Tear Sheet: Bristol-Myers Squibb Co.

The company raised revenue guidance for 2024 but declined to provide medium-term expectations even as the company faces the loss of exclusivity (LOE) on its three biggest drugs (representing 61% of 2023 revenues) in 2026 and 2028. We expect revenue growth will slow in the second half of 2024, be flat in 2025 and 2027, and decline in the single-digit percent range in 2026 and in 2028. More specifically, we anticipate strong growth from newly launched and recently acquired products will mostly offset revenue declines due to LOEs on Revlimid and from the Inflation Reduction Act (IRA)-related pricing pressure on Eliquis in 2026, and LOEs on Eliquis and Opdivo in 2028. We expect S&P Global Ratings-adjusted EBITDA margins will decline

...Rating Component Scores Foreign currency issuer credit rating A/Stable/A-1 Local currency issuer credit rating A/Stable/A-1 Business risk Strong Country risk Low Industry risk Low Competitive position Strong Financial risk Intermediate Cash flow/leverage Intermediate Anchor a- Diversification/portfolio effect Neutral (no impact) Capital structure Neutral (no impact) Financial policy Neutral (no impact) Liquidity Strong (no impact) Management and governance Positive (no impact) Comparable rating analysis Positive (+1 notch) Stand-alone credit profile a...

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