Bristol Myers Squibb — Third Quarter 2026 Earnings Summary

Financial Performance:

• Total revenues increased 7% year-over-year to $13.1 billion ($13,069 million) for the quarter ended September 30, 2026, compared to $12.2 billion in the prior year period.
• Growth Portfolio revenues increased 12% to $7.7 billion ($7,662 million), while Legacy Portfolio revenues increased 1% to $5.4 billion ($5,415 million).
• U.S. revenues grew 9% to $9.1 billion, and International revenues grew 3% (4% excluding foreign exchange) to $4.0 billion.
• GAAP earnings per share (EPS) were $1.05, down 3% from $1.08 in the prior year; Non-GAAP EPS were $1.35, down 17% from $1.63 in the prior year.
• Both GAAP and Non-GAAP EPS figures included a net impact of $(0.58) per share from Acquired IPRD charges and licensing income.
• Gross margin decreased to 68.3% on a GAAP basis and 68.4% on a Non-GAAP basis, compared to 71.9% and 72.9% respectively in the prior year, primarily due to product mix changes and a one-time contract termination charge.
• Selling, general and administrative (SG&A) expenses decreased 5% to $1.7 billion on both GAAP and Non-GAAP bases.
• Research and development (R&D) expenses decreased 6% to $2.4 billion on a GAAP basis and 3% on a Non-GAAP basis.
• Acquired IPRD charges were $1.6 billion ($1,558 million) for the quarter.
• Net income attributable to Bristol Myers Squibb was $2.2 billion on a GAAP basis and $2.8 billion on a Non-GAAP basis.
• Effective tax rate was 14.8% on a GAAP basis and 14.1% on a Non-GAAP basis, down from 29.5% and 22.3% respectively in the prior year.
• Net debt position improved to $(29,918) million as of September 30, 2026, from $(34,043) million as of December 31, 2025.

Guidance and Future Outlook:

• Full-year 2026 revenue guidance was raised to a range of $49.75 billion to $50.25 billion, up from the previous range of approximately $49.0 billion to $50.0 billion.
• Full-year 2026 Non-GAAP EPS guidance was updated to a range of $6.35 to $6.55, inclusive of a $(0.60) per share net impact from Acquired IPRD charges and licensing income.
• Full-year 2026 other income/(expense) is now expected to be approximately $650 million of expense, driven by favorable net interest.
• The company reaffirmed its expectation for Worldwide Eliquis revenues to increase in 2026 compared to 2025, maintaining a projected growth range of 20% to 25%.
• Gross margin and operating expense guidance for 2026 remain unchanged.

Business Segments and Product Lines:

• Growth Portfolio revenue growth was primarily driven by Opdivo Qvantig, Breyanzi, Reblozyl, Camzyos, and Opdualag.
• Legacy Portfolio revenue growth was primarily driven by Eliquis, partially offset by expected continued generic impacts across the remainder of the portfolio.
• Opdivo Qvantig revenue grew over 200% year-over-year to $334 million.
• Eliquis revenue increased 25% worldwide to $4.69 billion.
• Revlimid revenue declined 47% worldwide to $303 million.
• Camzyos revenue increased 42% worldwide to $420 million.
• Breyanzi revenue increased 46% worldwide to $526 million.
• Reblozyl revenue increased 22% worldwide to $750 million.
• Opdualag revenue increased 23% worldwide to $367 million.
• Sotyktu revenue increased 26% worldwide to $100 million.
• Zenbexus (iberdomide) was approved by the FDA for the treatment of adult patients with multiple myeloma who have received at least one prior line of therapy.
• Camzyos received FDA approval for the treatment of symptomatic obstructive hypertrophic cardiomyopathy in adults and pediatric patients weighing 30 kg or more.

Market and Competitive Landscape:

• The company reported broad-based and continuing momentum across its portfolio, driving the revenue guidance increase.
• The Growth Portfolio continues to deliver double-digit growth, reflecting the success of medicines early in their lifecycles.
• Legacy Portfolio faces headwinds from generic competition, particularly on Revlimid, Pomalyst/Imnovid, Sprycel, and Abraxane.

Risks and Challenges:

• Potential risks include increasing pricing pressures from market access, pharmaceutical pricing controls, and discounting.
• Risks related to government actions, including new tariffs, trade restrictions, and export regulations.
• Risks associated with the company's ability to retain patent and market exclusivity for certain products.
• Risks related to regulatory changes resulting in lower prices, lower reimbursement rates, and smaller populations for whom payers will reimburse.
• Risks of increasing market penetration of lower-priced generic products.
• Risks related to potential difficulties, delays, and disruptions in manufacturing, distribution, or sale of products.
• Risks related to the company's significant indebtedness and interest rate/currency exchange rate fluctuations.
• Risks related to the failure of the company's suppliers, vendors, or alliance partners to meet obligations.
• Risks related to safety or efficacy concerns regarding the company's products.

Management Commentary and Tone:

• Christopher Boerner, Ph.D., Board Chair and CEO, stated the company delivered another quarter of double-digit growth in its Growth Portfolio, reflecting continued momentum across its diversified portfolio.
• Management highlighted the approval of Zenbexus as a key pipeline milestone, bringing a new class of treatment (CELMoD) to market for patients with multiple myeloma.
• The CEO emphasized a focus on executing with discipline, investing where the greatest opportunity exists, and strengthening the foundation for sustainable growth.
• The tone regarding future outlook is confident, citing broad-based momentum and late-stage data expectations.

Other Key Points:

• The company announced plans to develop a new, state-of-the-art manufacturing campus at Generation Park in Houston, Texas, representing an approximately $2.3 billion investment to create nearly 500 skilled jobs.
• RayzeBio, Inc., a Bristol Myers Squibb company, announced an investment of more than $173 million to expand radiopharmaceutical manufacturing operations in Whitestown, Indiana, creating up to 100 new jobs by the end of 2029.
• The company reported positive topline results from the Phase 3 EXCALIBER-RRMM study for Zenbexus, showing a 51% reduction in the risk of disease progression or death.
• Positive data was announced for Izalontamab Brengitecan (iza-bren) in the Phase 3 PANKU-Lung01 study for non-small cell lung cancer.
• Positive data was announced for pumitamig in the Phase 2 ROSETTA Lung-107 trial for metastatic NSCLC.
• Interim safety and efficacy results were disclosed for Zolacabtagene Autoleucel (zola-cel) in the Phase 1 Breakfree-2 study for multiple sclerosis.
• Positive topline results were announced for RYZ101 in the Phase 3 ACTION-1 trial for neuroendocrine tumors.
• Positive topline results were announced for Admilparant in the Phase 3 ALOFT-IPF trial for idiopathic pulmonary fibrosis.
• Positive Phase 2 results were announced for Arlocabtagene Autoleucel (arlo-cel) in the registrational QUINTESSENTIAL trial for multiple myeloma.
• Durable efficacy and consistent safety profile were confirmed for Sotyktu in the Phase 3 POETYK PsA-2 study for psoriatic arthritis.
• Long-term efficacy and safety data for Camzyos were reinforced through the EXPLORER-LTE cohort of the MAVA-LTE study.