Biotech
Thursday, October 26th, 2023 2:48 pm EDT
Key Points
- Earnings and Revenue Performance: Bristol Myers Squibb reported third-quarter earnings that exceeded expectations, with adjusted earnings per share reaching $2. However, the company’s revenue for the quarter was $10.96 billion, in line with estimates. This revenue represented a 2% decrease compared to the same period the previous year.
- Decline in Sales of Revlimid: Sales of Bristol Myers’ popular blood cancer drug, Revlimid, significantly decreased, falling by 41% from the third quarter of the previous year. This decline was primarily attributed to the impact of generic competition. Additionally, a rise in patients receiving Revlimid at no cost through the company’s patient assistance foundation contributed to the drop in sales.
- Performance of Other Drugs: While Revlimid faced challenges, other drugs in Bristol Myers’ portfolio helped offset the declining sales. Notable performers included Eliquis, with $2.71 billion in sales for the quarter, and Opdivo, which generated $2.28 billion, marking a 2% and 11% increase from the same period the prior year, respectively. The company also experienced growth in sales of newer products, with $928 million in sales, primarily driven by higher demand for medications like prescription anemia drug Reblozyl. Despite this overall performance, both Eliquis and Opdivo fell short of analyst estimates
Bristol Myers Squibb reported its third-quarter earnings, which surpassed expectations for adjusted earnings per share but met revenue estimates. The company’s revenue for the quarter reached $10.96 billion, a 2% decrease from the same period last year. This decline was mainly attributed to reduced sales of the blood cancer drug Revlimid, which brought in $1.43 billion for the quarter.
Revlimid sales decreased by 41% compared to the third quarter of the previous year, partly due to an increase in patients receiving the drug at no cost through Bristol Myers’ patient assistance foundation. Despite this challenge, the company’s net income for the quarter was $1.93 billion, or 93 cents per share, an improvement over the year-ago period.
Here are the key financial results and outlook for Bristol Myers Squibb:
- Adjusted earnings per share: $2 (exceeding the expected $1.76)
- Revenue: $10.96 billion (in line with expectations)
- Bristol Myers’ stock dropped nearly 5% in premarket trading and has declined more than 21% year-to-date.
Bristol Myers adjusted its full-year earnings forecast to $7.50 to $7.65 per share, up from the previous range of $7.35 to $7.65. The company maintained its guidance for a low single-digit percentage decrease in full-year revenue.
Despite the challenges with Revlimid, Bristol Myers reported revenue growth in other areas. Eliquis brought in $2.71 billion in sales for the quarter, and Opdivo generated $2.28 billion, representing a 2% and 11% increase from the prior year, respectively. The company also reported strong growth in sales of newer products, with $928 million in sales for the quarter, primarily driven by demand for prescription anemia medication Reblozyl and skin cancer drug Opdualag.
Bristol Myers is set to acquire cancer drugmaker Mirati Therapeutics for up to $5.8 billion, which is expected to be a topic of discussion during its earnings call with investors.
For the full original article on CNBC, please click here: https://www.cnbc.com/2023/10/26/bristol-myers-squibb-bmy-q3-earnings-report-2023.html
