Bristol-Myers Squibb Reports Fourth Quarter and Full Year 2012 Financial Results

Thu Jan 24, 2013 7:30am EST

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* Significant Regulatory Approvals Gained in Fourth Quarter

* Eliquis®Approvedin the U.S., Europe, Japan, Canada and South Korea to Reduce
the Risk of Stroke in Patients with Nonvalvular Atrial Fibrillation
* Forxiga®Approved in Europe for Type 2 Diabetes

* GAAP EPS Increased 12% to $0.56; Non-GAAP EPS Decreased 11% to $0.47 in the
Fourth Quarter
* Company Provided 2013 GAAP EPS Guidance Range of $1.54 to $1.64; non-GAAP EPS
Guidance Range of $1.78 to $1.88

NEW YORK--(Business Wire)--
Bristol-Myers Squibb Company (NYSE: BMY) today announced results for the fourth
quarter of 2012 highlighted by regulatory approvals for Eliquis® and Forxiga®.
This concluded a year in which the Company delivered growth of its key products
as it transitioned to its promising future portfolio. In addition, the company
provided financial guidance for 2013. 

"With regulatory approvals for Eliquis and Forxiga, and good operating
performance in the fourth quarter, Bristol-Myers Squibb had a strong finish to
an important year of transition," said Lamberto Andreotti, chief executive
officer, Bristol-Myers Squibb. "In 2012 we continued to effectively execute our
strategy, and continued to build the post-Plavix portfolio and operating
structure that provide a solid foundation for our future growth. As we begin
2013, I am looking forward to our many opportunities, including the growth of
the existing key brands, the execution of the new launches, and the continued
delivery of a diverse and sustainable R&D pipeline."

                                                                                                            
                                                      Fourth Quarter                                        
 $ amounts in millions, except per share amounts                                                            
                                                      2012                 2011                 Change      
 Net Sales                                            $    4,191           $    5,454           (23)%       
 GAAP Diluted EPS                                          0.56                 0.50            12%         
 Non-GAAP Diluted EPS                                      0.47                 0.53            (11)%       
                                                                                                            
                                                      Full Year                                             
 $ amounts in millions, except per share amounts                                                            
                                                      2012                 2011                 Change      
 Net Sales                                            $    17,621          $    21,244          (17)%       
 GAAP Diluted EPS                                          1.16                 2.16            (46)%       
 Non-GAAP Diluted EPS                                      1.99                 2.28            (13)%       
                                                                                                            


FOURTH QUARTER FINANCIAL RESULTS

* Bristol-Myers Squibb posted fourth quarter 2012 net sales of $4.2 billion, a
decrease of 23% compared to the same period a year ago, following the U.S.
patent expiration of Avapro®/Avalide® in March 2012 and Plavix®in May 2012.
Excluding Plavix and Avapro/Avalide, net sales grew by 13% compared to the
fourth quarter of 2011. 
* U.S. net sales decreased 38% to $2.2 billion in the quarter, compared to the
same period a year ago. International net sales increased 6% to $2.0 billion. 
* Gross margin as a percentage of net sales was 74.3% in the quarter, compared
to 74.9% in the same period a year ago. 
* Marketing, selling and administrative expenses decreased 6% to $1.1 billion in
the quarter. 
* Advertising and product promotion spending decreased 26% to $212 million in
the quarter. 
* Research and development expenses increased 7% to $1.1 billion in the quarter.

* The Company reported an overall tax benefit rate of 80.1% attributed to a
capital loss deduction in the quarter. The effective tax rate on earnings before
income taxes was 22.8% in the fourth quarter last year. 
* The Company reported net earnings attributable to Bristol-Myers Squibb of $925
million, or $0.56 per share, in the quarter compared to $852 million, or $0.50
per share, a year ago. 
* The Company reported non-GAAP net earnings attributable to Bristol-Myers
Squibb of $777 million, or $0.47 per share, in the fourth quarter, compared to
$906 million, or $0.53 per share, for the same period in 2011. An overview of
specified items is discussed under the "Use of Non-GAAP Financial Information"
section. 
* Cash, cash equivalents and marketable securities were $6.4 billion, with a net
debt position of $1.0 billion, as of December 31, 2012.

FOURTH QUARTER PRODUCT AND PIPELINE UPDATE

Bristol-Myers Squibb`s global sales in the fourth quarter included Orencia®,
which grew 26%, Yervoy®, which grew 47%, Sprycel®, which grew 24%,
Onglyza®/Kombiglyze™, which grew 29%, and Baraclude®, which grew 13%. 

Eliquis

* In December, the U.S. Food and Drug Administration (FDA) approved Eliquis to
reduce the risk of stroke and systemic embolism in patients with nonvalvular
atrial fibrillation. Eliquis also received regulatory approval for this
indication in Japan and Canada in December, in Europe in November, and in South
Korea in January. The Company co-develops and co-commercializes Eliquis with its
partner, Pfizer. 
* In December, at the 54th Annual Meeting of the American Society of Hematology
in Atlanta, results of the Phase III AMPLIFY-EXT trial were announced in which
Eliquis demonstrated superiority versus placebo in reducing symptomatic,
recurrent venous thromboembolism and all-cause death versus placebo without
increasing the rate of major bleeding during one year of extended treatment. The
data were also published in The New England Journal of Medicine.

Forxiga

* In November, the European Commission approved Forxiga for the treatment of
type 2 diabetes in the European Union. The Company co-develops and
co-commercializes Forxiga with its partner, AstraZeneca.

Orencia

* In November, at the 2012 American College of Rheumatology Annual Scientific
Meeting in Washington, D.C., results were presented showing the subcutaneous
formulation of Orencia, on a background of methotrexate (MTX), was similar to
Humira® (adalimumab) plus MTX in demonstrating clinical improvements in
patient-reported outcomes that were sustained for one year among adults with
moderate to severe rheumatoid arthritis.

Elotuzumab

* In December, at the 54th Annual Meeting of the American Society of Hematology
in Atlanta, the Company and its partner, Abbott, presented encouraging results
from a small, randomized, Phase II open-label study of patients with previously
treated multiple myeloma which showed that in patients treated with elotuzumab
10mg/kg plus lenalidomide and low-dose dexamethasone progression-free survival
was not reached after 20.8 months of follow up and the objective response rate
was 92%.

Hepatitis C

* In November, at the American Association for the Study of Liver Diseases
congress in Boston, data from several Phase II clinical trials involving various
investigational compounds for the treatment of hepatitis C virus (HCV) within
the Company`s pipeline were presented, including:

* An investigational treatment regimen of three direct-acting
antivirals-daclatasvir, an NS5A replication complex inhibitor, asunaprevir, an
NS3 protease inhibitor, and BMS-791325, an NS5B non-nucleoside polymerase
inhibitor-achieved sustained virologic response 12 weeks post-treatment in 94
percent of treatment-naïve, genotype 1 chronic HCV patients. 
* The investigational dual regimen of daclatasvir and asunaprevir, without
interferon or ribavirin, achieved high rates of sustained virologic response 12
weeks post-treatment in patients with genotype 1b hepatitis C virus who were
prior null responders to alfa interferon and ribavirin.

 Phase II data on an investigational quadruple therapy regimen combining daclatasvir, asunaprevir, alfa interferon and ribarvirin, and first-time interim Phase IIb results on peginterferon lambda-1a in combination with daclatasvir and ribavirin were also presented.  


FOURTH QUARTER BUSINESS DEVELOPMENT UPDATE

* In November, the Company and its partner, Pfizer, announced a clinical
collaboration agreement with Portola Pharmaceuticals to conduct a
proof-of-concept study of PRT4445, a universal Factor Xa inhibitor antidote, and
Eliquis, an oral Factor Xa inhibitor.

* In December, the Company announced a global license agreement and two-year
collaboration with The Medicines Company under which The Medicines Company will
assume responsibility for the worldwide sales, distribution, marketing, and
regulatory activities for Recothrom®, the surgical hemostat product
Bristol-Myers Squibb acquired in 2010 through its acquisition of ZymoGenetics.

2013 FINANCIAL GUIDANCE

Bristol-Myers Squibb is setting its 2013 GAAP EPS guidance range from $1.54 to
$1.64 and its non-GAAP EPS guidance range from $1.78 to $1.88. Both GAAP and
non-GAAP guidance assume current exchange rates. Key 2013 non-GAAP guidance
assumptions include:

* Worldwide sales between $16.2 billion and $17.0 billion. 
* Full-year gross margin as a percentage of sales between 72% and 73%. 
* Advertising and promotion expense increasing in the high single digit range. 
* Marketing, sales and administrative expenses remaining flat versus last year. 
* Research and development expenses growing in the low-single-digit range. 
* An effective tax rate of approximately 16%.

It is estimated that 30% to 40% of the research and development expenses in 2013
will be incurred on late-stage development programs. Total research and
development expenses include the costs of discovery research, preclinical
development, early- and late-clinical development and drug formulation, as well
as clinical trials and medical support of marketed products, proportionate
allocations of enterprise-wide costs, and other appropriate costs. Late-stage
development expenses refer to our investigational compounds that are in Phase
III clinical development and our marketed products that are in Phase III
development for additional indications or formulations. 

The financial guidance for 2013 excludes the impact of any potential strategic
acquisitions and divestitures, and any specified items that have not yet been
identified and quantified. The non-GAAP 2013 guidance also excludes other
specified items as discussed under "Use of Non-GAAP Financial Information."
Details reconciling adjusted non-GAAP amounts with the amounts reflecting
specified items are provided in supplemental materials available on the
Company's website. 

Use of Non-GAAP Financial Information

This press release contains non-GAAP financial measures, including non-GAAP
earnings and related earnings per share information. These measures are adjusted
to exclude certain costs, expenses, significant gains and losses and other
specified items. Among the items in GAAP measures but excluded for purposes of
determining adjusted earnings and other adjusted measures are: restructuring and
other exit costs; accelerated depreciation charges; IPRD and asset impairments;
charges and recoveries relating to significant legal proceedings; upfront,
milestone and other licensing payments for in-licensing of products that have
not achieved regulatory approval which are immediately expensed; net
amortization of acquired intangible assets and deferred income related to
Amylin; pension settlement charges; and significant tax events. This information
is intended to enhance an investor`s overall understanding of the company`s past
financial performance and prospects for the future. Non-GAAP financial measures
provide the company and its investors with an indication of the company`s
baseline performance before items that are considered by the company not to be
reflective of the company`s ongoing results. The company uses non-GAAP gross
profit, non-GAAP marketing, selling and administrative expense, non-GAAP
research and development expense, and non-GAAP other income and expense measures
to set internal budgets, manage costs, allocate resources, and plan and forecast
future periods. Non-GAAP effective tax rate measures are primarily used to plan
and forecast future periods. Non-GAAP earnings and earnings per share measures
are primary indicators the company uses as a basis for evaluating company
performance, setting incentive compensation targets, and planning and
forecasting of future periods. This information is not intended to be considered
in isolation or as a substitute for financial measures prepared in accordance
with GAAP. 

Statement on Cautionary Factors

This press release contains certain forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995 regarding, among
other things, statements relating to goals, plans and projections regarding the
company`s financial position, results of operations, market position, product
development and business strategy. These statements may be identified by the
fact that they use words such as "anticipate", "estimates", "should", "expect",
"guidance", "project", "intend", "plan", "believe" and other words and terms of
similar meaning in connection with any discussion of future operating or
financial performance. Such forward-looking statements are based on current
expectations and involve inherent risks and uncertainties, including factors
that could delay, divert or change any of them, and could cause actual outcomes
and results to differ materially from current expectations. These factors
include, among other things, effects of the continuing implementation of
governmental laws and regulations related to Medicare, Medicaid, Medicaid
managed care organizations and entities under the Public Health Service 340B
program, pharmaceutical rebates and reimbursement, market factors, competitive
product development and approvals, pricing controls and pressures (including
changes in rules and practices of managed care groups and institutional and
governmental purchasers), economic conditions such as interest rate and currency
exchange rate fluctuations, judicial decisions, claims and concerns that may
arise regarding the safety and efficacy of in-line products and product
candidates, changes to wholesaler inventory levels, variability in data provided
by third parties, changes in, and interpretation of, governmental regulations
and legislation affecting domestic or foreign operations, including tax
obligations, changes to business or tax planning strategies, difficulties and
delays in product development, manufacturing or sales including any potential
future recalls, patent positions and the ultimate outcome of any litigation
matter. These factors also include the company`s ability to execute successfully
its strategic plans, including its String of Pearls strategy, the expiration of
patents or data protection on certain products, and the impact and result of
governmental investigations. There can be no guarantees with respect to pipeline
products that future clinical studies will support the data described in this
release, that the products will receive necessary regulatory approvals, or that
they will prove to be commercially successful; nor are there guarantees that
regulatory approvals will be sought, or sought within currently expected
timeframes, or that contractual milestones will be achieved. For further details
and a discussion of these and other risks and uncertainties, see the company's
periodic reports, including the annual report on Form 10-K, quarterly reports on
Form 10-Q and current reports on Form 8-K, filed with or furnished to the
Securities and Exchange Commission. The company undertakes no obligation to
publicly update any forward-looking statement, whether as a result of new
information, future events or otherwise. 

Company and Conference Call Information

Bristol-Myers Squibb is a global biopharmaceutical company whose mission is to
discover, develop and deliver innovative medicines that help patients prevail
over serious diseases. For more information, please visit http://www.bms.com or
follow us on Twitter at http://twitter.com/bmsnews. 

There will be a conference call on January 24, 2013, at 10:30 a.m. ET during
which company executives will review financial information and address inquiries
from investors and analysts. Investors and the general public are invited to
listen to a live webcast of the call at http://investor.bms.com or by dialing
913-981-5581, confirmation code: 8041448. Materials related to the call will be
available at the same website prior to the call. 

Abilify® is a trademark of Otsuka Pharmaceutical Co., Ltd. 

Atripla® is a trademark of Bristol-Myers Squibb Co. and Gilead Sciences, Inc. 

Avapro®, Avalide®, and Plavix® are trademarks of Sanofi. 

Byetta®andBydureon®are trademarks of Amylin Pharmaceuticals, LLC and AstraZeneca
Pharmaceuticals LP. 

Erbitux® is a trademark of ImClone LLC. ImClone Systems is a wholly-owned
subsidiary of Eli Lilly and Company. 

Humira® is a trademark of Abbott Biotechnology Ltd. 

All other brand names are registered trademarks of the Company or one of its
subsidiaries. 

BRISTOL-MYERS SQUIBB COMPANY
SELECTED PRODUCTS
FOR THE THREE MONTHS ENDED DECEMBER 31, 2012 AND 2011
(Unaudited, dollars in millions) 

The following table sets forth worldwide and U.S. reported net sales for
selected products. In addition, the table includes, where applicable, the
estimated total U.S. prescription change for the retail and mail-order channels
for the comparative periods presented for certain of the company's U.S.
pharmaceutical products based on third-party data. A significant portion of the
company's U.S. pharmaceutical sales is made to wholesalers. Where changes in
reported net sales differ from prescription growth, this change in net sales may
not reflect underlying prescriber demand.

                                                                                                                                                                                    
                                                Worldwide Net Sales                                     U.S. Net Sales                                                              
                                                                                            %                                                   %           % Change in U.S. Total  
                                                2012                  2011                  Change      2012                2011                Change      Prescriptions vs. 2011  
 Three Months Ended December 31,                                                                                                                                                    
 Key Products                                                                                                                                                                       
 Plavix                                         $    49               $    1,672            (97)%       $    20             $    1,582          (99)%       (96)%                   
 Avapro/Avalide                                      84                    195              (57)%            16                  114            (86)%       (91)%                   
 Eliquis                                             1                     -                N/A              -                   -              N/A         N/A                     
 Abilify                                             819                   737              11%              617                 559            10%         -                       
 Reyataz                                             394                   416              (5)%             199                 209            (5)%        (8)%                    
 Sustiva Franchise                                   383                   412              (7)%             253                 278            (9)%        (3)%                    
 Baraclude                                           360                   318              13%              65                  58             12%         11%                     
 Erbitux                                             171                   181              (6)%             167                 178            (6)%        N/A                     
 Sprycel                                             281                   227              24%              109                 88             24%         20%                     
 Yervoy                                              211                   144              47%              141                 119            18%         N/A                     
 Orencia                                             325                   257              26%              216                 172            26%         N/A                     
 Nulojix                                             4                     1                *                3                   1              *           N/A                     
 Onglyza/Kombiglyze                                  198                   153              29%              140                 114            23%         28%                     
 Byetta                                              94                    -                N/A              92                  -              N/A         N/A                     
 Bydureon                                            58                    -                N/A              55                  -              N/A         N/A                     
                                                                                                                                                                                    
 Mature Products and All Other                       759                   741              2%               145                 132            10%         N/A                     
 Total                                               4,191                 5,454            (23)%            2,238               3,604          (38)%       N/A                     
 Total excluding Plavix and Avapro/Avalide           4,058                 3,587            13%              2,202               1,908          15%         N/A                     
                                                                                                                                                                                    
 * In excess of +/- 100%                                                                                                                                                            
                                                                                                                                                                                    


                                                                                                                                                                                        
 BRISTOL-MYERS SQUIBB COMPANY                                                                                                                                                           
 
SELECTED PRODUCTS                                                                                                                                                                     
 
FOR THE TWELVE MONTHS ENDED DECEMBER 31, 2012 AND 2011                                                                                                                                
 
(Unaudited, dollars in millions)                                                                                                                                                      
                                                                                                                                                                                        
                                                Worldwide Net Sales                                       U.S. Net Sales                                                                
                                                                                              %                                                     %           % Change in U.S. Total  
                                                2012                   2011                   Change      2012                 2011                 Change      Prescriptions vs. 2011  
 Twelve Months Ended December 31,                                                                                                                                                       
 Key Products                                                                                                                                                                           
 Plavix                                         $    2,547             $    7,087             (64)%       $    2,424           $    6,709           (64)%       (60)%                   
 Avapro/Avalide                                      503                    952               (47)%            155                  549             (72)%       (71)%                   
 Eliquis                                             2                      -                 N/A              -                    -               N/A         N/A                     
 Abilify                                             2,827                  2,758             3%               2,102                2,052           2%          1%                      
 Reyataz                                             1,521                  1,569             (3)%             783                  771             2%          (5)%                    
 Sustiva Franchise                                   1,527                  1,485             3%               1,016                950             7%          (1)%                    
 Baraclude                                           1,388                  1,196             16%              241                  208             16%         11%                     
 Erbitux                                             702                    691               2%               688                  681             1%          N/A                     
 Sprycel                                             1,019                  803               27%              404                  299             35%         29%                     
 Yervoy                                              706                    360               96%              503                  323             56%         N/A                     
 Orencia                                             1,176                  917               28%              797                  621             28%         N/A                     
 Nulojix                                             11                     3                 *                9                    3               *           N/A                     
 Onglyza/Kombiglyze                                  709                    473               50%              516                  346             49%         47%                     
 Byetta                                              149                    -                 N/A              147                  -               N/A         N/A                     
 Bydureon                                            78                     -                 N/A              75                   -               N/A         N/A                     
                                                                                                                                                                                        
 Mature Products and All Other                       2,756                  2,950             (7)%             524                  527             (1)%        N/A                     
 Total                                               17,621                 21,244            (17)%            10,384               14,039          (26)%       N/A                     
 Total excluding Plavix and Avapro/Avalide           14,571                 13,205            10%              7,805                6,781           15%         N/A                     
                                                                                                                                                                                        
 * In excess of +/- 100%                                                                                                                                                                
                                                                                                                                                                                        


                                                                                                                                                                 
 BRISTOL-MYERS SQUIBB COMPANY                                                                                                                                    
 
CONSOLIDATED STATEMENTS OF EARNINGS                                                                                                                            
 
FOR THE THREE AND TWELVE MONTHS ENDED DECEMBER 31, 2012 AND 2011                                                                                               
 
(Unaudited, amounts in millions except per share data)                                                                                                         
                                                                                                                                                                 
                                                                   Three Months                                    Twelve Months                                 
                                                                   Ended December 31,                              Ended December 31,                            
                                                                        2012                       2011                 2012                        2011         
 Net Sales                                                         $    4,191                 $    5,454           $    17,621                 $    21,244       
 Cost of products sold                                                  1,075                      1,367                4,610                       5,598        
 Marketing, selling and administrative                                  1,143                      1,216                4,220                       4,203        
 Advertising and product promotion                                      212                        285                  797                         957          
 Research and development                                               1,082                      1,008                3,904                       3,839        
 Impairment charge for BMS-986094 intangible asset                      -                          -                    1,830                       -            
 Other (income)/expense                                                 166                        (16    )             (80     )                   (334    )    
 Total expenses                                                         3,678                      3,860                15,281                      14,263       
                                                                                                                                                                 
 Earnings before Income Taxes                                           513                        1,594                2,340                       6,981        
 Provision for/ (benefit from) income taxes                             (411   )                   363                  (161    )                   1,721        
                                                                                                                                                                 
 Net Earnings                                                           924                        1,231                2,501                       5,260        
 Net Earnings/ (Loss) Attributable to Noncontrolling Interest           (1     )                   379                  541                         1,551        
 Net Earnings Attributable to BMS                                  $    925                   $    852             $    1,960                  $    3,709        
                                                                                                                                                                 
 Earnings per Common Share Attributable to BMS:                                                                                                                  
 Basic                                                             $    0.56                  $    0.50            $    1.17                   $    2.18         
 Diluted                                                           $    0.56                  $    0.50            $    1.16                   $    2.16         
                                                                                                                                                                 
 Average Common Shares Outstanding:                                                                                                                              
 Basic                                                                  1,644                      1,692                1,670                       1,700        
 Diluted                                                                1,662                      1,712                1,688                       1,717        
                                                                                                                                                                 
 Other (income)/expense                                                                                                                                          
 Interest expense                                                  $    51                    $    42              $    182                    $    145          
 Investment income                                                      (21    )                   (22    )             (106    )                   (91     )    
 Provision for restructuring                                            103                        24                   174                         116          
 Litigation charges/(recoveries)                                        55                         75                   (45     )                   6            
 Equity in net income of affiliates                                     (33    )                   (66    )             (183    )                   (281    )    
 Out-licensed intangible asset impairment                               -                          -                    38                          -            
 Gain on sale of product lines, businesses and assets                   (50    )                   (1     )             (53     )                   (37     )    
 Other income received from alliance partners, net                      (87    )                   (33    )             (312    )                   (140    )    
 Pension curtailments and settlements                                   155                        11                   158                         10           
 Other                                                                  (7     )                   (46    )             67                          (62     )    
 Other (income)/expense                                            $    166                   $    (16    )        $    (80     )              $    (334    )    
                                                                                                                                                                 


                                                                                                                                                                     
 BRISTOL-MYERS SQUIBB COMPANY                                                                                                                                        
 
SPECIFIED ITEMS                                                                                                                                                    
 
FOR THE THREE AND TWELVE MONTHS ENDED DECEMBER 31, 2012 AND 2011                                                                                                   
 
(Unaudited, dollars in millions)                                                                                                                                   
                                                                                                                                                                     
                                                                           Three Months                                  Twelve Months                               
                                                                           Ended December 31,                            Ended December 31,                          
                                                                                2012                      2011                2012                        2011       
 Accelerated depreciation, asset impairment and other shutdown costs       $    -                    $    15             $    147                    $    75         
 Amortization of acquired Amylin intangible assets                              138                       -                   229                         -          
 Amortization of Amylin collaboration proceeds                                  (68   )                   -                   (114    )                   -          
 Amortization of inventory fair value adjustment                                14                        -                   23                          -          
 Cost of products sold                                                          84                        15                  285                         75         
                                                                                                                                                                     
 Stock compensation expense from accelerated vesting of Amylin awards           -                         -                   67                          -          
 Process standardization implementation costs                                   2                         10                  18                          29         
 Marketing, selling and administrative                                          2                         10                  85                          29         
                                                                                                                                                                     
 Stock compensation expense from accelerated vesting of Amylin awards           -                         -                   27                          -          
                                                                                                                                                                     
 Upfront, milestone and other licensing payments                                26                        -                   47                          207        
 IPRD impairment                                                                39                        -                   142                         28         
 Research and development                                                       65                        -                   216                         235        
                                                                                                                                                                     
 Impairment charge for BMS-986094 intangible asset                              -                         -                   1,830                       -          
                                                                                                                                                                     
 Provision for restructuring                                                    103                       24                  174                         116        
 Gain on sale of product lines, businesses and assets                           (51   )                   -                   (51     )                   (12   )    
 Pension curtailments and settlements                                           151                       13                  151                         13         
 Out-licensed intangible asset impairment                                       -                         -                   38                          -          
 Loss on debt repurchase                                                        -                         -                   27                          -          
 Acquisition related items                                                      1                         -                   43                          -          
 Litigation charges/(recoveries)                                                55                        75                  (45     )                   9          
 Upfront, milestone and other licensing receipts                                (10   )                   (20   )             (10     )                   (20   )    
 Other (income)/expense                                                         249                       92                  327                         106        
                                                                                                                                                                     
 Increase/(Decrease) to pretax income                                           400                       117                 2,743                       445        
                                                                                                                                                                     
 Income tax on items above                                                      (156  )                   (37   )             (947    )                   (136  )    
 Specified tax (benefit)*                                                       (392  )                   (26   )             (392    )                   (97   )    
 Income taxes                                                                   (548  )                   (63   )             (1,339  )                   (233  )    
                                                                                                                                                                     
 Increase/(Decrease) to net earnings                                       $    (148  )              $    54             $    1,404                  $    212        
                                                                                                                                                                     


* The 2012 specified tax benefit relates to a capital loss deduction. The 2011
specified tax benefit relates to releases of tax reserves that were specified in
prior periods.

                                                                                         
 BRISTOL-MYERS SQUIBB COMPANY                                                            
 
RECONCILIATION OF CERTAIN NON-GAAP LINE ITEMS TO GAAP LINE ITEMS                       
 
FOR THE THREE MONTHS ENDED DECEMBER 31, 2012 AND 2011                                  
 
(Unaudited, dollars in millions)                                                       
                                                                                         
 Three months ended December 31, 2012       GAAP              Specified      Non         
                                                              Items*         GAAP        
                                                                                         
 Gross Profit                               $    3,116        84             $    3,200  
                                                                                         
 Marketing, Selling and Administrative           1,143        (2)                 1,141  
                                                                                         
 Research and Development                        1,082        (65)                1,017  
                                                                                         
 Other (income)/expense                          166          (249)               (83)   
                                                                                         
 Effective Tax Rate                              (80.1)%      95.1%               15.0%  
                                                                                         
                                                                                         
                                                                                         
 Three months ended December 31, 2011       GAAP              Specified      Non         
                                                              Items*         GAAP        
                                                                                         
 Gross Profit                               $    4,087        15             $    4,102  
                                                                                         
 Marketing, Selling and Administrative           1,216        (10)                1,206  
                                                                                         
 Research and Development                        1,008        --                  1,008  
                                                                                         
 Other (income)/expense                          (16)         (92)                (108)  
                                                                                         
 Effective Tax Rate                              22.8%        2.1%                24.9%  
                                                                                         


* Refer to the Specified Items schedules for further details.

                                                                                         
 BRISTOL-MYERS SQUIBB COMPANY                                                            
 
RECONCILIATION OF CERTAIN NON-GAAP LINE ITEMS TO GAAP LINE ITEMS                       
 
FOR THE TWELVE MONTHS ENDED DECEMBER 31, 2012 AND 2011                                 
 
(Unaudited, dollars in millions)                                                       
                                                                                         
 Twelve months ended December 31, 2012      GAAP             Specified      Non          
                                                             Items*         GAAP         
                                                                                         
 Gross Profit                               $    13,011      285            $    13,296  
                                                                                         
 Marketing, Selling and Administrative           4,220       (85)                4,135   
                                                                                         
 Research and Development                        3,904       (216)               3,688   
                                                                                         
 Other (income)/expense                          (80)        (327)               (407)   
                                                                                         
 Effective Tax Rate                              (6.9)%      30.1%               23.2%   
                                                                                         
                                                                                         
                                                                                         
 Twelve months ended December 31, 2011      GAAP             Specified      Non          
                                                             Items*         GAAP         
                                                                                         
 Gross Profit                               $    15,646      75             $    15,721  
                                                                                         
 Marketing, Selling and Administrative           4,203       (29)                4,174   
                                                                                         
 Research and Development                        3,839       (235)               3,604   
                                                                                         
 Other (income)/expense                          (334)       (106)               (440)   
                                                                                         
 Effective Tax Rate                              24.7%       1.6%                26.3%   
                                                                                         


* Refer to the Specified Items schedules for further details.

                                                                                                                                                           
 BRISTOL-MYERS SQUIBB COMPANY                                                                                                                              
 
RECONCILIATION OF NON-GAAP EPS TO GAAP EPS                                                                                                               
 
FOR THE THREE AND TWELVE MONTHS ENDED DECEMBER 31, 2012 AND 2011                                                                                         
 
(Unaudited, amounts in millions except per share data)                                                                                                   
                                                                                                                                                           
                                                               Three Months                                    Twelve Months                               
                                                               Ended December 31,                              Ended December 31,                          
                                                                                                                                                           
                                                                    2012                       2011                 2012                       2011        
 Net Earnings Attributable to BMS - GAAP                       $    925                   $    852             $    1,960                 $    3,709       
 Earnings attributable to unvested restricted shares                (1     )                   (1     )             (1     )                   (8     )    
 Net Earnings used for Diluted EPS Calculation - GAAP          $    924                   $    851             $    1,959                 $    3,701       
                                                                                                                                                           
 Net Earnings Attributable to BMS - GAAP                       $    925                   $    852             $    1,960                 $    3,709       
 Specified Items*                                                   (148   )                   54                   1,404                      212         
 Net Earnings - Non-GAAP                                            777                        906                  3,364                      3,921       
 Earnings attributable to unvested restricted shares                (1     )                   (1     )             (1     )                   (8     )    
 Net Earnings used for Diluted EPS Calculation - Non-GAAP      $    776                   $    905             $    3,363                 $    3,913       
                                                                                                                                                           
 Average Common Shares Outstanding - Diluted                        1,662                      1,712                1,688                      1,717       
                                                                                                                                                           
 Diluted EPS - GAAP                                            $    0.56                  $    0.50            $    1.16                  $    2.16        
 Diluted EPS Attributable to Specified Items                        (0.09  )                   0.03                 0.83                       0.12        
 Diluted EPS - Non-GAAP                                        $    0.47                  $    0.53            $    1.99                  $    2.28        
                                                                                                                                                           


* Refer to the Specified Items schedules for further details.

                                                                                                              
 BRISTOL-MYERS SQUIBB COMPANY                                                                                 
 
NET DEBT CALCULATION                                                                                        
 
AS OF DECEMBER 31, 2012 AND SEPTEMBER 30, 2012                                                              
 
(Unaudited, dollars in millions)                                                                            
                                                                                                              
                                                       December 31, 2012           September 30, 2012         
 Cash and cash equivalents                             $       1,656               $        1,503             
 Marketable securities-current                                 1,173                        1,427             
 Marketable securities-long-term                               3,523                        3,698             
 Cash, cash equivalents and marketable securities              6,352                        6,628             
 Short-term borrowings                                         (826    )                    (751     )        
 Long-term debt                                                (6,568  )                    (6,608   )        
 Net debt position                                     $       (1,042  )           $        (731     )        


Bristol-Myers Squibb
Jennifer Fron Mauer, 609-252-6579
Communications
or
John Elicker, 609-252-4611
Investor Relations 



Copyright Business Wire 2013

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