Shares of Eli Lilly & Co. surged 3% in premarket trade Thursday, after the drug maker provided an upbeat profit and sales outlook for next year. The company expected 2017 net earnings per share of $3.51 to $3.61. Excluding non-recurring items, such as the the amortization of intangible assets and one-time acquisition costs, adjusted EPS is expected to be $4.05 to $4.15, above the FactSet consensus of $3.96. Revenue is projected to be $21.8 billion to $22.3 billion, also above the FactSet consensus of $21.7 billion. For 2016, the company still expects adjusted EPS of $3.50 to $3.60, surrounding the FactSet consensus of $3.52. Lilly said it continues to see the potential to launch 13 new products through 2023. “Because of our confidence in our future growth prospects, we are reaffirming our financial commitments through the remainder of the decade,” said Chief Financial Officer Derica Rice. The stock has tumbled 20% year to date through Wednesday, while the SPDR Health Care Select Sector ETF has lost 3.7% and the S&P 500 has gained 10%.
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