Bristol-Myers Squibb updates its 2009 guidance for GAAP and non-GAAP earnings

Dec 24 2009

Bristol-Myers Squibb Company (NYSE:BMY) today updated its 2009 guidance for GAAP and non-GAAP earnings per share from continuing operations.

“As we continue our transformation into a next-generation BioPharma leader, we are confident in our ability to execute on our strategy and in the strong performance of our BioPharma business.”

“We’re pleased to have successfully completed the split off of Mead Johnson Nutrition Company, which now focuses us completely on biopharmaceuticals,” said James M. Cornelius, chairman and chief executive officer of Bristol-Myers Squibb. “As we continue our transformation into a next-generation BioPharma leader, we are confident in our ability to execute on our strategy and in the strong performance of our BioPharma business.”

As a result of the Mead Johnson split-off, Bristol-Myers Squibb is updating its 2009 guidance to reflect two changes:

• Mead Johnson will be reported as a discontinued operation for full year 2009.
• For 2009 financial reporting, the earnings per share impact of the 269 million share reduction will be minimal due to the relatively short period of time that the lower weighted average number of shares will be outstanding.

In addition to the impact of the Mead Johnson split-off, the 2009 GAAP earnings per share from continuing operations guidance is revised to reflect up-front licensing payments and funding to the Bristol-Myers Squibb Foundation for a philanthropic educational program in the United States.

The only change to 2009 non-GAAP earnings per share guidance is the impact of reporting Mead Johnson as a discontinued operation.

The company expects its 2009 GAAP earnings per share from continuing operations to be $1.51 to $1.56, compared to a previous range of $1.72 to $1.77. Non-GAAP earnings per share from continuing operations are expected to be $1.75 to $1.80, compared to a previous range of $2.00 to $2.05.

Total company net earnings will include discontinued operations consisting of the results of Mead Johnson as well as an expected gain of about $7 billion resulting from the split-off.

Source: Bristol-Myers Squibb Company