New products from Eli Lilly
Eli Lilly & Co.’s (LLY) product portfolio includes new products like Basaglar, Cyramza, Jardiance, Lartruvo, Olumiant, Taltz, and Trulicity. The chart below shows the revenues of each of these new products since 3Q15. The details about these products and their performance during 2Q17 follow.
Basaglar is an insulin glargine injection to control blood sugar levels in diabetes patients. The drug was launched in the US market in December 2016. Basaglar’s sales totaled $86.6 million during 2Q17—its US sales totaled $60 million and its international sales totaled $27 million.
Cyramza is an oncology drug for the treatment of metastatic non-small cell lung cancer, metastatic colorectal cancer, and advanced gastric cancer. Cyramza’s sales totaled $186.3 million during 2Q17, reflecting 27% growth compared to 2Q16, driven by increased demand in Japan and Europe.
Jardiance is a drug used to lower blood sugar levels in patients with Type 2 diabetes. The drug is developed as part of the diabetes alliance between Eli Lilly and Boehringer Ingelheim. Jardiance’s sales reached $103.2 million during 2Q17, driven by its strong performance in the US and international markets.
Lartruvo is a drug for the treatment of patients with advanced soft tissue sarcoma. The drug was launched in the US and European markets during 4Q16. Lartruvo’s sales totaled $47.4 million during 2Q17.
Taltz is a drug for the treatment of plaque psoriasis. The drug was launched in the US in April 2016 and in Europe in July 2016. Taltz’s sales reached $138.7 million during 2Q17, including its US sales of $124.0 million.
Trulicity is a drug for improving blood sugar levels in patients with Type 2 diabetes. Trulicity’s sales totaled $480.2 million during 2Q17, representing growth exceeding 100% compared to $201.3 million during 2Q16. This growth was driven by strong performance in the US markets.
To divest company-specific risks, investors can consider the Vanguard Healthcare ETF (VHT) which holds 2.2% of its total assets in Eli Lilly (LLY). VHT also holds 4.9% in Merck & Co. (MRK), 3.1% in Medtronic Plc (MDT), and 2.1% in Allergan Plc (AGN).