◆ Inside the Latest Quarter (Q2 2026)

Eli Lilly (LLY) — the variant view

Revenue up 48% on one molecule, with Mounjaro now selling more abroad than at home at prices 36% lower.

📈 LLY valuation, revenue & earnings — P/E, P/S, revenue, EPS →

Lilly's second quarter of 2026 was its largest ever. Revenue rose 48% to $22,974 million, net income 25% to $7,095 million and diluted earnings per share to $7.94 from $6.29.1 Net income grew more slowly than revenue because the tax rate rose to 23.3% from 16.5% and acquired in-process research and development jumped to $2,776 million from $154 million.2

Change in revenue by product, Q2 2026 against Q2 2025 ($M)Mounjaro+$4,744MZepbound+$1,547MJardiance+$542MTrulicity+$127MVerzenio-$15MLilly Form 10-Q, June 2026
Tirzepatide supplied 85% of the $7.4 billion increase.

Tirzepatide carried the quarter. Mounjaro brought in $9,943 million and Zepbound $4,928 million, together $14.9 billion, about 65% of all revenue, against $8.6 billion a year earlier.34 Mounjaro now sells more outside the United States than inside it: $5,152 million abroad against $4,791 million at home.5

The price-volume split is the story inside the growth. Volume rose 60% and realized price fell 13%. In the United States the split was volume up 37% and price down 3%; outside it, volume up 113% and price down 36%.6 Lilly is winning patients abroad by charging far less for them.

The margin rose anyway. Gross margin was 85.8% against 84.3%, which the 10-Q attributes to lower production costs and product mix, partly offset by lower prices.7 Research and development grew 14% to $3,819 million and marketing and administration 25% to $3,430 million.8

The rest of the portfolio grew more slowly. Oncology revenue rose 6% to $2,570 million, with Verzenio flat at $1,474 million; immunology rose 13% to $1,417 million.9 Foundayo, the new pill, brought in $98 million in its first quarter, a little below the roughly $103 million analysts had expected.10

At about $1.04 trillion, the shares trade at about 39 times trailing earnings and 28 times forward.11 That multiple assumes the price cuts keep being outrun by volume. The number to follow is the price effect outside the United States, minus 36% in the June quarter: if it deepens while volume growth slows, the international expansion that now supplies most of the growth will stop adding profit.

References
  1. ReportedRevenue rose 48% to $22,974 million, net income 25% to $7,095 million and diluted earnings per share to $7.94 from $6.29.
    Eli Lilly Form 10-Q, quarter ended 30 June 2026 - revenue $22,974M (+48%): Mounjaro $9,943M (U.S. $4,791M, outside $5,152M), Zepbound $4,928M, Jardiance $1,232M, Trulicity $1,219M, Verzenio $1,474M; oncology $2,570M, immunology $1,417M, neuroscience $429M; volume +60% and price -13% (U.S. +37%/-3%, outside +113%/-36%); gross margin 85.8% (84.3%); R&D $3,819M; MS&A $3,430M; acquired IPR&D $2,776M; special charges $703M; tax rate 23.3% (16.5%); net income $7,095M; diluted EPS $7.94; H1 capital expenditure $5,259M and operating cash flow $16,023M — Q2 2026 · publ. August 2026 · source ↗
  2. ReportedNet income grew more slowly than revenue because the tax rate rose to 23.3% from 16.5% and acquired in-process research and development jumped to $2,776 million from $154 million.
    Eli Lilly Form 10-Q, quarter ended 30 June 2026 - revenue $22,974M (+48%): Mounjaro $9,943M (U.S. $4,791M, outside $5,152M), Zepbound $4,928M, Jardiance $1,232M, Trulicity $1,219M, Verzenio $1,474M; oncology $2,570M, immunology $1,417M, neuroscience $429M; volume +60% and price -13% (U.S. +37%/-3%, outside +113%/-36%); gross margin 85.8% (84.3%); R&D $3,819M; MS&A $3,430M; acquired IPR&D $2,776M; special charges $703M; tax rate 23.3% (16.5%); net income $7,095M; diluted EPS $7.94; H1 capital expenditure $5,259M and operating cash flow $16,023M — Q2 2026 · publ. August 2026 · source ↗
  3. ReportedMounjaro brought in $9,943 million and Zepbound $4,928 million, together $14.9 billion, about 65% of all revenue, against $8.6 billion a year earlier.
    Eli Lilly Form 10-Q, quarter ended 30 June 2026 - revenue $22,974M (+48%): Mounjaro $9,943M (U.S. $4,791M, outside $5,152M), Zepbound $4,928M, Jardiance $1,232M, Trulicity $1,219M, Verzenio $1,474M; oncology $2,570M, immunology $1,417M, neuroscience $429M; volume +60% and price -13% (U.S. +37%/-3%, outside +113%/-36%); gross margin 85.8% (84.3%); R&D $3,819M; MS&A $3,430M; acquired IPR&D $2,776M; special charges $703M; tax rate 23.3% (16.5%); net income $7,095M; diluted EPS $7.94; H1 capital expenditure $5,259M and operating cash flow $16,023M — Q2 2026 · publ. August 2026 · source ↗
  4. Moat Explorer calcMounjaro brought in $9,943 million and Zepbound $4,928 million, together $14.9 billion, about 65% of all revenue, against $8.6 billion a year earlier.
    Moat Explorer calculation from Lilly's Forms 10-K FY2021-FY2025 and the Q2 2026 10-Q: tirzepatide (Mounjaro + Zepbound) $36,507M in 2025, $14,871M in Q2 2026 ($8,580M), trailing twelve months $49,466M; trailing revenue $79,666M; margins and shares as stated — 2021 to Q2 2026 · publ. 2026-09-23 · source ↗
  5. ReportedMounjaro now sells more outside the United States than inside it: $5,152 million abroad against $4,791 million at home.
    Eli Lilly Form 10-Q, quarter ended 30 June 2026 - revenue $22,974M (+48%): Mounjaro $9,943M (U.S. $4,791M, outside $5,152M), Zepbound $4,928M, Jardiance $1,232M, Trulicity $1,219M, Verzenio $1,474M; oncology $2,570M, immunology $1,417M, neuroscience $429M; volume +60% and price -13% (U.S. +37%/-3%, outside +113%/-36%); gross margin 85.8% (84.3%); R&D $3,819M; MS&A $3,430M; acquired IPR&D $2,776M; special charges $703M; tax rate 23.3% (16.5%); net income $7,095M; diluted EPS $7.94; H1 capital expenditure $5,259M and operating cash flow $16,023M — Q2 2026 · publ. August 2026 · source ↗
  6. ReportedIn the United States the split was volume up 37% and price down 3%; outside it, volume up 113% and price down 36%.
    Eli Lilly Form 10-Q, quarter ended 30 June 2026 - revenue $22,974M (+48%): Mounjaro $9,943M (U.S. $4,791M, outside $5,152M), Zepbound $4,928M, Jardiance $1,232M, Trulicity $1,219M, Verzenio $1,474M; oncology $2,570M, immunology $1,417M, neuroscience $429M; volume +60% and price -13% (U.S. +37%/-3%, outside +113%/-36%); gross margin 85.8% (84.3%); R&D $3,819M; MS&A $3,430M; acquired IPR&D $2,776M; special charges $703M; tax rate 23.3% (16.5%); net income $7,095M; diluted EPS $7.94; H1 capital expenditure $5,259M and operating cash flow $16,023M — Q2 2026 · publ. August 2026 · source ↗
  7. ReportedGross margin was 85.8% against 84.3%, which the 10-Q attributes to lower production costs and product mix, partly offset by lower prices.
    Eli Lilly Form 10-Q, quarter ended 30 June 2026 - revenue $22,974M (+48%): Mounjaro $9,943M (U.S. $4,791M, outside $5,152M), Zepbound $4,928M, Jardiance $1,232M, Trulicity $1,219M, Verzenio $1,474M; oncology $2,570M, immunology $1,417M, neuroscience $429M; volume +60% and price -13% (U.S. +37%/-3%, outside +113%/-36%); gross margin 85.8% (84.3%); R&D $3,819M; MS&A $3,430M; acquired IPR&D $2,776M; special charges $703M; tax rate 23.3% (16.5%); net income $7,095M; diluted EPS $7.94; H1 capital expenditure $5,259M and operating cash flow $16,023M — Q2 2026 · publ. August 2026 · source ↗
  8. ReportedResearch and development grew 14% to $3,819 million and marketing and administration 25% to $3,430 million.
    Eli Lilly Form 10-Q, quarter ended 30 June 2026 - revenue $22,974M (+48%): Mounjaro $9,943M (U.S. $4,791M, outside $5,152M), Zepbound $4,928M, Jardiance $1,232M, Trulicity $1,219M, Verzenio $1,474M; oncology $2,570M, immunology $1,417M, neuroscience $429M; volume +60% and price -13% (U.S. +37%/-3%, outside +113%/-36%); gross margin 85.8% (84.3%); R&D $3,819M; MS&A $3,430M; acquired IPR&D $2,776M; special charges $703M; tax rate 23.3% (16.5%); net income $7,095M; diluted EPS $7.94; H1 capital expenditure $5,259M and operating cash flow $16,023M — Q2 2026 · publ. August 2026 · source ↗
  9. ReportedOncology revenue rose 6% to $2,570 million, with Verzenio flat at $1,474 million; immunology rose 13% to $1,417 million.
    Eli Lilly Form 10-Q, quarter ended 30 June 2026 - revenue $22,974M (+48%): Mounjaro $9,943M (U.S. $4,791M, outside $5,152M), Zepbound $4,928M, Jardiance $1,232M, Trulicity $1,219M, Verzenio $1,474M; oncology $2,570M, immunology $1,417M, neuroscience $429M; volume +60% and price -13% (U.S. +37%/-3%, outside +113%/-36%); gross margin 85.8% (84.3%); R&D $3,819M; MS&A $3,430M; acquired IPR&D $2,776M; special charges $703M; tax rate 23.3% (16.5%); net income $7,095M; diluted EPS $7.94; H1 capital expenditure $5,259M and operating cash flow $16,023M — Q2 2026 · publ. August 2026 · source ↗
  10. ReportedFoundayo, the new pill, brought in $98 million in its first quarter, a little below the roughly $103 million analysts had expected.
    CNBC, Eli Lilly Q2 2026 earnings - Foundayo $98M in its first quarter, against about $103M expected — Q2 2026 · publ. August 5, 2026 · source ↗
  11. Third-party estimateAt about $1.04 trillion, the shares trade at about 39 times trailing earnings and 28 times forward.
    Stock market data, September 2026 - Lilly market capitalization $1.04T, price-to-earnings 39.3, forward 28.1, price-to-sales 13.1 — September 2026 · publ. 2026-09-23 · source ↗
Sources
Generated September 23, 2026