Eli Lilly & Co. said an experimental, once-weekly drug for Type 2 diabetes was comparable to Novo Nordisk A/S's once-daily Victoza in reducing a measure of blood sugar in a patient study, a finding Lilly hopes will give it a competitive advantage if its drug reaches the market.

Lilly said its long-acting drug, dulaglutide, wasn't superior to Victoza, which had 2013 sales of about $2.1 billion. Lilly disclosed an abbreviated summary of the trial's results in a news release Tuesday, and plans to present full data at a scientific meeting later in the year.

Lilly applied for U.S. and European regulatory approval of dulaglutide last year based on results of prior clinical trials, and expects regulatory decisions later this year. It is one of three Lilly diabetes drugs under regulatory review, part of Lilly's strategy to regain lost ground in the competitive diabetes drug market. ISI Group estimates dulaglutide could generate about $2 billion in peak annual sales if it is cleared by regulators.

Dulaglutide belongs to a class of drugs known as glucagon-like peptide-1, or GLP-1, receptor agonists. They're designed to help increase insulin production and regulate blood-sugar levels in people with Type 2 diabetes, the most common form of diabetes. Other drugs in the class include AstraZeneca PLC's Byetta and Bydureon; Victoza is the segment leader.

The latest trial of dulaglutide, titled "Award 6," gave nearly 600 patients either dulaglutide or Victoza, and tracked their hemoglobin A1c, or HbA1c, a measure of blood-sugar control, for 26 weeks. The Lilly-funded study's primary goal was to show that dulaglutide was "non-inferior" to Victoza, or within 0.4% in average reduction of HbA1c.

Sherry Martin, a Lilly senior medical director, said in an interview dulaglutide wasn't superior to Victoza in average HbA1c reduction. But she said the study marked the first time that another GLP-1 had been shown to be noninferior to Victoza.

Adverse events were comparable between dulaglutide and Victoza, with the most frequently reported events being gastrointestinal-related, Lilly said.

Novo Nordisk said Victoza has "a proven record" of effectively helping patients with Type 2 diabetes control their blood sugar daily since the drug was approved by the U.S. Food and Drug Administration in 2010. The company said it planned review the full data set from the Lilly study before assessing its meaning any further.

Write to Peter Loftus at peter.loftus@wsj.com

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