By Tess Stynes
Bristol-Myers Squibb Co. said its second-quarter revenue rose 7%
with a boost from sales of its Opdivo immunotherapy drug and its
hepatitis C franchise.
Revenue increased to $4.2 billion from $3.89 billion a year
earlier. Excluding currency effects, the growth was 16%. Analysts
polled by Thomson Reuters expected revenue of $3.72 billion.
The better-than-expected revenue growth contributed to the
pharmaceutical company raising full year guidance. For the year,
the company raised its per-share earnings estimate by a dime and
now expects $1.70 to $1.80.
Bristol-Myers has gained attention as a leader in developing
drugs that enlist the power of the immune system against
cancer.
Opdivo, initially approved in late December, contributed sales
of $122 million in its second quarter on the market, up sharply
from $40 million in the first quarter. Sales of Yervoy, another
skin-cancer immunotherapy, fell 8% from a year earlier to $296
million, amid a 21% decline in U.S. sales--partly owing to the
growth of Opdivo for skin cancer in the U.S.
The company's hepatitis C franchise contributed sales of $479
million, boosted by recognition of $170 million previously deferred
revenue in France related to an early access program.
The earnings report comes two days after Bristol-Myers said a
late-stage trial of skin-cancer drug Opdivo was stopped early
because the drug provided superior overall survival in advanced
renal-cell carcinoma patients, further strengthening Bristol-Myer's
position in immunotherapies. The drug also received U.S. regulatory
approval to treat lung cancer earlier this year.
Also, in a recent study, a combination of Opdivo and the
company's other skin cancer drug Yervoy delayed the progression of
melanoma longer than either drug alone--results that could support
wider use of both drugs.
In addition to clinical trials of the immunotherapies to treat
other cancers, Bristol-Myers also has continued to expand its
pipeline through deals, including April acquisition of
immunotherapy drug developer Flexus and licensing of gene-therapy
cardiovascular programs from uniQure.
Overall, Bristol-Myers reported a loss of $130 million, or eight
cents a share, up from $333 million, or 20 cents a share, a year
earlier. The latest period a charge of 48 cents a share related to
the Flexus acquisition. Excluding such one-time items, per-share
earnings rose to 53 cents from 48 cents. Analysts expected
per-share profit of 36 cents.
Write to Tess Stynes at tess.stynes@wsj.com
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