Eli Lilly and Company (LLY) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue rose 48% year-over-year to $23.0B, driven by strong volume growth in Mounjaro and Zepbound, with key product revenue in Immunology, Oncology, and Neuroscience up 121% year-over-year.

• Non-GAAP EPS increased 33% to $8.38, reported EPS up 26% to $7.94, both including $3.03 per share in acquired IPR&D charges.

• Expanded access to obesity medicines via the Medicare GLP-1 Bridge Program, increasing U.S. covered lives by 35% and reaching ~20 million eligible patients.

• Major product launches and regulatory milestones achieved, including FDA and European approvals for Foundayo, Ebglyss, Jaypirca, and Onswik, plus positive Phase 3 results for retatrutide.

• Completed multiple acquisitions (AtaiBeckley, Curevo, LimmaTech, The Vaccine Company, Orna, Ajax, Centessa, Kelonia, Ventyx) and expanded manufacturing capacity in Indiana, Lebanon, Limerick, and Ireland.

Financial highlights

• Q2 2026 revenue: $22.97B–$23.0B (+48% YoY); non-GAAP EPS: $8.38 (+33% YoY); reported EPS: $7.94 (+26% YoY).

• Gross margin as a percent of revenue: 85.8% reported, 86.3% non-GAAP; gross margin increased 1.3–1.5 percentage points YoY.

• U.S. revenue up 33% to $14.4B; international revenue up 80% to $8.6B, driven by 113% volume growth.

• Non-GAAP net income: $7.5B (+32% YoY); operating income up 31% to $8.98B.

• Dividends paid per share increased 15% YoY to $1.73; $1.5B in dividends and $1.6B in share repurchases in Q2.

Outlook and guidance

• Full-year 2026 revenue guidance raised to $85.0–$87.0B, reflecting strong business growth.

• Non-GAAP EPS guidance updated to $35.50–$36.50, up $2.78 per share at midpoint before IPR&D charges.

• Performance margin guidance increased to 49.0%–50.5%.

• Anticipates continued strong international performance and global rollout of Foundayo in 2027.

• Tax rate expected at approximately 18–19%.