The Bristol Myers Squibb analysis and improvement middle at Cambridge Crossing in Cambridge, Massachusetts, US, on Wednesday, Dec. 27, 2023.
Adam Glanzman | Bloomberg | Getty Photographs
Bristol Myers Squibb on Thursday reported first-quarter income that topped expectations as its blockbuster blood thinner Eliquis and a number of other new medication posted gross sales development.
However the pharmaceutical firm swung to a quarterly loss resulting from one-time prices associated to its just lately closed offers. It additionally launched a program to chop $1.5 billion in prices by 2025, and mentioned it might reinvest the cash in drug improvement.
Bristol Myers mentioned it would prioritize funding in its key drug manufacturers and focus its sources on analysis and improvement packages that might ship the very best returns, amongst different efforts.
For the primary quarter, Bristol Myers mentioned the costs that weighed it down primarily mirror its $14 billion acquisition of neuroscience drugmaker Karuna Therapeutics and collaboration settlement with SystImmune, a subsidiary of a Chinese language biotech startup, to co-develop and market its experimental most cancers remedy.
These offers come as Bristol Myers faces strain to launch new medication and offset the potential lack of income from top-selling therapies. The corporate’s common blood most cancers remedy Revlimid – and ultimately, Eliquis and most cancers immunotherapy Opdivo – faces competitors from cheaper copycats.
Here is what Bristol Myers Squibb reported for the primary quarter in contrast with what Wall Road was anticipating, based mostly on a survey of analysts by LSEG:
- Loss per share: $4.40 adjusted vs. $4.44 anticipated
- Income: $11.87 billion vs. $11.46 billion anticipated
Bristol Myers, one of many world’s largest pharmaceutical corporations, swung to a internet lack of $11.9 billion, or $5.89 per share, through the first quarter. That compares to internet revenue of $2.3 billion, or $1.07 per share, for a similar interval a 12 months in the past.
Excluding sure objects, its adjusted loss per share was $4.40 for the interval.
The loss displays a one-time $6.30 per share cost associated to the just lately closed offers, Bristol Myers mentioned in a launch.
Bristol Myers reported first-quarter income of $11.87 billion, up 5% from the year-earlier interval.
The corporate reiterated its full-year income forecast of a low single-digit improve. However Bristol Myers lowered its 2024 adjusted earnings steerage to 40 cents to 70 cents per share to mirror the influence of current offers.
That compares with a earlier forecast of $7.10 to $7.40 per share, which didn’t embody prices associated to its buyouts of Karuna Therapeutics and radiopharmaceutical firm RayzeBio, together with divestitures and different objects.
Eliquis, new medication publish development
Bristol Myers mentioned income development for the primary quarter was primarily pushed by larger gross sales of Eliquis and a few of its newer medication.
Eliquis booked $3.72 billion in gross sales for the quarter, up 9% from the year-ago interval. Analysts had anticipated Eliquis to attract $3.59 billion in income, in response to estimates compiled by FactSet.
Eliquis, which Bristol Myers shares with Pfizer, is among the many first 10 medication dealing with ongoing value negotiations with the federal Medicare program. The blood thinner is predicted to lose market exclusivity by 2028.
Anemia drug Reblozyl and superior melanoma remedy Opdualag additionally posted income development through the first quarter.
Reblozyl booked $354 million in gross sales, up 72% from the year-earlier interval. Analysts had anticipated income of $330.8 million, in response to FactSet.
Opdualag generated $206 million in gross sales for the primary quarter, which is up 76% from the identical interval a 12 months in the past. Analysts had anticipated income of $206.5 million, FactSet estimates mentioned.
The efficiency of different new medication fell in need of Wall Road’s expectations.
Abecma, a cell remedy for a uncommon blood most cancers referred to as a number of myeloma, drew $82 million in gross sales for the quarter. Analysts had anticipated $112.6 million in income, in response to FactSet.
The U.S. Meals and Drug Administration earlier this month expanded its approval of that drug, permitting a number of myeloma sufferers to make use of it as an earlier line of remedy.
In the meantime, Revlimid raked in $1.67 billion in gross sales, down 5% from the identical interval a 12 months in the past.
Nonetheless, that surpassed analysts’ income expectations of $1.22 billion or the drug, in response to FactSet estimates.
Opdivo generated $2.07 billion in gross sales for the quarter, down 6% from the primary quarter of 2023. Analysts had anticipated the drug to e-book $2.3 billion in income for the interval, FactSet estimates mentioned.
