CLAIM #37026 · Eli Lilly and Company (LLY) · 2025Q2 earnings call · Aug 7, 2025 · due Aug 7, 2026
“But inside of the health care system, which is most of the business, we think that we'll expect single-digit erosion like we do other chronic medications in net pricing, while maintaining a value point on list that makes good sense.”
David Ricks · CEO
How to check this claim
Look at: Net price erosion for incretin/GLP-1 products within the U.S. health care system channel, year-over-year
It came true if: Net pricing decline between 1% and 9% (single-digit erosion)
Where: Company management commentary on earnings calls / net price realization disclosures (10-K, Q4 call)
In context
“process in the U.S. And so we want to see that, and mostly because people are being harmed. We see robust growth in the marketplace in the U.S., 42% total incretin growth over last year, good sequential growth. And of course, Lilly's growth is more than double that. So we're -- the business is fine, but people shouldn't be harmed. That said, I think on pricing, we've always had a philosophy across all medicines, including with incretins, to price to value. And given the profile we present to consider offsetting other health care costs, including medicines, the value to the patient, the value in the economy as well, and here with GLP-1 and incretin mechanisms, we're seeing profound value, frankly. So we're noticing a difference in when we offer consumer level pricing outside of insurance. But inside of the health care system, which is most of the business, we think that we'll expect single-digit erosion like we do other chronic medications in net pricing, while maintaining a value point on list that makes good sense. That's not considering any new policy environment, but that's our philosophy going forward. So as we have a suite of products with somewhat perhaps more value in patients with more complicated obesity, or those that may be have less complicated obesity, but medicines like orforglipron that could reach the masses, of course, we'll consider those factors in price setting at the list level and then the net will find its level in negotiations. And you can continue to expect Lilly to offer consumer level pricing as long as we have such a large hole in coverage in our country for important chronic disease like obesity that should be covered. Those are our views on pricing. Operator: The next question will be from Geoff Meacham from Citibank. Geoffrey Christopher Meacham: Dan, on orforglipron, l”
Verify independently
SEC filings for LLY ↗ · Claim quote is verbatim from the 2025Q2 earnings call.