Biotech
Friday, February 2nd, 2024 6:47 pm EDT
Key Points
- Bristol Myers Squibb reported quarterly earnings and revenue that exceeded Wall Street expectations, with adjusted earnings per share at $1.70 compared to an expected $1.53 and revenue reaching $11.48 billion against an expected $11.19 billion.
- The pharmaceutical giant attributed its revenue growth, up 1% from the same period the previous year, to increased sales of a group of new drugs, including Reblozyl and Opdualag, which collectively generated $1.07 billion in sales for the quarter, marking a 66% increase from the year-earlier period.
- Despite Bristol Myers beating earnings expectations, its profit shrank from the previous year, reporting a net income of $1.76 billion, or 87 cents per share, compared to $2.02 billion, or 95 cents per share, for the year-ago period. The company’s focus on launching new drugs is intensified as its blockbuster blood cancer treatment Revlimid faces competition from cheaper generic alternatives.
- Bristol Myers issued its full-year 2024 forecast, anticipating adjusted earnings of $7.10 to $7.40 per share and a low single-digit increase in revenue. The guidance excludes the potential impact of acquisitions, including planned buyouts of RayzeBio and Karuna Therapeutics, along with divestitures and other items.
- Notable contributors to Bristol Myers’ revenue included Eliquis and Opdivo. Eliquis generated $2.87 billion in sales for the quarter (7% increase), and Opdivo contributed $2.39 billion (8% increase). These, along with new drugs and acquisitions, helped offset declining sales for Revlimid, which totaled $1.45 billion (36% decrease from the previous year) but exceeded analyst expectations.
- While some new drugs like Reblozyl and Opdualag surpassed revenue estimates, others, including Abecma and Zeposia, fell short of Wall Street expectations. Bristol Myers’ new drug sales were described as “mixed” by JPMorgan analyst Chris Schott.
Bristol Myers Squibb, one of the world’s leading pharmaceutical companies, reported strong quarterly earnings and revenue, surpassing Wall Street expectations. In the fourth quarter, the company achieved earnings per share of $1.70 (adjusted), exceeding the anticipated $1.53, while revenue reached $11.48 billion, surpassing the expected $11.19 billion. The revenue growth, up 1% from the previous year, was primarily attributed to increased sales of a portfolio of new drugs, including the anemia drug Reblozyl and advanced melanoma treatment Opdualag, which collectively generated $1.07 billion in sales, marking a 66% increase from the year-ago period. The company’s reliance on new drug launches has intensified as its blockbuster blood cancer treatment Revlimid faces competition from generic alternatives.
Despite beating earnings expectations, Bristol Myers’ net income for the quarter declined to $1.76 billion, or 87 cents per share, compared to $2.02 billion, or 95 cents per share, in the same period the previous year. Adjusted earnings per share, excluding certain items, were reported at $1.70. The company also provided its full-year 2024 forecast, anticipating adjusted earnings of $7.10 to $7.40 per share and a low single-digit increase in revenue. This guidance excludes the impact of potential acquisitions, including planned buyouts of RayzeBio and Karuna Therapeutics, as well as divestitures and other items. Analysts expect full-year adjusted earnings of $7 per share and 1.9% sales growth.
Key contributors to Bristol Myers’ revenue included Eliquis and Opdivo, with Eliquis generating $2.87 billion in sales (7% increase from the previous year) and Opdivo contributing $2.39 billion (8% increase). These drugs, along with the performance of new drugs and revenue from acquisitions, helped offset declining sales of Revlimid, which totaled $1.45 billion, marking a 36% decrease from the previous year but surpassing analyst expectations.
While some new drugs like Reblozyl and Opdualag exceeded revenue estimates, others, including Abecma and Zeposia, fell short of Wall Street expectations. Abecma, treating multiple myeloma, reported $100 million in sales against an expected $106.6 million, and Zeposia, for relapsing forms of multiple sclerosis, generated $133 million compared to an expected $150 million. Overall, the performance of Bristol Myers’ new drugs was described as “mixed” by JPMorgan analyst Chris Schott.
For the full original article on CNBC, please click here: https://www.cnbc.com/2024/02/02/bristol-myers-squibb-bmy-q4-earnings-report-2023.html
