February 5, 2026
Finance

Bristol Myers Squibb Posts Solid Q4 Results, Projects Robust 2026 Growth

Pharmaceutical giant surpasses revenue and earnings expectations with strong immuno-oncology performance and upbeat 2026 guidance

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Summary

Bristol Myers Squibb reported fourth-quarter 2025 revenues of $12.5 billion, exceeding analyst consensus by a notable margin. The company highlighted significant progress in its Growth Portfolio, supported by gains in immuno-oncology and other key drug sales, while managing declines in its Legacy Portfolio. The outlook for fiscal 2026 remains optimistic, with anticipated revenue growth and strong pipeline developments expected to drive sustained performance.

Key Points

Fourth-quarter revenues of $12.5 billion beat consensus expectations by $219 million, growing 1% year-over-year.
Growth Portfolio revenues increased 16%, led by immuno-oncology treatments and drugs like Camzyos, Breyanzi, and Reblozyl.
Legacy Portfolio declined 15% due to generic competition and higher government rebates, despite 8% growth in Eliquis sales to $3.45 billion.
Fiscal 2026 guidance anticipates adjusted earnings per share of $6.05-$6.35 and revenues of $46-$47.5 billion, with continued Growth Portfolio strength offsetting Legacy declines.

Pharmaceutical leader Bristol Myers Squibb (NYSE: BMY) has announced its financial results for the fourth quarter of 2025, delivering top-line revenue that outpaced analyst expectations. Total revenues reached $12.5 billion, surpassing the consensus estimate of $12.281 billion and marking a modest year-over-year increase of 1%. This performance was attributed to momentum in the firm’s Growth Portfolio and a well-managed balance sheet supporting further investments.

Christopher Boerner, the company’s Chairman and Chief Executive Officer, emphasized the strides made over the course of 2025. "We made significant progress in 2025, with real momentum in our Growth Portfolio and a strengthened balance sheet that provides the strategic flexibility to continue investing in growth drivers," Boerner said. He also noted that 2026 is poised to be a data-rich year for Bristol Myers Squibb, with a host of pivotal clinical trial readouts expected in the latter half of the year. "Our core business is strong and growing, and we have the potential to achieve industry-leading, sustainable growth into the 2030s and beyond," he added.

Adjusted earnings per share for the quarter came in at $1.26, eclipsing the expected $1.11, despite registering a 25% decline compared to the previous year. This reduction was influenced by acquired in-process research and development (IPRD) charges and licensing income effects embedded in the financials.

Segment Performance Details

Breaking down revenue streams, Bristol Myers Squibb’s Growth Portfolio generated $7.4 billion in sales, marking a robust increase of 16% overall and 15% when adjusted for constant currency fluctuations. Key contributors driving this uptick included immuno-oncology (IO) treatments, as well as notable drugs such as Camzyos, Breyanzi, and Reblozyl.

Conversely, the Legacy Portfolio yielded revenues of $5.1 billion, reflecting a 15% decline on a reported basis and 16% when excluding foreign exchange impacts. While demand for Eliquis showed resilience and growth, this was offset by the anticipated continued generic competition affecting much of the broader Legacy Portfolio. Furthermore, elevated U.S. government channel rebates exerted downward pressure on this segment.

Individual product highlights within the quarter included Eliquis, whose sales advanced 8% to $3.45 billion. Cancer immunotherapy Opdivo experienced a 9% lift in revenues, reaching $2.69 billion. The arthritis medication Orencia posted a modest 1% increase to $1.01 billion. Yervoy sales surged 20% to $810 million, reflecting strong uptake, while anemia treatment Reblozyl achieved $666 million in sales, up 22% year-over-year.

The company’s adjusted gross margin contracted slightly from 74.0% to 71.9%, which was primarily attributed to shifts in product mix toward higher volumes of Eliquis and other portfolio changes.

Looking Ahead: 2026 Expectations

Looking forward, Bristol Myers Squibb outlined clear financial guidance for fiscal year 2026. The company anticipates adjusted earnings ranging from $6.05 to $6.35 per share, comfortably above the consensus forecast of $6.02. Projected full-year revenue is estimated between $46 billion and $47.5 billion, significantly ahead of the consensus estimate of $44.16 billion.

This forecast factors in an expected decline in Legacy Portfolio revenue of approximately 12% to 16%, which is anticipated to be more than counterbalanced by the ongoing strength and growth of the newer assets within the Growth Portfolio. Notably, global sales of Eliquis are projected to increase by 10% to 15% in 2026, underscoring its importance in the company’s portfolio.

Gross margin for 2026 is forecasted to be around 69% to 70%, a slight decline attributed primarily to the product mix, including elevated contributions from Eliquis alongside reduced revenue from drugs such as Revlimid and Pomalyst.

Market Reaction

Following the earnings release, Bristol Myers Squibb’s stock price responded positively, appreciating by approximately 3.77% to trade at $58.21 during Thursday’s session, based on Benzinga Pro data at the time of publication. The market appears to have welcomed the combination of revenue beats, strong growth drivers, and optimistic forward guidance.


Key Points

  • Q4 2025 revenues reached $12.5 billion, exceeding analyst estimates by over $200 million.
  • Strong 16% growth in the Growth Portfolio driven by immuno-oncology and other novel therapies.
  • Legacy Portfolio revenues declined due to generic competition and increased government rebates, despite growth in Eliquis sales.
  • Fiscal 2026 outlook anticipates adjusted earnings between $6.05 and $6.35 per share, with revenues near $46-$47.5 billion, reflecting a robust pipeline and sustained portfolio momentum.

Risks and Uncertainties

  • Continued generic erosion within the Legacy Portfolio may pressure revenues beyond current expectations.
  • Hefty U.S. government channel rebates could further weigh on Legacy Portfolio profitability.
  • Potential variability in gross margins due to evolving product mix, particularly fluctuations in flagship drug contributions.

While the provided information does not elaborate on additional risks, these factors are directly supported by the financial data and commentary disclosed.


Disclosure: The article is based on publicly released quarterly earnings information and company statements. It does not constitute investment advice.

Risks
  • Ongoing generic competition is expected to cause continued revenue declines in the Legacy Portfolio of approximately 12-16%.
  • Increasing U.S. government channel rebates negatively impact Legacy Portfolio revenue and profitability.
  • Shifts in product mix, including greater reliance on Eliquis, may reduce overall gross margin compared to prior years.
Disclosure
Education only / not financial advice
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