LLY - Earnings call transcript Q1 2022

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Operator

Ladies and gentlemen, thank you for standing by. And welcome to the Lilly Q1 2022 Earnings Call. At this time, all participants are in a listen-only mode. Later we will conduct a question-and-answer session. Instructions will be given at that time. a conference as being And Instructions] reminder, is your recorded. [Operator the now to like would conference to I Hern. turn over Kevin your host, go Please ahead.

Kevin Hern

and President of you for Relations. call. Good joining Investor am Company’s Lilly I Vice Thank earnings QX Hern, morning. Kevin XXXX for Eli us

Anat CEO Chief of on me Scientific President Officer; and of of Immunology White, President Naarden, Oncology President CEO; Lilly and at Mason, President Van Neuroscience; are of USA. Financial Ilya Officer; International; Lilly’s Lilly Chair Dave Medical and Loxo Joining Chief Ricks, Lilly Dr. President Lilly Lilly Jake of Lilly Yuffa, and of call Patrik Mike Oncology; and today’s Lilly Ashkenazi, Dan Skovronsky, Diabetes; Anne Jonsson,

Kento Investor of We and Ueha, are also Relations Lauren the joined Smith, Sara team. Zierke by

conference call, statements making current projections anticipate our on we and based During forward-looking expectations. this

to differ on could results slide actual materially three. listed Our factors due including those several

that investment promotional latest information and for is could information our the Commission. of we in cause factors to The XX-Q provide is is Securities contained results intended actual and not not and with decisions. X-K Form our the is and Exchange Additional for It pipeline be the concerning benefit filed products differ prescribing community. XX-K about sufficient to Forms subsequent materially and

non-GAAP As to measures. financial on our that focus transition we will our prepared note remarks, commentary please

turn will call over I the Dave. Now to

Dave Ricks

solid start products XXXX morning. data driven Kevin. announced and obesity Thanks, tirzepatide with, growth volume new we led off strong a our the to revenue by key is this

new growth. the several pipeline for of global medicines, next while advancing power delivering our key launches, on wave medicines, focused adoption the driving preparing are newer of all We submissions for potential to product our

we saw We are quarter. the in with the first pleased progress

take to we the I Ukraine. moment get the I’d seeing of loss and are our a address hardships tragic life like to in to results, Before

to our operations families employees Our suspended. priority. of safety and The continues and be Ukraine office our is their are currently top closed

working need are Lilly through arrived Direct Thanks Few order to logistical trial participants HOPE Ukraine. our medicines in an to project of those of including in Ukraine. in ensure this in of challenges month, and tremendous supply of to Ukraine. partners, Relief. efforts by in shipment are We Earlier donated our insulin our clinical medicines the initial

can So while everything our impact we and to there. is to continuity investments, their activities promotional trials. trials regard are suspended there With doing medical ensure we care, new of to we clinical global have our Russia, minimal

ensuring Lilly to cancer suffering Our to and sales Russian need. from we get our to humanitarian them like Russia, generate Should relief. organizations continue dedicated any on people operations from focused profits diseases are in diabetes donate only the now medicines will they we

in total sales revenue Our of for less XXXX. Ukraine and Russia in our than company X% account

Moving results. to our

This progress four five was You revenue XX can QX XX% made have year. years, volume and outlook next is we this over COVID-XX five of along to next XX% new deliverables basis quarter. revenue on on launch IP the account months, the which products products, exclusivity, our the in revenue to the slide runways driven expiry of now core patent of quite grew growth volume the growth key for and With XX% or our business. many durability of of medicines for performance QX constant XXXX due by grew than less XX% XX% and see our currency in our grew our far antibodies of attributable with strong. loss these potential from long to of and for exposed a When strategic on driven so XX% is growth XX%. excluding the Alimta revenue

points. basis QX, gross of XX.X% was non-GAAP an increase XX approximately margin in Our

the quarter. for revenue Excluding approximately from antibodies, COVID was XX% gross margin

off public impressive Type for saw the or we start from our people in Phase people’s economic obesity United approximately chronic XX.X%, Our worldwide. treatment of moderate X,XXX for over results tirzepatide later, Obesity higher the for is more our III Jardiance millions Authorization have lives, points, margin early overweight. antibodies. to diabetes Dan help build increase driven to R&D program talk due operating of a clinical trial is primarily trillion the X.X kidney recent COVID-XX. In is for important significant disease detail topline positive the and more roughly alone. impact margin expenses $X mild we impact non-GAAP and COVID an for obesity, very lower associated both III a could the million people a was four gross reduce believe with adults studies pipeline, clear a over obesity causes will XXX chronic basis with by several Phase global deaths and heart each excited updates a million with disease Use in U.S. well on globally adults are since topline for make The there severely readout U.S. and bebtelovimab recommendation million that to significant ulcerative our X addressing the potential colitis QX to treatment healthcare as U.S. and earnings in for ejection studying people in of for moderately of results difference than failure Jardiance health we in Committee SURMOUNT-X, in with EU Independent a for readout. an impacting first as Phase positive tirzepatide efficacy. evaluate The the mirikizumab We the have fraction, but preserved with believe year. disease the and submission XXX of including call, States Emergency from with to We active costs. for III to U.S. the Data approval Monitoring progressive The of of and obesity living SURMOUNT-X

and can obesity have where of that this journey. our that on new entering is a point era first people proof obesity We that care, medicines hopeful are their treat we are help

a Lilly continue innovation rapidly Boston. Genetic Lilly, advance Institute for on We nucleic the building launch in portfolio to at Medicines, $XXX with growing million our facility of acid the

We neurodegeneration, delivery for will push of technology as medicines, targets to strategic difficult diabetes areas like treat and us DNA-based RNA and obesity. key to unlock well as develop the novel in boundaries

Finally, call, we updates in regulatory, events list distributed QX nearly key six, $XXX million $X.X clinical repurchases. a five slide billion in share and several and see in dividends COVID-XX quarter our of discussing today. we important completed since earnings including and are On antibody you will the

call to Anat the to turn the QX will I review results. over Now,

Anat Ashkenazi

Dave. Thanks,

note following and directions from this is measures non-GAAP milestones presentation Before quarter, I the to that beginning review the SEC, will financial charges not it to acquired upfront results for development. R&D development QX, related in-process and important of include

presentation While previously measures. present have has it in we certain This how our change how reported into our no impact the financial of on this measures, -- results business, have financial will on represent owning GAAP will our non-GAAP conduct charges effect how that we bearing were of an we results. non-GAAP pulling

inclusive and of XXXX. reflecting you from and grew QX points highlighting rates international XX to rest a excluding partially XX%, effects comments We offset Slide percent core antibodies expect have focus margin had than help decrease seven which the development will inventories sold revenue for results. a for comparison development to COVID by expenses in acquired QX. non-GAAP foreign selling XX.X% this year-on-year increased charges. of reminder, my and workbook COVID-XX percent XXXX in expenses basis summarizes Investor of expenses our X% change of gross a revenue higher by and website, prices. gross financial on the in and manufacturing the of per primarily non-GAAP by of lesser gross margins XXXX, costs revenue lower In will increased our in our partially margin due revised in increase COVID development of logistics with performance momentum portfolio of for non-GAAP find in business. XXXX performance. by antibodies, QX, updated on lower I and COVID-XX presentation earnings quarter, Increase IPR&D a X%, our profile revenue can impact late-stage margin measures, operating assets. and this excluding our first non-GAAP offset a R&D lower quarter milestone The on while X%, Gross operating the solid is antibodies, modest driven inflation expenses -- exchange Total driven To extent, share. expenses margin XXXX. as Alimta, XX%, as decreased realized unfavorable increased sales was to expenses and increase now in decreased decreased which administrative QX Marketing, operating

million the million primarily development $XXX due Priority the Operating Voucher. or IPR&D This income and extent, and and charges revenue, million quarter, sales acquired a antibodies, well expense percent approximately expenses as lower development primarily EPS, and of or XXX COVID-XX million reflects negative of development revenue, IPR&D for increased EPS. of acquired revenue XX.X% was antibodies in compared of to and XX% related lesser $X.XX with charges. QX from COVID this income $X.XX R&D IPR&D higher as in to a antibodies, In $XX basis and acquired higher Operating for to and development of of lower the charges. XXXX. we charges points driven quarter, income purchase as of benefit milestone the COVID of impact to quarter IPR&D recognized $XXX were milestone by $XX milestone Review approximately of milestone acquired QX, attributed income was Other QX XXXX, income

related XXX Our This net in to QX XX.X%, provision quarter, the driven expenses to in XXXX of the by the increase Tax tax increase required offset was to Act effective tax implementation expenses. capitalize and compared rate development lower period a by this partially benefit research decreased basis the tax points discrete was an of same XXXX.

and per of volume we earnings inclusive bottomline, share delivered basis related development the eight, XXXX we points XX% and the of to lower slide of IPR&D QX, revenue on charges. price strong in quantify rate approximately As On growth. acquired effect milestone growth

U.S. COVID-XX decline This in for growth Alimta, quarter, the Verzenio, net Olumiant, was continue driven revenue X% the U.S. Jardiance, by of excluding Taltz. expect decline U.S. full price We the This single-digit the quarter to for XX% revenue revenue by grew year. mid when grew Trulicity, XX% from volume, and and and a in experienced led price antibodies a and

revenue. reminder, U.S. may entry a As of U.S. result Alimta Alimta significant launch broad expect to a in erosion single in a we the February in and generic in competitor

Alimta, Moving Jardiance, XX% Verzenio to Trulicity, XX% Europe, and volume by and revenue revenue excluding for constant Taltz, in growth primarily in QX COVID-XX grew antibodies driven revenue constant when currency, from in declined Olumiant. currency and

growth Alimta. We excluding Europe in expect continued

currency. Cymbalta primarily XX% business constant products, as of products decreased affected negatively significant revenue grew decreases. XX% growth Japan return and and in In offset Tyvyt, constant has be Key China, revenue price volume QX growth currency, in Alimta. by to Japan significant in represent been beginning to XX% revenue Japan, The Verzenio declines to expect growth total for driven has access and related our For newer NRDL products in Trulicity, and now continues there in XXXX. partially Taltz, like by in off-patent we

offsetting currency world sales sales products, the as this as increased to to to for Taiwan and The Tyvyt. the the in $XX the of quarter, continue spread of of volume improved in place in for highlight drive commercial driven impact products. virus the rights growth outbreak revenue the this in decline. the particularly increased primarily from potential price COVID-XX the expect put in well currently by recent infused to access near-term, We being constant the Revenue like measures XX% control that than China by Cialis key China and subsequent Arabia, in protective are in million Saudi future of rest growth, in more

the Japan, We mid decline high the and NRDL single-digit price the price net China. with single-digit for access net in to worldwide continue XXXX expanded in by driven a in for decline our the expect Europe U.S., products

and quarter overall worldwide the our nearly shown robust volume of of XX These to to growth performance points our products key continue slide growth highlights products drive products. further As nine, drove continue volume growth. Slide XX% and key outlook. growth contributions bolster this on

our core these quarter of brands growing XX% revenue, generated billion This in XX%. and $X.X revenue business made up

strong classes market We with leaders, are the are growth. and as SGLTX the well of Jardiance the Trulicity pleased with market and GLP-X continued both prescription as where Taltz growth

the by also through $X.X of outlays invested investments. XXXX, uptake are On allocation. and total future an new slide by a We on business drive approval Verzenio XX, development growth we our we driven led provide the which combination indication, of significant to capital inflection of encouraged billion expenditures, In capital has update an to QX R&D QX, in the launch and both prescriptions. in adjuvant and

million to returned In in addition, in billion stock. X.X approximately dividends and we $XXX shareholders repurchased

we key for to capital XXXX pipeline, innovation future in our growth prospects allocation to expect as and the invest XX our guidance. fund launches, and continue capital Our remain new priorities external unchanged, market pursue financial the to our product is opportunities return Slide shareholders. updated excess augment

our of previously now charges. presentation include noted, IPR&D development I and financial will As measures non-GAAP milestone

include For will guidance, pending charges not potential or date from as or the earnings release we impact business will have of incurred development. that been the include and realized any of

as possible information We easy should as are into that to as as understand, make providing change modeling. this well incorporate

to time. through billion you us as in that effective there’s rights multi-source a priority for milestone with further underline look margin beyond, want remind entrants charges, Cialis Starting patent in increasing items are to headwind $X.XX related sales, transition. else let sale in ahead expected also excluding expect revenue recur. benefits development bebtelovimab of approximately to be we in expansion the for guidance billion numbers $XXX QX anything percentage do rate revenue, million sales if expansion our IPR&D benefit be revenue and are QX. $XX.X second that do Canada. to China, the margin generic know team. range the benefited first the prior communication, the which which non-GAAP to to points QX. to growth continues by resolution of impacted you updated to navigate there quarter, I As X.X reflecting as be that into will billion, one-time can we reiterate provide a we operating by the of we and I cefaclor revenue will always, to is roughly include XXXX of of drive assistance of antibody not from this would QX $XX.X $X of litigation Consistent COVID Alimta the U.S. please of results, with approximately in our our guidance, over be range in Getting These quarter the now topline favorable to additional tax billion several

an business While is to antibodies to July begin it of project whether additional of the performance. in additional from purchase doses are of option guidance. impact U.S. expecting XXXX, anticipate offset and rate, no included exercised, that any bebtelovimab unfavorable stronger be is has foreign QX We Government from uncertain to option XXX,XXX we later revenue exchange XXst limited than this therefore, not it an in will with year, our this sales COVID-XX it core while be

lower due manufacturing reduction million increased majority which driven have now margin, to extent is approximately Moving billion late-stage inflation. be $X.X point of percent $X.X expenses bebtelovimab clinical XX%, increase of been investment development down the billion, income sales, $XXX gross basis is to be and our to Alzheimer’s by logistics for XX%. The is due an to statement, now ecosystem. expected has and investment primarily margin QX $XXX by non-GAAP R&D diagnostics to pipeline, be to costs advance range in million while in GAAP to impact margin approximately gross margin lesser to a expected gross to the this The XXX and approximately of

GAAP approximately success PIXK were development, guidance of of $XXX with obligations $XXX our XX%, to Meudon IPR&D million, guidance milestone regulatory associated the remainder reflecting primarily or related milestone includes future acquired pending charge basis and any negative and points IPR&D with and potential the This a acquired contingent of operating selective the with XXX associated development non-GAAP charges million, due charges business XX% transaction. decreased Our upon development primarily to date. that development impact commercial of from QX approximately buyout to not respectively, margin and to charges include does inhibitor. impact and the

done for charges, same change accounting and operating in figure inherent Given associated with will development measure charges, our it not the the margin efficiency has non-GAAP such historically. variability way acquired the in milestone IPR&D

you milestone margin and operating charges. margin our contract aim the time, to in operating appropriate, acquired you excluding that knowing However, over IPR&D expand way in deem we develop

tax and rate the provision XXXX of expenses Tax in favorable for tax Our Act capitalization from and include XXXX the development that requires QX EPS a impact research purposes.

this provision XX%. be EPS our share business Our rate, financial range lowered is is QX reported guidance then full are have That certain and provision billion. non-GAAP $X.X the will by EPS and be by unchanged It decreased reduction -- approximately impacts charges, non-GAAP bebtelovimab and attributable milestone non-GAAP we of effective share is tax offset per to our our or tax to that EPS repealed includes non-core guidance for and $X.XX our of of benefit of to our the changes, be payments to tax the $X.XX XX% in this this $X.XX. the improved lower range will of Congress, or which XXXX. rate If increase per expect guidance favorably to acquired in sales would year deferred increased $X.X $X.XX R&D. be and IPR&D to net the the range now this $X.XX due notable $X.XX the expect development items, XX% in investments decrease year-to-date provision income these performance partially deferred that by assumed to over in for we effective year repealed not it cash while XXXX to approximately Based we on taxes effective reported

turn R&D. I to our Dan highlight over call the to Now will in progress

Dr. Dan Skovronsky

Thanks, Anat.

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neutralizes authorized -- demonstrated sudo non-hospitalized earlier, FDA by the mild COVID-XX. BAX for assays. Dave Bebtelovimab limit authentic moderate neutralization virus patients as lineage for Finally, and emergency mentioned as to the sub OMICRON bebtelovimab virus with including use certain

but at another successful advancement busy, As you QX quarter was pipeline see, can for Lilly.

remarks. Now Dave I some the for back to will closing call turn

Dave Ricks

Thanks, Dan.

Q&A, driven delivered let go growth, we volume to year. products, business. by up we from sum have this We largely briefly which me our core sales progress the Before made growth solid key our XX% represent of

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billion $X.X Finally, dividend share returned shareholders via repurchase. to the and we

We of diabetes, the patients disorders. bring long the and human launches facing groundbreaking with challenging term diseases obesity, invest Alzheimer, to therapies promising to opportunities are cancer most R&D kind, committed for advance like diagnosed autoimmune to some to support and

long-term seen extremely our progress the confident remain have With in we we growth prospects. to-date,

will I our call to Now, the to moderate Kevin session. Q&A turn over

Kevin Hern

the like Dave. many session per the questions then possible, two so would instructions ask from first Luis callers for please We for Thanks, as [ph], provide questions to are and limit Q&A you that take as we caller. caller. your the ready to we

Operator

And line Cantor. go Instructions] [Operator she from you. and Thank question ahead from first is the our Chen. Louise Please of is

Louise Chen

for questions Hi. taking my the thanks and Congratulations data SURMOUNT on here.

How want the is to indication you obesity? for here, there do it file that for I in Thank you Is to and data an market the data in landscape larger today? positive changing light So SURMOUNT see obesity you. of opportunity with Type or opportunity diabetes SURMOUNT. and you for tirzepatide more do X ask your what’s the

Kevin Hern

Thanks, Louise.

go those. to We for Mike Mason will

Mike Mason

thanks the Louise, appreciate for right. All compliment upfront. We that.

I the people opportunity obesity we sizable globally in of as people the think over XXX a when at is, see globally. opportunity what look the people trillion kind thought $X million who over we burden with it of the and numbers massive before, market just a live contributes We million we remains of U.S., XXX it’s that opportunity. some it’s But society not a live implications. a unfortunate only health really others think obesity, visible that perceived It and emotionally. stigma disease both as should physically as really -- with very treated a has individuals do chronic if hurts be It illness. you a huge it brings into and with unlike

treat The And not overnight. develop is disease. a so there market to this to going is need

be is the have and establish that it. to We increase We needs for to do grow awareness access disease to that a this need treated. chronic

looking to this. are we So long-term

important and knowledge get grow then to the the market. to it’s for the that able think and us build a by is be I foundation, that this disease, build appreciated chronic healthcare professionals payers

we are So to look long-term. going

because by on, delighted this loss not are obviously dose. do pounds so that about the only Every on medication because the but I at the a dose that we there is XX% across excited need -- loss and pleased look different think but weight assets, weight there. we I obviously, a am X many tirzepatide -- about mean, of very marketplace also weight we that, quite out by the have are but to doses everyone SURMOUNT-X, the the early at XX in individual averages, all high at dose different and only we weight saw offer investing different were and to when the no the we need high loss average, is we We averages doses. the in profile and as obviously, not am early milligram, the is at need I focus we loss profile wowed

FDA FDA As discussion trials a have SURMOUNT-X, great. with X said, this the But for market marketplace can filing need it your we to question, four have X accelerate -- and data on we we to the Dan whether given this meet and huge originally the given the aligned data, we do find with X, The to think the about program. on path SURMOUNT-X the it warrants is need. a on

over have a and studies also to SURPASS-X with We Restoration patients population efficacy on in of information the safety Global SURMOUNT-X. diabetes go provides that along X,XXX in good of lot tirzepatide the the

to that So we conversation. look forward

and when about I last think when diabetes I at, you we more think excited question -- look we are obesity. was, your

excited I diabetes on think of are we first, Obviously, equally unmet focus still about massive we our need. attention both huge them. a will

people We half unfortunately diabetes have good control. of who with X Type live in only

will obesity as focus then long on have term So focus we that we on I will and said earlier.

the question. compliments. the it. Thanks for for Appreciate thanks So

Kevin Hern

questions. Thanks, thanks Mike. Louise, your for

Next caller, please.

Operator

go Terence ahead. The next caller Stanley. Please is Flynn from Morgan

Terence Flynn

Great.

well I offer SURMOUNT-X as questions. on my the congratulations two Let me data. have

we the to the the the of are FDA on based panel. the AdCom tirzepatide timing convene diabetes, just window it BLA like is an for seems acceptance first passed The of for

two open perspective early if just a I still Thank probably if then level to and Mike, So going to your there? was separate just thinking wondering on level you is door a if going on, the this then is pricing of commercial could agree with be or brand you wondering, be here, for about based just single positioning thoughts brands you this as you. or is Trulicity? dose question or fixed high how tirzepatide. on are latest And Is share

Kevin Hern

Terence. Thanks,

those Mike to both questions. for go will We

Mike Mason

ourselves answer to that we of know will for competitive Thanks that your diabetes our the brands. in time, first on one second Obviously, right question the will maximizing the opportunity kind Okay. keep question. that’s moves on at positioning. obesity and for focus will make this reasons, I will two we and whether long-term or we commercial

versus early tirzepatide. We will and FDA With on with this the for have the regards one the AdCom, anticipate too that about to brands talk dialogs don’t we at it’s to AdCom point. an two

Kevin Hern

thanks Mike. Thanks, questions. your for Terence,

please. caller, Next

Operator

Bank Meacham is Please go The next America. from ahead. of caller Geoff

Geoff Meacham

on the offer Also want Hi, for guys. Thanks much congrats to my data. question. so the

prevailing obesity you, needed. the the Just still looks to an had market that wisdom reimbursement study a gating that is few Dan, a be access opportunity. think question be I on will and for and factor outcome

Thank reference agree drive was second, if a you point? and you. you the think I size thinking of a about you of wasn’t you scope of is reimbursement obesity is or do, with surgery bariatric do guys reasonable sure first, there a if that, So, outcome are and benefit estimate example benefit, a point for that study? could how help

Kevin Hern

Thanks.

go you in also on to Dan MMO and weigh will to We Mike, invite study. then, our

Dr. Dan Skovronsky

Yeah. Thanks.

disease evidence weight we you the strong in of really Of a in surgery, know really bariatric can believe the diabetes risk. decrease of saw reduce the get quite benefits weight prevent many loss it or that really a what but Obviously, onset It is mortality diabetes. will variety of We has there lot to lead It from well. this across can shown which the when as near range and a cardiovascular course, can we loss. X of diseases. That’s reverse top even outcomes in cardiovascular Type that of others is bit list, trial.

are we the those change to about outcomes. excited potential So

course, to you we out, have demonstrate point that. Of as

medical given will a offer we of this can of do more in time. see that that user disease data that. But for the where Mike are We over of depth as unmet I and understanding need gating on process obesity, reimbursement the details in our factor given drug. don’t Maybe

Kevin Hern

Mike?

Mike Mason

X%, backwardly -- to the The thanks for one health X% was with look seeing compliments data. obesity to the able loss. and this No or benefits on weight one outcome Thanks produced no of the weight loss. that at able fact you access, Yeah. really Dan. at wouldn’t X%, up been that Thanks, has weight Yeah. that loss haven’t levels good Yeah. level point produce the agents to at secure I were that

makes going you true the product for can loss, But deliver weight suggest and good health believe access a outcomes. really lead do it looking XX.X% are benefits. we those cosmetic payers to to data that’s out than like sense more health if that opening not good to improve there’s at So there up for to probably and tirzepatide

the limit time But will I will think us in that. don’t and meantime. we We from that have that to over do access gaining produce

U.S. when think access. having million, at with at XX access you under the I [inaudible] novel who people live obesity look in million, XX

build continue to that. think we on can I So

was employees obesity there the a access win recently agents. big think Health Federal I with obesity for gaining real access for

to will that’s to dedicated are that will series demonstrate -- that produce we I trials our -- important So are Also as include good we as of study understand we cardiovascular. sleep have for expect HFpEF, hope outcomes tirzepatide outcome a we think we apnea, demonstrate well a and that trend. with

now Now that those access. are have right indications do

So example, D has take both and commercial you Part coverage sleep for both good that in D. apnea, Part

have there be So that outcomes those to for show and that that good it. who sleep do gain apnea should for access able we people obesity we we expect

we today live where So access with that start long-term off and it is over think and But for and who build grow to committed will access are it people we do help the believe time. we duration. obesity

Geoff Meacham

Great. you. Thank

Kevin Hern

Thanks. Mike, your Geoff, for Thanks, questions. Thanks, and Dan.

please. caller, Next

Operator

JPMorgan. caller Chris next is ahead. Please from Schott go The

Chris Schott

I just you Great. see Thanks the once -- plateauing will accelerated of I data you did plateau question an in tirzepatide. Thanks. and Do well. on how as weight At guess the are for sense patients obesity. on couple questions expect in it The the of was am first, thinking tirzepatide questions obesity? and they on a do so, lost congrats you of about stay filing when if to study, on in trying and drug loss you weight? the second duration have do then

progression the Just that on any diabetes come pre-diabetic SURMOUNT-X, could I on that? to when we get prevention is And endpoint a more just or from clarity details finally, label? diabetes could guess then, Thanks on of could data more much. indication this become labeled so

Kevin Hern

Thanks, Chris.

all Mike to those go will We for questions.

Mike Mason

Okay.

I more will been have than go through quickly. may think that pretty these I but two,

of plateauing. first loss all, So, weight

have up. we the coming for our of leave meetings medical to I data think some

a will that for that. is chronic We I requires do So that treatment. a illness believe chronic this reserve that

benefit need drug look our long-term stay get on a from more indication in labeled health segment I then that data tirzepatide benefit. for, could having So provide important will as to probably the population showing at pre-diabetes, outcomes versus an for so the And it. where believe about people to do order we could that it

Kevin Hern

Mike. Thanks,

Mike Mason

okay. -- then And

Kevin Hern

Sorry.

Mike Mason

ahead. Go

Dave Ricks

ahead. Go

Kevin Hern

caller, Next please.

Operator

next Thank Baum caller is from Please The go ahead. you. Citi. Andrew

Andrew Baum

program the the is commercial realized questions, rather by helped you referenced trajectory the I demand covered your and that they will are makes real converted to very extrapolate a the novo diabetes to it You Yeah. reimburse during Couple that be you. has period, that on by sure what you we the those of pushing is. comment from had Separately, clearly, there and please. bridge hearing expensive it attained. But back near-term? that mean, The which patients am Thank long-term reimburse. PBMs bridge I obviously Could co-morbidities, potential difficult competitors.

now having have as have in So be failures then, program? that first given obviously of III, you your helpful. at SERD as least are any impacts Phase thinking How late-stage two with we how development well comments you about on second, will had your Verzenio. this And you

Kevin Hern

Thanks, Andrew.

one for go obesity and around will the trajectory first in to Mike then We SERD. for question the on the Jake

Mike Mason

Yeah.

spur said now be one on do going I the to I it’s not As gate that. are you think going earlier, to probably that

You segment will time. will that but a sizable over one grow have

they will grow think would We will one so as one will it it it’s weight supportive decade is loss. provide to two. establish, you that this something and the people we obesity at will for see care next that But that at a benefit launch or market, say programs, good the make do be can bridging sure size, but the I have support look decent experience and the to

Kevin Hern

Jake ? Mike. Thanks,

Jake Van Naarden

question SERDs. the for about Thanks Yeah.

to trial yet recent see some by company relates the two given in it of directional recent announcements. of least view the were case the we program have clues at to though really Our landscape our hasn’t light changed that data, the Obviously, all in management. much in as there most actual one readouts,

I what cases, that. think but companies Phase underpowered II those the studies I and in other from as trials, saw suggests studies. qualitatively we exactly many largely in of direction are speaking words, sort think trends right we those underpowered hearing In

second recruiting fully Our lines that right study. trial powered randomized a III we initial Phase now is are

actually design anything, the were than may for setting that’s not not there we really trial more if are will most more previously. we I this for which -- impactful working that’s that for market winning the we the later talk on about So and in is path those are that to the really In medicine, agent year. study that be the first adjuvant place patients the impactful ultimate the But but confident setting, we in think really late-line and the

Kevin Hern

Jake. Thanks, Andrew, your thanks for questions.

caller, please. Next

Operator

Guggenheim. Seamus Please The caller Fernandez ahead. is next go from

Seamus Fernandez

Great. the Thanks on questions the and data. for congrats

you is program that’s you obesity How on will be separation certainly market comments for large the the a Phase it something separately, real faster quick the game that XX% with that do of a and very do statement things. is, we this of and III but else And to is follow is to are basis the of yet the there SURMOUNT-X regulatory more intriguing. see Just your up conducting changer question, side have you think you wanted potential really and a data is the path likelihood broadly, just authorities Dan, unique that in see it’s pursuing success you data the then, -- the on compelling? Alzheimer’s that threshold, to on think or potential the

the Lilly later those get program general issues as that past how some are those to the other compare impact clinical the other the trials. there sort -- of lines around two of and are am I said really just relates some have along you how programs contrast versus some feeling and I of in your we think of it coming about wanted you or year? wondering to this are that think thoughts Thanks.

Kevin Hern

Seamus. Thanks,

We to both those. of for Dan will go

Dr. Dan Skovronsky

The start an basis previous guidance anti-obesity path. Seamus, clear I guidance the let of Sure. mean, required sort with to form in drug the the documents discussions FDA alignment indication those the our me regulatory on made for comments tirzepatide Okay. with on get has agency. I what’s that and and of

those trial to and the from the full require from on of continues this will -- based been this Phase package case base III data Our program. really submission has be

additional It’s as discussion hand, of elements and the for with data with us Phase the III said, here trial encouraged pointed as other open to you FDA. that there that very the large from the a I are out door On I impressed were got and we a think, SURMOUNT-X. number we delighted

specifically. highlight You is things. or asked what will two three Maybe I it

efficacy, the a and the weight level for unmet unprecedented need. I out, as you field is medical very that’s more XX% loss pointed addressing significant weight really exciting patients and of than First, in think the loss

is that got. safety and the data Second tolerability we

active more how is on drug surprise few this drug, had, loss are just treatment think why and as if I I was, for I at you appreciate stay people made drug and a to we than getting. more weight how the the there that out, indicating discontinuations on tolerate pleasant on pointed look arms placebo discontinuations there well tolerated of the benefits this the want they

So that argument. profile seeing, we good safety data in demonstrated in X efficacy Type this many isolation. efficacy significant is that the that course, and patients that X a tolerability and step profile, in very combined of are the and This on last extraordinary see diabetes I diabetes is and don’t involves a major setting with as which The program, builds with well. of piece, Type safety very think, we ,course obesity

for to we to If and So more with have there we as we investors question, here, Chris’ expedited I think be path we we an discussions back as as is opportunity see will and when circle more, will see do that how learn with that learn we possible. regulators. goes forthcoming

around versus second competitor Alzheimer’s what those going question here our about at. we are when looking where readouts, was we are profile competitors and to Your be and thinking

elements biomarkers of we very our but with in number starting that could patients design a have tau previously to TRAILBLAZER on with about amyloid of positivity, we select probably, also just use X win be intermediate not think doing important, we patients I spoke that in levels. think

much the therefore, where those brain and no who tau even we placebo, beyond point because them won’t too have from we tau in will in get there the patients drugs a won’t So the nor benefit think patients with aren’t brain, anti-amyloid progress help drug. they are because on these think patients

give patients will So see a think more homogenous better opportunity in background. us to we those the efficacy selecting

effect should and our should on think larger which size. to translate we measure a powered a amyloid improved faster third and and Second, to of be that some analysis we have degree composited then to are see excited we the more focusing lowers ADRS, steeper is statistical a in that things drug And differences highly a about plan benefits.

totality general look will our readouts positive even trials could to reasonable that prior the on chance So think, a combined all encourage of ours, to lead or I or endpoints some hit. Even see data trial’s there’s designed of having at is think What it’s trials hit discouraged. one on those some when negative, competitor point as some to see data solving and us I are we things evidence is lowering we time from expect hit if amyloid at to a won’t we don’t where I a though be competitors both statistical I if will significance, that us, said, function. that effect and then cognition in and points totality be,

of year. are we next middle what that’s what So hoping for expect and that’s we

Kevin Hern

Seamus, your Dan. Thanks, for thanks questions.

please. caller, Next

Operator

ahead. Wolfe go The is Anderson Research. Please caller from Tim next

Alice Nettleton

that Tim at your achieve Alice reduction, congrats don’t with the loss seems still Nettleton XX% impressive, about to resistance data. based it tirzepatide, quite mechanism high for XX% go, to placebo my the least suggest products X% taking of of to on Thank some which Anderson. and a who and patients weight based almost so who is a on for just This sort percentage on circular. questions to but is and is Hi. the on product weight novo Hey,

those there predictability or is you. respond? rationale mechanistic who Thank don’t any So for

Kevin Hern

Thanks.

to question. will Dan We go for the

Dr. Dan Skovronsky

for question. that Thanks Yeah.

There studies patients loss. medications didn’t right, not with have respond. I who for in tirzepatide. That’s the been you are think past weight different case a of lot of

than loss. least more and the weight XX% XX are we So dose, that milligram patients XX delighted X% really of at had milligram at

some is a working of two-thirds patients really the weight this vast highest life-changing of drug and are to patients in majority which loss, is this extent XX% the the trial So nearly in at getting dose level.

combination in So overcomes are patients most of for powerful also tirzepatide that that you resistance part. that right. GIP have I think have are Patients it such mechanism those to -- the variable mechanisms. we Thank I But GLP resistant you. degrees this and a think of is anti-obesity

Kevin Hern

Thanks, Dan. Alice, thanks for your question.

caller, please. Next

Operator

is Raffat caller next Please Umer The Evercore. ahead. go from

Umer Raffat

how the Well, maintain I Thanks for congrats my guys. Hi, am and by the I It’s taking way, physique. my on data. question, joking.

barely in So, finalize donanemab, given And the FDA? able why I with your also confidence I line there not make of have have have been two a questions. you Boxes in in One, to stack endpoint the curious TRAILBLAZER am CDR donanemab, Sum I would it just sense started versus. to tell a discontinued slides because the less then, in has this noticed one, And quick trial I couldn’t been mentioned ago. IL-X the ulcerative colitis removed for is that if six conjugate being months separately, it’s than head-to-head your in and

should So you. I just thought Thank clarify.

Kevin Hern

Thanks.

go will all to those questions. for We Dan

Dr. Dan Skovronsky

Yeah. Sure.

start the Alzheimer’s let with So questions. me

about plan. our I think we stats have been public

ADRS is outcome and that on Sum from still perspective I things of statistical data warranted an past which of have a better statistical function of many just think performs analysis, all this the both the we collected that like while Boxes, cognition. show CDR by pretty well focus then have by which detailed trials, a capturing on is been published

noisy is also CDR and appears So unreliable.

studies, sister in two opposite of can you CDR move the example, much more and two in look effects. different ADLs of directions or consistent two If ADAS-Cog, components aducanumab reliable, studies for show together whereas the across the move Boxes solanezumab Sum ADRS studies, studies are

in endpoints Boxes with I best that It’s do think do. we of once we our regulators With So part to our CDR CDR which where noisy, least in a wouldn’t and of are analysis, reliable, second course, we going to an that’s we of formative fast will data. right. we put Sum statistical the a and most question. was it’s patients our Why course, ulcerative have on follow Well, evolution of justify number we in Sum are, we is this of ADRS. Boxes. was held But, analysis have first the I will good worst see IL-X, endpoint that that secondary criteria, what to a enroll achieving Sum Boxes. okay. based proceed. most are expect be are CDR quickly. enough is case not out pre-specified If sure, we This our to II of see chance of triggered think to of you from pretty gated with We Phase that scenario is to I interim pretty hope amount have and and for ADRS hit a happens, based the That’s colitis. we we to certain perspective, a and analysis up certain pleased and will -- do were and on efficacy respect study We that

indications that fail colitis, ulcerative that it down indication, persist. other that in wind analysis. particular but two So study futility We dropped

Kevin Hern

your Dan. questions. Thanks, for thanks Umer,

Next caller, please.

Operator

Scala caller ahead. go from Next Please Steve is Cowen.

Steve Scala

but questions. as couple a a It was you. likely not huge shifted. has Lilly, strategy SURMOUNT-X Lilly’s considered The surprise. have A of impressive, been data scenario yet Thank must filing by very

or has So, just clear, So results? the early based other Lilly file SURMOUNT-X to on question. regulatory be first body FDA that’s to encouraged the

least number unusual your that Second seems just question is, key our It in thinking. were of other or inventory a there movements any drivers at movements missed quarter? the

accounted So for I inventory that? Thank am you. wondering if it movements that was

Kevin Hern

Steve. Thanks,

We Anat question for will inventory. question the then go the to regulatory Dan on for

Dr. Dan Skovronsky

right. All Steve, surprise. not I said, think, a you it’s

the bit I expected. are most I have higher was as Certainly, that that than maybe achieved was think of most there than well a some as people level think are efficacy would the here tolerability. positive expectations, things more quite here

diarrhea, particularly the most than nausea, probably vomiting, have from lower. expected events would So people what adverse discontinuations treatment lower

on package think that have does we I So the a data whole, expectations. exceed

tirzepatide. So end of possible at range for be thought it’s really the top we the of what a might drug

So that. about excited are we

full as about be about are forth the Specifically, of FDA might other We light was options submitting had things you that. to back on I and like before, package regulatory complete, But into is when our in not the what state. with don’t clear, the around have said interactions. get and usually exist yet alignment like discussions just want to asking and

Kevin Hern

Anat? Dan. Thanks,

Anat Ashkenazi

a and of end year dynamics as same you here each of We each number at typically typically on see associated build of seeing comparison. inventory are We year. first which December So may for saw looking the inventory burn then this year. in by Trulicity and the the the we products, year-on-year be with following the at dynamic dynamic other in calendar quarter QX, in in impact an saw you

QX in at looking did are size. in QX you if see in of script year-on-year element, from we to other perspective, Taltz a The comparison XXXX reduction

last the started associate As dose and we multiple with with contract on. with our we each started year ESI loading that patient devices had you recall, --

So just associated seeing year-on-year comparison. this quarter with that we are a reduction

Kevin Hern

questions. Anat. Steve, for Thanks, thanks your

please. Next caller,

Operator

is next Vamil Divan the Mizuho. from go The Please caller ahead.

Vamil Divan

the a more so taking I Maybe could. couple side, the questions. for Thanks on much Great. obesity if

just maybe mentioned you an you I more you four Can against Is you come competitors the lots one, policy discontinuation mechanisms could issues or and that? that expect now some the are in little at talked that was you before about you efficacy second, this talk Phase bit and about duration. that Amylin maybe with the do around overseeing and of additional then, And So Amylin blips a here. the the of the maybe working with time? moved agonist on, have insurance

then you just then Thank when you you think and/or or profile, us of -- of end given you either the that want are something can and yourself? superior for current sort we seeing think a So average staying with if or maybe remind how therapy product that patient may But for current you like duration what duration in I obesity? much. any the diabetes up the have so Trulicity is

Kevin Hern

Vamil. Thanks,

obesity We and will Mike implications Trulicity in will question to then go question we to duration of phase the Dan kind around on the go for for obesity. early and

Dr. Dan Skovronsky

Vamil. Yeah. Thanks,

You Amylin are our about asking long-acting agonist here.

maybe now more. incretin interested years, of many a biology been pathways decade like those is for one of have pathways. in Amylin other We or incretins and

on This a worked receptor have dual is agonist. We Amylin agonist. Amylin calcitonin pure

through with could loss portfolio who similar have I I of our even top mechanisms likely tirzepatide. now some are it loss. may that mechanisms any you higher of desire we But even expect Phase these don’t criteria these complements will kind tirzepatide. bar we We be and II and weight loss, offer progressing. clearly, But to patients on think for of the of exploring XX.X% additional look other to I and as these this stack Phase for one mechanisms raised weight weight

that bariatric be very I accomplish of tirzepatide. a to XXs advance think beyond efficacy weight the in even high to adding something think is to next Maybe the mechanism to could and better similar to That’s patient’s have I an exciting the offer majority loss now frontier. new be going to tirzepatide surgery. a

Kevin Hern

Dan. Mike? Thanks,

Mike Mason

functioning The the you starts questions. run-up discontinuation fraction -- Yeah. think, to someone similar you I suggest X to obesity in only compare, you that of diseases nature going with when of lives Trulicity that of our someone effect effect obesity off onset for at kind the when to that and that a loss diabetes on and the that A like versus health diabetes. because Thanks not cell have question. beta has We the at at with and it and have may point, decline is the you diabetes cell then good of continues go is some and have of so weight same normal with who have you health the diabetes dynamic and our length have to that of will you insulin. of beta that will of someone for look the to it’s what beta don’t wearing the in see hard that very obesity, lowered or the rates before believe beta look health pre-diabetes of cell Type have is same Trulicity who therapy. When GLPs they in diabetes, the cell

well will do to motivated during of we area that be patients why will therapy. be length to patients and therapy. learn we we entire an loss can make agents said, weight obesity for sure focus and people stay the that will durable whatever taking stop of the support do we that So will be more on believe us it That to

Kevin Hern

Thanks, thanks your Mike. for questions. Vamil,

caller, Next please.

Operator

Please Gould caller is Carter The go Barclays. next ahead. from

Unidentified Analyst

the on all for [ph] for taking Carter. updates questions and today. Thanks Justin on exciting is This these congrats Hi.

one looking first The at to read failure. heart throughs

Does of this for looking data get given analysis, is interim there weight we study, your then Just increase your amount outcomes any loss weight the in of predictor of wanted magnitude ongoing summit today the summit? and loss outcomes the on that implications to on should the the thoughts are the a study that there. at be confidence of

Kevin Hern

Okay. Thank you.

questions on Mike those to go will We summit. for

Mike Mason

the of weight was obviously confidence I HFpEF, one III Phase that. all makes data program for hypothesis Yeah. I us would the with and indications SURMOUNT-X question. of our hypothesis, strength obviously, entire good SURMOUNT-X and in I individuals think mean the mean, loss the tirzepatide help supported so,

our but can top tirzepatide. for are the of any on we have, HFpEF that don’t So we head, we in program and heart question, believe Dan confident I I lead do study. our into off maybe have interim believe readouts my failure

Dr. Dan Skovronsky

interims… Yeah. Mike, disclose to -- potential I we try usually not

Mike Mason

Yeah.

Dr. Dan Skovronsky

of study. the … preserve to the integrity

But And earlier, increase in we as as will which of course, sometimes high look biomarkers those at dig we deeper, cardiovascular sort are our number confidence weight study, said and loss inform end I a totally to that So build we could options at not. the we of got just HFpEF. sometimes, in of benefits. of further the expectations, it’s I agree this

Kevin Hern

Thanks, Dan, and Mike.

for questions. your thanks Justin,

please. caller, Next

Operator

go caller next Please ahead. Berenberg. Holford is The Kerry from

Kerry Holford

for questions. Thanks one taking another first. just Oh! Hi. Please, tirzepatide

just you. earlier the PDUFA you a for are filing? then you evolve in date provide you as could was is that expect PLP that on Thank guidance. Anat, level filing Clearly or diabetes data you think on what you, of each you supplementary that enabled But review? can that IPR&D you a and And hoping could would also milestones exact an to of extent, today secure Do you the question start quarter and the Eli acquisitions, we my in at year this purchased perhaps if the yet cost this further and ahead? for use obesity, confirm make believe can what you compelling now to get filing collaborations second visibility also So so. to will Lilly you make quick the look so year

Kevin Hern

Thanks, Kerry.

We questions regulatory tirzepatide Anat then filing IPR&D around and will on Dan to around again and guidance. to for go the

Dr. Dan Skovronsky

Kerry. Thanks, Yeah. Thanks.

discussing early didn’t clarify, an to regulators. next moving announce we the step with Just plans just filing, said, we we are and options to for

PR have we You have repurchased. are do we a right that

a the indications have are indication. as molecular We with both -- the with portfolio as new rich opportunities, to obesity excited entities, such well as new

and the of opportunities will unmet and are available that medical on. course, factor best to that choose regulatory what’s needs path on We based competition, us

Kevin Hern

Thanks, Anat? Dan.

Anat Ashkenazi

even call. business not the at our last Kerry, building provide you been development and end while into on on and we just these But year, IPR&D them we are will unpredictable. if now variable any highly actuals are numbers earnings anything, between that quarterly have but signed so charges, results, transactions in information non-GAAP highly -- of from the look our you the our numbers quarter the

business or quarter issue charges So you what XX we one be to to in move guidance, from million knowing transaction development be, any when signing. can And impossible quarter even is for on practically in million detailed zero. us will we another not view XXX it those what will provide

if there will that large associated the it’s the as will what business within we is, we every So to it investment press be community quarter. information development with will the associated have quarter. do those, a Typically with we release transaction provide

is able be to But will to guidance you see predict actually part and these. practically as track it impossible So providing that. challenging, of

Kevin Hern

We Thanks said, submitted a quarter X in dates. questions. the Thanks, we question give it. midyear. Anat. on -- by your we as announce PDUFA Type But don’t And for we expect it PDUFA. Kerry We that had we diabetes the when

caller, Next please.

Operator

Evan BMO. is go caller next The Please from ahead. Seigerman

Evan Seigerman

discontinuation mid-dose color you assuming tirzepatide when of the expect you so about for this tirzepatide, between would why any think the have you then to two switch know of do if additional rate you to coexist I potentially patients and Thank so speaking, saw in And market in more you tirzepatide? over, broadly higher questions. much. assets we do approval Trulicity to my expect guys. Thank how to you much Hi, data. taking love a

Kevin Hern

Thanks, Evan.

tirzepatide. tolerability first discontinuations to go and and around will for question Mike, Dan We one the second the on Trulicity then, for

Dr. Dan Skovronsky

study, XX doses In similar. Thanks. and pretty the milligram of Yeah. XX were the milligram this tolerability

the similar. surprising it’s have pretty So rates discontinuation not treatment been could

on more Of efficacy course, milligram on dose, little therapy. is the important to there a driver which bit is stay XX

So and tolerability probably of small the XX XX are out better, see efficacy all balance rates for rates milligram discontinuation of pretty perhaps, of the little and mid a look if in you milligram. sort But discontinuation, the of AEs. playing bit at these single-digit

great. really that’s So

I expected. think better than

Kevin Hern

marketing Thanks, And on Dan. tirzepatide Mike, Trulicity and thoughts?

Mike Mason

Yeah. Thanks for question. the

focus Our well class, going as as the is share be to class. growing the our in growing market of

and try most for the new existing into molecules, important winning our opportunity portfolio. not necessarily for patients are the incretin the new to We switches incretin entire will those more patients. but maximize what’s on products, is that mean coming class I

But on I new be into a approach coming is so, our And focus will GLPs. our other driving patient starts patients of mix and and I going new forward. wins class we get think will really tirzepatide to primarily, over so the time, between switches think be going that from

Kevin Hern

thanks your Evan, Dan. and questions. for Mike, Thanks,

Next caller, please.

Operator

Please The next go Chris is Goldman ahead. caller from Sachs. Shibutani

Chris Shibutani

that and if what that us for thinking be ultimate frame mentioned that you there? don’t about set you the it’s expectations and level be think I questions, may in I the next Can maybe this potential bar opportunity. think would That from your necessarily of is Novo’s progress read the would Two point you outcome would you across tirzepatide of for you helpful. factor. terms data you. a on Thank believe what know think be I a gating study

donanemab question on language the you of adequately to to you. for clarity current the will requirements of NCD and Thank Second CMS final therapy? contemplate what they have need perhaps Alzheimer’s post that full do conducted post-final for reimbursement to that from used, order believe structural NCD the address be of that studies the kinds CMS program sort in for be your

Kevin Hern

Thanks, Chris.

We to in for on the the question thoughts and then in will on landscape Mike donanemab. just the studies for Anne there NCD outcome the obesity, go in competitive the

Mike Mason

to payers and Yeah. CV continue on that some class given a the access -- for the Step will he the think, the bit be it. little We expect to We study has what successful expressed. weight loss grow early, this winning to question. be touched Good we expected think I important on and but

we for outcomes expect the So confident we III it obviously, Step also demonstrate we that successful, to program are comprehensive Phase hope program have be, very a is will obesity, in. and we

Kevin Hern

Thanks, Mike. Anne?

Anne White

question for the Thanks Yeah. on donanemab.

TB-X our data. Phase as to be III reconsideration mentioned, will So, Dan the priority advocate for with

review criteria data meet So high we will we and set the program requirements we we believe overall and data should with CMS their do so be extensive to by positive. forth this that and review our sufficient to level gain TRAILBLAZER in donanemab of Obviously, if remain TB-X NCD, need have confident in the as CMS and data believe as our the agreement. TB-X evidence

So we will very do that quickly.

is soon pivotal coverage as believe as that positive that evidence. we should high Our request trials two we data have level to of and intention meet for national having that reconsideration

so will forward. as high as there’s see clarity CMS. meet in we level so process that clarity of that with do the And of far should on continue engaged the number statements moving discussions believe do those to we additional a evidence, move we NCD As yes, them with CMS, forward. that gain we But, throughout we and to but have will we pending

Kevin Hern

Thanks, Anne. Chris, questions. thanks for your

Next caller, please.

Operator

The next ahead. go Securities. caller Please Karnauskas Truist is from Robyn

Robyn Karnauskas

on going will Thanks tirzepatide guess and Hi. I route. keep my the for taking I question

robust. clear? new indications you What you is, that you in-house might this data indications the duration comorbidities trials might want about point, where very you you think have talked of And question will for to in-house second payers the to Have about a then be you have whether are now maybe of reimbursed think still without or or like, that your if you drug, start, co-morbidities Thanks. a lot of it’s therapy. you now be are it they have would sort gone you new of and obesity in other reach question this when on once going about So therapy? are is to and some you

Kevin Hern

Robyn. Thanks,

both go will of We Mike for to those questions.

Mike Mason

discussions with from And questions. think they if stay actually get sure we with in therapy payers want can we when payers, they anti-obesity are medications. opportunities who can class, weight about and individual seen if that an I do chronic they the obesity to excited a to they us that ensure have to maintain we with us loss patient And has have to partner they medication, having Good those be will Yeah. and -- there so maintain the work demonstrate are seen outcomes. on to make order on individuals benefits for

-- term stay think to so expectation to get I that be people to and payers can is that need. tirzepatide that need the we order our maintain the do working the people sure we can in benefits weight make with maintain they get loss, outcomes weight and on long will that

question me, was? what second remind question-- Second the Kevin,

Kevin Hern

have as trials new Any beyond or see indications data you we announced. this what

Mike Mason

I discussion are will this going and we mean, think, obviously I Yeah. that data. about today’s we to talk internalize in

earlier, for needs is and will on. looking this an long-term this play to massive the is, We -- game one that we therapeutic we area said as important us, unmet are

will aggressive and questions. thoughtful we trials do that for do need together, there we professionals, be that is tirzepatide we those if for feel obviously and to those will put you when trials. provide Thanks very additional insights the So are, payers and we healthcare on can

Kevin Hern

The Thanks, is Yeah. Mike. exhausted. Robyn, for your queue questions. Thanks,

for We to the go Dave close. will

Dave Ricks

course, innovation compelling all complemented investment. all we of Great. earnings value moment us. commercial a started in patients to today’s create stakeholders. We a execution for continues based momentum business. thanks new to by for Okay. is the tirzepatide of to guess, remain with across strong executing our believe and in interest, on your Well, I and a focused call, for of medicines Lilly course, opportunities, of which industry-leading strong an to ended similar is our company. and the strategy, XXXX, With be It how XXXX bring exciting pipeline we joining fashion

the have have a on you and IR So and with the follow team questions thanks great day. dialing in today Thanks. we up call please if for addressed have not

Operator

-- And April XX.XX replay Time conference running is available at today XXth ladies through this gentlemen, Thank midnight. beginning you. o’clock at after and and Eastern for XX

And conference our replay system dialing for code XXXXXXX. using access Again, entering and anytime at and XXXXXXX. the numbers the your international, those access for XXX-XXX-XXXX that AT&T is by may the if access with your You AT&T participation and international you does service. are, Thank today. X-XXX-XXX-XXXX, for XXX-XXX-XXXX, code conclude XXX-XXX-XXXX, and Teleconference

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Eli Lilly and (LLY) 28 Apr 222022 Q1 Earnings call transcript