Lilly raises earnings forecast on demand for new drugs

ELI LILLY, the maker of prozac antidepressant pills, raised its 2003 earnings forecast on demand for psychiatric medications including zyprexa for schizophrenia and new drugs such as cialis to treat impotence.

Lilly, based in Indianapolis, expects full-year net income of at least $2.32 a share, chief financial officer Charles Golden told investors at a meeting in New York. That's compared with its previous estimate of $2.27 to $2.37.

Chief executive Sidney Taurel is counting on new medicines to boost earnings as zyprexa, Lilly's top product with $3.69bn in sales last year, faces pressure from competitors such as Bristol-Myers Squibb Co's Abilify. Demand for cialis, under review for US approval, has exceeded expectations in the countries where it's been introduced, the company said.