Boston, MA 04/25/2014 (wallstreetpr) – Eli Lilly and Co (NYSE:LLY) very recently reported the results of the first quarter of this year and the profits are lower than what expected. This start for Eli Lilly remains uneventful. The reasons behind the failed attempt at acquiring good revenue are yet to be found out. For now, there have been speculations about what could have gone wrong. Eli Lilly has been struggling to make it all right and get to the top-notch level. But Eli Lilly has not earned its blue chip yet.
Eli Lilly and Co (NYSE:LLY) has been fighting for three years. It has been fighting off the losses that have been incurred due various patent expirations of Eli Lilly over its biggest prescription drugs. The future looks worrisome while Eli Lilly is trapped in trouble. There needs to be huge efforts on the part of this company to come out a winner out of this battle.
Buying the Animal Health Unit
Eli Lilly and Co (NYSE:LLY) has made an announcement recently that it will be buying the animal health unit of Novartis for a whopping sum of $5.4 billion. This has been done to take a step forward regarding its Elanco business for pets and farm animals, which has had a fast-paced growth. The sales from Eli Lilly’s Elanco business rose by a good 6% as reported by the company in the first quarter itself. Therefore, expanding this business seems a strong plan after all.
Expiring Patents
Eli Lilly and Co (NYSE:LLY) has had to deal with expiring patents for the last three years. This is a major reason Eli Lilly needs to focus on its experimental drugs all the more. Innovatory drugs could only save the company from such a critical situation. To recover fully, Eli Lilly needs to be back in the race and running at it highest speed. The most important drugs that were being sold by Eli Lilly, which lost exclusivity, include the Zyprexa for Schizophrenia, Cymbalta and Evista for osteoporosis. All these drugs lost their U.S. patent protection and were hit by cheaper generics.
