Attached files
| file | filename |
|---|---|
| EX-99.1 - PRESS RELEASE OF BRISTOL-MYERS SQUIBB COMPANY DATED JULY 28, 2016 - BRISTOL MYERS SQUIBB CO | q22016ex991.htm |
| 8-K - 8-K - BRISTOL MYERS SQUIBB CO | q22016earningsrelease8-k.htm |
Exhibit 99.2
BRISTOL-MYERS SQUIBB COMPANY
QUARTERLY TREND ANALYSIS OF REVENUES
(Unaudited, dollars in millions)
Revenues | 2015 | 2016 | % Change | FX Impact | ||||||||||||||||||||||||||||||||||||||||||||||||||||
1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | 1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | Qtr vs. Qtr | YTD vs. YTD | Qtr vs. Qtr | YTD vs. YTD | |||||||||||||||||||||||||||||||||||||||
US and Puerto Rico | $ | 2,044 | $ | 1,837 | $ | 3,881 | $ | 2,044 | $ | 5,925 | $ | 2,263 | $ | 8,188 | $ | 2,537 | $ | 2,688 | $ | 5,225 | 46% | 35% | — | — | ||||||||||||||||||||||||||||||||
Europe | 782 | 974 | 1,756 | 813 | 2,569 | 922 | 3,491 | 870 | 1,039 | 1,909 | 7% | 9% | 1% | (1)% | ||||||||||||||||||||||||||||||||||||||||||
Rest of the World | 1,019 | 1,124 | 2,143 | 1,027 | 3,170 | 972 | 4,142 | 840 | 1,013 | 1,853 | (10)% | (14)% | (5)% | (6)% | ||||||||||||||||||||||||||||||||||||||||||
Other | 196 | 228 | 424 | 185 | 609 | 130 | 739 | 144 | 131 | 275 | (43)% | (35)% | N/A | N/A | ||||||||||||||||||||||||||||||||||||||||||
Total | $ | 4,041 | $ | 4,163 | $ | 8,204 | $ | 4,069 | $ | 12,273 | $ | 4,287 | $ | 16,560 | $ | 4,391 | $ | 4,871 | $ | 9,262 | 17% | 13% | (1)% | (2)% | ||||||||||||||||||||||||||||||||
% of Revenues | 2015 | 2016 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | 1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | |||||||||||||||||||||||||||||||||||||||||||
US and Puerto Rico | 50.6 | % | 44.1 | % | 47.3 | % | 50.2 | % | 48.3 | % | 52.8 | % | 49.4 | % | 57.8 | % | 55.2 | % | 56.4 | % | ||||||||||||||||||||||||||||||||||||
Europe | 19.4 | % | 23.4 | % | 21.4 | % | 20.0 | % | 20.9 | % | 21.5 | % | 21.1 | % | 19.8 | % | 21.3 | % | 20.6 | % | ||||||||||||||||||||||||||||||||||||
Rest of the World | 25.2 | % | 27.0 | % | 26.1 | % | 25.2 | % | 25.8 | % | 22.7 | % | 25.0 | % | 19.1 | % | 20.8 | % | 20.0 | % | ||||||||||||||||||||||||||||||||||||
Other | 4.8 | % | 5.5 | % | 5.2 | % | 4.6 | % | 5.0 | % | 3.0 | % | 4.5 | % | 3.3 | % | 2.7 | % | 3.0 | % | ||||||||||||||||||||||||||||||||||||
Total | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100 | % | 100 | % | ||||||||||||||||||||||||||||||||||||
1
BRISTOL-MYERS SQUIBB COMPANY
EARNINGS FROM OPERATIONS
(Unaudited, dollars and shares in millions except per share data)
2015 | 2016 | % Change | ||||||||||||||||||||||||||||||||||||||||||||||||||||
1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | 1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | Qtr vs. Qtr | YTD vs. YTD | |||||||||||||||||||||||||||||||||||||||
Net product sales | $ | 3,059 | $ | 3,572 | $ | 6,631 | $ | 3,552 | $ | 10,183 | $ | 3,862 | $ | 14,045 | $ | 3,964 | $ | 4,432 | $ | 8,396 | 24% | 27% | ||||||||||||||||||||||||||||||||
Alliance and other revenues | 982 | 591 | 1,573 | 517 | 2,090 | 425 | 2,515 | 427 | 439 | 866 | (26)% | (45)% | ||||||||||||||||||||||||||||||||||||||||||
Total Revenues | $ | 4,041 | $ | 4,163 | $ | 8,204 | $ | 4,069 | $ | 12,273 | $ | 4,287 | $ | 16,560 | $ | 4,391 | $ | 4,871 | $ | 9,262 | 17% | 13% | ||||||||||||||||||||||||||||||||
Cost of products sold | 847 | 1,013 | 1,860 | 1,097 | 2,957 | 952 | 3,909 | 1,052 | 1,206 | 2,258 | 19% | 21% | ||||||||||||||||||||||||||||||||||||||||||
Marketing, selling and administrative | 1,029 | 1,135 | 2,164 | 1,176 | 3,340 | 1,501 | 4,841 | 1,068 | 1,238 | 2,306 | 9% | 7% | ||||||||||||||||||||||||||||||||||||||||||
Research and development | 1,016 | 1,856 | 2,872 | 1,132 | 4,004 | 1,916 | 5,920 | 1,136 | 1,266 | 2,402 | (32)% | (16)% | ||||||||||||||||||||||||||||||||||||||||||
Other (income)/expense | (299 | ) | 107 | (192 | ) | (323 | ) | (515 | ) | 328 | (187 | ) | (520 | ) | (454 | ) | (974 | ) | ** | ** | ||||||||||||||||||||||||||||||||||
Total Expenses | 2,593 | 4,111 | 6,704 | 3,082 | 9,786 | 4,697 | 14,483 | 2,736 | 3,256 | 5,992 | (21)% | (11)% | ||||||||||||||||||||||||||||||||||||||||||
Earnings/(Loss) Before Income Taxes | $ | 1,448 | $ | 52 | $ | 1,500 | $ | 987 | $ | 2,487 | $ | (410 | ) | $ | 2,077 | $ | 1,655 | $ | 1,615 | $ | 3,270 | ** | ** | |||||||||||||||||||||||||||||||
Provision for/(Benefit from) Income Taxes | 249 | 162 | 411 | 257 | 668 | (222 | ) | 446 | 449 | 427 | 876 | ** | ** | |||||||||||||||||||||||||||||||||||||||||
Net Earnings/(Loss) | $ | 1,199 | $ | (110 | ) | $ | 1,089 | $ | 730 | $ | 1,819 | $ | (188 | ) | $ | 1,631 | $ | 1,206 | $ | 1,188 | $ | 2,394 | ** | ** | ||||||||||||||||||||||||||||||
Net Earnings Attributable to Noncontrolling Interest | 13 | 20 | 33 | 24 | 57 | 9 | 66 | 11 | 22 | 33 | 10% | — | ||||||||||||||||||||||||||||||||||||||||||
Net Earnings/(Loss) Attributable to BMS | $ | 1,186 | $ | (130 | ) | $ | 1,056 | $ | 706 | $ | 1,762 | $ | (197 | ) | $ | 1,565 | $ | 1,195 | $ | 1,166 | $ | 2,361 | ** | ** | ||||||||||||||||||||||||||||||
Diluted Earnings/(Loss) per Common Share* | $ | 0.71 | $ | (0.08 | ) | $ | 0.63 | $ | 0.42 | $ | 1.05 | $ | (0.12 | ) | $ | 0.93 | $ | 0.71 | $ | 0.69 | $ | 1.41 | ** | ** | ||||||||||||||||||||||||||||||
Average Common Shares Outstanding - Diluted | 1,676 | 1,667 | 1,677 | 1,678 | 1,677 | 1,669 | 1,679 | 1,680 | 1,679 | 1,679 | 1% | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared per common share | $ | 0.37 | $ | 0.37 | $ | 0.74 | $ | 0.37 | $ | 1.11 | $ | 0.38 | $ | 1.49 | $ | 0.38 | $ | 0.38 | $ | 0.76 | 3% | 3% | ||||||||||||||||||||||||||||||||
2015 | 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
% of Total Revenues | 1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | 1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | ||||||||||||||||||||||||||||||||||||||||
Gross Margin | 79.0 | % | 75.7 | % | 77.3 | % | 73.0 | % | 75.9 | % | 77.8 | % | 76.4 | % | 76.0 | % | 75.2 | % | 75.6 | % | ||||||||||||||||||||||||||||||||||
Other Ratios | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Effective tax rate | 17.2 | % | 311.5 | % | 27.4 | % | 26.0 | % | 26.9 | % | 54.1 | % | 21.5 | % | 27.1 | % | 26.4 | % | 26.8 | % | ||||||||||||||||||||||||||||||||||
Other (Income)/Expense | 2015 | 2016 | % Change | |||||||||||||||||||||||||||||||||||||||||||||||||||
1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | 1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | Qtr vs. Qtr | YTD vs. YTD | |||||||||||||||||||||||||||||||||||||||
Interest expense | $ | 51 | $ | 49 | $ | 100 | $ | 41 | $ | 141 | $ | 43 | $ | 184 | $ | 43 | $ | 42 | $ | 85 | (14 | )% | (15 | )% | ||||||||||||||||||||||||||||||
Investment income | (30 | ) | (26 | ) | (56 | ) | (18 | ) | (74 | ) | (27 | ) | (101 | ) | (24 | ) | (25 | ) | (49 | ) | (4 | )% | (13 | )% | ||||||||||||||||||||||||||||||
Provision for restructuring | 12 | 28 | 40 | 10 | 50 | 68 | 118 | 4 | 18 | 22 | (36 | )% | (45 | )% | ||||||||||||||||||||||||||||||||||||||||
Litigation and other settlements | 12 | 4 | 16 | (2 | ) | 14 | 145 | 159 | 43 | 6 | 49 | 50 | % | ** | ||||||||||||||||||||||||||||||||||||||||
Equity in net income of affiliates | (26 | ) | (22 | ) | (48 | ) | (19 | ) | (67 | ) | (16 | ) | (83 | ) | (26 | ) | (20 | ) | (46 | ) | (9 | )% | (4 | )% | ||||||||||||||||||||||||||||||
Divestiture (gains)/losses | (154 | ) | (8 | ) | (162 | ) | (208 | ) | (370 | ) | 174 | (196 | ) | (270 | ) | (283 | ) | (553 | ) | ** | ** | |||||||||||||||||||||||||||||||||
Royalties and licensing income | (98 | ) | (97 | ) | (195 | ) | (63 | ) | (258 | ) | (125 | ) | (383 | ) | (254 | ) | (167 | ) | (421 | ) | 72 | % | ** | |||||||||||||||||||||||||||||||
Transition and other service fees | (27 | ) | (27 | ) | (54 | ) | (37 | ) | (91 | ) | (31 | ) | (122 | ) | (53 | ) | (74 | ) | (127 | ) | ** | ** | ||||||||||||||||||||||||||||||||
Pension charges | 27 | 36 | 63 | 48 | 111 | 49 | 160 | 22 | 25 | 47 | (31 | )% | (25 | )% | ||||||||||||||||||||||||||||||||||||||||
Out-licensed intangible asset impairment | 13 | — | 13 | — | 13 | — | 13 | 15 | — | 15 | — | 15 | % | |||||||||||||||||||||||||||||||||||||||||
Equity investment impairment | — | — | — | — | — | — | — | — | 45 | 45 | N/A | N/A | ||||||||||||||||||||||||||||||||||||||||||
Written option adjustment | (36 | ) | — | (36 | ) | (87 | ) | (123 | ) | — | (123 | ) | — | — | — | — | (100 | )% | ||||||||||||||||||||||||||||||||||||
Loss on debt redemption | — | 180 | 180 | — | 180 | — | 180 | — | — | — | (100 | )% | (100 | )% | ||||||||||||||||||||||||||||||||||||||||
Other | (43 | ) | (10 | ) | (53 | ) | 12 | (41 | ) | 48 | 7 | (20 | ) | (21 | ) | (41 | ) | ** | (23 | )% | ||||||||||||||||||||||||||||||||||
$ | (299 | ) | $ | 107 | $ | (192 | ) | $ | (323 | ) | $ | (515 | ) | $ | 328 | $ | (187 | ) | $ | (520 | ) | $ | (454 | ) | $ | (974 | ) | ** | ** | |||||||||||||||||||||||||
* | Quarterly amounts may not add to the year-to-date totals due to rounding of individual calculations. | |||||||||||
** | In excess of +/- 100% | |||||||||||
2
BRISTOL-MYERS SQUIBB COMPANY
RECONCILIATION OF GAAP AND NON-GAAP GROWTH DOLLARS AND PERCENTAGES EXCLUDING FOREIGN EXCHANGE IMPACT
FOR THE PERIOD ENDED JUNE 30, 2016
(Unaudited, dollars in millions)
QUARTER-TO-DATE | 2016 | 2015 | Growth $ | Growth % | Favorable / (Unfavorable) FX Impact $ * | 2016 Excluding FX | Favorable / (Unfavorable) FX Impact % * | Growth % Excluding FX | ||||||||||||||||||
Revenues | $ | 4,871 | $ | 4,163 | $ | 708 | 17% | $ | (47 | ) | $ | 4,918 | (1)% | 18% | ||||||||||||
Gross profit | 3,665 | 3,150 | 515 | 16% | N/A | N/A | N/A | N/A | ||||||||||||||||||
Gross profit excluding specified items(a) | 3,669 | 3,175 | 494 | 16% | N/A | N/A | N/A | N/A | ||||||||||||||||||
Gross profit excluding specified items as a % of revenues | 75.3 | % | 76.3 | % | ||||||||||||||||||||||
Marketing, selling and administrative | 1,238 | 1,135 | 103 | 9% | 11 | 1,249 | 1% | 10% | ||||||||||||||||||
Marketing, selling and administrative excluding specified items(a) | 1,238 | 1,132 | 106 | 9% | 11 | 1,249 | 1% | 10% | ||||||||||||||||||
MS&A excluding specified items as a % of revenues | 25.4 | % | 27.2 | % | ||||||||||||||||||||||
Research and development | 1,266 | 1,856 | (590 | ) | (32)% | 3 | 1,269 | — | (32)% | |||||||||||||||||
Research and development excluding specified items(a) | 1,114 | 985 | 129 | 13% | 3 | 1,117 | — | 13% | ||||||||||||||||||
Research and development excluding specified items as a % of revenues | 22.9 | % | 23.7 | % | ||||||||||||||||||||||
YEAR-TO-DATE | 2016 | 2015 | Growth $ | Growth % | Favorable / (Unfavorable) FX Impact $ * | 2016 Excluding FX | Favorable / (Unfavorable) FX Impact % * | Growth % Excluding FX | ||||||||||||||||||
Revenues | $ | 9,262 | $ | 8,204 | $ | 1,058 | 13% | $ | (141 | ) | $ | 9,403 | (2)% | 15% | ||||||||||||
Gross profit | 7,004 | 6,344 | 660 | 10% | N/A | N/A | N/A | N/A | ||||||||||||||||||
Gross profit excluding specified items(a) | 7,012 | 6,403 | 609 | 10% | N/A | N/A | N/A | N/A | ||||||||||||||||||
Gross profit excluding specified items as a % of revenues | 75.7 | % | 78.0 | % | ||||||||||||||||||||||
Marketing, selling and administrative | 2,306 | 2,164 | 142 | 7% | 37 | 2,343 | 1% | 8% | ||||||||||||||||||
Marketing, selling and administrative excluding specified items(a) | 2,306 | 2,160 | 146 | 7% | 37 | 2,343 | 1% | 8% | ||||||||||||||||||
MS&A excluding specified items as a % of revenues | 24.9 | % | 26.3 | % | ||||||||||||||||||||||
Research and development | 2,402 | 2,872 | (470 | ) | (16)% | 10 | 2,412 | — | (16)% | |||||||||||||||||
Research and development excluding specified items(a) | 2,112 | 1,839 | 273 | 15% | 10 | 2,122 | — | 15% | ||||||||||||||||||
Research and development excluding specified items as a % of revenues | 22.8 | % | 22.4 | % | ||||||||||||||||||||||
(a) | Refer to the Specified Items schedule for further details. | |||||||||||
* | Foreign exchange impacts were derived by applying the prior period average currency rates to the current period sales and expenses. | |||||||||||
3
BRISTOL-MYERS SQUIBB COMPANY
WORLDWIDE REVENUES FROM OPERATIONS BY PRODUCT
QUARTERLY REVENUES TREND ANALYSIS AND RECONCILIATION OF GAAP AND NON-GAAP GROWTH DOLLARS AND PERCENTAGES EXCLUDING FOREIGN EXCHANGE IMPACT
(Unaudited, dollars in millions)
2015 | 2016 | Growth $ | % Change | EX-FX | FX Impact | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | 1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | Qtr vs. Qtr | YTD vs. YTD | Qtr vs. Qtr | YTD vs. YTD | QTD $ | YTD $ | Qtr vs. Qtr % | YTD vs. YTD % | Qtr vs. Qtr | YTD vs. YTD | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Oncology(a) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Empliciti | $ | — | $ | — | $ | — | $ | — | $ | — | $ | 3 | $ | 3 | $ | 28 | $ | 34 | $ | 62 | $ | 34 | $ | 62 | N/A | N/A | $ | 34 | $ | 62 | N/A | N/A | N/A | N/A | ||||||||||||||||||||||||||||||||||||||||||||||||
Erbitux | 165 | 169 | 334 | 167 | 501 | — | 501 | — | — | — | (169 | ) | (334 | ) | (100 | )% | (100 | )% | — | — | (100 | )% | (100 | )% | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Opdivo | 40 | 122 | 162 | 305 | 467 | 475 | 942 | 704 | 840 | 1,544 | 718 | 1,382 | ** | ** | 840 | 1,548 | ** | ** | N/A | N/A | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Sprycel | 375 | 405 | 780 | 411 | 1,191 | 429 | 1,620 | 407 | 451 | 858 | 46 | 78 | 11 | % | 10 | % | 453 | 873 | 12 | % | 12 | % | (1 | )% | (2 | )% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Yervoy | 325 | 296 | 621 | 240 | 861 | 265 | 1,126 | 263 | 241 | 504 | (55 | ) | (117 | ) | (19 | )% | (19 | )% | 248 | 516 | (16 | )% | (17 | )% | (3 | )% | (2 | )% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cardiovascular(a) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Eliquis | 355 | 437 | 792 | 466 | 1,258 | 602 | 1,860 | 734 | 777 | 1,511 | 340 | 719 | 78 | % | 91 | % | 766 | 1,507 | 75 | % | 90 | % | 3 | % | 1 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Immunoscience(a) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Orencia(b) | 400 | 461 | 861 | 484 | 1,345 | 540 | 1,885 | 475 | 593 | 1,068 | 132 | 207 | 29 | % | 24 | % | 596 | 1,079 | 29 | % | 25 | % | — | (1 | )% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Virology(a) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Baraclude | 340 | 343 | 683 | 320 | 1,003 | 309 | 1,312 | 291 | 299 | 590 | (44 | ) | (93 | ) | (13 | )% | (14 | )% | 300 | 601 | (13 | )% | (12 | )% | — | (2 | )% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Hepatitis C Franchise(c) | 264 | 479 | 743 | 402 | 1,145 | 458 | 1,603 | 427 | 546 | 973 | 67 | 230 | 14 | % | 31 | % | 553 | 989 | 15 | % | 33 | % | (1 | )% | (2 | )% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reyataz Franchise | 294 | 303 | 597 | 270 | 867 | 272 | 1,139 | 221 | 247 | 468 | (56 | ) | (129 | ) | (18 | )% | (22 | )% | 258 | 491 | (15 | )% | (18 | )% | (3 | )% | (4 | )% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Sustiva Franchise(d) | 290 | 317 | 607 | 333 | 940 | 312 | 1,252 | 273 | 271 | 544 | (46 | ) | (63 | ) | (15 | )% | (10 | )% | 271 | 544 | (15 | )% | (10 | )% | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Neuroscience(a) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Abilify(e) | 554 | 107 | 661 | 46 | 707 | 39 | 746 | 33 | 35 | 68 | (72 | ) | (593 | ) | (67 | )% | (90 | )% | 37 | 72 | (65 | )% | (89 | )% | (2 | )% | (1 | )% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mature Products and All Other(f) | 639 | 724 | 1,363 | 625 | 1,988 | 583 | 2,571 | 535 | 537 | 1,072 | (187 | ) | (291 | ) | (26 | )% | (21 | )% | 562 | 1,121 | (22 | )% | (18 | )% | (4 | )% | (3 | )% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 4,041 | $ | 4,163 | $ | 8,204 | $ | 4,069 | $ | 12,273 | $ | 4,287 | $ | 16,560 | $ | 4,391 | $ | 4,871 | $ | 9,262 | $ | 708 | $ | 1,058 | 17 | % | 13 | % | $ | 4,918 | $ | 9,403 | 18 | % | 15 | % | (1 | )% | (2 | )% | ||||||||||||||||||||||||||||||||||||||||||
Total Excluding Abilify and Erbitux | $ | 3,322 | $ | 3,887 | $ | 7,209 | $ | 3,856 | $ | 11,065 | $ | 4,248 | $ | 15,313 | $ | 4,358 | $ | 4,836 | $ | 9,194 | $ | 949 | $ | 1,985 | 24 | % | 28 | % | $ | 4,881 | $ | 9,331 | 26 | % | 29 | % | (2 | )% | (1 | )% | ||||||||||||||||||||||||||||||||||||||||||
** | In excess of +/- 100% |
(a) | Key products listed do not represent all products in the respective therapeutic areas. |
(b) | Includes Orencia SubQ revenues of $292 million and $207 million for the three months ended June 30, 2016 and 2015, respectively, and $508 and $383 million for the six months ended June 30, 2016 and 2015, respectively. |
(c) | Includes Daklinza (daclatasvir) revenues of $537 million and $382 million for the three months ended June 30, 2016 and 2015, respectively, and $957 million and $562 million for the six months ended June 30, 2016 and 2015, respectively. Additionally, includes Sunvepra (asunaprevir) revenues of $9 million and $97 million for the three months ended June 30, 2016 and 2015, respectively, and $16 million and $181 million for the six months ended June 30, 2016 and 2015, respectively. |
(d) | The Sustiva Franchise includes sales of Sustiva and revenue from sales of bulk efavirenz included in the combination therapy, Atripla. Includes alliance revenue of $237 million and $276 million for the three months ended June 30, 2016 and 2015, respectively, and $478 million and $527 million for the six months ended June 30, 2016 and 2015, respectively. |
(e) | Includes alliance revenue of $70 million for the three months ended June 30, 2015 and $578 million for the six months ended June 30, 2015. BMS's U.S. commercialization rights to Abilify expired in April 2015. |
(f) | Represents all other products, including those which have lost exclusivity in major markets, over the counter brands and royalty-related revenue. |
Note: 2015 year-to-date revenues of new and inline brands grew 41% excluding Abilify, Baraclude and the Sustiva Franchise. | |
4
BRISTOL-MYERS SQUIBB COMPANY
DOMESTIC REVENUES FROM OPERATIONS BY PRODUCT
QUARTERLY REVENUES TREND ANALYSIS
(Unaudited, dollars in millions)
2015 | 2016 | % Change | ||||||||||||||||||||||||||||||||||||||||||||||||||
1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | 1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | Qtr vs. Qtr | YTD vs. YTD | |||||||||||||||||||||||||||||||||||||
Oncology | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Empliciti | $ | — | $ | — | $ | — | $ | — | $ | — | $ | 3 | $ | 3 | $ | 28 | $ | 33 | $ | 61 | N/A | N/A | ||||||||||||||||||||||||||||||
Erbitux | 157 | 165 | 322 | 165 | 487 | — | 487 | — | — | — | (100)% | (100)% | ||||||||||||||||||||||||||||||||||||||||
Opdivo | 38 | 107 | 145 | 268 | 413 | 410 | 823 | 594 | 643 | 1,237 | ** | ** | ||||||||||||||||||||||||||||||||||||||||
Sprycel | 181 | 205 | 386 | 215 | 601 | 228 | 829 | 210 | 233 | 443 | 14% | 15% | ||||||||||||||||||||||||||||||||||||||||
Yervoy | 181 | 136 | 317 | 121 | 438 | 164 | 602 | 199 | 179 | 378 | 32% | 19% | ||||||||||||||||||||||||||||||||||||||||
Cardiovascular | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Eliquis | 200 | 243 | 443 | 245 | 688 | 335 | 1,023 | 468 | 444 | 912 | 83% | ** | ||||||||||||||||||||||||||||||||||||||||
Immunoscience | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Orencia(a) | 259 | 310 | 569 | 330 | 899 | 372 | 1,271 | 321 | 401 | 722 | 29% | 27% | ||||||||||||||||||||||||||||||||||||||||
Virology | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Baraclude | 46 | 37 | 83 | 25 | 108 | 27 | 135 | 17 | 15 | 32 | (59)% | (61)% | ||||||||||||||||||||||||||||||||||||||||
Hepatitis C Franchise(b) | — | — | — | 111 | 111 | 212 | 323 | 259 | 294 | 553 | N/A | N/A | ||||||||||||||||||||||||||||||||||||||||
Reyataz Franchise | 143 | 157 | 300 | 149 | 449 | 142 | 591 | 120 | 122 | 242 | (22)% | (19)% | ||||||||||||||||||||||||||||||||||||||||
Sustiva Franchise(c) | 234 | 258 | 492 | 280 | 772 | 269 | 1,041 | 228 | 227 | 455 | (12)% | (8)% | ||||||||||||||||||||||||||||||||||||||||
Neuroscience | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Abilify | 508 | 67 | 575 | 18 | 593 | 7 | 600 | — | — | — | (100)% | (100)% | ||||||||||||||||||||||||||||||||||||||||
Mature Products and All Other(d) | 97 | 152 | 249 | 117 | 366 | 94 | 460 | 93 | 97 | 190 | (36)% | (24)% | ||||||||||||||||||||||||||||||||||||||||
Total(e) | $ | 2,044 | $ | 1,837 | $ | 3,881 | $ | 2,044 | $ | 5,925 | $ | 2,263 | $ | 8,188 | $ | 2,537 | $ | 2,688 | $ | 5,225 | 46% | 35% | ||||||||||||||||||||||||||||||
** | In excess of +/- 100% |
(a) | Includes Orencia SubQ revenues of $184 million and $136 million for the three months ended June 30, 2016 and 2015, respectively, and $316 million and $247 million for the six months ended June 30, 2016 and 2015, respectively. |
(b) | Includes revenues of Daklinza (daclastasvir) only, which was launched in the U.S. in the third quarter of 2015. |
(c) | The Sustiva Franchise includes sales of Sustiva, as well as revenue from sales of bulk efavirenz included in the combination therapy, Atripla. |
(d) | Represents all other products sold in the U.S., including those which have lost exclusivity. |
(e) | Domestic revenues include United States and Puerto Rico. |
5
BRISTOL-MYERS SQUIBB COMPANY
INTERNATIONAL REVENUES FROM OPERATIONS BY PRODUCT
QUARTERLY REVENUES TREND ANALYSIS
(Unaudited, dollars in millions)
2015 | 2016 | % Change | FX Impact | |||||||||||||||||||||||||||||||||||||||||||||||||||||
1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | 1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | Qtr vs. Qtr | YTD vs. YTD | Qtr vs. Qtr | YTD vs. YTD | |||||||||||||||||||||||||||||||||||||||
Oncology | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Empliciti | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | 1 | $ | 1 | N/A | N/A | N/A | N/A | ||||||||||||||||||||||||||||||||
Erbitux | 8 | 4 | 12 | 2 | 14 | — | 14 | — | — | — | (100)% | (100)% | — | — | ||||||||||||||||||||||||||||||||||||||||||
Opdivo | 2 | 15 | 17 | 37 | 54 | 65 | 119 | 110 | 197 | 307 | ** | ** | N/A | N/A | ||||||||||||||||||||||||||||||||||||||||||
Sprycel | 194 | 200 | 394 | 196 | 590 | 201 | 791 | 197 | 218 | 415 | 9% | 5% | (1)% | (4)% | ||||||||||||||||||||||||||||||||||||||||||
Yervoy | 144 | 160 | 304 | 119 | 423 | 101 | 524 | 64 | 62 | 126 | (61)% | (59)% | (4)% | (4)% | ||||||||||||||||||||||||||||||||||||||||||
Cardiovascular | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Eliquis | 155 | 194 | 349 | 221 | 570 | 267 | 837 | 266 | 333 | 599 | 72% | 72% | 6% | 2% | ||||||||||||||||||||||||||||||||||||||||||
Immunoscience | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Orencia | 141 | 151 | 292 | 154 | 446 | 168 | 614 | 154 | 192 | 346 | 27% | 18% | (2)% | (4)% | ||||||||||||||||||||||||||||||||||||||||||
Virology | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Baraclude | 294 | 306 | 600 | 295 | 895 | 282 | 1,177 | 274 | 284 | 558 | (7)% | (7)% | — | (2)% | ||||||||||||||||||||||||||||||||||||||||||
Hepatitis C Franchise(a) | 264 | 479 | 743 | 291 | 1,034 | 246 | 1,280 | 168 | 252 | 420 | (47)% | (43)% | (1)% | (2)% | ||||||||||||||||||||||||||||||||||||||||||
Reyataz Franchise | 151 | 146 | 297 | 121 | 418 | 130 | 548 | 101 | 125 | 226 | (14)% | (24)% | (7)% | (8)% | ||||||||||||||||||||||||||||||||||||||||||
Sustiva Franchise(b) | 56 | 59 | 115 | 53 | 168 | 43 | 211 | 45 | 44 | 89 | (25)% | (23)% | — | — | ||||||||||||||||||||||||||||||||||||||||||
Neuroscience | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Abilify(c) | 46 | 40 | 86 | 28 | 114 | 32 | 146 | 33 | 35 | 68 | (13)% | (21)% | (5)% | (5)% | ||||||||||||||||||||||||||||||||||||||||||
Mature Products and All Other(d) | 542 | 572 | 1,114 | 508 | 1,622 | 489 | 2,111 | 442 | 440 | 882 | (23)% | (21)% | (4)% | (5)% | ||||||||||||||||||||||||||||||||||||||||||
Total | $ | 1,997 | $ | 2,326 | $ | 4,323 | $ | 2,025 | $ | 6,348 | $ | 2,024 | $ | 8,372 | $ | 1,854 | $ | 2,183 | $ | 4,037 | (6)% | (7)% | (2)% | (4)% | ||||||||||||||||||||||||||||||||
** | In excess of +/- 100% |
(a) | Includes Daklinza (daclatasvir) revenues of $243 million and $382 million for the three months ended June 30, 2016 and 2015, respectively, and $404 million and $562 million for the six months ended June 30, 2016 and 2015, respectively. Additionally, includes Sunvepra (asunaprevir) revenues of $9 million and $97 million for the three months ended June 30, 2016 and 2015, respectively, and $16 million and $181 million for the six months ended June 30, 2016 and 2015, respectively. |
(b) | The Sustiva Franchise includes sales of Sustiva and revenue from sales of bulk efavirenz included in the combination therapy, Atripla. |
(c) | Includes revenue from the co-promotional agreement with Otsuka Pharmaceutical Co., Ltd. |
(d) | Represents all other products, including those which have lost exclusivity in major markets, over the counter brands and royalty-related revenue. |
6
BRISTOL-MYERS SQUIBB COMPANY
RECONCILIATION OF CERTAIN NON-GAAP LINE ITEMS TO CERTAIN GAAP LINE ITEMS
(Unaudited, dollars in millions)
2015 | 2016 | |||||||||||||||||||||||||||||||||||||||||||||||
1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | 1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | |||||||||||||||||||||||||||||||||||
Gross Profit | $ | 3,194 | $ | 3,150 | $ | 6,344 | $ | 2,972 | $ | 9,316 | $ | 3,335 | $ | 12,651 | $ | 3,339 | $ | 3,665 | $ | 7,004 | ||||||||||||||||||||||||||||
Specified items(a) | 34 | 25 | 59 | 15 | 74 | 10 | 84 | 4 | 4 | 8 | ||||||||||||||||||||||||||||||||||||||
Gross profit excluding specified items | 3,228 | 3,175 | 6,403 | 2,987 | 9,390 | 3,345 | 12,735 | 3,343 | 3,669 | 7,012 | ||||||||||||||||||||||||||||||||||||||
Marketing, selling and administrative | 1,029 | 1,135 | 2,164 | 1,176 | 3,340 | 1,501 | 4,841 | 1,068 | 1,238 | 2,306 | ||||||||||||||||||||||||||||||||||||||
Specified items(a) | (1 | ) | (3 | ) | (4 | ) | (2 | ) | (6 | ) | (4 | ) | (10 | ) | — | — | — | |||||||||||||||||||||||||||||||
Marketing, selling and administrative excluding specified items | 1,028 | 1,132 | 2,160 | 1,174 | 3,334 | 1,497 | 4,831 | 1,068 | 1,238 | 2,306 | ||||||||||||||||||||||||||||||||||||||
Research and development | 1,016 | 1,856 | 2,872 | 1,132 | 4,004 | 1,916 | 5,920 | 1,136 | 1,266 | 2,402 | ||||||||||||||||||||||||||||||||||||||
Specified items(a) | (162 | ) | (871 | ) | (1,033 | ) | (109 | ) | (1,142 | ) | (741 | ) | (1,883 | ) | (138 | ) | (152 | ) | (290 | ) | ||||||||||||||||||||||||||||
Research and development excluding specified items | 854 | 985 | 1,839 | 1,023 | 2,862 | 1,175 | 4,037 | 998 | 1,114 | 2,112 | ||||||||||||||||||||||||||||||||||||||
Other (income)/expense | (299 | ) | 107 | (192 | ) | (323 | ) | (515 | ) | 328 | (187 | ) | (520 | ) | (454 | ) | (974 | ) | ||||||||||||||||||||||||||||||
Specified items(a) | 122 | (237 | ) | (115 | ) | 227 | 112 | (428 | ) | (316 | ) | 185 | 234 | 419 | ||||||||||||||||||||||||||||||||||
Other (income)/expense excluding specified items | (177 | ) | (130 | ) | (307 | ) | (96 | ) | (403 | ) | (100 | ) | (503 | ) | (335 | ) | (220 | ) | (555 | ) | ||||||||||||||||||||||||||||
Effective Tax Rate | 17.2 | % | 311.5 | % | 27.4 | % | 26.0 | % | 26.9 | % | 54.1 | % | 21.5 | % | 27.1 | % | 26.4 | % | 26.8 | % | ||||||||||||||||||||||||||||
Specified items(a) | 3.6 | % | (288.1 | )% | (5.5 | )% | (1.8 | )% | (4.4 | )% | (39.0 | )% | (0.3 | )% | (4.4 | )% | (3.6 | )% | (4.0 | )% | ||||||||||||||||||||||||||||
Effective Tax Rate excluding specified items | 20.8 | % | 23.4 | % | 21.9 | % | 24.2 | % | 22.5 | % | 15.1 | % | 21.2 | % | 22.7 | % | 22.8 | % | 22.8 | % | ||||||||||||||||||||||||||||
(a) | Refer to the Specified Items schedule for further details. Effective tax rate on the Specified Items represents the difference between the GAAP and Non-GAAP effective tax rate. | |||
7
BRISTOL-MYERS SQUIBB COMPANY
SPECIFIED ITEMS
(Unaudited, dollars in millions)
2015 | 2016 | |||||||||||||||||||||||||||||||||||||||||||||||
1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | 1st Qtr | 2nd Qtr | 6 Months | 3rd Qtr | 9 Months | 4th Qtr | Year | |||||||||||||||||||||||||||||||||||
Cost of products sold(a) | $ | 34 | $ | 25 | $ | 59 | $ | 15 | $ | 74 | $ | 10 | $ | 84 | $ | 4 | $ | 4 | $ | 8 | ||||||||||||||||||||||||||||
Marketing, selling and administrative | 1 | 3 | 4 | 2 | 6 | 4 | 10 | — | — | — | ||||||||||||||||||||||||||||||||||||||
License and asset acquisition charges | 162 | 869 | 1,031 | 94 | 1,125 | 554 | 1,679 | 125 | 139 | 264 | ||||||||||||||||||||||||||||||||||||||
IPRD impairments | — | — | — | — | — | 160 | 160 | — | — | — | ||||||||||||||||||||||||||||||||||||||
Other | — | 2 | 2 | 15 | 17 | 27 | 44 | 13 | 13 | 26 | ||||||||||||||||||||||||||||||||||||||
Research and development | 162 | 871 | 1,033 | 109 | 1,142 | 741 | 1,883 | 138 | 152 | 290 | ||||||||||||||||||||||||||||||||||||||
Provision for restructuring | 12 | 28 | 40 | 10 | 50 | 65 | 115 | 4 | 18 | 22 | ||||||||||||||||||||||||||||||||||||||
Divestiture (gains)/losses | (152 | ) | (8 | ) | (160 | ) | (198 | ) | (358 | ) | 171 | (187 | ) | (269 | ) | (277 | ) | (546 | ) | |||||||||||||||||||||||||||||
Pension charges | 27 | 36 | 63 | 48 | 111 | 49 | 160 | 22 | 25 | 47 | ||||||||||||||||||||||||||||||||||||||
Written option adjustment | (36 | ) | — | (36 | ) | (87 | ) | (123 | ) | — | (123 | ) | — | — | — | |||||||||||||||||||||||||||||||||
Litigation and other settlements | 14 | 1 | 15 | — | 15 | 143 | 158 | 43 | — | 43 | ||||||||||||||||||||||||||||||||||||||
Out-licensed intangible asset impairment | 13 | — | 13 | — | 13 | — | 13 | 15 | — | 15 | ||||||||||||||||||||||||||||||||||||||
Loss on debt redemption | — | 180 | 180 | — | 180 | — | 180 | — | — | — | ||||||||||||||||||||||||||||||||||||||
Other (income)/expense | (122 | ) | 237 | 115 | (227 | ) | (112 | ) | 428 | 316 | (185 | ) | (234 | ) | (419 | ) | ||||||||||||||||||||||||||||||||
Increase/(decrease) to pretax income | 75 | 1,136 | 1,211 | (101 | ) | 1,110 | 1,183 | 2,293 | (43 | ) | (78 | ) | (121 | ) | ||||||||||||||||||||||||||||||||||
Income tax on items above | (68 | ) | (116 | ) | (184 | ) | 43 | (141 | ) | (339 | ) | (480 | ) | 83 | 76 | 159 | ||||||||||||||||||||||||||||||||
Increase/(decrease) to net earnings | $ | 7 | $ | 1,020 | $ | 1,027 | $ | (58 | ) | $ | 969 | $ | 844 | $ | 1,813 | $ | 40 | $ | (2 | ) | $ | 38 | ||||||||||||||||||||||||||
(a) | Specified items in cost of products sold are accelerated depreciation, asset impairment and other shutdown costs. |
8
BRISTOL-MYERS SQUIBB COMPANY
SELECTED BALANCE SHEET INFORMATION
(Unaudited, dollars in millions)
March 31, 2015 | June 30, 2015 | September 30, 2015 | December 31, 2015 | March 31, 2016 | June 30, 2016 | September 30, 2016 | December 31, 2016 | |||||||||||||||||||||
Cash and cash equivalents | $ | 6,294 | $ | 4,199 | $ | 3,975 | $ | 2,385 | $ | 2,644 | $ | 2,934 | ||||||||||||||||
Marketable securities - current | 1,313 | 1,277 | 1,438 | 1,885 | 1,663 | 1,717 | ||||||||||||||||||||||
Marketable securities - non-current | 4,279 | 4,632 | 4,627 | 4,660 | 3,689 | 3,281 | ||||||||||||||||||||||
Cash, cash equivalents and marketable securities | 11,886 | 10,108 | 10,040 | 8,930 | 7,996 | 7,932 | ||||||||||||||||||||||
Short-term borrowings | (330 | ) | (755 | ) | (642 | ) | (139 | ) | (106 | ) | (155 | ) | ||||||||||||||||
Long-term debt | (7,127 | ) | (6,615 | ) | (6,632 | ) | (6,550 | ) | (6,593 | ) | (6,581 | ) | ||||||||||||||||
Net cash position | $ | 4,429 | $ | 2,738 | $ | 2,766 | $ | 2,241 | $ | 1,297 | $ | 1,196 | ||||||||||||||||
9
BRISTOL-MYERS SQUIBB COMPANY
2016 FULL YEAR PROJECTED DILUTED EPS FROM OPERATIONS
EXCLUDING PROJECTED SPECIFIED ITEMS
Full Year 2016 | ||
Projected Diluted Earnings Attributable to Shareholders per Common Share - GAAP | $2.43 to $2.53 | |
Projected Specified Items: | ||
Downsizing and streamlining of worldwide operations | (0.21 | ) |
License and asset acquisition charges | 0.26 | |
Pension charges | 0.04 | |
Litigation and other settlements | 0.03 | |
Other | — | |
Total | 0.12 | |
Projected Diluted Earnings Attributable to Shareholders per Common Share - Non-GAAP | $2.55 to $2.65 | |
Gross margin as a percentage of revenues on a GAAP and non-GAAP basis for the six months ended June 30, 2016 was 75.6% and 75.7%, respectively. On a non-GAAP basis, the Company projects gross margin as a percentage of revenues for the full year 2016 to be approximately 75% - 76%. There is no reliable comparable GAAP measure for this forward-looking information on gross margin. See "—Reconciliation of GAAP and non-GAAP Growth Dollars and Percentages Excluding Foreign Exchange Impact". | |||||||||
Marketing, selling and administrative expenses on a GAAP and non-GAAP basis for the six months ended June 30, 2016 were $2.3 billion. On a non-GAAP basis, the Company projects marketing, selling and administrative expenses for the full year 2016 to decrease in the low-single-digit range compared to 2015. There is no reliable comparable GAAP measure for this forward-looking information on marketing, selling and administrative expense. See "—Reconciliation of Certain non-GAAP Line Items to Certain GAAP Line Items". | |||||||||
Research and development expenses on a GAAP and non-GAAP basis for the six months ended June 30, 2016 were $2.4 billion and $2.1 billion, respectively. On a non-GAAP basis, the Company projects research and development expense for the full year 2016 to increase in the mid-teen range compared to 2015. It is estimated that 30% to 45% of the research and development expenses in 2016 will be incurred on late-stage development programs. There is no reliable comparable GAAP measure for this forward-looking information on research and development. See "—Reconciliation of Certain non-GAAP Line Items to Certain GAAP Line Items". | |||||||||
The effective tax rate on a GAAP basis for the six months ended June 30, 2016 was 26.8%. On a non-GAAP basis, for the six months ended June 30, 2016 the effective tax rate was 22.8%. On a non-GAAP basis, the Company projects an annual effective tax rate of 22%. There is no reliable comparable GAAP measure for this forward-looking information on the tax rate. See "—Reconciliation of Certain non-GAAP Line Items to Certain GAAP Line Items". | |||||||||
The GAAP financial results for the full year 2016 will include specified items, including gains on divestitures, charges associated with downsizing and streamlining worldwide operations, in-process research and development (IPRD) , license and asset acquisition charges, charges related to significant legal proceedings, licensed asset impairments, restructuring and pension charges. The GAAP financial results for the full year 2016 could also include other specified items that have not yet been identified and quantified, including any additional gains or losses from divestitures, license and asset acquisition charges, charges for IPRD and licensed asset impairments, recoveries relating to significant legal proceedings and significant tax events. For a fuller discussion of certain litigation and other matters that could impact full year GAAP results, as well as the use of non-GAAP financial information, see Bristol-Myers Squibb Reports Second Quarter 2016 Financial Results, July 28, 2016 including “2016 Financial Guidance” and “Use of non-GAAP Financial Information” therein. | |||||||||
10