LL

Eli Lilly and Company stock research

Dec 31, 2024

FY2024 Q4

Eli Lilly and (LLY) Gross Margin — Quarter Ended Dec 31, 2024

Revenue and gross profit both increased compared to the prior quarter and the same quarter last year. Gross margin improved as cost of revenue grew at a slower pace than revenue.

Gross margin takeaway

Quarter ended Dec 31, 2024 · FY2024 Q4

Revenue and gross profit both increased compared to the prior quarter and the same quarter last year. Gross margin improved as cost of revenue grew at a slower pace than revenue.

  • The primary driver of the gross margin improvement was revenue growth exceeding the increase in cost of revenue.
  • Compared to the immediately preceding quarter, gross margin was higher. Compared to the same quarter one year earlier, gross margin was also higher.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

82.2%

Gross profit

$11.1B

Revenue

$13.5B

Cost of revenue

$2.4B

Quarter-over-quarter change

+1.2 pts

Year-over-year change

+1.4 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Mar 31, 2024$8.8B$7.1B$1.7B80.9%
Jun 30, 2024$11.3B$9.1B$2.2B80.8%
Sep 30, 2024$11.4B$9.3B$2.2B81.0%
Dec 31, 2024$13.5B$11.1B$2.4B82.2%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Sep 30, 2024

+1.2 pts

Year-over-year change

Dec 31, 2023

+1.4 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The primary driver of the gross margin improvement was revenue growth exceeding the increase in cost of revenue.

Compared to the immediately preceding quarter, gross margin was higher. Compared to the same quarter one year earlier, gross margin was also higher.

Monitor the impact of the company's ongoing investments in manufacturing capacity on future cost of revenue and gross margin.