Eli Lilly shares jump 12% on positive Phase 3 results for oral diabetes drug

Investing.com -- Shares of Eli Lilly and Company (NYSE:LLY) surged 12.5% following the announcement of positive Phase 3 trial results for orforglipron, a pioneering oral medication for type 2 diabetes.

The drug, which is the first oral small molecule GLP-1 receptor agonist to successfully complete a Phase 3 trial, demonstrated significant efficacy in improving glycemic control in adults with type 2 diabetes.

The company's optimism about the potential of orforglipron is based on the ACHIEVE-1 trial results, which showed the drug met its primary endpoint of superior A1C reduction compared to placebo at 40 weeks.

Patients experienced an average A1C decrease of 1.3% to 1.6% from a baseline of 8.0%. Additionally, over 65% of participants on the highest dose achieved an A1C level of less than or equal to 6.5%, the threshold defined by the American Diabetes Association for diabetes management.

The study also revealed significant weight loss among participants, with an average loss of 16.0 lbs (7.9%) at the highest dose, suggesting that the full weight reduction potential had not yet been reached by the study's end.

These results position orforglipron as a promising new treatment option for individuals managing type 2 diabetes, with the added convenience of being a once-daily pill without food and water restrictions.

David A. Ricks, Lilly chair and CEO, said: "As a convenient once-daily pill, orforglipron may provide a new option and, if approved, could be readily manufactured and launched at scale for use by people around the world."

The ACHIEVE-1 trial is the first among seven Phase 3 studies evaluating the safety and efficacy of orforglipron in people with diabetes and obesity.