Analysis of Profitability Ratios
Quarterly Data
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Eli Lilly & Co., profitability ratios (quarterly data)
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
The profitability metrics demonstrate a generally positive trend over the observed period, with notable fluctuations in certain quarters. Gross profit margin consistently increased throughout the period, while operating and net profit margins exhibited more variability. Return on equity and return on assets also showed overall improvement, though with interim declines.
- Gross Profit Margin
- The gross profit margin experienced a steady increase from 74.40% in March 2022 to 83.04% in December 2025. This indicates improving efficiency in production and cost of goods sold management. The rate of increase appeared to accelerate in the later quarters of the observed period.
- Operating Profit Margin
- The operating profit margin displayed more volatility. It began at 25.94% in March 2022, decreased to 18.42% in September 2022, and then generally trended upward, reaching 40.35% in December 2025. The significant dip in the latter half of 2022 suggests potential increases in operating expenses or a temporary decline in revenue growth. The substantial increase in the latter part of the period indicates improved operational efficiency and cost control.
- Net Profit Margin
- Similar to the operating profit margin, the net profit margin showed fluctuations. Starting at 20.90% in March 2022, it decreased to 15.55% in September 2022 before rising to 31.67% in December 2025. This pattern mirrors the operating profit margin, suggesting that changes in operating performance significantly impact net profitability. The increase in the later quarters indicates effective management of both operating expenses and other income/expenses.
- Return on Equity (ROE)
- Return on equity began at a high of 65.69% in March 2022, decreased to 44.46% in September 2022, and then generally increased, reaching 77.78% in December 2025. The initial decline may be attributed to changes in equity structure or decreased profitability. The subsequent recovery and strong finish demonstrate improved profitability relative to shareholder equity.
- Return on Assets (ROA)
- Return on assets followed a similar trend to ROE, starting at 13.06% in March 2022, falling to 8.61% in September 2022, and rising to 18.35% in December 2025. This indicates improved efficiency in utilizing assets to generate profits. The increase in ROA suggests that the company is becoming more effective at converting investments in assets into net income.
Overall, the observed trends suggest a strengthening financial performance, particularly in the latter half of the period. While some volatility was present, the consistent increases in gross profit margin and the substantial improvements in operating, net profit margins, ROE, and ROA indicate positive developments in profitability and efficiency.
Return on Sales
Return on Investment
Gross Profit Margin
Eli Lilly & Co., gross profit margin calculation (quarterly data)
| Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Gross margin | 15,920) | 14,593) | 13,110) | 10,504) | 11,129) | 9,268) | 9,133) | 7,095) | 7,565) | 7,639) | 6,505) | 5,333) | 5,754) | 5,363) | 5,058) | 5,738) | |||||
| Revenue | 19,292) | 17,601) | 15,558) | 12,729) | 13,533) | 11,439) | 11,303) | 8,768) | 9,353) | 9,499) | 8,312) | 6,960) | 7,302) | 6,942) | 6,488) | 7,810) | |||||
| Profitability Ratio | |||||||||||||||||||||
| Gross profit margin1 | 83.04% | 83.03% | 82.64% | 81.70% | 81.31% | 80.91% | 80.75% | 80.16% | 79.25% | 78.67% | 77.77% | 77.67% | 76.77% | 75.61% | 75.98% | 74.40% | |||||
| Benchmarks | |||||||||||||||||||||
| Gross Profit Margin, Competitors2 | |||||||||||||||||||||
| AbbVie Inc. | — | 69.74% | 70.93% | 70.69% | 69.99% | 67.21% | 62.75% | 62.28% | 62.42% | 65.76% | 68.91% | 69.43% | 70.00% | 69.62% | 70.48% | 69.53% | |||||
| Amgen Inc. | — | 64.71% | 62.99% | 61.48% | 59.85% | 58.71% | 61.56% | 64.76% | 68.60% | 72.35% | 72.87% | 73.65% | 74.17% | 73.99% | 74.00% | 73.30% | |||||
| Bristol-Myers Squibb Co. | — | 69.50% | 70.29% | 70.47% | 71.08% | 74.91% | 75.38% | 75.71% | 76.24% | 76.54% | 77.01% | 77.68% | 78.04% | 78.82% | 79.13% | 79.62% | |||||
| Danaher Corp. | — | 59.53% | 59.66% | 59.74% | 59.50% | 59.37% | 59.27% | 58.39% | 58.74% | 58.77% | 59.17% | 60.22% | 60.21% | 60.65% | 60.77% | 60.77% | |||||
| Gilead Sciences Inc. | — | 78.31% | 78.42% | 78.17% | 78.15% | 75.98% | 75.56% | 75.62% | 75.87% | 78.66% | 79.27% | 78.94% | 79.03% | 74.31% | 75.30% | 75.50% | |||||
| Johnson & Johnson | 67.88% | 68.08% | 67.92% | 68.30% | 69.07% | 69.05% | 69.06% | 69.20% | 68.82% | 68.54% | 68.06% | 67.34% | 67.26% | 67.43% | 67.86% | 67.97% | |||||
| Merck & Co. Inc. | — | 77.18% | 76.60% | 76.42% | 76.32% | 75.82% | 75.25% | 74.37% | 73.17% | 72.86% | 72.96% | 72.43% | 70.63% | 70.49% | 70.41% | 70.72% | |||||
| Pfizer Inc. | — | 73.39% | 72.12% | 72.28% | 71.94% | 67.73% | 58.18% | 58.09% | 58.10% | 60.97% | 69.61% | 68.61% | 65.77% | 65.53% | 62.18% | 60.35% | |||||
| Regeneron Pharmaceuticals Inc. | 85.35% | 85.39% | 85.57% | 85.79% | 86.13% | 86.12% | 86.16% | 86.32% | 86.16% | 85.96% | 86.42% | 86.96% | 87.18% | 85.39% | 84.97% | 84.65% | |||||
| Thermo Fisher Scientific Inc. | — | 41.27% | 41.18% | 41.34% | 41.28% | 40.77% | 40.76% | 40.40% | 39.90% | 39.87% | 39.75% | 40.28% | 42.24% | 44.42% | 46.63% | 48.37% | |||||
| Vertex Pharmaceuticals Inc. | — | 86.28% | 86.11% | 86.03% | 86.11% | 86.12% | 86.45% | 86.86% | 87.21% | 87.80% | 87.92% | 88.04% | 87.90% | 88.00% | 88.13% | 87.95% | |||||
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q4 2025 Calculation
Gross profit margin = 100
× (Gross marginQ4 2025
+ Gross marginQ3 2025
+ Gross marginQ2 2025
+ Gross marginQ1 2025)
÷ (RevenueQ4 2025
+ RevenueQ3 2025
+ RevenueQ2 2025
+ RevenueQ1 2025)
= 100 × (15,920 + 14,593 + 13,110 + 10,504)
÷ (19,292 + 17,601 + 15,558 + 12,729)
= 83.04%
2 Click competitor name to see calculations.
The gross profit margin demonstrates a consistent upward trend over the observed period, spanning from March 31, 2022, to December 31, 2025. Initially, the margin fluctuated within a narrow range before exhibiting more pronounced growth in later periods. This suggests improving efficiency in production or sourcing, increased pricing power, or a shift towards higher-margin products.
- Initial Period (Mar 31, 2022 – Dec 31, 2022)
- The gross profit margin began at 74.40% and experienced moderate fluctuations, reaching a peak of 76.77% by December 31, 2022. This initial period indicates a relatively stable cost structure and pricing strategy.
- Growth Phase (Mar 31, 2023 – Dec 31, 2023)
- From March 31, 2023, the gross profit margin began a more definitive upward trajectory, increasing from 77.67% to 79.25% by the end of the year. This suggests the impact of strategic initiatives or favorable market conditions began to materialize.
- Accelerated Improvement (Mar 31, 2024 – Dec 31, 2025)
- The rate of increase accelerated further from March 31, 2024, with the margin reaching 80.16% and continuing to climb to 83.04% by December 31, 2025. This substantial improvement indicates a sustained positive trend in profitability, potentially driven by economies of scale, product mix changes, or enhanced operational efficiencies. The margin consistently exceeded 80% throughout this phase.
- Revenue Correlation
- Revenue generally increased alongside the gross profit margin, indicating that the increased profitability was not solely attributable to cost reductions but also to higher sales volumes or prices. The correlation between revenue and margin suggests a healthy business environment and effective sales strategies.
Overall, the consistent and accelerating increase in gross profit margin over the analyzed timeframe is a positive indicator of financial health and operational effectiveness. Continued monitoring of this metric will be crucial to assess the sustainability of these improvements.
Operating Profit Margin
Eli Lilly & Co., operating profit margin calculation (quarterly data)
| Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Operating income | 8,374) | 7,366) | 6,867) | 3,695) | 5,149) | 1,526) | 3,715) | 2,509) | 2,388) | 450) | 2,126) | 1,494) | 1,836) | 1,677) | 1,210) | 2,404) | |||||
| Revenue | 19,292) | 17,601) | 15,558) | 12,729) | 13,533) | 11,439) | 11,303) | 8,768) | 9,353) | 9,499) | 8,312) | 6,960) | 7,302) | 6,942) | 6,488) | 7,810) | |||||
| Profitability Ratio | |||||||||||||||||||||
| Operating profit margin1 | 40.35% | 38.84% | 32.37% | 28.74% | 28.64% | 24.81% | 23.28% | 20.80% | 18.92% | 18.42% | 24.17% | 22.45% | 24.97% | 24.65% | 25.50% | 25.94% | |||||
| Benchmarks | |||||||||||||||||||||
| Operating Profit Margin, Competitors2 | |||||||||||||||||||||
| AbbVie Inc. | — | 15.16% | 18.80% | 17.56% | 16.22% | 24.89% | 22.31% | 23.50% | 23.49% | 27.32% | 31.03% | 28.49% | 31.21% | 30.59% | 30.33% | 32.68% | |||||
| Amgen Inc. | — | 25.14% | 24.45% | 22.71% | 22.66% | 19.97% | 20.96% | 24.72% | 29.35% | 34.55% | 37.50% | 36.07% | 38.57% | 39.31% | 38.04% | 32.78% | |||||
| Bristol-Myers Squibb Co. | — | 18.86% | 16.70% | 15.24% | -15.50% | -14.05% | -14.39% | -14.30% | 16.18% | 16.96% | 17.29% | 18.13% | 17.96% | 19.04% | 18.19% | 16.79% | |||||
| Danaher Corp. | — | 19.01% | 18.39% | 20.26% | 20.37% | 20.11% | 21.22% | 21.05% | 21.77% | 23.83% | 25.06% | 27.02% | 27.61% | 27.35% | 25.44% | 25.23% | |||||
| Gilead Sciences Inc. | — | 36.75% | 28.03% | 28.77% | 5.81% | 2.92% | 9.26% | 5.79% | 28.24% | 30.37% | 31.18% | 33.03% | 27.17% | 22.39% | 25.78% | 26.56% | |||||
| Johnson & Johnson | 26.85% | 25.44% | 23.67% | 23.59% | 23.42% | 24.42% | 25.31% | 25.04% | 24.90% | 25.55% | 25.61% | 25.21% | 24.63% | 23.89% | 23.47% | 23.76% | |||||
| Merck & Co. Inc. | — | 33.73% | 30.00% | 31.51% | 31.03% | 21.60% | 24.75% | 6.93% | 3.92% | 13.08% | 10.34% | 27.85% | 30.27% | 30.66% | 33.04% | 28.85% | |||||
| Pfizer Inc. | — | 21.85% | 23.23% | 19.29% | 19.51% | 9.56% | -4.19% | -2.08% | 2.15% | 14.36% | 28.13% | 34.44% | 34.83% | 33.59% | 30.37% | 26.12% | |||||
| Regeneron Pharmaceuticals Inc. | 24.95% | 25.89% | 27.02% | 27.20% | 28.10% | 28.69% | 28.95% | 29.40% | 30.85% | 32.23% | 34.20% | 35.79% | 38.93% | 45.45% | 48.19% | 55.08% | |||||
| Thermo Fisher Scientific Inc. | — | 17.16% | 17.13% | 17.23% | 17.11% | 16.93% | 17.01% | 16.38% | 16.00% | 15.81% | 15.42% | 16.29% | 18.69% | 20.54% | 22.51% | 23.83% | |||||
| Vertex Pharmaceuticals Inc. | — | 34.06% | 34.36% | -6.69% | -2.11% | -2.54% | -3.37% | 41.16% | 38.83% | 40.16% | 41.72% | 43.93% | 48.23% | 47.72% | 48.85% | 36.93% | |||||
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q4 2025 Calculation
Operating profit margin = 100
× (Operating incomeQ4 2025
+ Operating incomeQ3 2025
+ Operating incomeQ2 2025
+ Operating incomeQ1 2025)
÷ (RevenueQ4 2025
+ RevenueQ3 2025
+ RevenueQ2 2025
+ RevenueQ1 2025)
= 100 × (8,374 + 7,366 + 6,867 + 3,695)
÷ (19,292 + 17,601 + 15,558 + 12,729)
= 40.35%
2 Click competitor name to see calculations.
The operating profit margin exhibited fluctuations over the observed period, generally trending upwards with notable variations. Initial values were consistently above 24% before experiencing a decline, followed by a strong recovery and subsequent increase.
- Initial Period (Mar 31, 2022 – Dec 31, 2022)
- The operating profit margin began at 25.94% and remained relatively stable, fluctuating between 24.65% and 25.94% throughout the first three quarters. A slight increase to 24.97% was observed in the final quarter of 2022.
- Decline and Recovery (Mar 31, 2023 – Sep 30, 2023)
- A noticeable decrease in the operating profit margin occurred in the first quarter of 2023, falling to 22.45%. This was followed by a recovery to 24.17% in the second quarter. However, a significant drop to 18.42% was recorded in the third quarter of 2023, representing the lowest point in the observed period.
- Consistent Growth (Dec 31, 2023 – Dec 31, 2025)
- From the fourth quarter of 2023, the operating profit margin demonstrated a consistent upward trend. It increased from 18.92% to 20.80%, 23.28%, 24.81%, 28.64%, 28.74%, 32.37%, 38.84%, and ultimately reached 40.35% by the end of 2025. This represents a substantial improvement over the earlier periods.
The most significant change observed was the sharp decline in the third quarter of 2023, followed by a robust and sustained period of growth. The operating profit margin concluded the period at its highest value, indicating improved operational efficiency or pricing power.
- Overall Trend
- Despite initial stability and a mid-period dip, the overall trend for the operating profit margin is positive, with a marked acceleration in profitability towards the end of the analyzed timeframe.
Net Profit Margin
Eli Lilly & Co., net profit margin calculation (quarterly data)
| Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Net income (loss) | 6,638) | 5,583) | 5,661) | 2,759) | 4,410) | 970) | 2,967) | 2,243) | 2,190) | (57) | 1,763) | 1,345) | 1,938) | 1,452) | 953) | 1,903) | |||||
| Revenue | 19,292) | 17,601) | 15,558) | 12,729) | 13,533) | 11,439) | 11,303) | 8,768) | 9,353) | 9,499) | 8,312) | 6,960) | 7,302) | 6,942) | 6,488) | 7,810) | |||||
| Profitability Ratio | |||||||||||||||||||||
| Net profit margin1 | 31.67% | 30.99% | 25.91% | 22.66% | 23.51% | 20.48% | 18.86% | 17.08% | 15.36% | 15.55% | 22.01% | 20.54% | 21.88% | 20.63% | 19.58% | 20.90% | |||||
| Benchmarks | |||||||||||||||||||||
| Net Profit Margin, Competitors2 | |||||||||||||||||||||
| AbbVie Inc. | — | 4.00% | 6.45% | 7.31% | 7.59% | 9.22% | 9.71% | 11.02% | 8.95% | 11.81% | 15.50% | 13.37% | 20.39% | 23.19% | 22.04% | 22.00% | |||||
| Amgen Inc. | — | 20.31% | 19.75% | 18.10% | 12.77% | 13.58% | 10.60% | 13.35% | 24.96% | 29.52% | 31.52% | 31.77% | 26.42% | 27.88% | 26.73% | 23.42% | |||||
| Bristol-Myers Squibb Co. | — | 12.57% | 10.58% | 11.38% | -18.53% | -15.30% | -14.06% | -13.50% | 17.83% | 18.44% | 17.62% | 15.95% | 13.71% | 14.29% | 14.04% | 13.31% | |||||
| Danaher Corp. | — | 14.43% | 14.21% | 15.81% | 16.33% | 16.39% | 17.83% | 18.54% | 19.94% | 22.89% | 22.80% | 23.32% | 22.91% | 21.65% | 20.61% | 21.32% | |||||
| Gilead Sciences Inc. | — | 28.41% | 21.98% | 20.87% | 1.68% | 0.45% | 3.82% | 1.78% | 21.03% | 21.60% | 20.18% | 20.87% | 17.02% | 12.44% | 15.22% | 16.60% | |||||
| Johnson & Johnson | 28.46% | 27.26% | 25.00% | 24.41% | 15.84% | 16.74% | 43.91% | 44.92% | 41.28% | 39.58% | 14.52% | 13.77% | 18.90% | 19.95% | 19.21% | 20.90% | |||||
| Merck & Co. Inc. | — | 29.63% | 25.79% | 27.27% | 26.68% | 19.23% | 21.98% | 3.76% | 0.61% | 7.77% | 5.34% | 22.52% | 24.49% | 25.88% | 29.00% | 26.27% | |||||
| Pfizer Inc. | — | 15.65% | 16.84% | 12.62% | 12.62% | 7.04% | -4.62% | -0.55% | 3.56% | 15.13% | 27.38% | 31.19% | 31.27% | 29.81% | 28.94% | 27.01% | |||||
| Regeneron Pharmaceuticals Inc. | 31.41% | 32.13% | 31.37% | 31.94% | 31.07% | 33.61% | 32.04% | 29.45% | 30.14% | 30.47% | 33.93% | 33.81% | 35.64% | 39.17% | 39.97% | 48.06% | |||||
| Thermo Fisher Scientific Inc. | — | 15.02% | 15.23% | 15.18% | 14.77% | 14.48% | 14.69% | 14.20% | 13.99% | 13.68% | 13.14% | 13.75% | 15.47% | 15.92% | 17.37% | 18.49% | |||||
| Vertex Pharmaceuticals Inc. | — | 31.35% | 31.86% | -8.91% | -4.86% | -4.52% | -4.74% | 39.46% | 36.68% | 35.94% | 35.40% | 35.40% | 37.20% | 37.62% | 38.26% | 30.84% | |||||
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q4 2025 Calculation
Net profit margin = 100
× (Net income (loss)Q4 2025
+ Net income (loss)Q3 2025
+ Net income (loss)Q2 2025
+ Net income (loss)Q1 2025)
÷ (RevenueQ4 2025
+ RevenueQ3 2025
+ RevenueQ2 2025
+ RevenueQ1 2025)
= 100 × (6,638 + 5,583 + 5,661 + 2,759)
÷ (19,292 + 17,601 + 15,558 + 12,729)
= 31.67%
2 Click competitor name to see calculations.
The net profit margin exhibited fluctuations over the observed period, generally trending upwards with notable variations. Initial values demonstrated a strong profitability position, followed by a period of volatility, and culminating in substantial gains towards the end of the analyzed timeframe.
- Initial Period (Mar 31, 2022 – Dec 31, 2022)
- The net profit margin began at 20.90% and remained relatively stable, oscillating between 19.58% and 21.88% throughout the first four quarters. This suggests a consistent level of profitability during this period, with minor quarterly variations.
- Volatility and Recovery (Mar 31, 2023 – Dec 31, 2023)
- A significant decrease in net profit margin was observed in the third quarter of 2023, falling to 15.55%, followed by a slight recovery to 15.36% in the fourth quarter. This indicates a period of reduced profitability, potentially due to increased costs or decreased revenue during that timeframe. However, the margin did begin to recover by year-end.
- Consistent Growth (Mar 31, 2024 – Dec 31, 2025)
- From the first quarter of 2024 onwards, the net profit margin demonstrated a consistent upward trend. It increased from 17.08% to reach 31.67% by the end of 2025. This substantial improvement suggests successful cost management, increased pricing power, or a favorable shift in the revenue mix. The margin exceeded 30% in the final two quarters, indicating a period of exceptionally strong profitability.
Overall, the net profit margin experienced a period of stability, followed by a temporary decline, and then a robust and sustained increase. The latter portion of the analyzed period demonstrates a significant enhancement in the company’s ability to convert revenue into profit.
Return on Equity (ROE)
Eli Lilly & Co., ROE calculation (quarterly data)
| Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Net income (loss) | 6,638) | 5,583) | 5,661) | 2,759) | 4,410) | 970) | 2,967) | 2,243) | 2,190) | (57) | 1,763) | 1,345) | 1,938) | 1,452) | 953) | 1,903) | |||||
| Total Eli Lilly and Company shareholders’ equity | 26,535) | 23,793) | 18,273) | 15,765) | 14,192) | 14,240) | 13,562) | 12,812) | 10,772) | 11,220) | 11,064) | 11,190) | 10,650) | 10,070) | 8,545) | 9,331) | |||||
| Profitability Ratio | |||||||||||||||||||||
| ROE1 | 77.78% | 77.38% | 75.52% | 70.45% | 74.62% | 58.78% | 54.14% | 47.91% | 48.65% | 44.46% | 58.73% | 50.82% | 58.64% | 59.91% | 66.61% | 65.69% | |||||
| Benchmarks | |||||||||||||||||||||
| ROE, Competitors2 | |||||||||||||||||||||
| AbbVie Inc. | — | — | — | 295.42% | 128.66% | 84.91% | 78.77% | 74.85% | 46.94% | 53.86% | 67.50% | 57.14% | 68.60% | 83.83% | 86.24% | 76.64% | |||||
| Amgen Inc. | — | 72.82% | 89.11% | 95.59% | 69.59% | 56.20% | 52.83% | 74.93% | 107.78% | 98.82% | 117.67% | 148.04% | 178.97% | 187.11% | 271.85% | 624.78% | |||||
| Bristol-Myers Squibb Co. | — | 32.55% | 28.96% | 31.16% | -54.78% | -42.34% | -38.44% | -37.28% | 27.27% | 28.57% | 24.91% | 22.97% | 20.37% | 20.44% | 20.30% | 19.79% | |||||
| Danaher Corp. | — | 6.86% | 6.52% | 7.40% | 7.87% | 7.59% | 8.42% | 8.24% | 8.91% | 11.29% | 12.30% | 13.47% | 14.39% | 14.40% | 13.63% | 13.93% | |||||
| Gilead Sciences Inc. | — | 37.65% | 32.08% | 31.13% | 2.48% | 0.69% | 5.77% | 2.77% | 24.81% | 26.33% | 25.92% | 26.59% | 21.62% | 15.82% | 20.44% | 22.66% | |||||
| Johnson & Johnson | 32.87% | 31.69% | 28.88% | 27.92% | 19.68% | 20.93% | 53.14% | 54.95% | 51.11% | 48.61% | 17.37% | 17.95% | 23.36% | 25.68% | 24.05% | 26.54% | |||||
| Merck & Co. Inc. | — | 36.71% | 33.49% | 36.07% | 36.96% | 27.30% | 31.52% | 5.71% | 0.97% | 11.17% | 8.04% | 27.82% | 31.57% | 34.32% | 38.34% | 34.68% | |||||
| Pfizer Inc. | — | 10.59% | 12.12% | 8.73% | 9.11% | 4.61% | -2.96% | -0.33% | 2.38% | 10.81% | 21.68% | 28.77% | 32.79% | 32.14% | 33.61% | 30.29% | |||||
| Regeneron Pharmaceuticals Inc. | 14.41% | 14.79% | 14.89% | 15.31% | 15.03% | 15.87% | 15.32% | 14.29% | 15.22% | 16.03% | 17.90% | 17.80% | 19.14% | 25.05% | 27.49% | 39.84% | |||||
| Thermo Fisher Scientific Inc. | — | 12.88% | 13.03% | 13.19% | 12.78% | 12.52% | 13.12% | 13.26% | 12.83% | 13.11% | 13.08% | 14.26% | 15.80% | 16.15% | 17.59% | 18.56% | |||||
| Vertex Pharmaceuticals Inc. | — | 21.22% | 21.18% | -5.99% | -3.26% | -3.07% | -3.32% | 21.67% | 20.59% | 21.01% | 21.75% | 22.59% | 23.88% | 25.12% | 26.77% | 22.47% | |||||
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q4 2025 Calculation
ROE = 100
× (Net income (loss)Q4 2025
+ Net income (loss)Q3 2025
+ Net income (loss)Q2 2025
+ Net income (loss)Q1 2025)
÷ Total Eli Lilly and Company shareholders’ equity
= 100 × (6,638 + 5,583 + 5,661 + 2,759)
÷ 26,535 = 77.78%
2 Click competitor name to see calculations.
The Return on Equity (ROE) exhibited considerable fluctuation over the observed period, spanning from March 31, 2022, to December 31, 2025. Initial values were strong, followed by a period of decline, and then a resurgence culminating in consistently high values towards the end of the period.
- Initial Period (Mar 31, 2022 – Dec 31, 2022)
- ROE began at 65.69% in March 2022 and peaked at 66.61% in June 2022. A subsequent decline was observed, reaching 58.64% by December 2022. While remaining relatively high, this represents a decrease of approximately 8 percentage points over the six-month period.
- Decline and Recovery (Mar 31, 2023 – Sep 30, 2023)
- The first three quarters of 2023 demonstrated a more pronounced downward trend, with ROE falling to a low of 44.46% in September 2023. This decline coincided with a significant net loss reported for that quarter. However, a substantial recovery occurred in December 2023, with ROE rebounding to 48.65%.
- Sustained High Performance (Mar 31, 2024 – Dec 31, 2025)
- From March 2024 onwards, ROE consistently remained above 50%, demonstrating a clear upward trajectory. The highest value was recorded in December 2024 at 74.62%, followed by 70.45%, 75.52%, 77.38%, and finally 77.78% in December 2025. This period reflects a sustained period of strong profitability relative to shareholder equity.
- Relationship to Net Income
- The fluctuations in ROE appear strongly correlated with net income. The significant drop in ROE during September 2023 directly corresponds with the reported net loss for that quarter. Conversely, the substantial increases in ROE in later periods align with periods of strong net income.
- Relationship to Shareholder Equity
- Shareholder equity generally increased throughout the period. However, the ROE fluctuations suggest that changes in net income had a more significant impact on the ratio than changes in equity alone. The substantial ROE increases in the latter part of the period occurred alongside continued growth in shareholder equity, amplifying the positive effect.
In summary, the ROE experienced volatility but ultimately demonstrated a strong positive trend, particularly in the latter half of the analyzed timeframe. This trend appears driven primarily by fluctuations in net income, with shareholder equity providing a supporting, but less dominant, influence.
Return on Assets (ROA)
Eli Lilly & Co., ROA calculation (quarterly data)
| Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Net income (loss) | 6,638) | 5,583) | 5,661) | 2,759) | 4,410) | 970) | 2,967) | 2,243) | 2,190) | (57) | 1,763) | 1,345) | 1,938) | 1,452) | 953) | 1,903) | |||||
| Total assets | 112,476) | 114,935) | 100,923) | 89,389) | 78,715) | 75,607) | 71,875) | 63,944) | 64,006) | 57,916) | 54,814) | 53,163) | 49,490) | 47,462) | 47,064) | 46,919) | |||||
| Profitability Ratio | |||||||||||||||||||||
| ROA1 | 18.35% | 16.02% | 13.67% | 12.42% | 13.45% | 11.07% | 10.22% | 9.60% | 8.19% | 8.61% | 11.85% | 10.70% | 12.62% | 12.71% | 12.09% | 13.06% | |||||
| Benchmarks | |||||||||||||||||||||
| ROA, Competitors2 | |||||||||||||||||||||
| AbbVie Inc. | — | 1.78% | 2.74% | 3.08% | 3.17% | 3.57% | 3.76% | 4.03% | 3.61% | 4.78% | 6.42% | 5.64% | 8.53% | 9.49% | 8.83% | 8.71% | |||||
| Amgen Inc. | — | 7.77% | 7.53% | 6.64% | 4.45% | 4.65% | 3.44% | 4.05% | 6.91% | 8.36% | 8.84% | 8.92% | 10.06% | 10.73% | 11.09% | 9.67% | |||||
| Bristol-Myers Squibb Co. | — | 6.23% | 5.33% | 5.86% | -9.66% | -7.75% | -6.91% | -6.21% | 8.43% | 9.08% | 8.52% | 7.75% | 6.53% | 6.80% | 6.59% | 6.07% | |||||
| Danaher Corp. | — | 4.38% | 4.18% | 4.76% | 5.03% | 4.83% | 5.35% | 5.28% | 5.64% | 6.74% | 7.49% | 8.15% | 8.55% | 8.35% | 7.76% | 7.74% | |||||
| Gilead Sciences Inc. | — | 13.86% | 11.33% | 10.57% | 0.81% | 0.23% | 1.97% | 0.86% | 9.12% | 9.42% | 8.80% | 9.02% | 7.27% | 5.33% | 6.58% | 7.16% | |||||
| Johnson & Johnson | 13.46% | 13.03% | 11.72% | 11.26% | 7.81% | 8.24% | 20.99% | 22.37% | 20.98% | 20.85% | 6.81% | 6.49% | 9.57% | 10.94% | 10.33% | 11.12% | |||||
| Merck & Co. Inc. | — | 14.69% | 13.96% | 15.14% | 14.62% | 10.34% | 12.20% | 2.18% | 0.34% | 4.32% | 2.98% | 12.09% | 13.30% | 14.25% | 15.48% | 13.29% | |||||
| Pfizer Inc. | — | 4.71% | 5.22% | 3.79% | 3.76% | 1.94% | -1.20% | -0.14% | 0.94% | 4.87% | 9.75% | 14.85% | 15.91% | 15.32% | 15.01% | 13.58% | |||||
| Regeneron Pharmaceuticals Inc. | 11.11% | 11.40% | 11.67% | 11.98% | 11.69% | 12.43% | 11.98% | 11.22% | 11.95% | 12.41% | 14.02% | 13.91% | 14.85% | 19.40% | 20.90% | 30.11% | |||||
| Thermo Fisher Scientific Inc. | — | 6.38% | 6.50% | 6.58% | 6.51% | 6.11% | 6.32% | 6.21% | 6.07% | 6.12% | 6.08% | 6.36% | 7.15% | 7.77% | 8.21% | 8.20% | |||||
| Vertex Pharmaceuticals Inc. | — | 14.78% | 15.13% | -4.32% | -2.38% | -2.16% | -2.43% | 16.81% | 15.92% | 15.97% | 16.54% | 17.18% | 18.30% | 19.59% | 20.50% | 17.19% | |||||
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q4 2025 Calculation
ROA = 100
× (Net income (loss)Q4 2025
+ Net income (loss)Q3 2025
+ Net income (loss)Q2 2025
+ Net income (loss)Q1 2025)
÷ Total assets
= 100 × (6,638 + 5,583 + 5,661 + 2,759)
÷ 112,476 = 18.35%
2 Click competitor name to see calculations.
The Return on Assets (ROA) exhibited fluctuations over the observed period, generally trending upwards with some notable quarterly variations. Initial values demonstrated a strong performance, followed by a period of relative stabilization and then a marked increase towards the end of the analyzed timeframe.
- Initial Performance (Mar 31, 2022 – Dec 31, 2022)
- ROA began at 13.06% and remained consistently above 12% through the end of 2022, fluctuating between 12.09% and 13.06%. This indicates a stable and relatively high level of profitability in relation to the asset base during this period. The slight variations suggest minor quarterly influences on earnings or asset levels.
- Mid-Term Adjustment (Mar 31, 2023 – Dec 31, 2023)
- The first quarter of 2023 saw a decrease to 10.70%, followed by a recovery to 11.85% and a significant drop to 8.61% in the third quarter. The final quarter of 2023 showed a partial recovery to 8.19%. This period reflects increased volatility, potentially linked to specific events impacting net income, as evidenced by the negative net income reported in the third quarter of 2023. The increase in total assets during this period may also have contributed to the lower ROA values.
- Uptrend and Peak (Mar 31, 2024 – Dec 31, 2025)
- From the first quarter of 2024, ROA began a consistent upward trend, increasing from 9.60% to a peak of 18.35% by the end of 2025. This improvement coincided with substantial growth in net income and continued expansion of total assets. The most significant increases occurred between September 30, 2024, and December 31, 2025, suggesting a period of particularly strong operational performance and efficient asset utilization. The ROA values in the final quarters of the period indicate a substantial improvement in the company’s ability to generate earnings from its assets.
Overall, the ROA demonstrates a positive trajectory, particularly in the latter half of the analyzed period. While some quarterly volatility was observed, the company ultimately achieved a significantly higher level of profitability relative to its asset base by the end of 2025 compared to the beginning of 2022.