Eli Lilly (LLY) shares traded down more than 6% Tuesday after the company reported revenue guidance for the fourth quarter of 2024 that missed Wall Street expectations. Lilly revised its revenue guidance down 5%,

Eli Lilly’s expectations for sales in the fourth quarter of last year missed forecasts, driven by lower-than-expected sales of its diabetes and obesity drugs.

Turning to 2025 guidance, Lilly noted that new medicines and new uses of existing medicines, expansion of production, and global expansion of sales of its diabetes and weight loss drugs should all add up to strong, 32% sales growth in the new year. The company forecasts 2025 sales of $58 billion to $61 billion.

Lilly gave hopeful income projections for 2025 ranging from $58 billion to $61 billion, therefore showing a midpoint rise of 32%. CEO David Ricks attributed the expectation to improved production capacity and new product introductions but highlighted slower-than-expected expansion in the U.S. incretin market as a factor influencing Q4 results.

Eli Lilly (LLY) reduced its fourth-quarter sales guidance by 5%, lowering expectations to $13.5 billion. This figure is $400 million below the low end of the company’s prior guidance and includes $3.5 billion from its type 2 diabetes drug Mounjaro and $1.