Pharmaceutical giant Bristol-Myers Squibb (BMY) saw its stock plummet 5.38% in pre-market trading on Thursday, following its mixed fourth-quarter results and below-par guidance for 2025.

For Q4, BMY posted earnings of $1.67 per share, surpassing analyst estimates of $1.46. However, revenue of $12.34 billion, though higher than expected, grew only 8% year-over-year. Flagship products like cancer drug Opdivo saw modest 4% sales growth.

The main cause for concern was BMY's guidance for 2025. The company expects revenue of around $45.5 billion for the year, well short of the $47.4 billion analysts had projected. This lower top-line outlook stems from intensifying generic competition impacting sales of older drugs like Revlimid, Pomalyst, Sprycel, and Abraxane.

BMY's earnings guidance of $6.55 to $6.85 per share for 2025 also fell short of the $6.92 consensus estimate. In response, the company revealed plans to expand its cost-cutting program by an additional $2 billion through 2027, bringing total targeted savings to $3.5 billion.