Drug List, even as that listing pushed realized prices lower.

Offsetting that, Lilly absorbed $4.18 billion in acquired in-process research and development charges tied primarily to the AtaiBeckley and Curevo acquisitions, lifting the non-GAAP tax rate for the period. Revenue also benefited from one-time items including Jardiance sales-based milestones, and the company disclosed that no further Jardiance milestones remain.

Management raised full-year 2026 revenue guidance to $91 billion to $92 billion from the prior $85 billion to $87 billion range, and lifted non-GAAP EPS and performance margin guidance as well. CEO David Ricks pointed to global consumer demand for Mounjaro and Zepbound, expanded U.S. obesity coverage, and a doubling of revenue in oncology, immunology, and neuroscience as the primary growth contributors.

Beyond tirzepatide, the pipeline delivered regulatory milestones in the quarter, including FDA approvals for Onswik, a once-weekly basal insulin, and Inluriyo in combination with Verzenio for a specific form of advanced breast cancer. Phase 3 trials for EloraTZP, a combination of eloralintide and tirzepatide that showed greater weight loss than tirzepatide alone in Phase 2, begin in the fourth quarter of 2026, the next catalyst for investors to track.