Bristol Myers Squibb (BMY) Q3 2025 Earnings: Growth Portfolio Powers Profitability

Bristol Myers Squibb (BMY), a powerhouse in the global biopharmaceutical industry, recently filed its third-quarter financial report for 2025. This document offers a detailed look into the company's performance as it navigates a crucial period of transformation. Let's dive into the key numbers from the latest 10-Q filing to understand the story behind the figures.

For the third quarter ending September 30, 2025, Bristol Myers Squibb reported total revenues of $12.2 billion, a modest 3% increase from the same period last year. However, the bottom line tells a more dramatic story. Net earnings attributable to BMS shareholders soared to $2.2 billion, or $1.08 per share, a significant jump from $1.2 billion, or $0.60 per share, in Q3 2024.

This boost in profitability was driven by lower expenses, particularly a sharp decrease in the "Amortization of acquired intangible assets," which fell from $2.4 billion to $831 million year-over-year.

The following flow diagram provides a visual breakdown of the company's revenues and expenses for the third quarter, illustrating how top-line sales translate into bottom-line profit.

A Tale of Two Portfolios

A central theme in BMY's recent performance is the strategic shift within its product lineup, which the company divides into a "Growth Portfolio" and a "Legacy Portfolio."

• The Growth Portfolio is Thriving: This collection of newer, high-potential drugs saw its revenue surge by 18% to $6.9 billion. Key products fueling this expansion include the cancer immunotherapy Opdivo (up 7% to $2.5 billion), blood disorder treatment Reblozyl (up 37%), and heart medication Camzyos (up an impressive 89%). This strong performance demonstrates the company's success in bringing new, effective treatments to market.

• The Legacy Portfolio Faces Headwinds: As expected, older products facing generic competition are seeing declining sales. This portfolio's revenue fell by 12% to $5.4 billion. The decline was primarily driven by cancer drugs Revlimid (-59%) and Pomalyst (-25%), which are experiencing significant erosion from loss of exclusivity (LOE). However, one major legacy product, the anticoagulant Eliquis, defied the trend with a remarkable 25% increase in sales to $3.7 billion, continuing to be a massive contributor to the top line.

Investing in the Future

Bristol Myers Squibb is actively investing to secure future growth. The company spent $2.5 billion on Research and Development (R&D) in the quarter, a 6% increase from the prior year.

Furthermore, the company recorded $633 million in "Acquired In-Process R&D" (IPRD) charges. This non-cash expense reflects the value of research projects from acquired companies or partners that have not yet been approved. This quarter's IPRD charge includes significant upfront fees for collaborations with Philochem ($350 million) and SystImmune ($250 million), signaling BMY's ongoing commitment to strengthening its pipeline through strategic deals.

Looking Ahead

Bristol Myers Squibb's Q3 2025 results paint a picture of a company in successful transition. The robust expansion of its Growth Portfolio is effectively compensating for the predictable decline of its legacy blockbusters. The significant year-over-year improvement in net income highlights better cost management and the absence of massive, one-time charges that impacted prior periods.

The path forward for BMY hinges on its ability to sustain this momentum. Continued execution on its pipeline, successful commercialization of new drugs, and shrewd business development will be critical as the company works to build its next generation of leading therapies.