Christopher Boerner, 53, took over as the chief executive officer of Bristol Myers Squibb last November, and immediately made a big move: a series of three acquisitions totaling $24 billion that would give BMS a new schizophrenia drug, a targeted cancer medicine, and radiopharmaceuticals used to treat cancer.
On Thursday, Bristol released first quarter earnings and showed the price for those acquisitions. Annual sales for the quarter were $11.9 billion, a 6% increase from last year adjusted for foreign exchange rates. Its quarterly loss was negatively impacted by costs from the deals, coming in at $5.89 per share according to generally accepted accounting principles, or $4.40 per share, on an adjusted basis.
Analysts polled by Visible Alpha were expecting an adjusted loss of $3.43 per share on total sales of $11.4 billion, meaning product sales did well but the deals hurt earnings more than expected.