Yahoo Finance Eli Lilly and Co.’s 4Q15 Changes in Growth Rate
Eli Lilly and Co.’s 4Q15 Earnings Showed Growth of ~5%
Eli Lilly and Co.’s growth rate
Eli Lilly and Co. (LLY) reported a growth of ~5% in revenues for 4Q15 over 4Q14. The company’s 4Q15 revenues were $5.38 billion, which were higher than Wall Street analysts’ estimates of $5.33 billion.
The following graph shows the revenues of Eli Lilly in each quarter. The company is exposed to the impact of foreign exchange, as nearly 48% of the company’s total revenues are reported from sales outside the US. The company operates in over 120 countries, and it has manufacturing facilities in 13 countries.
Year-over-year performance
Eli Lilly’s (LLY) revenues have increased over past few quarters following the inclusion of Novartis (NVS) Animal Health business, primarily offset by patent expiry of its blockbuster drug Cymbalta. The 2015 revenues increased by ~1.7% to $19.96 billion, compared to $19.61 billion for 2014. The increase was due to an 8% increase in volume and a 1% increase due to higher prices, substantially offset by a 7% negative impact of foreign exchange.
The increase in volume was driven by Novartis Animal Health products and pharmaceutical products that include Cyramza, Trulicity, Humalog, and Erbitux. However, the loss of exclusivity for Cymbalta and Evista partially offset the 2015 revenues.
The company’s US revenues increased by 11% to ~$10.1 billion while the revenues outside the US markets decreased by 6% to ~$9.86 billion in 2015. We will discuss the segment-wise revenues and performance in 4Q15 and 2015 in the coming articles.
Investors can consider the iShares Russell 1000 Growth ETF (IWF), which holds ~0.8% of its total assets in Eli Lilly. IWF also holds ~1.2% of its total assets in Amgen (AMGN), ~1.0% of its total assets in Bristol-Myers Squibb (BMY), and ~0.9% of its total assets in AbbVie (ABBV). The iShares Core S&P 500 ETF (IVV) holds ~0.5% of its total assets in Eli Lilly.
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