Boston, MA 10/31/2013 (wallstreetpr) – Eli Lilly & Co. (NYSE:LLY) new strategy helped the company to raised better earnings than was expected by Wall Street. The two major components of this result was cost cutting and growth of a strong drug for depression, diabetes, and cancer. The company earned $1.20 million, or $1.11 per share, that compared to $1.33 million, or $1.18 per share. The analysts expected $1.04 billion, but, in a way, the company performed much better than the expectation.
Rating company, Fitch, changed the rating for Eli Lilly and Co. from “negative” to “stable” as the rating was applicable to the $5.3 billion debt of the company. The rating company believes that, as the company is performing good, it will be able to maintain a rating of “A.” As of now, the company is facing a major problem of patent rights as their core business, which contributes to 30% of the total sales of the company, is likely to lose their patents by 2014. Fitch believes that the company will be able to make a comeback by the year 2015-2016.
Eli Lilly And Co announces a payment of its fourth quarter dividend to its shareholders as the amount payable to shareholders will be $0.49 per share. The dividend will be paid on the 10th of December 2013 to the shareholders who are holding shares as on the 15th of November 2013.
Recently, the company made a comment on revenue guidance for the FY 2014. It said as per the slow growing rate, it would be difficult for the company to recover the minimum revenue of $20 billion from the emerging markets in the fourth coming year. The company is also expected to buy back shares from the market which will amount to $5 billion. This would help the company to maintain dividend level as per the current level. The analysts are expecting the company to reach, on an average, around $20 billion in the fiscal year 2014.