Bristol-Myers Squibb Co (BMY, Financial) released its 8-K filing on February 6, 2025, detailing its financial performance for the fourth quarter and full year of 2024. The company, known for its focus on immuno-oncology and deriving a significant portion of its sales from the U.S., reported a revenue increase but faced challenges in earnings per share (EPS).

Fourth Quarter Financial Performance

In the fourth quarter of 2024, Bristol-Myers Squibb Co (BMY, Financial) reported revenues of $12.3 billion, marking an 8% increase from the previous year, or 9% when adjusted for foreign exchange. This growth was primarily driven by the company's Growth Portfolio and increased demand for Eliquis. However, the GAAP EPS was $0.04, significantly below the analyst estimate of $0.97. The non-GAAP EPS was $1.67, slightly below the previous year's $1.70.

Full-Year Financial Overview

For the full year, the company achieved revenues of $48.3 billion, a 7% increase from 2023, or 9% when adjusted for foreign exchange. Despite this revenue growth, Bristol-Myers Squibb Co (BMY, Financial) reported a GAAP loss per share of $(4.41), impacted by acquired IPRD charges and licensing income, resulting in a net impact of $(6.39) per share. The non-GAAP EPS was $1.15, a significant decrease from $7.51 in the previous year.

Product Portfolio Insights

The Growth Portfolio saw a substantial increase, with revenues reaching $6.4 billion in Q4, a 21% rise from the previous year. Key contributors included Reblozyl, Breyanzi, and Camzyos. Conversely, the Legacy Portfolio experienced a decline, with revenues falling to $6.0 billion, primarily due to the impact of generics on products like Sprycel and Revlimid.

Strategic and Operational Developments

Bristol-Myers Squibb Co (BMY, Financial) achieved several clinical and regulatory milestones, including the U.S. approval of Opdivo Qvantig and the launch of Cobenfy for schizophrenia treatment. The company also expanded its strategic productivity initiative, aiming for $2 billion in additional cost savings by 2027.

Financial Metrics and Analysis

On a GAAP basis, the gross margin decreased to 61.0% in Q4, primarily due to intangible asset impairment charges. Research and development expenses rose by 29% to $3.2 billion, reflecting recent acquisitions and IPRD impairment charges. The effective tax rate increased to 56.6%, influenced by intangible asset impairments.

Conclusion

Bristol-Myers Squibb Co (BMY, Financial) demonstrated robust revenue growth driven by its Growth Portfolio, yet faced challenges in maintaining its earnings per share. The company's strategic initiatives and product approvals position it for future growth, although the impact of generics and acquisition-related charges remain significant hurdles. Investors and stakeholders will be keenly observing how these factors influence the company's performance in the coming quarters.

Explore the complete 8-K earnings release (here) from Bristol-Myers Squibb Co for further details.