Eli Lilly Beats on EPS but GAAP Results Lag
Eli Lilly (NYS: LLY) reported earnings on July 25. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), Eli Lilly met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue shrank and GAAP earnings per share shrank significantly.
Margins shrank across the board.
Eli Lilly booked revenue of $5.60 billion. The 16 analysts polled by S&P Capital IQ hoped for sales of $5.58 billion on the same basis. GAAP reported sales were 10% lower than the prior-year quarter's $6.25 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.83. The 19 earnings estimates compiled by S&P Capital IQ averaged $0.77 per share. GAAP EPS of $0.83 for Q2 were 22% lower than the prior-year quarter's $1.07 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 79.5%, 90 basis points worse than the prior-year quarter. Operating margin was 21.5%, 600 basis points worse than the prior-year quarter. Net margin was 16.5%, 260 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $5.63 billion. On the bottom line, the average EPS estimate is $0.79.
Next year's average estimate for revenue is $22.68 billion. The average EPS estimate is $3.27.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 1,274 members out of 1,370 rating the stock outperform, and 96 members rating it underperform. Among 408 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 387 give Eli Lilly a green thumbs-up, and 21 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Eli Lilly is hold, with an average price target of $39.03.
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The article Eli Lilly Beats on EPS but GAAP Results Lag originally appeared on Fool.com.Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.