Bristol Myers Beats on Q2 Earnings and Sales, Raises '25 Sales View

Bristol-Myers Squibb Company (BMY) reported second-quarter 2025 adjusted earnings per share (EPS) of $1.46, which comfortably beat the Zacks Consensus Estimate of $1.07. In the year-ago quarter, BMY posted adjusted earnings per share of $2.07.

Total revenues of $12.3 billion surpassed the Zacks Consensus Estimate of $11.4 billion. Revenues were up 1% from the year-ago period’s level.

BMY’s shares have lost 18.7% year to date against the industry's growth of 1.5%.

Revenues decreased 3% to $8.5 billion in the United States. International revenues increased 10% year over year to $3.8 billion.

Growth Portfolio Fuels BMY’s Q2 Top Line

BMY’s Growth Portfolio comprises drugs like Opdivo, Opdivo Qvantig, Orencia, Yervoy, Reblozyl, Camzyos, Breyanzi, Opdualag, Zeposia, Abecma, Sotyku, Krazati and Cobenfy.

Revenues from the Growth portfolio totaled $6.6 billion, up 18% from the year-ago level. Sales grew 17% when adjusted for foreign exchange impacts.

Growth Portfolio revenues were primarily driven by higher demand for Opdivo, Reblozyl, Breyanzi, Camzyos, Yervoy and Opdualag.

Total sales of the immuno-oncology drug Opdivo, approved for multiple cancer indications, increased 7% year over year to $2.6 billion. The figure beat both the Zacks Consensus Estimate and our model estimate of $2.4 billion.

Opdivo Qvantig generated sales of $30 million.

Sales of the rheumatoid arthritis drug Orencia increased 2% to $963 million as an increase in international sales offset the decline in domestic sales.

Melanoma drug Yervoy contributed $728 million to the top line. The figure rose 16% year over year. Yervoy sales beat the Zacks Consensus Estimate of $655 million and our model estimate of $653.7 million.

Reblozyl sales surged 34% year over year to $568 million. Reblozyl sales beat the Zacks Consensus Estimate of $546 million and our model estimate of $502 million.

Opdualag sales jumped 21% to $284 million. The figure beat the Zacks Consensus Estimate of $276 million and our model estimate of $269.8 million.

Breyanzi sales skyrocketed 125% to $344 million and beat the Zacks Consensus Estimate of $300 million and our model estimate of $297.3 million. Camzyos sales, too, surged 87% to $260 million.

Sales of Zeposia totaled $150 million. Abecma sales decreased 8% to $87 million.

Sotyktu sales totaled $70 million. Krazati raked in sales of $48 million. The newly approved schizophrenia drug, Cobenfy, generated sales of $35 million.

BMY’s Legacy Portfolio Continues to Decline

Revenues for the Legacy Portfolio decreased 14% to $5.67 billion due to the continued generic impact on Revlimid, Pomalyst, Sprycel and Abraxane, as well as the effects of the U.S. Medicare Part D redesign.

Eliquis sales of $3.7 billion were up 8%. Sales beat both the Zacks Consensus Estimate of $3.5 billion and our model estimate of $3.6 billion.

Please note that Bristol-Myers has a collaboration agreement with Pfizer (PFE) for Eliquis. The companies collaborated in 2007. Profits and losses are shared equally on a global basis, except in certain countries where Pfizer commercializes Eliquis and pays BMY a sales-based fee.

Multiple myeloma (MM) drug Revlimid revenues plummeted 38% to $838 million due to lower demand on account of generic erosion. Nonetheless, sales surpassed both the Zacks Consensus Estimate of $626 million and our model estimate of $659.6 million.

MM drug Pomalyst generated sales of $708 million, down 26% year over year.

Leukemia drug Sprycel sales nosedived 72% year over year to $120 million due to generic competition.

Abraxane revenues declined 55% to $105 million.

Costs and Margin

Gross margin decreased to 72.6% from 75.6% in the year-ago quarter due to product mix. Adjusted research and development expenses decreased 1% to $2.3 billion. Adjusted marketing, selling and administrative expenses decreased 12% to $1.7 billion due to BMY’s cost-cutting initiative.

BMY’s Key Pipeline Updates

The FDA accepted for review the supplemental new drug application for Sotyktu based on positive results from the phase III POETYK PsA-1 and POETYK PsA-2 clinical trials for the treatment of adults with active psoriatic arthritis. The regulatory body assigned a target action date of March 6, 2026.

However, the late-stage INDEPENDENCE study evaluating Reblozyl with concomitant janus kinase inhibitor therapy in adult patients with myelofibrosisassociated anemia receiving red blood cell (RBC) transfusions did not meet its primary endpoint of RBC transfusion independence during any consecutive 12-week period, starting within the first 24 weeks of treatment, compared to placebo.

Last month, BMY entered into an agreement with BioNTech (BNTX) for the global co-development and co-commercialization of BioNTech’s investigational bispecific antibody BNT327 across numerous solid tumor types.

Under the agreement, BNTX and BMY will work jointly to broaden and accelerate the development of this pipeline candidate.

Earlier in the week, BMY announced the creation of a new, independent biopharmaceutical company with Bain Capital focused on developing new therapies for autoimmune diseases that address significant unmet needs of patients. The newly formed company launches with five immunology assets in-licensed from Bristol Myers Squibb and a $300 million financing commitment that was led by Bain Capital.

BMY Raises 2025 Revenue Guidance

Bristol-Myers raised its annual revenue guidance to $46.5-$47.5 billion from $45.8-$46.8 billion on the back of strong performance of the Growth Portfolio, better-than-expected Legacy Portfolio sales in the second quarter of 2025 and a favorable impact of approximately $200 million related to foreign exchange rates.

The Zacks Consensus Estimate for 2025 revenues is pinned at $46.32 billion.

However, the company now expects adjusted earnings to be in the range of $6.35-$6.65 (previous guidance: $6.70-$6.7). The decline in annual earnings guidance is due to an unfavorable (57 cents per share) impact of the acquired IPRD charge due to the BNTX deal. The Zacks Consensus Estimate for 2025 EPS is pegged at $6.28.

Our Take on BMY’s Q2 Performance

BMY’s better-than-expected quarterly results were driven by higher demand for Opdivo, Breyanzi, Reblozyl and Camzyos.

As expected, sales in the Legacy portfolio declined, but the deterioration was lower than expected.

Consequently, the revenue guidance was raised to reflect this performance.

The strategic productivity initiative undertaken by the company is boosting the bottom line.

While the performance definitely boosts investor sentiment, BMY has a few challenges to navigate as of now.

BMY’s Zacks Rank & Stock to Consider

Bristol-Myers currently carries a Zacks Rank #4 (Sell).

A top-ranked stock in the biotech sector is Exelixis, Inc. (EXEL), which currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

In the past 60 days, estimates for EXEL’s 2025 earnings per share (EPS) have risen from $2.57 to $2.68. EPS estimates for 2026 have increased from $3.02 to $3.16 during the same period. Year to date, shares of EXEL have gained 10.7%.

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This article originally published on Zacks Investment Research (zacks.com).

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