Eli Lilly 2008 Annual Report Download - page 36

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FINANCIALS
34
Selected Quarterly Data (unaudited)
ELI LILLY AND COMPANY AND SUBSIDIARIES
(Dollars in millions, except per-share data) 2008 Fourth Third Second First
Net sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,210.5 $5,209.5 $5,150.4 $4,807.6
Cost of sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 915.4 1,155.2 1,200.9 1,111.3
Operating expenses. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,785.9 2,602.2 2,651.6 2,427.6
Acquired in-process research and development. . . . . . . . . . 4,685.4 28.0 35.0 87.0
Asset impairments, restructuring, and other
special charges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 80.0 1,659.4 88.9 145.7
Other—net, expense (income) . . . . . . . . . . . . . . . . . . . . . . . . . 81.2 (2.5) (32.3) (20.3)
Income (loss) before income taxes . . . . . . . . . . . . . . . . . . . . . (3,337.4) (232.8) 1,206.3 1,056.3
Net income (loss)1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (3,629.4) (465.6) 958.8 1,064.3
Earnings (loss) per share—basic and diluted. . . . . . . . . . . . . (3.31) (.43) .88 .97
Dividends paid per share. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .47 .47 .47 .47
Common stock closing prices
High. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43.69 49.25 53.06 57.18
Low . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29.91 43.92 45.61 47.81
2007 Fourth Third Second First
Net sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,189.6 $4,586.8 $4,631.0 $4,226.1
Cost of sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,272.8 1,054.6 998.9 922.5
Operating expenses. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,709.4 2,322.3 2,379.1 2,171.0
Acquired in-process research and development. . . . . . . . . . 89.0 — 328.1 328.5
Asset impairments, restructuring, and other
special charges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 98.2 81.3 — 123.0
Other—net, expense (income) . . . . . . . . . . . . . . . . . . . . . . . . . (32.1) (49.8) (1.8) (38.3)
Income before income taxes. . . . . . . . . . . . . . . . . . . . . . . . . . . 1,052.3 1,178.4 926.7 719.4
Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 854.4 926.3 663.6 508.7
Earnings per share – basic and diluted . . . . . . . . . . . . . . . . . . .78 .85 .61 .47
Dividends paid per share. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .425 .425 .425 .425
Common stock closing prices
High. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 59.47 58.44 60.56 54.99
Low . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49.09 54.09 54.39 51.63
Our common stock is listed on the New York, London, and Swiss stock exchanges.
1We incurred tax expense of $764.3 million in 2008, despite having a loss before income taxes of $1.31 billion. Our net loss was driven
by the $4.69 billion acquired IPR&D charge for ImClone in the fourth quarter and the $1.48 billion Zyprexa investigation settlements
recorded in the third quarter. The IPR&D charge was not tax deductible, and only a portion of the Zyprexa investigation settlements
was deductible. In addition, we recorded tax expense associated with the ImClone acquisition in the fourth quarter, as well as a dis-
crete income tax benefi t of $210.3 million in the fi rst quarter for the resolution of the IRS audit.