Lilly posts 39% Q3 revenue jump and lifts 2026 sales outlook despite acquisition charges

Lilly reported third-quarter 2026 results on October 29, showing revenue of about $24.4 billion, up 39% from a year earlier, with growth led by Mounjaro and Zepbound. The company raised the midpoint of its full-year 2026 revenue guidance by $5.5 billion, to a $91.0 to $92.0 billion range. Underlying non-GAAP EPS guidance rose by about $4.07 at the midpoint, but $4.57 per share of acquired in-process R&D charges from third-quarter deals pulled the updated full-year non-GAAP EPS range down to $35.00 to $36.00. Management also flagged a positive head-to-head Phase 3 result for retatrutide against Ozempic in type 2 diabetes, and said it completed the Merida Biosciences acquisition after quarter end. Investors weighing the stock should note that a large part of the revenue upside came alongside heavy deal-related charges that compress reported earnings in the near term.

1. Q3 2026 revenue rose 39% to $24.4 billion, driven mainly by Mounjaro and Zepbound (company press release, October 29, 2026).
2. Full-year 2026 revenue guidance raised to $91.0 to $92.0 billion; midpoint up $5.5 billion.
3. Underlying non-GAAP EPS guidance raised by $4.07 at the midpoint, offset by $4.57 of acquired IPR&D charges from Q3 deals.
4. Updated 2026 non-GAAP EPS guidance range: $35.00 to $36.00.
5. Q3 revenue included about $900 million of benefits, including $410 million of Jardiance milestones (Benzinga, October 29, 2026).
6. Positive topline results from a head-to-head Phase 3 trial of retatrutide versus Ozempic 2 mg in type 2 diabetes.
7. Phase 3 trials for EloraTZP in obesity and type 2 diabetes are set to start in Q4 2026.
8. Merida Biosciences acquisition completed after quarter end.