Eli Lilly's net income declined by 9.3 per cent during the third quarter ended September 2013 to $1,203 million from $1,327 million in the similar period of last year. The decreases in net income was driven by the early payment of the exenatide revenue-sharing obligation in the third quarter o 2012, partially offset by higher operating income and a lower effective tax rate in the third quarter of 2013.
Its revenues, however, increased by 6.1 per cent to $5,773 million from $5,443 million mainly due to higher volume by Humalog, Alimta, Trajenta and Forte. The revenue for Zyprexa and Cymbalta declined. Its revenue from US increased by 11 per cent to $3,312 million driven by increased prices, primarily for Cymbalta. The sales of Cymbalta increased by 11 per cent to $1,376 million from $1,236 million. However, Zyprexa sales declined by 26 per cent to $279 million from $ 375 million.
The company has narrowed its 2013 earnings per share guidance and now expects full-year 2013 earnings per share to be in the range of $4.33 to $4.38 on a reported basis. It also revised its capital expenditure estimate for 2013. It still anticipates 2013 revenue of between $22.6 billion and $23.4 billion.
Dr John C Lechleiter, chairman, president and CEO, said, As we navigate through a period of expiring patents for some of our largest products, Lilly continues to deliver solid financial results and to advance our late-stage pipeline, with four regulatory filings completed this year alone. We are successfully executing our strategy which will enable us to return to growth after 2014 by bringing to the market new medicines that make a real difference for patients.”
Derica Rice, executive vice president, global services and chief financial officer, said, We remain committed to our innovation strategy and believe it will drive growth and expand margins post-2014. We will also return substantial cash to shareholders by maintaining our dividend at least at its current level and by repurchasing shares under our recently-authorized $5 billion programme.”
The company has completed its previously announced $1.5 billion share repurchase programme and will soon begin its new %5 billion share repurchase program, which will be completed over time.
For the nine months period ended September 2013, Eli Lilly's revenue increased by 4 per cent to $17,304 million from $16,646 million in the similar period of last year. Its net income moved up by 21per cent to $3,957 million from $3,261 million with EPS of $3.64 as against $2.92 in the last period.