8-K: Bristol-Myers Squibb Reports Strong Q1 2025 Results, Raises Full-Year Guidance

• Bristol-Myers Squibb reported first-quarter 2025 revenues of $11.2 billion, a decrease of 6% or 4% excluding foreign exchange impacts.
• The Growth Portfolio revenues reached $5.6 billion, marking a 16% increase or 18% excluding foreign exchange.
• GAAP EPS was $1.20, while non-GAAP EPS was $1.80.
• The company is raising its 2025 revenue guidance to a range of approximately $45.8 billion to $46.8 billion.
• Non-GAAP EPS guidance is also increased to a range of $6.70 to $7.00.
• The company is on track to pay down ~$10B of debt by the end of 1H 2026 with ~$6B achieved as of Q1 2025.

Score: 7

Explanation: The sentiment is positive due to the strong performance of the Growth Portfolio, raised guidance, and progress in pipeline development. However, the decline in legacy product revenue and some clinical trial setbacks temper the overall positive outlook.

• Strong growth in the Growth Portfolio, driven by products like Opdivo, Breyanzi, Reblozyl, and Camzyos.
• Raised revenue and EPS guidance for 2025.
• Positive initial feedback for Opdivo Qvantig.
• Breyanzi is the #1 CAR T in the U.S. with a best-in-class CD19 CAR T profile.
• Camzyos sees continued strong U.S. demand and a favorable U.S. label update.
• Sotyktu has improved U.S. access, effective January 1, 2025.
• The company is on track to pay down ~$10B of debt by the end of 1H 2026 with ~$6B achieved as of Q1 2025.
• The company remains committed to its dividend.

• Total revenues decreased by 6% or 4% Ex-FX.
• Legacy Portfolio revenues declined by 20% due to generic impact on Revlimid, Pomalyst, Sprycel and Abraxane, as well as the impacts from U.S. Medicare Part D redesign.
• The Phase 3 ARISE trial evaluating Cobenfy as an adjunctive treatment to atypical antipsychotics in adults with schizophrenia did not meet the threshold for statistical significance for the primary endpoint.
• The Phase 3 ODYSSEY-HCM trial evaluating Camzyos for the treatment of adult patients with symptomatic New York Heart Association class II-III non-obstructive hypertrophic cardiomyopathy did not meet its dual primary endpoints.
• The Phase 3 RELATIVITY-098 trial evaluating Opdualag for the adjuvant treatment of patients with completely resected stage III-IV melanoma did not meet its primary endpoint of recurrence-free survival.

• Increasing pricing pressures from market access, pharmaceutical pricing controls and discounting.
• Government actions relating to the imposition of new tariffs, trade restrictions and export regulations.
• The company's ability to retain patent and market exclusivity for certain products.
• Regulatory changes that result in lower prices, lower reimbursement rates and smaller populations for whom payers will reimburse.
• Increasing market penetration of lower-priced generic products.
• Potential difficulties, delays and disruptions in manufacturing, distribution or sale of products.
• The impact of the company's significant indebtedness.
• Political and financial instability of international economies and sovereign risk.

Bristol-Myers Squibb raised its full-year 2025 revenue guidance to a range of $45.8 billion to $46.8 billion and increased its non-GAAP EPS range to $6.70 to $7.00. The company expects continued growth from its Growth Portfolio and is focused on advancing its pipeline and becoming more agile and efficient.

• Our strong execution in the first quarter drove continued momentum across our Growth Portfolio and meaningful progress in the pipeline, said Christopher Boerner, Ph.D., board chair and chief executive officer, Bristol Myers Squibb.
• We are advancing our multi-year plan to become a more agile and efficient company, while strengthening the foundation for top-tier, long-term growth.
• Our strategy is clear, and our actions are accelerating the delivery of transformational medicines to patients.

The pharmaceutical industry is facing increasing pricing pressures and regulatory scrutiny. Bristol-Myers Squibb's focus on its Growth Portfolio and pipeline development is a strategy to offset the decline in revenue from legacy products and maintain a competitive position in the market.

• Bristol-Myers Squibb's growth portfolio strategy mirrors similar approaches taken by companies like Pfizer and Novartis, who are also focusing on innovative therapies to drive growth.
• The company's debt reduction efforts are in line with industry trends, as companies seek to strengthen their balance sheets and improve financial flexibility.
• BMS's #1 CAR T position in the US is comparable to Gilead's Yescarta and Novartis' Kymriah, all competing in the CAR T space.

• Shareholders: Positive impact due to increased revenue and EPS guidance.
• Employees: Potential for job security and growth opportunities due to company's strategic initiatives.
• Patients: Access to innovative medicines and improved treatment options.
• Suppliers: Continued business relationships and potential for increased demand.
• Creditors: Reduced risk due to debt repayment efforts.

• Continue to advance the multi-year plan to become a more agile and efficient company.
• Focus on expanding the prescriber base for Cobenfy through HCP education.
• Anticipate EU launch of Opdivo Qvantig, gated by reimbursement timing.
• Pursue opportunities and partnerships to diversify portfolio & strengthen long-term outlook.

• January 9, 2025: Foreign exchange rates used for February (prior) guidance calculation.
• January 1, 2025: U.S. access improvements for Sotyktu became effective.
• March 8, 2025: Positive data announced from the pivotal Phase 3 POETYK PsA-2 trial evaluating the efficacy and safety of Sotyktu in adults with active psoriatic arthritis.
• March 14, 2025: The European Commission (EC) granted approval to Breyanzi for the treatment of adult patients with relapsed or refractory follicular lymphoma after two or more lines of systemic therapy.
• March 28, 2025: The Committee for Medicinal Products for Human Use (CHMP) of the European Medicines Agency (EMA) recommended approval of the perioperative regimen of Opdivo, in combination with platinum-based chemotherapy as neoadjuvant treatment, followed by Opdivo as monotherapy, as adjuvant treatment after surgical resection for the treatment of resectable non-small cell lung cancer at high risk of recurrence in adult patients whose tumors have PD-L1 expression 1%.
• March 28, 2025: The CHMP of the EMA recommended approval of a new Opdivo formulation associated with a new route of administration (subcutaneous use), a new pharmaceutical form (solution for injection) and a new strength (600 mg/vial).
• March 31, 2025: Date of financials in report.
• April 8, 2025: The FDA approved Opdivo plus Yervoy as a first-line treatment of adult and pediatric patients (12 years and older) with unresectable or metastatic microsatellite instability-high or mismatch repair deficient colorectal cancer.
• April 11, 2025: The FDA approved Opdivo plus Yervoy as a first-line treatment for adult patients with unresectable or metastatic hepatocellular carcinoma (HCC).
• April 14, 2025: The Phase 3 ODYSSEY-HCM trial evaluating Camzyos for the treatment of adult patients with symptomatic New York Heart Association class II-III non-obstructive hypertrophic cardiomyopathy did not meet its dual primary endpoints.
• April 17, 2025: The U.S. Food and Drug Administration (FDA) updated the U.S. Prescribing Information for Camzyos, simplifying treatment options for patients and physicians by reducing the required echo monitoring for eligible patients in the maintenance phase and expanding patient eligibility by reducing contraindications.
• April 22, 2025: The Phase 3 ARISE trial evaluating Cobenfy as an adjunctive treatment to atypical antipsychotics in adults with schizophrenia did not meet the threshold for statistical significance for the primary endpoint.
• April 23, 2025: Foreign exchange rates used for April (updated) guidance calculation.
• April 24, 2025: Date of the earnings release and conference call.
• July 1, 2025: Expected date for permanent J-Code for Opdivo Qvantig.
• End of 1H 2026: Target date to pay down ~$10B of debt.