From CNBC: 2024-04-25 12:26:45

Bristol Myers Squibb reported first-quarter revenue exceeding expectations, driven by higher sales of Revlimid and Eliquis, but the company swung to a quarterly loss due to one-time charges. The pharmaceutical giant plans to cut $1.5 billion in costs by 2025, prioritizing investments in key drug brands and research programs with high returns.

The company will lay off 2,200 employees, discontinue some drug programs, and consolidate sites to achieve cost savings. Two-thirds of savings will come from drug research and development, with 12 drug programs already discontinued. CEO Chris Boerner emphasized the focus on operational discipline to deliver results this year and in the long term.

Revenue growth for the quarter was driven by higher sales of Eliquis and some newer drugs, despite a decline in sales of Revlimid. The company’s full-year revenue forecast remains a low single-digit increase, but adjusted earnings guidance for 2024 was lowered, reflecting recent deals. Shares of Bristol Myers fell more than 7%, with revenue of $11.87 billion and a net loss of $11.9 billion reported for the first quarter.

Eliquis generated $3.72 billion in sales for the quarter, while Revlimid raked in $1.67 billion, exceeding analysts’ estimates. Anemia drug Reblozyl and advanced melanoma treatment Opdualag also posted revenue growth, but some new drugs fell short of expectations. The U.S. FDA expanded approval of Abecma for multiple myeloma, but Opdivo sales decreased by 6% compared to the previous year.



Read more at CNBC:: Bristol Myers Squibb (BMY) earnings Q1 2024