Despite a recent set of patent expirations in most major markets, Eli Lilly and Company has reported positive second quarter financial results, which saw a worldwide revenue increase of 6% to $5,930 billion compared to the same period last year.
Strong sales of Cymbalta (duloxetine), which is used to treat major depressive disorder, general anxiety disorder and fibromyalgia, and also of erectile disfunction treatment, Cialis (tadalafil), mainly attributed to this rise.
However, challenges still remain for the pharma company as Cymbalta, its best-selling drug, is expected to lose patent protection and face generic competition this December, followed by Lilly's osteoporosis drug, Evista (Raloxifene) in March 2014.
"In the second quarter, Lilly delivered solid financial results, highlighted by good revenue growth and strict cost containment efforts that led to robust earnings growth. Continued operating and financial discipline, along with a maturing pipeline of potential new medicines, gives me great confidence in the company's ability to meet the challenges we face from upcoming patent expirations and to resume growth after 2014."
John C. Lechleiter, Ph.D., Lilly's chairman, president and chief executive officer.
Lilly still anticipates that its 2013 revenue will be between $22.6 billion and $23.4 billion. A strong portfolio of products is expected to offset the fourth quarter patent expirations. This portfolio includes type 2 diabetes drug Humalog (insulin lispro) outside the US, as well as Tradjenta (linagliptin) and non-small cell lung cancer drug Alimta (Pemetrexed). Also, Lilly expects significant revenue growth in the emerging markets, particularly in China.
The company has boosted its 2013 financial forecast of earnings to a range of $4.28 to $4.38 a share, compared with a prior forecast of $4.10 to $4.25 per share.
UPDATE: Lilly Reports Higher Sales, But Challenges Remain (Wall Street Journal)
Lilly press release