Biotech
Thursday, April 25th, 2024 3:43 pm EDT
Key Points
- Bristol Myers Squibb reported first-quarter revenue exceeding expectations due to strong sales of Revlimid and Eliquis, despite swinging to a quarterly loss attributed to one-time charges from recent deals.
- The company plans to cut $1.5 billion in costs by 2025, primarily through layoffs, discontinuing drug programs, consolidating sites, and reducing management layers. Two-thirds of the savings will be directed towards drug research and development.
- Bristol Myers’ first-quarter performance reflected revenue growth primarily driven by higher sales of Eliquis and newer drugs, while Revlimid’s sales, although down, surpassed analyst expectations. Other drugs like Reblozyl and Opdualag also posted revenue growth, but some newer drugs, like Abecma, fell short of Wall Street’s expectations.
Bristol Myers Squibb’s first-quarter revenue exceeded expectations, driven by strong sales of its blood cancer treatment Revlimid and blood thinner Eliquis. Despite this, the company reported a quarterly loss due to one-time charges linked to recent deals and announced plans to cut $1.5 billion in costs by 2025, reallocating funds into drug development. The cost-saving measures include layoffs, discontinuing drug programs, consolidating sites, and streamlining operations. Notably, two-thirds of savings are aimed at drug research and development. While the loss reflects charges related to acquisitions, Bristol Myers maintains a positive revenue outlook for the year, although it revised its 2024 adjusted earnings guidance due to recent deals. Eliquis saw significant revenue growth, while Revlimid’s sales, though down, surpassed analyst expectations. Other drugs like Reblozyl and Opdualag also posted revenue increases. However, some newer drugs, like Abecma, fell short of revenue expectations, highlighting variability in product performance. Despite challenges, Bristol Myers remains focused on optimizing operations and investing in key drug brands for future growth.
For the full original article on CNBC, please click here: https://www.cnbc.com/2024/04/25/bristol-myers-squibb-bmy-earnings-q1-2024.html
