Eli Lilly, Merck and Bristol Myers Post Record Revenue, Raise Guidance Despite Trump Drug Pricing Push

Eli Lilly & Co., Merck & Co. and Bristol Myers Squibb Co. all reported record quarterly revenue on Thursday and raised full-year forecasts, signaling that the Trump administration's most-favored-nation pricing agreements have yet to dent industry earnings. Lilly shares rose 6.7% at 12:40 p.m. in New York; Merck gained 4.9%. The companies cited strong demand for new treatments and established blockbusters, including Lilly's weight-loss drug Zepbound, which Evercore ISI analyst Umer Raffat said is holding near $580 per prescription. Lilly's finance chief told analysts that volume growth would more than offset pricing pressure. The results contrast with Washington's push for lower prescription costs days before midterm elections. The administration has struck MFN deals with major drugmakers, launched the TrumpRx discount clearinghouse and created Medicare and Medicaid programs aimed at controlling costs. Most negotiated concessions do not affect the private insurance market where drugmakers earn much of their revenue.