Overview

* Elanco Q3 revenue rises 10% yr/yr, surpassing analyst expectations

* Adjusted EPS for Q3 beats consensus, increasing 46% yr/yr

* Company raises full-year revenue and innovation targets, reflecting growth confidence

Outlook

* Elanco raises full-year revenue guidance to $4,645 mln to $4,670 mln

* Company increases 2025 innovation revenue target by $100 mln to $840 mln-$880 mln

* Elanco improves year-end net leverage ratio target to 3.7x-3.8x

Result Drivers

* NEW PRODUCTS - Credelio Quattro and Zenrelia drove significant growth in pet health revenue, contributing to a 10% increase

* FARM ANIMAL SALES - Increased volumes in cattle and poultry, led by Experior, boosted farm animal revenue by 12%

* INNOVATION FOCUS - Elanco raised its innovation revenue target, highlighting momentum for products like Credelio Quattro and Zenrelia

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Beat $1.13 $1.09

Revenue bln bln (11

Analysts

)

Q3 Beat $0.19 $0.13

Adjusted (12

EPS Analysts

)

Q3 EPS -$0.07

Q3 Beat $94 mln $65.45

Adjusted mln (11

Net Analysts

Income )

Q3 Net -$34 mln

Income

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 11 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the pharmaceuticals peer group is "buy"

* Wall Street's median 12-month price target for Elanco Animal Health Inc ( ELAN ) is $23.00, about 2.2% above its November 4 closing price of $22.50

* The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 15 three months ago

Press Release:

For questions concerning the data in this report, contact [email protected]. For any other questions or feedback, contact .

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)