Eli Lilly LLY
Eli Lilly reports $24.4B revenue for Q3 2026
- Form
- 10-Q
- Filed
- Importance
- Notable
- Accession
- 0000059478-26-000108
- Revenue: $24.4 billion for the three months ended Sep 30, 2026
- Net income: $6.45 billion for the three months ended Sep 30, 2026
- Diluted EPS: $7.22 for the three months ended Sep 30, 2026
- Cash and equivalents: $4.88 billion at Sep 30, 2026
Written from the 10-Q on EDGAR. AI can make mistakes. Check the filing.
What changed
5 changes since the June 2026 10-Q
Compared with the 10-Q 0000059478-26-000081, filed Aug 5, 2026.
New legal mention
In August 2026, we filed patent infringement actions against these companies in the U.S. District Court for the District of Delaware.
From the filings
Now
In August 2026, we filed patent infringement actions against these companies in the U.S. District Court for the District of Delaware.Cash down 45% from Jun 30
$4.9B, was $8.9B.
From the filings
Before
$8.9BNow
$4.9BNet income down 9.1% from Jun 30
$6.5B, was $7.1B.
From the filings
Before
$7.1BNow
$6.5BEPS down 9.1% from Jun 30
$7.22, was $7.94.
From the filings
Before
$7.94Now
$7.22Revenue up 6.2% from Jun 30
$24.4B, was $23B.
From the filings
Before
$23BNow
$24.4B
Show the redline
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Cover page 3 changes
4 unchanged paragraphs
For the quarterly period ended June September 30, 2026
27 unchanged paragraphs
The number of shares of common stock outstanding as of August 3, October 26, 2026:
2 unchanged paragraphs
For the Quarter Ended June September 30, 2026
1 unchanged paragraph
Financial statements 427 changes
3 unchanged paragraphs
Three Months Ended June 30, Six Months Ended June 30,
Revenue $ 22,974 $ 15,558 $ 42,773 $ 28,286
Three Months Ended September 30, Nine Months Ended September 30,
Revenue $ 24,397 $ 17,601 $ 67,170 $ 45,887
1 unchanged paragraph
Cost of sales 3,268 2,448 6,845 4,672
Research and development 3,819 3,336 7,329 6,070
Marketing, selling, and administrative 3,430 2,753 6,364 5,221
Acquired in-process research and development 2,776 154 3,360 1,726
Other net, (income) expense ( 269 ) 90 ( 204 ) 329
Income before income taxes 9,247 6,777 18,097 10,233
Income taxes 2,152 1,116 3,606 1,813
Net income $ 7,095 $ 5,661 $ 14,491 $ 8,420
Basic $ 7.95 $ 6.30 $ 16.22 $ 9.37
Diluted $ 7.94 $ 6.29 $ 16.19 $ 9.35
Cost of sales 3,933 3,008 10,778 7,680
Research and development 4,247 3,466 11,576 9,536
Marketing, selling, and administrative 3,125 2,741 9,489 7,963
Acquired in-process research and development 4,181 656 7,541 2,381
Asset impairment, restructuring, and other special charges 703 982 35 303 365 1,285 400
Other net, (income) expense 202 132 ( 2 ) 462
Income before income taxes 8,406 7,233 26,503 17,465
Income taxes 1,955 1,650 5,561 3,463
Net income $ 6,451 $ 5,583 $ 20,942 $ 14,002
Basic $ 7.23 $ 6.22 $ 23.45 $ 15.60
Diluted $ 7.22 $ 6.21 $ 23.42 $ 15.56
1 unchanged paragraph
Basic 892.4 897.9 893.5 898.3
Diluted 893.7 899.8 894.8 900.2
Basic 891.9 896.9 892.9 897.8
Diluted 893.4 898.8 894.4 899.7
4 unchanged paragraphs
Three Months Ended June 30, Six Months Ended June 30,
Net income $ 7,095 $ 5,661 $ 14,491 $ 8,420
Comprehensive income $ 7,167 $ 5,720 $ 14,610 $ 9,026
Three Months Ended September 30, Nine Months Ended September 30,
Net income $ 6,451 $ 5,583 $ 20,942 $ 14,002
Other comprehensive income, net of tax 72 59 119 606 132 510 251 1,116
Comprehensive income $ 6,583 $ 6,093 $ 21,193 $ 15,118
4 unchanged paragraphs
Accounts receivable 20,083 17,760
Inventories 16,793 13,744
Prepaid expenses 15,368 14,315
Investments 3,856 2,802
Goodwill 8,849 5,898
Total assets $ 142,283 $ 112,476
June September 30, 2026 December 31, 2025
Cash and cash equivalents $ 8,950 4,885 $ 7,268
Accounts receivable 22,089 17,760
Other receivables 3,392 3,142 2,395
Inventories 18,194 13,744
Prepaid expenses 16,862 14,315
Other current assets 86 91 147
Total current assets 64,672 65,263 55,629
Investments 4,013 2,802
Goodwill 9,874 5,898
Other intangibles, net 18,110 18,084 6,521
Deferred tax assets 10,028 10,955 9,959
Property and equipment, net of accumulated depreciation of $ 13,103 13,373 (2026) and $ 12,560 (2025)
Other noncurrent assets 7,482 7,695 6,992
Total assets $ 148,072 $ 112,476
1 unchanged paragraph
Accounts payable 6,112 5,379
Employee compensation 1,798 2,375
Short-term borrowings and current maturities of long-term debt $ 7,050 2,517 $ 1,635
Accounts payable 5,793 5,379
Employee compensation 2,292 2,375
Sales rebates and discounts 21,122 24,170 17,382
Other current liabilities 11,659 12,224 8,457
Total current liabilities 47,741 46,996 35,228
1 unchanged paragraph
Long-term debt 47,858 46,986 40,868
Long-term income taxes payable 5,461 6,070 5,875
Other noncurrent liabilities 7,344 7,749 3,970
Total noncurrent liabilities 60,663 60,805 50,713
2 unchanged paragraphs
Retained earnings 31,893 24,470
Additional paid-in capital 7,117 7,309 7,346
Retained earnings 37,969 24,470
1 unchanged paragraph
Total equity 33,879 26,535
Accumulated other comprehensive loss ( 2,761 2,629 ) ( 2,880 )
Total equity 40,271 26,535
Total liabilities and equity $ 142,283 148,072 $ 112,476
4 unchanged paragraphs
Six Months Ended June 30,
Nine Months Ended September 30,
1 unchanged paragraph
Net income $ 14,491 $ 8,420
Net income $ 20,942 $ 14,002
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and 347 more changes in the filing
Controls and procedures 2 changes
1 unchanged paragraph
Our management, with the participation of David Ricks, president and chief executive officer, and Lucas Montarce, executive vice president and chief financial officer, evaluated our disclosure controls and procedures (as such terms are defined in our Annual Report on Form 10-K for the year ended December 31, 2025) as of June September 30, 2026, and concluded that they were effective.
(b) Changes in Internal Controls. During the second third quarter of 2026, there were no changes in our internal control over financial reporting that materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.
Unregistered sales of stock 10 changes
The following table summarizes the activity related to repurchases of our equity securities during the three months ended June September 30, 2026:
4 unchanged paragraphs
April 2026 1,435 $ 970.21 1,435 $ 7,180
May 2026 34 1,005.33 34 7,146
June 2026 154 1,019.77 154 6,989
Total 1,623 975.65 1,623
July 2026 197 $ 1,168.21 197 $ 6,759
August 2026 28 1,188.97 28 6,726
September 2026 95 1,161.39 95 6,615
Total 320 1,167.99 320
During the three months ended June September 30, 2026, we repurchased $1.6 billion $374 million of shares under our $15.0 billion share repurchase program that our board authorized in December 2024.
Other information 5 changes
On September 3, 2026 , Ilya Yuffa , executive vice president and president Lilly USA and Global Customer Capabilities, adopted a sales plan (Yuffa Plan). The Yuffa Plan provides for the sale of up to 1,000 shares of company common stock and expires on February 10, 2027 , subject to earlier termination in accordance with its terms.
On September 8, 2026 , Jacob Van Naarden , executive vice president , president of Lilly Oncology and head of corporate business development, adopted a sales plan (Van Naarden Plan). The Van Naarden Plan provides for the sale of up to 7,064 shares of company common stock and expires on February 10, 2027 , subject to earlier termination in accordance with its terms.
On September 8, 2026 , Anat Hakim , executive vice president , general counsel and secretary, adopted a sales plan (Hakim Plan). The Hakim Plan provides for the sale of up to 22,591 shares of company common stock and expires on February 10, 2027 , subject to earlier termination in accordance with its terms.
On September 14, 2026 , Edgardo Hernandez , executive vice president and president, manufacturing operations, adopted a sales plan (Hernandez Plan). The Hernandez Plan provides for the sale of up to 1,350 shares of company common stock and expires on February 9, 2028 , subject to earlier termination in accordance with its terms.
On May 11, 2026 , Donald Zakrowski , senior vice president, finance, and chief accounting officer , adopted a sales plan (Plan). Each of the Plan above described plans was entered into during an open trading window and is intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) of the Exchange Act of 1934 and our policies regarding trading in our securities. The Plan calls for the sale of up to 2,000 shares of company common stock between August 10, 2026 and May 10, 2027 subject to the terms and conditions of the Plan.
Exhibits 4 changes
3 unchanged paragraphs
10.1 The Lilly Directors' Deferral Plan, as amended (1) *
4 unchanged paragraphs
104 Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101)* (1) Indicates management contract or compensatory plan.
3 unchanged paragraphs
Date: August 5, October 29, 2026 /s/ Lucas Montarce
1 unchanged paragraph
Date: August 5, October 29, 2026 /s/ Donald Zakrowski
1 unchanged paragraph
Unchanged: MD&A, Forward-looking statements, Market risk, Legal proceedings, Risk factors
Compared by code from the two filings' text and XBRL.
The reading, claim by claim
- For that quarter it reported revenue of $24.4 billion and net income of $6.5 billion, with revenue up 38.6% from a year earlier.
- Net income was $6,451 million, against $5,583 million.
- Diluted earnings per share were $7.22, against $6.21.
- Over the nine months ended September 30, 2026, revenue was $67,170 million and net income was $20,942 million.
- Acquired in-process research and development expense was $4,181 million for the quarter, against $656 million a year earlier.
- Research and development was $4,247 million.
- Asset impairment, restructuring, and other special charges were $303 million.
- Net cash provided by operating activities for the nine months was $27,420 million, against $13,588 million a year earlier.
- Cash and cash equivalents were $4,885 million at September 30, 2026, against $7,268 million at December 31, 2025.
- Total assets were $148,072 million.
10 of 11 claims matched the filing text.
Not found in the filing text
- Diluted earnings per share were $23.42, against $15.56 in the same period of 2025.
From the filing
Item 6.
Exhibits
Signatures
Forward-Looking Statements
This Quarterly Report on Form 10-Q and our other publicly available documents include forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 (Exchange Act), and are subject to the safe harbor created thereby under the Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements that do not relate solely to historical or current facts, and generally can be identified by the use of words such as "may," "could," "aim," "seek," "believe," "will," "expect," "project," "estimate," "intend," "target," "anticipate," "plan," "continue," or similar expressions or future or conditional verbs.
Forward-looking statements inherently involve many risks and uncertainties that could cause actual results to differ from those expressed in forward-looking statements. Forward-looking statements are based on management's current plans and expectations, expressed in good faith and believed to have a reasonable basis. However, we can give no assurance that any expectation or belief will result or will be achieved or accomplished. Investors therefore should not place undue reliance on forward-looking statements. The following include some but not all of the factors that could cause actual results or events to differ from those anticipated:
• the significant costs and uncertainties in the pharmaceutical research and development process, including with respect to the timing and process of obtaining regulatory approvals and the ability of the company's clinical trials to meet expectations;
• the impact and uncertain outcome of acquisitions and business development transactions and related costs;
• intense competition affecting our products, pipeline, or industry;
• market uptake of launched products and indications;
• continued pricing pressures and the impact of actions of governmental and private actors affecting pricing of, reimbursement for, and patient access to pharmaceuticals, or reporting obligations related thereto;
• implementation of our voluntary agreement with the U.S. government related to drug pricing and access;
• developments or uncertainties related to our or competitive products, including as may relate to safety or efficacy concerns;
• dependence on relatively few products or product classes for a significant percentage of our total revenue and a consolidated supply chain;
• the expiration of intellectual property protection for certain of our products and competition from generic and biosimilar products;
• our ability to protect and enforce patents and other intellectual property and changes in patent law or regulations related to data package exclusivity;
• information technology system inadequacies, inadequate controls or procedures, security breaches, or operating failures;
• unauthorized access, disclosure, misappropriation, or compromise of confidential information or other data stored in our information technology systems, networks, and facilities, or those of third parties with whom we share our data and violations of data protection laws or regulations;
• issues with product supply, regulatory approvals, or other negative outcomes stemming from manufacturing difficulties, disruptions, or shortages, including as a result of unpredictability and variability in demand, labor shortages, third-party performance, quality, cyber-attacks, or regulatory actions related to our and third-party facilities;
• reliance on third-party relationships and outsourcing arrangements;
• the use of artificial intelligence or other emerging technologies in various facets of our operations, including partnerships related to the use of, or the sharing of, such technologies with third parties, which may exacerbate competitive, regulatory, litigation, cybersecurity, and other risks;
• the impact of global macroeconomic conditions, including uneven economic growth or downturns or uncertainty, trade and other global disputes and interruptions, including related to tariffs, trade protection measures, and similar restrictions, international tension, conflicts, regional dependencies, or other costs, uncertainties, and risks related to engaging in business globally;
• fluctuations in foreign currency exchange rates, changes in interest rates, and inflation or deflation;
• significant and sudden declines or volatility in the trading price of our common stock and market capitalization;
• litigation, investigations, or other similar proceedings involving past, current, or future products, activities, or intellectual property;
• changes in tax law and regulation, tax rates, or events that differ from our assumptions related to tax positions;
• regulatory changes, developments, and uncertainty;
• regulatory oversight and actions regarding our operations and products;
• regulatory compliance problems or government investigations;
• risks from the proliferation of counterfeit, misbranded, adulterated, or illegally compounded products;
• actual or perceived deviation from environmental-, social-, or governance-related requirements or expectations;
• asset impairments and restructuring charges; and
• changes in accounting and reporting standards.
More information on factors that could cause our actual results to differ from those expressed in forward-looking statements is included from time to time in our reports filed with the Securities and Exchange Commission, including in our Annual Report on Form 10-K for the year ended December 31, 2025, particularly under Part I, Item 1A, "Risk Factors." Investors should understand that it is not possible to predict or identify all such factors and should not consider the risks described above and under Part I, Item 1A, "Risk Factors" of our Annual Report on Form 10-K to be a complete statement of all potential risks and uncertainties.
All forward-looking statements speak only as of the date of th
Item 1. Financial Statements
Consolidated Condensed Statements of Operations
(Unaudited)
ELI LILLY AND COMPANY
(Dollars and shares in millions, except per-share data)
Three Months Ended September 30, Nine Months Ended September 30,
2026 2025 2026 2025
Revenue $ 24,3971 $ 17,601 $ 67,170 $ 45,8874
Costs, expenses, and other:
Cost of sales 3,933 3,008 10,778 7,680
Research and development 4,247 3,466 11,576 9,5366
Marketing, selling, and administrative 3,125 2,741 9,489 7,963
Acquired in-process research and development 4,181 656 7,541 2,3815
Asset impairment, restructuring, and other special charges 303 365 1,285 4007
Other–net, (income) expense 202 132 ( 2 ) 462
15,991 10,368 40,667 28,422
| Income before income taxes | 8,406 | 7,233 | 26,503 | 17,465 |
|---|---|---|---|---|
| Income taxes | 1,955 | 1,650 | 5,561 | 3,463 |
| Net income2 | $6,4512 | $5,5832 | $20,9422 | $14,0022 |
| Earnings per share: | ||||
| Basic | $7.23 | $6.22 | $23.45 | $15.60 |
| Diluted3 | $7.223 | $6.213 | $23.423 | $15.563 |
| Shares used in calculation of earnings per share: | ||||
| Basic | 891.9 | 896.9 | 892.9 | 897.8 |
| Diluted | 893.4 | 898.8 | 894.4 | 899.7 |
See notes to consolidated condensed financial statements.
Consolidated Condensed Statements of Comprehensive Income
(Unaudited)
ELI LILLY AND COMPANY
| Three Months Ended September 30, | Nine Months Ended September 30, | |||
|---|---|---|---|---|
| 2026 | 2025 | 2026 | 2025 | |
| Net income | $6,451 | $5,583 | $20,942 | $14,002 |
| Other comprehensive income, net of tax | 132 | 510 | 251 | 1,116 |
| Comprehensive income | $6,583 | $6,093 | $21,193 | $15,118 |
See notes to consolidated condensed financial statements.
Consolidated Condensed Balance Sheets
ELI LILLY AND COMPANY
| September 30, 2026 | December 31, 2025 | |
|---|---|---|
| Current Assets | ||
| Cash and cash equivalents9 | $4,8859 | $7,2689 |
| Accounts receivable | 22,089 | 17,760 |
| Other receivables | 3,142 | 2,395 |
| Inventories | 18,194 | 13,744 |
| Prepaid expenses | 16,862 | 14,315 |
| Other current assets | 91 | 147 |
| Total current assets | 65,263 | 55,629 |
| Noncurrent Assets | ||
| Investments | 4,013 | 2,802 |
| Goodwill | 9,874 | 5,898 |
| Other intangibles, net | 18,084 | 6,521 |
| Deferred tax assets | 10,955 | 9,959 |
| Property and equipment, net of accumulated depreciation of $13,373 (2026) and $12,560 (2025) | 32,188 | 24,675 |
| Other noncurrent assets | 7,695 | 6,992 |
| Total assets10 | $148,07210 | $112,47610 |
| Liabilities and Equity | ||
| Current Liabilities | ||
| Short-term borrowings and current maturities of long-term debt | $2,517 | $1,635 |
| Accounts payable | 5,793 | 5,379 |
| Employee compensation | 2,292 | 2,375 |
| Sales rebates and discounts | 24,170 | 17,382 |
| Other current liabilities | 12,224 | 8,457 |
| Total current liabilities | 46,996 | 35,228 |
| Noncurrent Liabilities | ||
| Long-term debt | 46,986 | 40,868 |
| Long-term income taxes payable | 6,070 | 5,875 |
| Other noncurrent liabilities | 7,749 | 3,970 |
| Total noncurrent liabilities | 60,805 | 50,713 |
| Commitments and Contingencies | ||
| Equity | ||
| Common stock | 588 | 590 |
| Additional paid-in capital | 7,309 | 7,346 |
| Retained earnings | 37,969 | 24,470 |
| Employee benefit trust | (3,013) | (3,013) |
| Accumulated other comprehensive loss | (2,629) | (2,880) |
| Other equity | 47 | 22 |
| Total equity | 40,271 | 26,535 |
| Total liabilities and equity | $148,072 | $112,476 |
See notes to consolidated condensed financial statements.
Consolidated Condensed Statements of Cash Flows
(Unaudited)
ELI LILLY AND COMPANY
(Dollars in millions)
Nine Months Ended September 30,
2026 2025
Cash Flows from Operating Activities
Net income $ 20,942 $ 14,002
Adjustments to Reconcile Net Income to Cash Flows from Operating Activities:
Depreciation and amortization 1,588 1,411
Change in deferred income taxes ( 1,098 ) ( 959 )
Stock-based compensation expense 562 490
Acquired in-process research and development 7,541 2,381
Other changes in operating assets and liabilities, net of acquisitions and divestitures ( 1,899 ) ( 4,419 )
Other operating activities, net ( 216 ) 682
Net Cash Provided by Operating Activities 27,420 13,5888
Cash Flows from Investing Activities
Purchases of property and equipment ( 8,437 ) ( 5,294 )
Purchases of noncurrent investments ( 862 ) ( 518 )
Purchases of in-process research and development ( 7,548 ) ( 2,584 )
Cash paid for acquisitions, net of cash acquired
Net Cash Used for Investing Activities ( 27,611 ) ( 8,169 )
Cash Flows from Financing Activities
Dividends paid ( 4,635 ) ( 4,039 )
Net change in short-term borrowings — ( 4,338 )
Proceeds from issuance of long-term debt 8,941 13,167
Repayments of long-term debt ( 1,623 ) ( 778 )
Net Cash (Used for) Provided by Financing Activities ( 2,263 ) 666
Effect of exchange rate changes on cash and cash equivalents 71 439
| Net (decrease) increase in cash and cash equivalents | (2,383) | 6,524 | |
|---|---|---|---|
| Cash and cash equivalents at January | 1 | 7,268 | 3,268 |
| Cash and Cash Equivalents at September | 30 | $4,885 | $9,792 |
See notes to consolidated condensed financial statements.
Notes to Consolidated Condensed Financial Statements
(Tables present dollars and shares in millions, except per-share data, and numbers may not add due to rounding)
Note 1: Basis of Presentation and Implementation of New Financial Accounting Standards
We have prepared the accompanying unaudited consolidated condensed financial statements in accordance with the requirements of Form 10-Q and, therefore, they do not include all information and footnotes necessary for a fair presentation of financial position, results of operations, and cash flows in conformity with accounting principles generally accepted in the United States (GAAP). In our opinion, the consolidated condensed financial statements reflect all adjustments (including those that are normal and recurring) that are necessary for a fair presentation of the results of operations for the periods shown. In preparing financial statements in conformity with GAAP, we must make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue, expenses, and related disclosures at the date of the financial statements and during the reporting period. Actual results could differ fr
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