Bristol Myers Squibb (BMS) reported its second-quarter financial results for 2024, highlighting a 9% increase in revenues to $12.2 billion compared to the same period in 2023. When adjusted for foreign exchange impacts, the revenue increase was 11%. Notably, the growth portfolio revenues saw a significant 18% increase to $5.6 billion, or 21% when adjusted for foreign exchange. GAAP earnings per share (EPS) decreased by 16% to $0.83, while non-GAAP EPS saw a substantial 18% rise to $2.07.
In terms of product revenue highlights, the growth portfolio worldwide revenues increased to $5.6 billion, driven by higher demand for key products such as Opdivo, Reblozyl, and Breyanzi. On the other hand, the legacy portfolio revenues grew to $6.6 billion, primarily led by higher demand for Eliquis and Pomalyst, partially offset by a decline in Revlimid due to generic erosion.
Looking at expenses, on a GAAP basis, gross margin decreased to 73.2% primarily due to a one-time impairment charge related to marketed product rights. However, on a non-GAAP basis, gross margin increased to 75.6% due to product mix. Marketing, selling, and administrative expenses remained relatively flat at $1.9 billion, while research and development expenses increased to $2.9 billion on a GAAP basis, primarily due to an impairment charge.
In terms of key milestones, BMS achieved U.S. approval for Breyanzi in both follicular lymphoma and mantle cell lymphoma, with subcutaneous nivolumab under regulatory review in the U.S. and E.U.
The company also provided an update on its financial guidance for 2024, raising portions of its line-item guidance, including an increase in total revenues and gross margin percentage, and a decrease in the effective tax rate.
Following these announcements, the company's shares moved 1.4%, and are now trading at a price of $45.27. If you want to know more, read the company's complete 8-K report here.
