Analysis for LLY

📈 Growth & Financial Trajectory

Revenues rose from about $11.44B in 2024 Q4 to about $22.97B in 2026 Q2, up roughly 101% across eight quarters. Net income climbed from about $4.41B to $7.10B in the same span, a gain of roughly 61%, signaling a strong top-line expansion translating into earnings growth.

💰 Margins & Cash Flow

Gross margins remained robust, averaging around 80-85%, with operating margins typically in the 40-50% range in most quarters, indicating solid operating leverage. Operating cash flow was generally positive, with peak quarterly cash generation near $8.8B in late 2025 and current-quarter operating cash flow around $3.2B; investing cash outflows persisted as typical pharma capex, while financing activity varied.

🛡️ Balance Sheet & Liquidity

Total assets near $142B and liabilities around $108B yield an equity base of about $33.9B, with a healthy current ratio around 1.35x, supporting liquidity and debt-service capacity.

⚠️ Key Drivers & Risks

• Drivers: Robust product portfolio and strong pipeline, favorable pricing dynamics in large markets.
• Risks: Patent expiration timeline/pipeline dependence and regulatory/price sensitivity.