Bristol-Myers Posts 3.5 Percent Q1 Profit Dip

LINDA A. JOHNSON

TRENTON, N.J. (AP) — Strong sales of two blockbuster drugs helped boost first-quarter revenue for Bristol-Myers Squibb Co., but higher taxes and a litigation charge pulled down its profit by 3.5 percent.

The maker of anti-clotting drug Plavix and psychiatric drug Abilify said Tuesday that its net income amounted to $638 million, or 32 cents per share. That was down from $661 million, or 33 cents a share, a year earlier.

Revenue totaled $5.02 billion, up nearly 3 percent, from $4.89 billion in the first quarter of 2007.

The company said sales would have been up 8 percent, excluding the effects of the strong dollar. Other drugmakers have been blaming disappointing results on the global recession and the strong dollar.

Analysts surveyed by Thomson Reuters had expected slightly higher sales, at $5.13 billion, but Bristol-Myers managed to just beat their earnings per-share forecast.

The New York-based company would have posted earnings per share of 48 cents, a penny over analysts' consensus of 47 cents, excluding a host of one-time charges totaling $320 million, or 16 cents per share. Those included a $104 million litigation charge, nearly all of it reserved to settle a shareholder lawsuit, plus $29 million in restructuring charges and $145 million in payments to license experimental drugs.