Bristol-Myers Squibb Earnings: Profit Streak Snapped by a Loss

S&P 500 (NYSE:SPY) component Bristol-Myers Squibb Company (NYSE:BMY) reported its results for the third quarter. Bristol-Myers Squibb is a global company that develops, manufactures, and sells pharmaceutical products.

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Bristol-Myers Squibb Company Earnings Cheat Sheet

Results: Reported a loss of $711 million (43 cents per diluted share) in the quarter. The large-cap pharmaceutical had net income of $969 million or 56 cents per share in the year-earlier quarter.

Revenue: Fell 30.1% to $3.74 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Bristol-Myers Squibb Company reported adjusted net income of 41 cents per share. By that measure, the company fell in line with the mean estimate of 41 cents per share. It fell short of the average revenue estimate of $4.46 billion.

Quoting Management: “Bristol-Myers Squibb faced challenges in the third quarter, including the discontinuation of BMS-986094 for the treatment of hepatitis C. I am proud of how we worked through these challenges and made the right decisions for patients,” said Lamberto Andreotti, chief executive officer, Bristol-Myers Squibb. “We remain strong and well-positioned for future success as demonstrated by the achievement of regulatory milestones for Eliquis and Orencia, the presentation of long-term survival data for Yervoy, the completion of our acquisition of Amylin, and the performance of our key brands.”

Key Stats:

The company’s loss in the latest quarter follows profits in the previous three quarters. The company reported a profit of $645 million in the second quarter, a profit of $1.1 billion in the first quarter and $852 million in the fourth of the last fiscal year.

The company fell in line with estimates last quarter after missing forecasts in the previous quarter with net income of 48 cents versus a mean estimate of net income of 49 cents per share.

Revenue has dropped in the past two quarters. In the second quarter, revenue declined 18.2% to $4.44 billion from the year-earlier quarter.

Looking Forward: Expectations for the fourth quarter have not changed from 40 cents. For the fiscal year, the average estimate has moved down from $1.93 a share to $1.92 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)

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