Eli Lilly & Co. Earnings: Here’s Why Investors Like These Results

Eli Lilly & Co. (NYSE:LLY) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 2.77%.

Eli Lilly & Co. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 39.76% to $1.16 in the quarter versus EPS of $0.83 in the year-earlier quarter.

Revenue: Rose 5.88% to $5.93 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Eli Lilly & Co. reported adjusted EPS income of $1.16 per share. By that measure, the company beat the mean analyst estimate of $1. It beat the average revenue estimate of $5.82 billion.

Quoting Management: “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,” said John C. Lechleiter, Ph.D., Lilly’s chairman, president and chief executive officer. “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.”

Key Stats (on next page)…

Revenue increased 5.86% from $5.6 billion in the previous quarter. EPS increased 1.75% from $1.14 in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $0.97 and has not changed. For the current year, the average estimate has moved up from a profit of $3.91 to a profit of $3.92 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)