Bristol-Myers Misses Q1 Profit As Pandemic Hits Cancer Drugs Sales

Bristol-Myers Squibb Co BMY joined other drugmakers in missing first-quarter earnings consensus due to a decline in medical visits and new diagnoses as COVID-19 cases surged at the start of the year.
Today, Merck & Co Inc MRK reported Q1 earnings and sales that trailed Wall Street expectations, citing an early-in-the-year pandemic surge.
Yesterday, Amgen Inc AMGN cited the pandemic effect in reporting a drop in its Q1 product sales.
BMY reported adjusted EPS of $1.74 missed the analyst consensus estimate of $1.82.
Q1 sales of $11.10 billion were roughly in line with the analyst consensus of $11.11 billion, up 3% year-over-year.
The pandemic primarily impacted products administered in medical centers, but treatments that could be taken at home remained resilient. According to the statement, excluding pandemic-related buying patterns from the prior year, first-quarter revenue grew 8%.
Revenue for Bristol’s Revlimid and Pomalyst, treatments gained through the acquisition of Celgene Inc in 2019 that target multiple myeloma, grew 1% and 8%, respectively, from a year earlier.
However, revenue for Opdivo, an immuno-oncology drug used to help treat the skin cancer melanoma, fell 3% Y/Y.
The company is awaiting an FDA ruling on the drug’s use in liver cancer patients after failing to improve survival in confirmatory trials.
A ruling could come as soon as Thursday, the final day of a three-day FDA oncologic advisory committee meeting.
The company has also made advances in expanding its pipeline of new drugs. The FDA has accepted Bristol’s application for Mavacamten, a treatment for symptomatic obstructive hypertrophic cardiomyopathy patients.
Guidance: BMY is updating its 2021 GAAP EPS guidance range to $3.18-$3.38 from $3.12-$3.32. Adjusted EPS outlook remains unchanged at $7.35 - $7.55.
Price Action: BMY shares are trading 4.1% lower at $63.30 during market trading hours on the last check Thursday.

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