Bristol Myers Squibb (BMY 2.15%) is a leading biopharmaceutical company focused on innovative medicines in oncology, cardiovascular, immunology, and neuroscience. On July 31, 2025, it released results for the second quarter, reporting GAAP revenue and non-GAAP EPS that exceeded Wall Street expectations. The company achieved GAAP revenue of $12.269 billion, compared to an analyst estimate of $11.385 billion, and non-GAAP earnings per share (EPS) of $1.46, surpassing the estimated $1.07 per share. Despite the revenue beat and higher-than-expected profitability, year-over-year figures were pressured by legacy drug declines, margin compression, and a significant R&D expense. The company raised its full-year revenue guidance for 2025, but lowered its expected non-GAAP EPS range due to a $1.5 billion R&D charge stemming from a strategic deal with BioNTech. Management described the period as solid for new therapies and global expansion, but acknowledged ongoing headwinds from its mature product lines and a complex regulatory landscape.
| Metric | Q2 2025 | Q2 2025 Estimate | Q2 2024 | Y/Y Change |
|---|---|---|---|---|
| EPS (Non-GAAP) | $1.46 | $1.07 | $2.07 | (29.5 %) |
| EPS (GAAP) | $0.64 | $0.83 | (22.9 %) | |
| Revenue | $12.3 billion | N/A | $12.2 billion | 0.8 % |
| Gross Margin (Non-GAAP) | 72.6 % | 75.6 % | (3.0 pp) | |
| Operating Margin (Non-GAAP) | 40.4 % | 41.1 % | (0.7 pp) |
Source: Analyst estimates provided by FactSet. Management expectations based on management's guidance, as provided in Q1 2025 earnings report.
Company Overview: What Bristol Myers Squibb Does and Where It Is Focused
Bristol Myers Squibb develops prescription drugs in areas like cancer, blood disorders, heart disease, immunology, and neuroscience. Its business centers on creating and marketing innovative therapies, including well-known products such as Opdivo for cancer, Eliquis for blood clots, and a new wave of medicines in cell therapy and immunology.
The company’s recent strategy has focused on building its “Growth Portfolio” with new product launches and driving global reach, while also acquiring new assets through partnerships. Success depends on the ability to offset revenue declines from older “Legacy Portfolio” drugs as patents expire and competitors enter the market. Key priorities include investing in research and development, forming strategic partnerships, and managing regulatory and pricing pressures globally.
Quarter Highlights: Financials, Product Performance, and Notable Developments
The Growth Portfolio delivered $6.6 billion in sales in Q2 2025, marking an 18% increase in Growth Portfolio revenues, primarily driven by the immuno-oncology portfolio, Breyanzi, Reblozyl, Camzyos, and continued strength from Cobenfy. Immuno-oncology medicines such as Opdivo (a cancer immunotherapy monoclonal antibody), Breyanzi (a cell therapy for blood cancers), and Camzyos (a heart failure pill for obstructive hypertrophic cardiomyopathy) saw particularly strong gains in Q2 2025. Breyanzi revenue (GAAP) jumped 125% in Q2 2025. Camzyos revenue was up 86% in Q2 2025, and Reblozyl (an anemia treatment) revenue climbed 33% in Q2 2025.
The newly introduced antipsychotic Cobenfy generated $35 million in revenue in Q2 2025, reflecting momentum from its US launch. International markets were a bright spot, with 10% GAAP sales growth outside the US in Q2 2025. By contrast, the Legacy Portfolio shrank 14% (GAAP, Q2 2025 vs Q2 2024), weighed down by generic competition and US policy changes affecting drug prices. Revlimid (blood cancer capsule) revenue tumbled 38% year-over-year in Q2 2025. Pomalyst/Imnovid (multiple myeloma oral treatment) revenue dropped 26% year-over-year in Q2 2025 (GAAP worldwide), and Sprycel (leukemia therapy) revenue plummeted 72% year-over-year in Q2 2025 (GAAP).
Gross margin (non-GAAP) narrowed to 72.6% from 75.6% in Q2 2025 versus Q2 2024, driven by a less favorable product mix as lower-margin therapies made up a larger share of sales. Selling, general, and administrative expenses fell 11% on a GAAP basis in Q2 2025 versus Q2 2024, reflecting ongoing cost optimization and efficiency improvements. Research and development costs (GAAP) also dropped 11% in Q2 2025.
The company recorded a significant one-time charge of $1.5 billion for acquired in-process research and development (IPRD) related to its strategic partnership with BioNTech (a German immuno-oncology and vaccine company) in Q2 2025, affecting both GAAP and non-GAAP results. This charge reduced both reported and adjusted EPS, and led management to lower the full-year non-GAAP EPS guidance, even as revenue prospects improved. Amortization expenses (GAAP) fell in Q2 2025 due to lower Revlimid-related costs, and net debt was trimmed to $35.2 billion as of June 30, 2025 (GAAP).
Bristol Myers Squibb announced progress in its drug pipeline during the period. Sotyktu (an oral immune modulator), advanced into new indications for psoriatic arthritis, while Breyanzi secured label updates and expanded data for broader use in lymphoma in Q2 2025. Opdivo received European Commission approval for a subcutaneous form and a wider label in lung cancer surgery settings. The company launched new programs to improve patient access to Eliquis (a direct oral anticoagulant) and completed a new partnership agreement with BioNTech in June 2025, reflecting its continued emphasis on business development. Additionally, it participated in launching a new immunology-focused spin-out with external funding, providing flexibility for further pipeline development.
Looking Ahead: Guidance and Strategic Focus
The company raised its fiscal 2025 non-GAAP revenue outlook to a range of $46.5 billion to $47.5 billion, up from a previous top end of $46.8 billion, citing ongoing momentum in its Growth Portfolio and resilience in legacy products like Eliquis, as reflected in the latest results. However, management updated its non-GAAP EPS guidance to $6.35–$6.65, down from $6.70–$7.00 previously, primarily due to the $0.57 per share impact from the BioNTech IPRD charge in Q2 2025.
No additional long-term targets or multi-year EPS “trough” figures were provided. Management continues to focus on launching and scaling its new medicines globally, while monitoring risks from US policy changes, pricing pressure, and regulatory developments. Investors are expected to track product-by-product performance, regulatory approval news, margin trends, and the company’s efforts to manage its high debt load in the quarters ahead.
Revenue and net income presented using U.S. generally accepted accounting principles (GAAP) unless otherwise noted.
