Eli Lilly's Q2 2025 Earnings Call: Unpacking Contradictions in Orforglipron's Efficacy, Pricing, and Supply Dynamics

Orforglipron's weight loss efficacy and indications, pricing strategy and market dynamics, impact of compounding drugs on demand, supply chain and demand growth, Orforglipron's efficacy and positioning are the key contradictions discussed in Eli Lilly's latest 2025Q2 earnings call.



Strong Revenue Growth:
- Eli Lilly and Company reported revenue growth of 38% for Q2 2025 compared to Q2 2024.
- The growth was driven by key products including Ebglyss, Jaypirca, Kisunla, Mounjaro, Omvoh, Verzenio, and Zepbound.

Increased Marketing and R&D Investments:
- Marketing, selling, and administrative expenses increased by 30%, and R&D expenses rose 23%.
- These increases were attributed to higher expenses for late-stage assets and additional investment in early-stage research to support future growth.

Launch and Market Performance of Key Products:
- The launch of Mounjaro in new countries like Mexico and Brazil contributed to revenue growth.
- Zepbound's performance was strong, with 3.4 billion in sales and a significant impact on the branded anti-obesity market.

Progress in Clinical Trials and Approvals:
- Positive top-line data from the ATTAIN-1 trial for orforglipron showed patients lost more than 27 pounds, supporting the potential of orforglipron in global markets.
- The U.S. FDA approval of a new dosing schedule for Kisunla and positive results for tirzepatide in the SURPASS-CVOT trial contributed to progress in regulatory milestones.

Manufacturing Capacity Expansion:
- Eli Lilly produced more than 1.6x the amount of salable incretin doses in the first half of 2025 compared to the first half of 2024.
- This expansion was driven by the construction of new facilities like the one in Research Triangle Park, North Carolina, to meet global demand.