BRISTOL-MYERS SQUIBB COMPANY (Exact Name of Registrant as Specified in its Charter)

Transcription

1 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C FORM 8-K CURRENT REPORT Pursuant to Section 13 OR 15(d) of The Securities Exchange Act Of 1934 Date of Report (Date of earliest event reported): April 26, 2018 BRISTOL-MYERS SQUIBB COMPANY (Exact Name of Registrant as Specified in its Charter) Delaware (State or Other Jurisdiction of Incorporation) (Commission File Number) 345 Park Avenue New York, NY (Address of Principal Executive Office) Registrant s telephone number, including area code: (212) (IRS Employer Identification Number) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions ( seegeneral Instruction A.2. below): Written communications pursuant to Rule 425 under the Securities Act (17 CFR ) Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR a-12) Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR d-2(b)) Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR e-4(c))

2 Item Results of Operations and Financial Condition. On April 26, 2018, Bristol-Myers Squibb Company (the Company ) issued a press release announcing its financial results for the first quarter of A copy of the press release is furnished as Exhibit 99.1 to this report and incorporated herein by reference. Also furnished and incorporated by reference as Exhibit 99.2 is certain supplemental information posted on the Company s website at Item Financial Statements and Exhibits. (d) Exhibits Press release of Bristol-Myers Squibb Company dated April 26, Certain supplemental information posted on Bristol-Myers Squibb Company s website at not included in the press release.

3 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. BRISTOL-MYERS SQUIBB COMPANY Dated: April 26, 2018 By: /s/ Sandra Leung Name: Sandra Leung Title: Executive Vice President & General Counsel

4 EXHIBIT INDEX Exhibit No. Description 99.1 Press release of Bristol-Myers Squibb Company dated April 26, Certain supplemental information posted on Bristol-Myers Squibb Company s website at not included in the press release.

5 Exhibit 99.1 Bristol-Myers Squibb Reports First Quarter Financial Results Increases First Quarter Revenues 5% to $5.2 Billion Posts First Quarter GAAP EPS of $0.91 and Non-GAAP EPS of $0.94 Achieves Important Clinical and Regulatory Milestones in Oncology Opdivoplus YervoyApproved in the U.S. for Patients with Intermediate- and Poor-Risk Advanced Renal Cell Carcinoma OpdivoFour-Week Dosing Approved in the U.S. and Europe Applications for Opdivoplus Yervoyfor Previously Treated Patients with MSI-H or dmmr Metastatic Colorectal Cancer and Opdivofor Previously Treated Patients with Small Cell Lung Cancer Accepted for Priority Reviews in the U.S. Presents Important New Data on Immuno-Oncology Portfolio at AACR Including Phase 3 Data for Opdivoplus Yervoyin First-Line Advanced Non-Small Cell Lung Cancer Patients with High Tumor Mutational Burden Announces Strategic Collaborations with Nektar Therapeutics, Janssen Pharmaceuticals and Illumina, Inc. Updates 2018 GAAP and Non-GAAP EPS Guidance ( NEW YORK, April 26, 2018) - Bristol-Myers Squibb Company (NYSE:BMY) today reported results for the first quarter of 2018 which were highlighted by strong sales for Opdivo,Eliquis,and Orencia, important regulatory progress in Immuno-Oncology and strategic business development transactions. We delivered strong commercial performance with continued growth for our key franchises, Opdivoand Eliquis, and obtained FDA approval for Opdivoplus Yervoyin renal cell carcinoma, a disease with high unmet need which represents an important opportunity for the company, said Giovanni Caforio, M.D., chairman and chief executive officer, Bristol-Myers Squibb. I am confident that strong commercial execution, upcoming Phase 3 readouts across our oncology pipeline and continued strategic use of business development position us well for future growth. First Quarter $ amounts in millions, except per share amounts Change Total Revenues $ 5,193 $ 4,929 5 % GAAP Diluted EPS (3)% Non-GAAP Diluted EPS % 1

6 FIRST QUARTER FINANCIAL RESULTS Bristol-Myers Squibb posted first quarter 2018 revenues of $5.2 billion, an increase of 5% compared to the same period a year ago. Revenues increased 1% when adjusted for foreign exchange impact. U.S. revenues increased 1% to $2.8 billion in the quarter compared to the same period a year ago. International revenues increased 10%. When adjusted for foreign exchange impact, international revenues increased 1%. Gross margin as a percentage of revenue decreased from 74.3% to 69.5% in the quarter primarily due to product mix. Marketing, selling and administrative expenses decreased 10% to $980 million in the quarter. Research and development expenses decreased 4% to $1.3 billion. The effective tax rate was 16.0% in the quarter, compared to 21.9% in the first quarter last year. The company reported net earnings attributable to Bristol-Myers Squibb of $1.5 billion, or $0.91 per share, in the first quarter compared to net earnings of $1.6 billion, or $0.94 per share, for the same period in The company reported non-gaap net earnings attributable to Bristol-Myers Squibb of $1.5 billion, or $0.94 per share, in the first quarter, compared to $1.4 billion, or $0.84 per share, for the same period in An overview of specified items is discussed under the Use of Non-GAAP Financial Information section. Cash, cash equivalents and marketable securities were $9.0 billion, with a net cash position of $1.3 billion, as of March 31,

7 FIRST QUARTER PRODUCT AND PIPELINE UPDATE ProductSales/BusinessHighlights Global revenues for prioritized brands increased in the first quarter of 2018 by 21% compared to the first quarter of 2017, driven by: Product Growth % Eliquis 37% Opdivo 34% Orencia 11% Sprycel (5)% Yervoy (25)% Opdivo Regulatory In April, the European Commission approved an every four-week Opdivodosing schedule of 480 mg infused over 60 minutes as an option for patients with advanced melanoma and previously treated renal cell carcinoma (RCC) as well as the approval of a two-week Opdivoflat dose option of 240 mg infused over 30 minutes to replace weight-based dosing for all six approved monotherapy indications in the European Union. In April, the company announced the U.S. Food and Drug Administration (FDA) has accepted for priority review its supplemental Biologics License Application (sbla) for Opdivoto treat patients with small cell lung cancer (SCLC) whose disease has progressed after two or more prior lines of therapy. The FDA action date is August 16, In April, the company announced the FDA approved the combination of Opdivoplus Yervoyfor previously untreated patients with intermediate- and poor-risk advanced RCC. In March, the company announced the FDA accepted for priority review a sbla for the Opdivoplus Yervoycombination for the treatment of adults with microsatellite instability-high (MSI-H) or mismatch repair deficient (dmmr) metastatic colorectal cancer (mcrc) that has progressed following treatment with a fluoropyrimidine, oxaliplatin and irinotecan. The FDA action date is July 10, In March, the company announced the FDA approved a sbla updating the Opdivodosing schedule to include 480 mg infused every four weeks for a majority of approved indications as well as a shorter 30 minute infusion across all approved indications. 3

8 Clinical In April, at the American Association for Cancer Research (AACR) Annual Meeting, the company presented results from numerous studies of novel agents and Opdivo-based combinations. Key clinical data presented at the meeting include: CheckMate -227: First presentation of data from the Phase 3 study assessing the Opdivoplus Yervoycombination versus platinum-doublet chemotherapy in first-line advanced non-small cell lung cancer (NSCLC) patients with high tumor mutational burden ( 10 mutations/megabase). (link) CheckMate -568: First presentation of data from a Phase 2 study evaluating Opdivoplus Yervoyin treatment naïve patients with advanced NSCLC. Results demonstrated Opdivo3 mg/kg plus low-dose Yervoy(1mg/kg) identified high tumor mutational burden of 10 mutations/megabase (mut/mb) as an effective cutoff for selecting which patients were most likely to respond to first-line treatment of Opdivoplus Yervoyregardless of tumor PD-L1 expression. CheckMate -078: First presentation of data from the Phase 3 study evaluating Opdivomonotherapy versus docetaxel in a predominantly Chinese patient population with previously treated advanced NSCLC. (link) CheckMate -141: Announced a two-year overall survival (OS) update from the Phase 3 study evaluating patients treated with Opdivo over standard of care in patients with recurrent or metastatic squamous cell carcinoma of the head and neck (SCCHN) after failure on platinum-based therapy. (link) Eliquis Clinical In March, at the American College of Cardiology s 67 th Annual Scientific Session & Expo, the company and Pfizer Inc. announced the largest real-world data analysis from studies evaluating different direct oral anticoagulants, including Eliquis, rivaroxaban and dabigatran, for non-valvular atrial fibrillation patients. (link) FIRST QUARTER BUSINESS DEVELOPMENT UPDATE In April, the company and Illumina, Inc. announced a collaboration that will utilize Illumina s next-generation sequencing technology to develop and globally commercialize in-vitro diagnostic assays in support of Bristol-Myers Squibb s oncology portfolio. 4

9 In April, the company and Janssen Pharmaceutical Companies of Johnson & Johnson announced a worldwide collaboration to develop and commercialize Bristol-Myers Squibb s Factor XIa inhibitor program, including BMS , an anticoagulant compound being studied for prevention and treatment of major thrombotic conditions. In April, the company and the Harvard Fibrosis Network of the Harvard Stem Cell Institute announced a research collaboration to discover and develop potential new therapies for fibrotic diseases, including fibrosis of the liver and heart. In February, the company announced that Yale Cancer Center will join the International Immuno-Oncology Network, a global peer-to-peer collaboration between Bristol-Myers Squibb and academia that aims to advance translational Immuno- Oncology science. In February, the company and Nektar Therapeutics announced a global strategic development and commercialization collaboration for Nektar s lead Immuno-Oncology program, NKTR-214. The companies will jointly develop and commercialize NKTR-214 in combination with Opdivoand Opdivoplus Yervoyin more than 20 indications across nine tumor types FINANCIAL GUIDANCE Bristol-Myers Squibb is decreasing its 2018 GAAP EPS guidance range from $ $3.15 to $ $2.80 and increasing its non-gaap EPS guidance range from $ $3.30 to $ $3.45. Both GAAP and non-gaap guidance assume current exchange rates. Key revised 2018 GAAP and non-gaap line-item guidance assumptions are: Worldwide revenues increasing in the mid-single digits. Research and development expenses increasing in the low-single digits for GAAP. An effective tax rate between 17% and 18% for both GAAP and non-gaap. The financial guidance for 2018 excludes the impact of any potential future strategic acquisitions and divestitures, and any specified items that have not yet been identified and quantified. The non-gaap 2018 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. 5

10 Use of Non-GAAP Financial Information This press release contains non-gaap financial measures, including non-gaap earnings and related EPS information, that are adjusted to exclude certain costs, expenses, gains and losses and other specified items that are evaluated on an individual basis. These items are adjusted after considering their quantitative and qualitative aspects and typically have one or more of the following characteristics, such as being highly variable, difficult to project, unusual in nature, significant to the results of a particular period or not indicative of future operating results. Similar charges or gains were recognized in prior periods and will likely reoccur in future periods including restructuring costs, accelerated depreciation and impairment of property, plant and equipment and intangible assets, R&D charges in connection with the acquisition or licensing of third party intellectual property rights, divestiture and equity investment gains or losses, upfront payments from out-licensed assets, pension charges, legal and other contractual settlements and debt redemption gains or losses, among other items. Deferred and current income taxes attributed to these items are also adjusted for considering their individual impact to the overall tax expense, deductibility and jurisdictional tax rates. Non-GAAP information is intended to portray the results of our baseline performance, supplement or enhance management, analysts and investors overall understanding of our underlying financial performance and facilitate comparisons among current, past and future periods. For example, non-gaap earnings and EPS information is an indication of our baseline performance before items that are considered by us to not be reflective of our ongoing results. In addition, this information is among the primary indicators we use as a basis for evaluating performance, allocating resources, setting incentive compensation targets and planning and forecasting for future periods. This information is not intended to be considered in isolation or as a substitute for net earnings or diluted EPS 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 forwardlooking 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 successfully execute its strategic plans, including its business development strategy, the expiration of patents or data protection on certain products, including assumptions about the company s ability to retain patent exclusivity of certain products, and the impact and result of governmental investigations. 6

11 There can be no guarantees with respect to pipeline products that future clinical studies will support the data described in this release, that the compounds 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 about Bristol-Myers Squibb, visit us at BMS.com or follow us on LinkedIn, Twitter, YouTube and Facebook. There will be a conference call on April 26, 2018 at 10:30 a.m. EDT 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 or by calling the U.S. toll free or international , confirmation code: Materials related to the call will be available at the same website prior to the conference call. A replay of the call will be available beginning at 1:30 p.m. EDT on April 26, 2018 through 1:30 p.m. EDT on May 10, The replay will also be available through or by calling the U.S. toll free or international , confirmation code: For more information, contact: Communications: Ken Dominski, , ken.dominski@bms.com or Lisa McCormick Lavery, , lisa.mccormicklavery@bms.com; Investor Relations: John Elicker, , john.elicker@bms.com, Tim Power, , timothy.power@bms.com or Bill Szablewski, , william.szablewski@bms.com. 7

12 Three Months Ended March 31, Prioritized Brands BRISTOL-MYERS SQUIBB COMPANY PRODUCT REVENUE FOR THE THREE MONTHS ENDED MARCH 31, 2018 AND 2017 (Unaudited, dollars in millions) Worldwide Revenues U.S. Revenues % Change Opdivo $ 1,511 $ 1, % $ 938 $ % Eliquis 1,506 1, % % Orencia % % Sprycel (5)% (13)% Yervoy (25)% (33)% Empliciti % % % Change Established Brands Baraclude (20)% (29)% Sustiva Franchise (54)% (93)% Reyataz Franchise (36)% (42)% Hepatitis C Franchise (98)% 5 42 (88)% Other Brands (19)% (13)% Total $ 5,193 $ 4,929 5 % $ 2,778 $ 2,738 1 % 8

13 BRISTOL-MYERS SQUIBB COMPANY CONSOLIDATED STATEMENTS OF EARNINGS FOR THE THREE MONTHS ENDED MARCH 31, 2018 AND 2017 (Unaudited, dollars and shares in millions except per share data) Three Months Ended March 31, Net product sales $ 4,972 $ 4,580 Alliance and other revenues Total Revenues 5,193 4,929 Cost of products sold 1,584 1,265 Marketing, selling and administrative 980 1,085 Research and development 1,250 1,303 Other income (net) (400) (679) Total Expenses 3,414 2,974 Earnings Before Income Taxes 1,779 1,955 Provision for Income Taxes Net Earnings 1,495 1,526 Net Earnings/(Loss) Attributable to Noncontrolling Interest 9 (48) Net Earnings Attributable to BMS $ 1,486 $ 1,574 Average Common Shares Outstanding: Basic 1,633 1,662 Diluted 1,640 1,671 Earnings per Common Share Basic $ 0.91 $ 0.95 Diluted $ 0.91 $ 0.94 Other income (net) Interest expense $ 46 $ 45 Investment income (36) (26) Equity investment gains (15) (7) Provision for restructuring Litigation and other settlements (484) Equity in net income of affiliates (24) (18) Divestiture gains (45) (127) Royalties and licensing income (367) (199) Transition and other service fees (4) (7) Pension and postretirement (11) 1 Intangible asset impairment 64 Other (28) (21) Other income (net) $ (400) $ (679) 9

14 BRISTOL-MYERS SQUIBB COMPANY SPECIFIED ITEMS FOR THE THREE MONTHS ENDED MARCH 31, 2018 AND 2017 (Unaudited, dollars in millions) Three Months Ended March 31, Impairment charges $ 10 $ Accelerated depreciation and other shutdown costs 3 Cost of products sold 13 Marketing, selling and administrative 1 License and asset acquisition charges IPRD impairments 75 Site exit costs and other Research and development Equity investment gains (15) Provision for restructuring Litigation and other settlements (481) Divestiture gains (43) (100) Royalties and licensing income (50) Pension charges Intangible asset impairment 64 Other income (net) 7 (384) Increase/(decrease) to pretax income 101 (187) Income taxes on specified items (8) 72 U.S. tax reform provisional amount adjustment (32) Income taxes (40) 72 Increase/(decrease) to net earnings 61 (115) Noncontrolling interest (59) Increase/(decrease) to net earnings used for diluted Non-GAAP EPS calculation $ 61 $ (174) 10

15 BRISTOL-MYERS SQUIBB COMPANY RECONCILIATION OF CERTAIN GAAP LINE ITEMS TO CERTAIN NON-GAAP LINE ITEMS FOR THE THREE MONTHS ENDED MARCH 31, 2018 AND 2017 (Unaudited, dollars in millions) GAAP Three Months Ended March 31, 2018 Gross Profit $ 3,609 $ 13 $ 3,622 Marketing, selling and administrative 980 (1) 979 Research and development 1,250 (80) 1,170 Other income (net) (400) (7) (407) Earnings Before Income Taxes 1, ,880 Provision for Income Taxes 284 (40) 324 Noncontrolling interest 9 9 Specified Items (a) Non- GAAP Net Earnings Attributable to BMS used for Diluted EPS Calculation $ 1,486 $ 61 $ 1,547 Average Common Shares Outstanding - Diluted 1,640 1,640 1,640 Diluted Earnings Per Share $ 0.91 $ 0.03 $ 0.94 Effective Tax Rate 16.0% 1.2 % 17.2% GAAP Three Months Ended March 31, 2017 Specified Items (a) Gross Profit $ 3,664 $ $ 3,664 Marketing, selling and administrative 1,085 1,085 Research and development 1,303 (197) 1,106 Other income (net) (679) 384 (295) Earnings Before Income Taxes 1,955 (187) 1,768 Provision for Income Taxes Noncontrolling interest (48) (59) 11 Non- GAAP Net Earnings/(Loss) Attributable to BMS used for Diluted EPS Calculation $ 1,574 $ (174) $ 1,400 Average Common Shares Outstanding - Diluted 1,671 1,671 1,671 Diluted Earnings/(Loss) Per Share $ 0.94 $ (0.10) $ 0.84 Effective Tax Rate 21.9% (1.7)% 20.2% (a) Refer to the Specified Items schedule for further details. Effective tax rate on the Specified Items represents the difference between the GAAP and Non-GAAP effective tax rate. 11

16 BRISTOL-MYERS SQUIBB COMPANY NET CASH/(DEBT) CALCULATION AS OF MARCH 31, 2018 AND DECEMBER 31, 2017 (Unaudited, dollars in millions) March 31, 2018 December 31, 2017 Cash and cash equivalents $ 5,342 $ 5,421 Marketable securities - current 1,428 1,391 Marketable securities - non-current 2,252 2,480 Cash, cash equivalents and marketable securities 9,022 9,292 Short-term debt obligations (1,925) (987) Long-term debt (5,775) (6,975) Net cash position $ 1,322 $ 1,330 12

17 Exhibit 99.2 BRISTOL-MYERS SQUIBB COMPANY QUARTERLY TREND ANALYSIS OF REVENUES (Unaudited, dollars in millions) Revenues % Change FX Impact 1st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year 1st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year United States $ 2,738 $ 2,865 $ 5,603 $ 2,864 $ 8,467 $ 2,891 $ 11,358 $ 2,778 1 % 1 % Europe 1,146 1,188 2,334 1,262 3,596 1,392 4,988 1, % 23 % 15% 15% Rest of the World , ,858 1,019 3, (6)% (6)% 3% 3% Other % 13 % N/A N/A Total $ 4,929 $ 5,144 $ 10,073 $ 5,254 $ 15,327 $ 5,449 $ 20,776 $ 5,193 5 % 5 % 4% 4% Qtr vs. Qtr YTD vs. YTD Qtr vs. Qtr YTD vs. YTD % of Revenues st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year 1st Qtr United States 55.5% 55.7% 55.6% 54.5% 55.2% 53.1% 54.7% 53.5% Europe 23.3% 23.1% 23.2% 24.0% 23.5% 25.5% 24.0% 27.1% Rest of the World 18.8% 18.7% 18.7% 18.5% 18.6% 18.7% 18.7% 16.8% Other 2.4% 2.5% 2.5% 3.0% 2.7% 2.7% 2.6% 2.6% Total 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year 1

18 BRISTOL-MYERS SQUIBB COMPANY EARNINGS FROM OPERATIONS (Unaudited, dollars and shares in millions except per share data) % Change 1st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year 1st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year Qtr vs. Qtr Net product sales $ 4,580 $ 4,770 $ 9,350 $ 4,862 $ 14,212 $ 5,046 $ 19,258 $ 4,972 9 % 9 % Alliance and other revenues , , (37)% (37)% Total Revenues $ 4,929 $ 5,144 $ 10,073 $ 5,254 $ 15,327 $ 5,449 $ 20,776 $ 5,193 5 % 5 % Cost of products sold 1,265 1,568 2,833 1,579 4,412 1,680 6,092 1, % 25 % Marketing, selling and administrative 1,085 1,178 2,263 1,158 3,421 1,312 4, (10)% (10)% Research and development 1,303 1,675 2,978 1,559 4,537 1,937 6,474 1,250 (4)% (4)% Other income (net) (679) (572) (1,251) (225) (1,476) (178) (1,654) (400) (41)% (41)% Total Expenses 2,974 3,849 6,823 4,071 10,894 4,751 15,645 3, % 15 % Earnings Before Income Taxes $ 1,955 $ 1,295 $ 3,250 $ 1,183 $ 4,433 $ 698 $ 5,131 $ 1,779 (9)% (9)% Provision for Income Taxes ,129 3,027 4, (34)% (34)% Net Earnings/(Loss) $ 1,526 $ 922 $ 2,448 $ 856 $ 3,304 $ (2,329) $ 975 $ 1,495 (2)% (2)% Net Earnings/(Loss) Attributable to Noncontrolling Interest (48) 6 (42) 11 (31) (1) (32) 9 ** ** Net Earnings/(Loss) Attributable to BMS $ 1,574 $ 916 $ 2,490 $ 845 $ 3,335 $ (2,328) $ 1,007 $ 1,486 (6)% (6)% YTD vs. YTD Diluted Earnings/(Loss) per Common Share* $ 0.94 $ 0.56 $ 1.50 $ 0.51 $ 2.02 $ (1.42) $ 0.61 $ 0.91 (3)% (3)% Average Common Shares Outstanding - Diluted 1,671 1,650 1,660 1,645 1,655 1,635 1,652 1,640 (2)% (2)% Dividends declared per common share $ 0.39 $ 0.39 $ 0.78 $ 0.39 $ 1.17 $ 0.40 $ 1.57 $ % 3 % % of Total Revenues 1st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year 1st Qtr 2nd Qtr Gross Margin 74.3% 69.5% 71.9% 69.9% 71.2% 69.2% 70.7% 69.5% 6 Months 3rd Qtr 9 Months 4th Qtr Year Other Ratios Effective tax rate 21.9% 28.8% 24.7% 27.6% 25.5% 433.7% 81.0% 16.0% Other income (net) % Change 1st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year 1st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year Qtr vs. Qtr Interest expense $ 45 $ 52 $ 97 $ 48 $ 145 $ 51 $ 196 $ 46 2 % 2 % Investment income (26) (29) (55) (32) (87) (39) (126) (36) 38 % 38 % Equity investment gains (7) (5) (12) (5) (17) (11) (28) (15) ** ** Provision for restructuring (88)% (88)% Litigation and other settlements (484) (5) (489) (489) 2 (487) (100)% (100)% Equity in net income of affiliates (18) (20) (38) (21) (59) (16) (75) (24) 33 % 33 % Divestiture (gains)/losses (127) (127) 1 (126) (38) (164) (45) (65)% (65)% Royalties and licensing income (199) (685) (884) (209) (1,093) (258) (1,351) (367) 84 % 84 % Transition and other service fees (7) (13) (20) (12) (32) (5) (37) (4) (43)% (43)% YTD vs. YTD

19 Pension and postretirement (12) (8) (11) ** ** Intangible asset impairment 64 N/A N/A Equity investment impairment 5 5 Loss on debt redemption Other (21) 6 (15) (11) (26) 10 (16) (28) 33 % 33 % $ (679) $ (572) $ (1,251) $ (225) $ (1,476) $ (178) $ (1,654) $ (400) (41)% (41)% * Quarterly amounts may not add to the year-to-date totals due to rounding of individual calculations. ** In excess of +/- 100% 2

20 BRISTOL-MYERS SQUIBB COMPANY RECONCILIATION OF GAAP AND NON-GAAP GROWTH DOLLARS AND PERCENTAGES EXCLUDING FOREIGN EXCHANGE IMPACT FOR THE PERIOD ENDED MARCH 31, 2018 (Unaudited, dollars in millions) QUARTER-TO-DATE Growth $ Growth % Favorable / (Unfavorable) FX Impact $ * 2018 Excluding FX Favorable / (Unfavorable) FX Impact % * Growth % Excluding FX Revenues $ 5,193 $ 4,929 $ % $ 201 $ 4,992 4 % 1 % Gross profit 3,609 3,664 (55) (2)% N/A N/A N/A N/A Gross profit excluding specified items (a) 3,622 3,664 (42) (1)% N/A N/A N/A N/A Gross profit excluding specified items as a % of revenues 69.7% 74.3% Marketing, selling and administrative 980 1,085 (105) (10)% (35) 945 (3)% (13)% Marketing, selling and administrative excluding specified items (a) 979 1,085 (106) (10)% (35) 944 (3)% (13)% Marketing, selling and administrative excluding specified items as a % of revenues 18.9% 22.0% Research and development 1,250 1,303 (53) (4)% (22) 1,228 (2)% (6)% Research and development excluding specified items (a) 1,170 1, % (16) 1,154 (2)% 4 % Research and development excluding specified items as a % of revenues 22.5% 22.4% (a) Refer to the Specified Items schedule for further details. * Foreign exchange impacts were derived by applying the prior period average currency rates to the current period sales and expenses. 3

21 BRISTOL-MYERS SQUIBB COMPANY WORLDWIDE REVENUES QUARTERLY REVENUES TREND ANALYSIS (Unaudited, dollars in millions) Growth $ % Change 1st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year 1st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year Qtr vs. Qtr YTD vs. YTD Qtr vs. Qtr YTD vs. YTD Prioritized Brands Opdivo $ 1,127 $ 1,195 $ 2,322 $ 1,265 $ 3,587 $ 1,361 $ 4,948 $ 1,511 $ 384 $ % 34 % Eliquis 1,101 1,176 2,277 1,232 3,509 1,363 4,872 1, % 37 % Orencia (a) , , , % 11 % Sprycel , , (25) (25) (5)% (5)% Yervoy , (81) (81) (25)% (25)% Empliciti % 4 % Established Brands Baraclude , (57) (57) (20)% (20)% Sustiva Franchise (b) (100) (100) (54)% (54)% Reyataz Franchise (69) (69) (36)% (36)% Hepatitis C Franchise (c) (159) (159) (98)% (98)% Other Brands , , (94) (94) (19)% (19)% Total $ 4,929 $ 5,144 $ 10,073 $ 5,254 $ 15,327 $ 5,449 $ 20,776 $ 5,193 $ 264 $ % 5 % (a) Includes Orencia SubQ revenues of $295 million and $244 million for the three months ended March 31, 2018 and 2017, respectively. (b) The Sustiva Franchise includes sales of Sustiva, BMS's share of Atripla revenues in Europe, and U.S. Atripla royalty revenue beginning January 1, (c) Includes Daklinza (daclatasvir) and Sunvepra (asunaprevir) revenues. 4

22 BRISTOL-MYERS SQUIBB COMPANY U.S. REVENUES QUARTERLY REVENUES TREND ANALYSIS (Unaudited, dollars in millions) Prioritized Brands % Change 1st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year 1st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year Qtr vs. Qtr YTD vs. YTD Opdivo $ 761 $ 768 $ 1,529 $ 778 $ 2,307 $ 795 $ 3,102 $ % 23 % Eliquis , , , % 27 % Orencia (a) , , % 6 % Sprycel , (13)% (13)% Yervoy (33)% (33)% Empliciti % 3 % Established Brands Baraclude (29)% (29)% Sustiva Franchise (b) (93)% (93)% Reyataz Franchise (42)% (42)% Hepatitis C Franchise (c) (88)% (88)% Other Brands (13)% (13)% Total (d) $ 2,738 $ 2,865 $ 5,603 $ 2,864 $ 8,467 $ 2,891 $ 11,358 $ 2,778 1 % 1 % (a) (b) (c) (d) Includes Orencia SubQ revenues of $165 million and $146 million for the three months ended March 31, 2018 and 2017, respectively. In 2018, U.S. Sustiva Franchise revenues include sales of Sustiva only. Includes revenues of Daklinza (daclastasvir) only. Includes United States and Puerto Rico. 5

23 BRISTOL-MYERS SQUIBB COMPANY INTERNATIONAL REVENUES QUARTERLY REVENUES TREND ANALYSIS (Unaudited, dollars in millions) Prioritized Brands % Change 1st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year 1st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year Qtr vs. Qtr YTD vs. YTD Opdivo $ 366 $ 427 $ 793 $ 487 $ 1,280 $ 566 $ 1,846 $ % 57 % Eliquis , , % 54 % Orencia % 20 % Sprycel % 4 % Yervoy Empliciti % 6 % Established Brands Baraclude (20)% (20)% Sustiva Franchise (a) ** ** Reyataz Franchise (30)% (30)% Hepatitis C Franchise (b) (2) ** ** Other Brands , , (20)% (20)% Total (c) $ 2,191 $ 2,279 $ 4,470 $ 2,390 $ 6,860 $ 2,558 $ 9,418 $ 2, % 10 % ** In excess of +/- 100% (a) The Sustiva Franchise includes BMS's share of Atripla revenues in Europe, and U.S. Atripla royalty revenue beginning January 1, (b) Includes Daklinza (daclatasvir) and Sunvepra (asunaprevir) revenues. (c) When adjusted for foreign exchange impact, total revenues increased 1% for the first quarter. 6

24 BRISTOL-MYERS SQUIBB COMPANY SPECIFIED ITEMS (Unaudited, dollars in millions) 1st Qtr 2nd Qtr 6 Months 3rd Qtr Months 4th Qtr Year 1st Qtr 2nd Qtr Impairment charges $ $ 127 $ 127 $ 1 $ 128 $ 18 $ 146 $ 10 Accelerated depreciation and other shutdown costs Cost of products sold Months 3rd Qtr 9 Months 4th Qtr Year Marketing, selling and administrative License and asset acquisition charges , IPRD impairments Site exit costs and other Research and development , , Equity investment gains (15) Provision for restructuring Litigation and other settlements (481) (481) (481) (481) Divestiture gains (100) (100) (100) (26) (126) (43) Royalties and licensing income (497) (497) (497) (497) (50) Pension charges Intangible asset impairment 64 Loss on debt redemption Other income (net) (384) (337) (721) 50 (671) 131 (540) 7 Increase/(decrease) to pretax income (187) , Income taxes on specified items (41) 51 (138) (87) (8) Income taxes attributed to U.S. tax reform 2,911 2,911 U.S. tax reform provisional amount adjustment (32) Income taxes (41) 51 2,773 2,824 (40) Increase/(decrease) to net earnings (115) ,451 4, Noncontrolling interest (59) (59) (59) (59) Increase/(decrease) to net earnings used for diluted Non-GAAP EPS calculation $ (174) $ 302 $ 128 $ 384 $ 512 $3,451 $3,963 $ 61 7

25 BRISTOL-MYERS SQUIBB COMPANY RECONCILIATION OF CERTAIN GAAP LINE ITEMS TO CERTAIN NON-GAAP LINE ITEMS (Unaudited, dollars in millions) st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year 1st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year Gross Profit $ 3,664 $ 3,576 $ 7,240 $ 3,675 $ 10,915 $ 3,769 $ 14,684 $ 3,609 Specified items (a) Gross profit excluding specified items 3,664 3,706 7,370 3,676 11,046 3,787 14,833 3,622 Marketing, selling and administrative 1,085 1,178 2,263 1,158 3,421 1,312 4, Specified items (a) (1) (1) (1) Marketing, selling and administrative excluding specified items 1,085 1,178 2,263 1,158 3,421 1,311 4, Research and development 1,303 1,675 2,978 1,559 4,537 1,937 6,474 1,250 Specified items (a) (197) (489) (686) (374) (1,060) (528) (1,588) (80) Research and development excluding specified items 1,106 1,186 2,292 1,185 3,477 1,409 4,886 1,170 Other income (net) (679) (572) (1,251) (225) (1,476) (178) (1,654) (400) Specified items (a) (50) 671 (131) 540 (7) Other income (net) excluding specified items (295) (235) (530) (275) (805) (309) (1,114) (407) (a) Refer to the Specified Items schedule for further details. 8

26 BRISTOL-MYERS SQUIBB COMPANY RECONCILIATION OF GAAP TO NON-GAAP EPS (Unaudited, dollars in millions) st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year 1st Qtr 2nd Qtr 6 Months 3rd Qtr 9 Months 4th Qtr Year Earnings before income taxes $ 1,955 $ 1,295 $ 3,250 $ 1,183 $ 4,433 $ 698 $ 5,131 $ 1,779 Specified items (a) (187) , Earnings before income taxes excluding specified items 1,768 1,577 3,345 1,608 4,953 1,376 6,329 1,880 Provision for income taxes ,129 3,027 4, Tax on specified items (a) (41) 51 (138) (87) (8) Income taxes attributed to U.S. tax reform (a) 2,911 2,911 U.S. tax reform provisional amount adjustment (a) (32) Provision for income taxes excluding tax on specified items and income taxes attributed to U.S. tax reform , , Net Earnings/(Loss) Attributable to Noncontrolling Interest (48) 6 (42) 11 (31) (1) (32) 9 Specified items (a) (59) (59) (59) (59) Net Earnings/(Loss) Attributable to Noncontrolling Interest excluding specified items (1) 27 9 Net Earnings/(Loss) Attributable to BMS used for Diluted EPS Calculation - GAAP 1, , ,335 (2,328) 1,007 1,486 Specified items (a) (174) ,451 3, Net Earnings Attributable to BMS used for Diluted EPS Calculation excluding specified items - Non-GAAP 1,400 1,218 2,618 1,229 3,847 1,123 4,970 1,547 Weighted-average Common Shares Outstanding - Diluted- GAAP 1,671 1,650 1,660 1,645 1,655 1,635 1,652 1,640 Weighted-average Common Shares Outstanding - Diluted- Non-GAAP 1,671 1,650 1,660 1,645 1,655 1,642 1,652 1,640 Diluted Earnings/(Loss) Per Share - GAAP $ 0.94 $ 0.56 $ 1.50 $ 0.51 $ 2.02 $ (1.42) $ 0.61 $ 0.91 Diluted Earnings/(Loss) Per Share Attributable to Specified Items (0.10) Diluted Earnings Per Share - Non-GAAP $ 0.84 $ 0.74 $ 1.58 $ 0.75 $ 2.32 $ 0.68 $ 3.01 $ 0.94 Effective Tax Rate 21.9 % 28.8 % 24.7 % 27.6 % 25.5 % % 81.0 % 16.0% Specified items (a) (1.7)% (6.4)% (3.5)% (4.7)% (3.7)% (415.2)% (60.0)% 1.2% Effective Tax Rate excluding specified items 20.2 % 22.4 % 21.2 % 22.9 % 21.8 % 18.5 % 21.0 % 17.2% (a) Refer to the Specified Items schedule for further details. Effective tax rate on the Specified Items represents the difference between the GAAP and Non-GAAP effective tax rate. 9

27 BRISTOL-MYERS SQUIBB COMPANY SELECTED BALANCE SHEET INFORMATION (Unaudited, dollars in millions) March 31, 2017 June 30, 2017 September 30, 2017 December 31, 2017 March 31, 2018 June 30, 2018 September 30, 2018 December 31, 2018 Cash and cash equivalents $ 3,910 $ 3,470 $ 4,644 $ 5,421 $ 5,342 Marketable securities - current 2,199 3,035 2,478 1,391 1,428 Marketable securities - non-current 2,685 2,580 2,526 2,480 2,252 Cash, cash equivalents and marketable securities 8,794 9,085 9,648 9,292 9,022 Short-term debt obligations (1,197) (1,306) (1,461) (987) (1,925) Long-term debt (7,237) (6,911) (6,982) (6,975) (5,775) Net cash position $ 360 $ 868 $ 1,205 $ 1,330 $ 1,322 10

28 BRISTOL-MYERS SQUIBB COMPANY 2018 FULL YEAR PROJECTED DILUTED EPS FROM OPERATIONS EXCLUDING PROJECTED SPECIFIED ITEMS Full Year 2018 Projected Diluted Earnings Attributable to Shareholders per Common Share - GAAP Pre-tax Tax After-tax $2.70 to $2.80 Projected Specified Items: Restructuring, accelerated depreciation and other exit costs (1) Divestiture gains and licensing income (0.14) (0.04) (0.10) Research and development license and asset acquisition charges Pension charges Other Total Projected Diluted Earnings Attributable to Shareholders per Common Share - Non-GAAP $3.35 to $3.45 (1) Includes items recognized in Cost of products sold, Research and development and Other income (net). The following table summarizes the company's 2018 financial guidance: Line item GAAP Non-GAAP Gross margin as a percent of revenue Approximately 70% Approximately 70% Marketing, selling and administrative expense Decreasing in the low- to mid-single digit range Decreasing in the low- to mid-single digit range Research and development expense Increasing in the low-single digits Increasing in the high-single digits Effective tax rate Between 17%-18% Between 17%-18% The GAAP financial results for the full year 2018 will include specified items, including charges associated with restructuring, downsizing and streamlining worldwide operations, gains on divestitures and equity investments, license and asset acquisition charges, pension charges and other specified items that have not yet been identified and quantified, including litigation and other settlements, licensed asset impairments and finalization of the deemed repatriation tax, among other items. For a fuller discussion of items that could impact full year GAAP results, as well as the use of non-gaap financial information, see Bristol-Myers Squibb Reports First Quarter 2018 Financial Results, April 26, 2018 including 2018 Financial Guidance and Use of non-gaap Financial Information therein. 11