Bristol-Myers Squibb (BMY) 25 Apr 242024 Q1 Earnings call transcript

Welcome to the Bristol-Myers Squibb First Quarter 2024 Earnings Conference Call. [Operator Instructions] Please note, today's event is being recorded.

I would now like to turn the conference over to Tim Power, Vice President and Head of Investor Relations. Please go ahead.

Thank you, and good morning, everyone. this our us earnings quarter joining call. for morning first for XXXX Thanks

morning are Samit Global Elkins, prepared Board me Chief Head today's with Joining this of Lenkowsky, Adam remarks Chief Officer. participating Chief our Medical Officer; call and are Financial Officer; Chair Executive Chris our and Drug Chief David and Development. our Commercialization Also in Hirawat, and our Boerner, Officer

for to Chris posted we've to that follow slides along use with David's As you'll note, and you bms.com remarks. can

started, we Before our I'll get read forward-looking statement.

those statements call, we'll results filings. SEC the this those and important statements During discussed plans materially result including prospects differ constitute make indicated in Actual about statements. the a company's forward-looking these various as forward-looking company's future by from that of may factors,

represent our even our financial estimates our non-GAAP which as our at specified certain change. of representing as disclaim any are We'll also update GAAP estimates upon most and items. obligation Reconciliations date. specifically of measures exclude comments on adjusted comparable estimates relied be to are should We if available forward-looking to non-GAAP These statements statements to certain the measures, not measures as of future any today bms.com. financial our focus forward-looking

I'll that, it with hand Chris. And over to

QX dimensions. I had, you performance across Tim, Slide we our X, on start Starting a Thank what and good busy active we start to everyone. quarter how you, XXXX. to a about by was and morning, and quarter four good think for us wanted an telling knowing

expectations, broadly even gross and was by to our nets. of with with inventory the our impacted performance First, portfolio line or good commercial some products in

our solid made progress pipeline. we Second, advancing

And growth strengthened closed import to fourth, productivity. four improve during QX. Third, that our taking decisive actions we're we long-term transactions profile

outlook to aligned broadly was the business underlying there change And performance importantly, internal our provided QX together, in we is no expectations. to Taken February.

EPS guidance. closed the included non-GAAP in accounting impact transactions we've our know, you of the recently As

turn some across some performance. details. I'll approval we BCMA And Reblozyl, Let's with over real Abecma for strength brands, move the to to larger the key Eliquis, patient Breyanzi. start competitive, is commercial Opdualag, on population. KarMMa-X with though growth seen time as to remains and space highlights including X our into objective a Slide return We've Yervoy

to volume is And up Opdivo, Turning us while SOTYKTU. improve our together, grew about we're the building performance line will by Opdivo as script for to is commercial in for year. details, the revenue other Today, demand seeing David access are important in for Camzyos factors this nets. more SOTYKTU, continues commercial was impacted and expectation with taken and inventory steadily as three year. all you inventory What's QX give such gross patterns the Camzyos normalizing. that but to we and and brands sets

pipeline. to Second, we of versus about standard a non-small forward II two care a a new includes initiation cancer Phase data of of We're consisting therapy during to registrational trial for our Phase proof-of-concept in XX% from starting lung made important progress cell in looking patients. registration XX% advancing prespecified QX. segment trials important III cell of This important the our cancer analysis Opdualag and lung of approvals,

AFib important continuing the only oral but And not recent has are XIa following trials ACS. the on the Factor which enrollment with this is and potential be DSMB slide, most review in to for patients The accelerating. milvexian, medicine

capabilities have closed added Across all important that exit assets, four, ability deals long-term drive the as we Third, we during we to strengthen XXXXs. expertise and our quarter. growth four the

site. trials operational. plant to in an the We're product the supply clinical Karuna, RYZXXX Krazati, potential is process Indiana of on tumors, first-in-class performance global And of the application for I driving bispecific clinical X. in which over of from KarXT from Slide we about is will ADC excited team lung in is radioligand the breast now Our and Rayze filing including are into cancer. review very time, advancing SystImmune's

and in of need for all schizophrenia track measures across as in its presented was with on is the of team efficacy data robust you significant are effects. schizophrenia this disorder recently unmet preparations clinical track long-term First, or two and see this metabolic compelling second, efficacy evidence On demonstrate data objectives: a on KarXT; are and without underway for program against asset. improvements KarXT. These launch important symptoms associated focused highlights The can movement executing significant for we on side slide, KarXT of

attractive the some and to efficiency, for an focus an efforts for opportunity medicine a our the driving significant very advancement navigate This this patients made notable operational commercial is Underpinning enhanced decade and company. this have and important as year. already on reinforces productivity this we profile for progress

is R&D, win. are internal and and These ROI therapeutic to clearly resourced higher commercial critical portfolio to Let's most near latter company the programs a and streamline of that and significant identified programs. positioned we go within the on And are are efforts brands in to optimizing performance. programs initiated half the X. we compelling have value with efforts decade decision-making. have our delayer Slide to categories level, and both we Across where At organization, to science, focus BMS

to As savings end we high priority and a actions, approximately brands which programs. R&D us anticipate allow by growth XXXX, cost of of $X.X billion reinvest of these in will the result

start off a And to while and this good a to focus has heightened we're year, the very is have we're do long-term This With busy our of start. what improving clearly more on work year. we efficiencies, snapshot the profile. growth strengthening productivity to company's been a

Overall, what for on the And deliver close underlying has confident X. our remain remained unchanged. forecast non-GAAP Slide unchanged. growth will We February. we Let consistent business communicated outlook me our top in with we also year EPS line remains that

decade. the effectively manage actions We to are taking important

to longer to term. thank the the their for and to us team want including contributions new for employees focused and BMS, patients. from our delivering of on for recent I management members deliver required acquisitions commitment set is this the Our up disciplined team year execution ensuring both

me hand to over Let David? now David. it

you, and Thank morning, good Chris, everyone.

As Chris with good XX. to highlighted, shown year as start to on the Slide line top a off we're growth

year, all our which unless our rates comparisons made growth reminder, growth the XXXX discussed otherwise most was executing same represents a growth XX% brands on out foreign of growth approximately exchange. Building the with momentum As to increase the revenue. of be sales from stated, which will basis, impact against XX% quarter in first our quarter. delivered significant sales are period total broad-based, year in an recording This in underlying the coming last we're and and drive plan prior to now our approximately compared increases portfolio, the of excludes

portfolio for cash sales growth to the legacy company. quarter, flow also which Our in with an the important of generator contributed strong overall sales remains Eliquis,

offset I-O new orders quarter and franchise first sales of in the timing solid the and brands, and by to demand this of growth. starting work Slide turning U.S., expanding the impacted and targeted of Opdivo broadening partially you on by our Now our can inventory performance impact key tumor strategy in see with oncology On Global were down of therapies. our slide, XX.

see expect at the in a pace past, XXXX. modest more growth than to we As said we

primarily first-line U.S. And sales generated strong care quarterly by sales melanoma, driven in with Opdualag, a growth market standard of share. strong treatment

next next the adjuvant encouraged formulation anticipated potential plans our in in Opdualag, subcutaneous very melanoma, cancer. of Opdivo lung future will our also franchise expansion are to date. into the This, by it the but not along extend We launch year, I-O our of well only develop in first-line with we

Our targeted expanded solid the with tumor acquisition the addition Mirati late January. completion of Krazati therapies after of in

to based on best-in-class Krazati forma in Krazati first in Our towards the Commission, QX look were sales $XX year. penetration trends. reported million, more and its European conditional approval patients positive global upon potential sales We on U.S. by a represent performance forward approximately profile. quarter. focused the we a quarter to driving Augtyro's partial primarily recent With the awareness sales of the basis, marketing end pro early reflects remain And bringing

our demand, year. the XX in increased share. market-leading generated of Camzyos strong anticoagulant XX%, year. Internationally, nearly Eliquis Slide with grew line roughly to versus remains tripling its were last sales franchise. moving QX quarter, worldwide. cardiovascular the including in sales Now U.S. prior primarily market and strong to QX sales in oral the due performance

approximately U.S., of sales driven at year. increase XX% by including the the were Sequentially, XXXX. and Camzyos impacts of from typical million to growth were almost reset gross QX of of $XX an demand the new the since start dynamics copay the In commercial inventory sales dispenses impacted by net U.S. in

X,XXX this of momentum real-world patients We compelling month ACC. earlier at continue, over presented Camzyos expect evidence supported to by the the in

XX our Slide to and turn Let's now business. hematology discuss

Utilization program Revlimid, quarter. in Our the in normalized decline legacy first drug brand, saw quarter. free the sales of

We variability historic in patterns in continue to anticipate pharmacies. dispensing upon sales based Revlimid specialty quarter-to-quarter

As volumes in anticipated, there of is an U.S. generics increased March. starting

to strong in quarter first-line first-line forward and the EU label launches, with International MDS. sales more was Japan. the the driven launch new primarily Reblozyl, and benefited the we in approvals Turning growth and U.S. by to market patients the recent the growth broader to commands of look bringing from Reblozyl

U.S. Internationally, pricing expands to KarMMa-X we manufacturing Breyanzi Abecma, competitive clinical which by quarter growth in pressures. from the the and secure communicated, we growth the what demand unfavorable new approval, Future addressable Consistent In reflected with and recent performance ongoing manufacturing patient sales expanded was Abecma from cell the the global access. demand in QX, benefit of by therapy improved capacity. With portfolio, offset was previously impacted to capacity. the pressures will population. strength profile starting indications recent Breyanzi benefit expect

starts XX. line due Now performed of to Zeposia our primarily moving to expectation. in with immunology sales demand were the multiple Slide in in sclerosis. new sales quarter patient on SOTYKTU

quarter, reflected demand in goal access. Sales XX,XXX prescriptions. commercial we the our achieving delivered During expanded quarter commercially the and of roughly paid on increased

coverage add addition, year PBM that large expand this later expect access another In by to we XX approximately million lives. will

to turning our the you a I be walk through and comments of non-GAAP XX. will on Now my Slide remainder P&L, will basis.

product decreased prior expected, due As margin the primarily to compared gross to mix. year,

Excluding quarter mainly and increased R&D, first recent acquisitions the to the expenses cost impact higher due to the acquired operating portfolio. in-process support overall of

quarter, and primarily the onetime in and billion transactions. $XX.X due the initiatives disclosed productivity recent in billion, the shortly. Other Karuna charge the associated I the We be through due for PD-X to later expected R&D in transaction to Acquired financing savings royalty $XXX as first to year quarter million declined speak was costs for will rate $XX.X primarily mitigated expense income SystImmune. the lower and previously in-process of with and expect the this to growth

quarter impacted Our Karuna. was for charge tax R&D nondeductible by in-process rate the in the onetime

recent the transactions, of $X.XX. impact acquired per we Taking first the earnings in-process account our of in-process impact acquired R&D, Before including been an loss R&D, have share would $X.XX. into from reported earnings the quarter

moving Now $X.X on capital cash in from resulting to strong debt March the Cash hand equivalents in the cash sheet remained Slide billion on XX. generated of XX. approximately and quarter, allocation and securities marketable $XX balance in approximately and billion operations as with flow

capital strategic allocation Our approach to remains unchanged.

And the we next X plan committed to are previously, approximately profile. the We around growth further to to flow utilize of disciplined long-term cash repay dividend. years. as to company's And we financially we over $XX our remain billion business said development strengthen the debt

to discuss our turn productivity Next, XX Slide let's initiative. to

and action have ROI assets those to and drive and our our and the likely Chris growth. we opportunities to efficiency productivity earlier, focus described taken on most with highest the efforts As potential long-term increase

for this making high have deliver where benefit deliberate the we As assets can prioritize the greatest process, impact will are need to the patients. that clinical of part to unmet value and areas choices most of we

rationalization higher-return to externalize which and we strengthens We anticipate will decade. the in improves assets. several the thereby across savings and billion $X.X elimination decision from in the reduction of reductions approximately made second of by of and and profile the expense, growth a recent clinical opportunities, After will have portfolio We and open cost end the thoughtful in headcount. roles from organization These clinical direct the incremental disproportionately our from half cost XXXX, absorbing of site include savings invest ROI come in actions the deals. our these process, OpEx discontinue expense

will reinvest potential we realize we savings, these highest opportunities. the in As

acquisition walk turning Slide XX. to EPS closed of the guidance. our Now recently our I'll impact on through

February. as stated EPS this can include $X.XX non-GAAP impact stated R&D, you reflect on in As you from impact previously slide, of you and if to to February of the acquired our deal business previously dilution told $X.XX our in-process revised the outlook onetime the take and we range strong guidance range continues of the of see

the through walk details XX, let's with starting revenue. of our Now guidance Slide on

reported an our As consistent is as guidance basis, remains practice, revenue prior as with assumes a well currency provide which year. underlying on basis on we

We foreign reported in revenue included and confidence sotatercept to increase other growth be products reflects well such the at expect as to exchange. reminder, Opdivo, as including range will the revenues continue rates as Camzyos our This our of low growing XXXX momentum the royalty total line. single-digit And in a growth SOTYKTU. as excluding the Reblozyl, Breyanzi, portfolio, in

mix. We continue related gross approximately XX%. year, saw see to dip sequential to in be expect to we we And our margin should QX sales as last a

initiatives mentioned R&D, expect by reflecting total range, associated partially I realization incremental costs internal low single-digit our productivity to the operating offset the Excluding continue through increase to in-process in acquisitions, acquired earlier. we of recent the with savings expenses the

closures, end and come of we range step-up an in aligned our to OpEx guidance We target remaining at the the previous to the our through year. spread with year. half Given across evenly the expect XX% the the deal next least operating to of at of remain be more margin QX upper back in expected timing with

by expect from processed Karuna we income. our financing the Karuna the affected primarily RayzeBio. and The impacted charge, expense onetime of approximately $XXX which and acquired now rate OI&E, of reflecting net million tax expense costs nondeductible For non-GAAP R&D debt was

about about the see Excluding result, this rate estimated impact, a tax the And XX%. quarter now year rate as underlying underlying tax in was of full we XX.X%.

read let underlying the are year. me we the a remains productivity we and our of line, grew pipeline, minute today. advanced some on We Before top of strength and the the key our from highlights take to call to Q&A, the our we of the move the expectations business beginning unchanged initiative for executing

continue world bringing truly make and to for in work I'd transformational progress commitment our medicines to the patients. and to growth unwavering hard around recognize we company's employees long-term the strengthening Finally, like BMS their as profile

call With Q&A. that, the turn for I'll to Tim over now

we Thanks, Can David. go the please? question, first to

with Our first Geoff Meacham Instructions] Bank [Operator of question from comes America.

for one Chris had Just for or David. maybe

savings, sense the integration On facilities I'm would recent think deals? guess legacy whether new how further launch to you all to optimization or you you workforce Bristol, focus the your come of a say there's cost versus either much I for was optimizing portfolio. on as trying guys get

answer David let I'll Jeff, that.

from majority Jeff, come Yes. question. of for savings the Thanks, The the the BMS. historical

into main the $X.X about, billion savings buckets. talked of three we came As the really drivers

overall First was us important at as ROI with portfolio the totality well of competitiveness. some the obviously, and look data the Karuna -- with really that we're maximize on new looking portfolio, to the into the that updates as portfolios Mirati, and That gave and really of the RayzeBio, in for the opportunity we bringing adjusting portfolio. at have

And more a looked we organization there, more changes. can at second so is of The impacted the really we as we that for become streamline thing result do the roughly quickly. decisions employees those layers and be X,XXX BMS management about of quicker by legacy how decision-making removing agile, talked

went continuing of last And service legacy activities through relationships, to all And lot for efficiencies BMS. a we was providers, third-party then and are in those third-party category. of our the look also that lastly,

So majority of the coming in-house savings vast our the operations. existing from are

comes from Sachs. question Goldman next Chris with Our Shibutani

operationally, strategically. a Obviously, parts moving of lot

potentially about get of I thinking a to you're how a think for have investors keen earnings. sense been level trough

the moving to some haven't begin and I that all communicate to some think where visibility your you about clarity we decade mused the and that and might kind timeline I know the exiting could the into you that had how that growth, see about you there model? potential vocabulary, be next. notion where Help in thinking thinking into But parts. with the of are with are us with since you

question, I'll And I Okay. that there, one. take Chris, two think that in embedded things. maybe

we which that we're this the First maybe see and about and timing what's in to around second how guide we'll of going it. is there's is there, we're thinking when how trough question then a trough think

context A to in look, to of to of dynamics, given on providing bit something continue we're why with we with the engage are the certainly, on guidance. with investors question because companies this judicious respect I question, need going we've long-term But believe number this the respect been get to the over With the investors months. last here, topic. industry need terms first we topic engaging -- here, asking this it's industry about you we to to strike in to that balance on guidance of how right providing think be

is though, once IRA on that's September happen Eliquis related going And top the that uncertainty the Eliquis. well to public, that as and that's the impact EPS. in we'll on of the time is price frame, as line know provide of both this question, remember, to on One we impact

of on the based In end of to plans, as how timing the and the said XXXX. see the current before we focused timing in terms pace half both going growth in then anticipate the then we returning growth be we're of an of decade, trough, decade. back the think of we influence to the the timing about on And And clearly to well. our and obviously, year, to impact as that's the accelerating earlier we in start

question Our with Chris Schott JPMorgan. comes from next

is, competitive launch uptake such two-parter, SG&A? a on in of side related as it restructuring. redeployment back is elements to new savings coming on growth the dynamics some the seems payer the Just of mostly the focused that, I and to just impacting or to launches R&D investment going assets. the of the in And part of drivers, like guess first terms be are

improvement see bottom the of dropping balanced and those SG&A how further redeploy you do investment, $X.X how you, having either products which with or to savings billion. you're in versus potential of line interested guess, some as the R&D considering kind just further that to just for I'm I So greatest

Thanks, Chris.

and me the back to turn then David Adam say first for just end. then over part words it of can Let a I'll your come in question, the on couple of

along lines: an ensuring for needing David efficiencies, and when thought agile the in as were as more and investment then thinking about three we we growth our be products; to adequate mentioned, focused really pipeline; these First, had that organization. we to need invest the

into the In think they're redeployment order allocating with about speaking, say, in I we back those terms would of that how going opportunities, majority generally R&D.

But David, do want to you start?

Chris, We of about the the to question. about doublet in and the if further and development programs in about associated adjuvant particular, about about both as about first-line X/X -- done, triplet. And important we talked lung, savings you psychosis. can yes, R&D and in multiple think we've it, you this, indications thanks billion-dollar is into is just The moving this as And well think in But with really acquisitions space. that about well about if think X/X Adam schizophrenia, in way Karuna, talk Alzheimer's if the and then Krazati, see really Mirati think schizophrenia as the for indications agitation importantly, the area MS&A. you the

that. -- manufacturing significant investments to you multiple have able also that think INDs going of studies then supply We're out and we you about this. there's Indianapolis. We're see in So to come we to to finished there. And out clinical able of be the RayzeBio, facility if our make radioligand being

been the to company well growth just able of of investments through is importantly, So all portfolio. reprioritizing portfolio, we what areas, the do of But we've second the three the as that decade. as ROI the in increase half of which profile significant existing our increased those as BMS the in

order going in continue the to company. strengthen the of there's of So to the lot of profile a the that's growth portfolio the Adam? and maximize surface work value under

the Chris, Yes. for thanks question.

the of we're our progress portfolio. So across making good totality growth

saw As products. continue portfolio. would we're we key we to growth accelerating year-on-year our we David majority be our we And growth drive doing as said of on demand focused we do shared, brands. And continue strong across the growth what to our

Reblozyl of a well. few important a become post first-line. the to grew first-line think to products deliver has is So just new performance metastatic continue I standard melanoma, approval care strong that COMMANDS Opdualag grew over in XX%. of as XX% mention.

But investment. have our like of last would the with an we're in We were that of has year September, been But patients we a of new increasingly a much product and it behind Abecma progress products had more significant supply being a work Breyanzi, continues the opportunity to growth. which a as to we and and David today Breyanzi Camzyos growth than launch to adding increased quarter-over-quarter. strong SOTYKTU, the good as investment up, Camzyos. added stronger delivering to execution make best-in-class have We multibillion-dollar as on we return to We're very is time for we CAR-T. approval say patient into like commercial us. in to strong mentioned, year XX% opportunity. I KarMMa-X demonstrate end now also Abecma drug KarXT a increased growth last we recognized And for continue position commercial over performance. readying at all challenging move larger population.

comes with question next BMO. Seigerman Our Evan from

we've a follow-up to about. of been talking Kind what

going that reinvestment savings? to billion So when you do potential talk cost titrating being going deploy or growth? cost your Are savings kind about for mean you science by of the $X.X of margins the by you're the the manage the to you reinvested, informed

you about? a then Any commentary And clinical as you're to be discontinue which several great. externalize That to going mentioned and would as you're thinking assets. follow-up, ones

start, have David then We'll and Evan. Samit. Thanks,

you, Thank Yes. Evan.

I as in As prepared range. my in XX% our that operating looking communicated remarks, margins at previously said we're we

acquisitions to that to that in to that's clinical looking assets as ROI, continue saying, And progress well. So end not externalize. by together, I'll only of as the particularly next also of that all we're with good we're lung Opdualag decade. savings we've growth where did. of the billion we'll the we And it put being But had the of that described the Samit over on was achieve in year, strengthens like $X.X at the business reinvested the the I as earlier, second studies those I of both the portfolio that turn really but profile going half

David Yes. be build what pipeline, just continuing said, the are on Thank a own. that are very not -- approach thoughtful from what to to rich a from you, we perspective, we assets on our see to pipeline David. our took going And

when the we that data first looked that program, continuing thing not the in the so An then wanted at the are not bar did not the than external we the is be were to at well clinical looked patients. and going look CTLA-X of that program, we continue look assets. a we had if that. Similarly, we we better alpha to for over and we data for ipilimumab, internal at ongoing from decided SIRP decided high meet So be to as science evolving is the exploration with pipeline set the shouldn't investment already on data to where return then look that that muster, at our developing, there example our at with that ipilimumab, and we we which bar real

And are going that continue to so we program. not

Data a looked we the going for a sense be may good, a that make not second really be continue company does science to it's really is The our it but is from program driver. ultimately -- size if it growth way really to at evolution good.

a from potential. for perspective, about not growth meet our that the but to where does if So be threshold myelofibrosis, our from the BET you pretty data XXX, driver good really, perspective, think are in

to not are program, continuing. we So be going that

at And to either course, best-in-class our then, product profile. continue of first-in-class we be or look to desire

focus about from would that perspective, at time. we it's continuum. So we continue to Overall, on we -- this say, XX Evan, have what But I about a versus that continue discontinued will not. programs

throughout externalize the or and see take and develop same principles so be our continue able year, pipeline we'll further. else out not to to it from we look it need these either at And to what

comes Our next with Seamus from Guggenheim question Securities. Fernandez

in we And be wanted just the IRA us provide that the to that or from check your with XXXX progress approach process thoughts U.S. impacts any come if as particular. in in So might price and or the on you on color government. associated may around fixing "negotiations" able to

question, on information the might help hoping be in will to Or some some clinical frame us comment, more in data that potential And Is regard actually you gain clinicaltrials.gov, visibility that. then hitting might just we when lung we and first? subset? and Opdualag from opportunity see the we'll second cancer incremental it the trials in going get this for

Thanks for the question, have CMS, little a commenting. not I'll on Seamus. ongoing the we're weigh more going in with start, bit discussions With to be to Adam respect IRA. Maybe

that speak some said outcome earlier, But be September point. we I that more the As will IRA of have aspects of at public other of in Adam, can and insight then to and provide we'll able the you to Samit.

Yes. Seamus, Thank you, Chris and thanks for the question.

also D obviously the are it it. There's Part benefit the change multiple There's negotiation. in to there the to IRA, relates As components design.

significant the benefit impacted across we across to the D impact XXXX, Part or expect, redesign. since do other products are next don't Eliquis, though, by in portfolio, the So more substantial Revlimid We changes our brands. anticipate year

we'll other and into very product shifts closely to out-of-pocket caps the monitoring see impact are are happening dynamics in and the now the understand We we're And of, future. individual evaluating example, system. carefully that each for

additional So as at we more improve patients' and to provide a more counter. before more we as cap move $X,XXX a to need obviously, would medicines data expect from do -- can $X,XXX we their becomes it see to pharmacy fill the cap, But details. ability we'll to see lower

for Adam. And thanks, the Seamus, you, question. then Thank

For take try understand to Opdualag, and a just and do. do back what let's step we were to planning

dose. wanted of At study first, cancer. we conducted we Opdualag, plus Opdualag for in So first-line chemotherapy cell a lung define non-small to the

plus So Opdualag first the we of the we we part a the second versus before, drug we the receive have randomize patient chemotherapy. And in as the to study. to study, couple part what chemotherapy And in plus tested the said then nivolumab of of a patients? doses is said applicable wanted we of drug's subgroup a for to have trial. all us a subset a encourages and find the Phase III going of are go found to in what differential is have And is Or where now into activity activity we patients? good patients we understand,

of looking planning And as care are that. second so half standard the that, we to initiating are data half year. year of the we in this second in presenting of the forward we'll be this And executing the trial well versus as

as about have you that ready, soon hearing we be As will it.

In course, that, to of other Opdualag, addition is opportunities.

we year evolution melanoma data forward carcinoma for for first-line data looking already the hepatocellular as in towards adjuvant you we're and are know, the As waiting of the to this end the trial well. back

question comes Flynn from Morgan Terence with next Stanley. Our

Maybe a Abecma detail to about you there? there bit more a franchise. I if in Can dynamics, little one-off a or you ex-U.S. me on change some mentioned specific provide going was something country what's CAR-T that a access. for boost David, pricing two-part the help on just think

then Gilead And moving more Breyanzi, out label of in about expanding, secondary indication. think these the the they on in to community has some talked U.S. about as hospitals recently particularly second-line

do guys primary footprint about feel as And pretty Or hospitals? your the something that so is for you Breyanzi academic you are good considering current that well? at

of Terence. I'll Thanks, let those. both Adam take

reimbursement, internationally growth roughly demand in was by stabilize quarter to you're the to were Germany. Breyanzi, as offset in expect continue, demand pricing we we What versus able U.S. to we that mainly were what to flat the last strong did in the skewing was we but negative Sales quarter. referring relates So decline which it saw see growth, is

that where took place. that's So

as a this now growth with the to population. patient have opportunity about our objective And larger return gives different move over is customers population. our a patient to time it to Abecma us our conversation we into And larger KarMMa-X, data in with

this product. lymphoma. expect expanded lymphoma and addressable also to follicular the anticipated month received just we the this In year. to this very excited recognized anticipate versus sales QX, robust accelerated growth DLBCL, year, Breyanzi, as only because going U.S. best-in-class is market next approvals we over in XX% Now see we're about the roughly indications. Breyanzi. We increasingly the increased prior growth for Breyanzi with additional CDXX, cell not double in in and as CLL is for in for just And We approval mantle

We're demand. outpatient on Breyanzi, expanded capacity differentiated encouraged our XX% today stronger based We're we seeing the also a by to to now and profile. that manufacturing use and position much meet expect safety about for very continue in

together, excited Breyanzi. taken very about So growth the of we're profile

Research. Tim Wolfe Our comes from at next question Anderson

This Tim at is Adam Research. for Wolfe on

SOTYKTU, on any later down? market updated that in give like free drug the lines, metrics, when us And wind in some also, program category percent or things begin the new-to-brand versus details of thing? on can might share to first-line just use share So you versus sort Otezla oral

the Sure. I'll Thanks question. take that, Adam. for

do, we double and plan. XX,XXX QX. in in SOTYKTU, our So January, to to prescriptions in paid we what and roughly what that's make we That's expect delivered we're the with said We we paid to and progress we're quarter would executing shared XX,XXX continuing reaching approximately prescriptions. that

driving on focused we're today. where that's So

offset see that be access, Remember, an will more we sales also said there secure QX. the than the impacted improved this broader volume to would net to increase to throughout gross we'll rebating and that due in year. needed But in

about additional from with SOTYKTU, saw million which our talked improving with expect Cigna improved announced to we approximately And in access large position. added formulary PBM announce XX ESI, wins access and as the we we Optum. to a including improvement was lives. year last and CVS we And do that mentioned, access aside David So

So you bridge need the position, we And when have access less becomes XXXX. securing that important. zero remain by for less better on and focused a steps

because the when product they moved go basically, better so specialty you you access, directly patients faster at And when look commercial to -- are have pharmacy. into

at market launch. the time of or the this As top of products written same at like look, is launch a market. far look SOTYKTU TREMFYA, COSENTYX at ahead the prescriptions, and as funnel performance analogs ago is We competitive share, highly

focused share market is focus and are over laser the growth critical which versus We Otezla, a on oral in the area standard of care of becoming time.

question from Partners. next comes Risinger Dave Leerink with Our

detailed perspectives thanks you're all for And that of sharing. the

and income you So the in other coming run rate down step can for I'm hoping including AstraZeneca, the in that with look years. help anticipated other prospects incomes, the future,

David? Dave. Thanks,

Yes.

the this diabetes will is And down well. So that big year other the as rate. thing step impacting the was the down year then PD-X that next in step

to bulk $XXX additional expense. billion the is with million million the $XXX on I just that's interest thing prepared income of in for other And interest as in X.X% just in is that of around additional change that guidance the provided And did. is related income. debt royalty to the down that slightly keep remarks rate. OI&E big year, of mind, was the $XX going which the this the from by That we said to The cost, interest the offset we for

from with comes And Bansal Mohit Fargo. our Wells question next

is depends seem is timing just the I probe guidance? comment it. It little further. 'XX puts regarding mean, is, of you if on bit now because trough guidance if that because 'XX, is But actually there bit trough to I'm might it it regarding case, the little but can talk it about think still such uncertain a timing you or are of not to want a and little you want like the a that it Because, does considering is you it. the takes bit 'XX. if I when asking provide the

what it regarding and it? decide timing puts the the are you eventually to of So provide when takes

Yes.

I'll maybe provide. has he then any in else can would David -- So additional to that chime he if like start and anything

about thinking engaged guidance, the think last we I investors something that it's the we're trough the again, months. been of with and have for number way

I underlying is and is I impact guidance the is, think right the the foremost, IRA what on way would Eliquis. now probably about on think of first question it

EPS. And to at on top the for the Eliquis the talk is in as as well will, on coming I out and impact Eliquis price and as the in September position price that a point, line earlier, process be on We about what that of said both of -- be we of said anything would in the decade. of the see and by add? plan you else we're trough, thinking our then in growing again, about of this impact the at and XXXX is the terms end timing how beginning David, the to the starting year, we back of known public, is this when IRA

you Chris. it, covered I think

Our Carter next Barclays. from Gould question is with

dig for wanted a into Camzyos to second. I

be and data potential to You message? when data? the get think did or current and potentially seemed level the into with ACC that on REMS that we or that just have anything sort positive. data of reading modified you the want down REMS the Any the about that And one confidence of very rate registry road, at should front to you

housekeeping in something not along there guess quarter? well I was lines impact just, I'm know believe was I the that but inventory slides, I called hear that help great, quantified. be on And those million on did I sure the would a $XX -- as Any too.

Carter. Maybe Samit can Thanks, then and Adam. Yes. start .

Yes. question. Thank you, Carter, for the

that data you best. profile safety is confident for from at remain real there So for patients It of patients. fraction is with as the obviously transformational very Camzyos, has and dose, in well transformational remain been the on XX% the being And X.X- of ACC treated treated, that the the patients clearly from the showed a minimal impact as therapy outcome. overall as in outcomes positive really perspective, the we X-milligram very the a mentioned, Camzyos. And have world at ejection been the overall the really,

continuing hypertrophic nonobstructive reading study collate the opportunity with next and also So at cardiomyopathy out year. the times. we'll we've the certainly, find early data that us to conversations got Remember, be appropriate FDA an it that gives

provide for patients. burden can to as and program well a more we the as So whole on as REMS us decrease opportunity the to another also bring engage that for the will conversations this patients deeper therapy into how

With me to Adam it pass more. comment that, to let on

you And to gross in We're as Yes. $XX by a with inventory secure to making patient to that was at we Thanks XX% of nice approximately We increase feedback QX. We're It's beginning good but slight that happened from we positive reimbursement. a patients we a very mentioned, dispense, we physicians positive. copay performance in internationally pleased question. million in Camzyos And net the the from see QX very down Camzyos' from impact saw to saw the the patients. new acceleration year. What launch starts. about in commercial work for the from work added as quarter. as well saw consistent offset restart also progress is and

and seeing until now we're we for about good the So Camzyos for this end the year, performance important good sure. product the momentum feel of of

Steve And comes next our from Scala TD Cowen. with question

your future, earlier to Opdivo But replies there expiration, This sounds in questions, version those to Revlimid IRA second et of it that different other the earlier IRA Bristol's and noted, is patent of expiration, Eliquis a of are lower the price a on questions, as was you'd Is draw? And us potential patent obstacles like single that number that but free that patent expirations, next cetera. Eliquis it obstacle price biggest was drug question the conclusion in to the Bristol profits like decade. in QX. the then views is based

terms? did guidance? confirm, change to Just that the it is Revlimid what drug? is reason patients lower? fewer requesting consistent prior just Or the with is Bristol free And there Was

and sort transition the start, then highlighted consideration this So negotiations, the Steve, through we ask Eliquis going talked of the of the around as that last in the midterm question. middle in your think we've we're and period an issue price the I'll part because about decade. that I'll of the important We've that is about

later in and But well think time. What importance able EPS and discussed you've to saw into nice year, greater into on we'll would mean, of at a we of impact the lot importance step number an the double-digit growth so as have of we be past, quarter. the portfolio is had. it's a this insight to We faced what of talked though, the decade provide important that -- about during note LOEs for line the I both more that that back, of decade. have half portfolio say, the as the And as articulated we've estimate that the we on we that in as get that back I Eliquis. And of the that course the we've impact I we'll with I growth top clearly,

feel not and diversified of end each the the We of half our are overall of is the very across this actually about of therapeutic then of products. portfolio pipeline of of -- in we remember, comprised we now going but the areas, growth by be to good is the through back of with business decade. this about the catalyst And the saw over progress quarter. course portfolio a XX% only potential a portfolio assets that that for And nice the year,

So coming to for compensate in I David? young growth very and we IRA about impact an profile the the that with growth from more of that than a has being good while important feel to the decade, our and think it's pipeline. attractive recognize able middle portfolio very

your that One I said come programs Revlimid, comments of to that. levels. what free drug normal on make question couple the down on is just is a Steve, around I'll

So no in there. the change program

those year. of came year, throughout Just starts back traditional down calendar levels at last this levels. every again, in start the year, Remember, it

that in to that So was relation comment.

as thing Revlimid other this is, no as to said, it to guidance change year. we The our relates there's

year. As down previously step this billion the said, it was to $X.X $X billion next and same year

$X at year, billion. remember, last this we you for if So exited year

billion to our further year. So $X we'll be billion and view that best in a then next is year step down $X.X this

for And at Eliquis about, Revlimid IRA then XXXX. of insight as happening with from talked be Chris that LOE we'll the here end September. in basically price get LOE So when of through becomes perspective recall an Eliquis the the what's public year. And we'll to is in next that

perspective lastly, the LOE of in Opdivo, say as XXXX. it December is thing relates about then that from LOE is to an I'd And

would decade. next 'XX help So is that start. early of say next as we when And into will the continue that And franchise. we're subcutaneous franchise LOE think to believe that launching I'd forward things that One is then three looking that the that about we year. formulation about

really about that program care Phase seeing one, heard come also also, of you've tumor And We're into that standard with the continuing combination. and but first-line that. bringing will there's we're we're excited melanoma, with its and excited, number in. Samit that III in Opdualag that performance Opdualag about really other think in and I types lung, data talk

there's to think the continue franchise we franchise, avenues as that multiple about decade. for next into that So

in one had Around adding in Steve. the we supply quarter, Just dispensing volatility generic shortages. seen Revlimid, including thing, some some generic

for Revlimid so organization. to the portfolio of legacy continues and be And a strong our cash flow source

question Trung UBS. from comes next with our And Huynh today

Two Huynh that's Trung if from UBS. okay. me, from

your Just saving Is to the I $X.X of savings How but XXXX? split OpEx see main costs guide, is deals. realized? most XXXX one these think the billion no between this There's cost by change year and you program. were that on absorbed the year noted you'll

KarMMa-X then now. on you have Abecma, And just on label the

Is You noted it quickly can we it's realistic going helping? start inflection for to growth. to be see see important that How to immediately? an

the for Adam. Trung. question, Thanks David, then

Because the Yes, comes through spend, vast if taking, actions, of positions, next it's this year. made we'll portfolio annualize fully the it through then savings we're immediately you year. that. majority third-party the and have the the think those we whether actions actions that you receive And

of to 'XX and XX% taking, all safe the really the quarter. say it's being most But we're done are actions 'XX. that's of So that this those between difference

we're competitive regulatory KarMMa-X remain very in modalities Trung, the and in a in class-exposed Yes. Japan. of available. triple multiple This to pleased with setting Europe a in relates and space approvals Abecma, the U.S., will products certainly it with as

and Abecma's to data, our that available focused in and is we've on U.S. KarMMa-X the manufacturing differentiated the profile safety physicians well reliability as focus Abecma predictable with footprint patients. around as Our site the educating had also the making expanding on on Abecma. We're more globe,

a growth this our as market, move multiple for to place we over a is return is into objective and patient there that believe we larger population. So assets time Abecma to in

next Blair. from Matthew with question Our comes Phipps William

able just any confidence trends give there was data wondering outside us is States? then but as in ongoing for support set approval. on Opdualag -- maybe you suppose needed? And comment data grow study can you survival if additional to overall today is will I melanoma maybe, the I don't full being know United at path to be any tidbits this Samit. and the on there, point. Or not stands I if Adam, On KRYSTAL-XX, can it that in

Thanks the start. I'll question. for Yes.

opportunity of prior launch still that but market with and first-line in year. negotiation. metastatic have an to have become penetrating the share Canada hopeful as and we markets starting melanoma. in First, say year Brazil back Australia, as sometime room had the this progress now standard And has to like European care opportunity further in States is saw of versus in working also XX% We what's and continued as the into next several well our we're over on exciting I'd we around internationally pleased Opdualag we're launch we're in have growth not end XX% monotherapy grow our launch there We are above because that in And year. to we an still markets. use. It's in the U.S., United XX% still to Germany,

and very spoken has the the have add with up, potential first-line LAG-X And pleased and as the top earlier, PD-LXs Additionally, study chemo lung well lung to of that to opportunities when we're in truly you I-O cancer. with into proof-of-concept coupled next meaningfully adjuvant decade. melanoma, franchise with on our Opdualag extend

the this the I And in for not for here. will with confirmation study now able primary the will specifics point so thank that. be at randomized at remains about done data Overall end a study single-arm question. But KRYSTAL-XX, excited comment immature really the is a see data of presented the to on time, If you previously ASCO. I of with the study survival being think progression-free And you this remember, survival.

from Olivia comes question with Brayer next Our Fitzgerald. Cantor

around September negotiations? strategy And look What KarXT as Medicaid for past does commercial look any rollout PDUFA? like the we thoughts that

do from or in so we XXXX? And year some you when more next growth franchise, think start that's meaningful to that whether then see

Adam?

the for Thanks question. Yes.

launch a So year. is potential. This we're very excited about the with this drug commercial significant later KarXT opportunity important to very

As plagued for this schizophrenia physicians. what the efficacy DX we weight gain, the in offers EPS. such the we without adverse KarXT compelling approved event be how significant is is shared for that's talked as first therapy KarXT innovative know And will Zyprexa-like decades. And about, lipidemia, we've

and are our launch be are advance rapidly well, the ready We preparing well we going of plans to launch the for the summer, and in will PDUFA date. by

the made preparing and progress efforts prelaunch good on for focused been launch. very We've

progress with organization meaningful commercial medical and already have experienced and sourcing begun very access good in made teams conversations So had and our our thought payers. a field leaders Karuna

Our on field large prelaunch mechanism. efforts out sales We're today are building awareness currently of organization. focused a driving neuroscience this new

that In fact, across the investment we've maximize have. opportunity multiple the to we increased fronts

to a have we So positive need physicians ensure also first that experience.

on our to, And support. we're building rapid caregiver know important. you So customer optimal sure as to we physician patient model that that and is make focused achieving access we alluded the have

Medicaid around is this opportunity, XX%, and Medicare largely teams and a are so And today. our access ready

large will to We leverage our patients. access organization for rapid ensure access

and directors, already very Our been has state with the been very, the out teams feedback meeting have product and positive. profile Medicaid on

of Medicaid programs step no edit. have step a either over edits or So state single half

in the access take So one ability know you confident is to going of is achieve improve but edit, very time, for our this to goal we're step quality access quality to only some which our product. to

very launch, XXXX this as of we're PDUFA of and coverage, Bristol-Myers So a obtain and the very given broad this but about a the Medicaid to effectively September 'XX for we we timelines big some plan excited a make Squibb. KarXT to product see potential

we We're to go Adam. one? X Can maybe starting take Thanks, short little X time, to the or next run more. on a

Deutsche comes next James Shin Bank. with Our from question

if as multiple ]? you the had [ the what any cell for for I or full you've set readout second is comparable half, LAG-X Opdualag on a such share question different seen know sets TACD other non-small Phase I but data data cell can is II frontline lung. in to the

seen more treated obviously, to XXX on take the Certainly, seen. Hard worth is in worth have six comment first-line I Look, what question. can patients of patients patients of that chemotherapy they've I others compare setting. know can't plus All with than six Opdualag with data we data.

various at Phase review seen ] profile [ set, our as looked we it our remain the confident the have into the in the own at looking biomarkers at overall well of and drug profile the III. as to that What data is forward take of endpoints we we looked we in

Our Securities. next from Kripa comes with Truist question Devarakonda

we're about your that question a getting enablement very be acquisition RayzeBio competitive. now you've and to I -- got seeing and it's of had

the Just actinium also, live? strategy pipeline. we see when this radiopharma to production regarding priorities urgency the to is more what and details are build And out the and see wanted also can what on going what

Well, start and speak. Adam then to ask let I'll and me Samit

fastest-growing continue we though, about asset believe Let one solid acquired excited with say, level, platform be of in tumor best-in-class platform. have that just incredibly radiopharmaceuticals me as we've at It's a we high a Rayze. the to a We oncology. that

well. The team has very that integration of gone

be with to very facility continue Indianapolis. online excited the We the in of and bringing happy

and in of So that gone terms Samit, maybe enthusiasm to the details. has you But speak incredible and getting us well. Adam integration asset, can

Yes. Thank you for question. the

Rayze, the ongoing, as are exciting we're and those over in Phase first trials platform absolutely directed III Chris conduct that and seen therapy. cell program we as we we emerging that from For added to And just other indications designing enrolling indication is very there, III well a now the GEP-NET encouraging radioligand cancer program Phase I those. lung and is the see mentioned, as right and small the in for data speak looking the Phase couple as already have of that is studies SSTR

of to amount specificity directed promise itself. huge radiation the the of a because holds it of So tumor the

year. looking see looking additional and thereafter, as forward this of indication later from back IND are that IND coming within this be go the we're year, filing our And very then specific tumor-directed able to to we an at forward. platform HCC then we might to actually start this Thereafter, generation half

forward. early product back Indianapolis manufacturing to up end as drug continuing of it forward and will towards actinium that or and facility looking With the it in part well help the and next of back terms we're taking -- the the year, running, to certainly to of as now part supplying supply half

lessons the as go a years. front very and learning couple into those are commercial of the from helpful lessons be We in stages runners will we

Adam, anything add? to

few as modality acquisition competitive Chris over portfolio. this to continues believe as oncology going Yes, was It RayzeBio will -- things. grow we see our mentioned, add I'll an to diversify a time. a strategic we that's important a just space. continue just that It's be to

RayzeBio, to opportunities RYZXXX an be III is tumor in many the But already development, Phase And cell you in this engine. have potentially lead breast cancer, we heard GEP-NET. what liked small IND other in cancer going and for program lung earlier, as is But about types. we

existing to complementary tremendously is this portfolio. our So

to And we maybe go could question, mind, our you last if don't Rocco?

Our final Jefferies. Akash Tewari with comes question from

quick just Ivy for have questions. Akash. on is This We two

for a is one KarXT. first The follow-up

dyskinesia? patients market? schizophrenia help on how drug not, think will do in If the develop will position you that So KarXT tardive the

And question for then our second CAR-T. is

So lymphodepletion? why do you bispecifics? approaches think also, you attractive CAR-T And for than that CDXX is require consider more would autoimmune don't

Samit?

Sure. Thank you.

the as won't many see toxicities as elements are the I that dyskinesia, safety that of the the have at the the not of has about, First SIRS where spoken for seen think profile Adam presented all, about same repeat. movement great data and conference we profile tardive well perspective earlier the with been that I has atypical a do other so such KarXT recently from disorders as been spoken also

to profile schizophrenia. psychosis, bring it And earlier, disorders as are and other and the agitation, we bipolar said we patients well why as indications forward with AD for others are on very with the that that's looking So confident then to exploring. David

advantage, for an have patients side, infusion CAR-T SLE certainly to tremendous the can with a outcomes a that infusion, dysfunction transformational the setting, if leading outcomes these patients, in multiple cause in treatments patients. is factors had these the On for advantage patients. organ single That good and starting where for especially refractory other single ongoing

large. our program know, is you As quite

systemic as looking as are as sclerosis well well we So sclerosis idiopathic myositis. also at multiple as

and SLE but we're ready the certainly, programs able data right approaches patients to that and be not to now. year for some data, include as we're enroll therapies, generate present hoping might this they non-lymphodepletion will future those from So

maybe just I'll by saying, a first, And day you is today. for Samit. you. all all close for the thank of it call very busy I Thanks, joining know

So few maybe with you I'll just things. a leave

we're XXXX. First, to off start very a good in

company's long-term Our performance the to strengthen we've actions taken that growth this and quarter execution profile. reflects

year. unchanged Our future our sharing to look beginning we from the progress of on business continued And calls. of forward out the remains course,

the that, have hope you day. close And discussion, answer the call. I you available a is very as following always, team we'll questions And with of and have good to any today's all

We for call. conference today's you today's concludes all attending This thank you. Thank presentation.

You may now disconnect your lines, and a day. have wonderful