Stock Analysis on Net

Bristol-Myers Squibb Co. (NYSE:BMY)

Analysis of Goodwill and Intangible Assets

Microsoft Excel

Goodwill and Intangible Asset Disclosure

Bristol-Myers Squibb Co., balance sheet: goodwill and intangible assets

US$ in millions

Microsoft Excel
Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Goodwill 21,719 21,169 21,149 20,502 20,547
R&D technology 1,980
Acquired marketed product rights 61,876 63,076 60,877 60,761 59,404
Capitalized software 1,499 1,497 1,555 1,499 1,325
IPRD 7,985 3,710 6,560 3,750 6,130
Other intangible assets, gross carrying amounts 73,340 68,283 68,992 66,010 66,859
Accumulated amortization (50,033) (41,211) (33,133) (23,483) (13,616)
Other intangible assets, net 23,307 27,072 35,859 42,527 53,243
Goodwill and other intangible assets 45,026 48,241 57,008 63,029 73,790

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

Item Description The company
Goodwill Amount after accumulated impairment loss of an asset representing future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognized. Bristol-Myers Squibb Co. goodwill increased from 2022 to 2023 and from 2023 to 2024.
Other intangible assets, net Sum of the carrying amounts of all intangible assets, excluding goodwill, as of the balance sheet date, net of accumulated amortization and impairment charges. Bristol-Myers Squibb Co. other intangible assets, net decreased from 2022 to 2023 and from 2023 to 2024.
Goodwill and other intangible assets Sum of the carrying amounts of all intangible assets, including goodwill, as of the balance sheet date, net of accumulated amortization and impairment charges. Bristol-Myers Squibb Co. goodwill and other intangible assets decreased from 2022 to 2023 and from 2023 to 2024.

Adjustments to Financial Statements: Removal of Goodwill

Bristol-Myers Squibb Co., adjustments to financial statements

US$ in millions

Microsoft Excel
Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Adjustment to Total Assets
Total assets (as reported) 92,603 95,159 96,820 109,314 118,481
Less: Goodwill 21,719 21,169 21,149 20,502 20,547
Total assets (adjusted) 70,884 73,990 75,671 88,812 97,934
Adjustment to Total BMS Shareholders’ Equity
Total BMS shareholders’ equity (as reported) 16,335 29,430 31,061 35,946 37,822
Less: Goodwill 21,719 21,169 21,149 20,502 20,547
Total BMS shareholders’ equity (adjusted) (5,384) 8,261 9,912 15,444 17,275

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).


Bristol-Myers Squibb Co., Financial Data: Reported vs. Adjusted


Adjusted Financial Ratios: Removal of Goodwill (Summary)

Bristol-Myers Squibb Co., adjusted financial ratios

Microsoft Excel
Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Total Asset Turnover
Reported total asset turnover 0.52 0.47 0.48 0.42 0.36
Adjusted total asset turnover 0.68 0.61 0.61 0.52 0.43
Financial Leverage
Reported financial leverage 5.67 3.23 3.12 3.04 3.13
Adjusted financial leverage 8.96 7.63 5.75 5.67
Return on Equity (ROE)
Reported ROE -54.78% 27.27% 20.37% 19.46% -23.84%
Adjusted ROE 97.14% 63.83% 45.29% -52.19%
Return on Assets (ROA)
Reported ROA -9.66% 8.43% 6.53% 6.40% -7.61%
Adjusted ROA -12.62% 10.85% 8.36% 7.88% -9.21%

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

Financial ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Bristol-Myers Squibb Co. adjusted total asset turnover ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level.
Adjusted ROA A profitability ratio calculated as net income divided by adjusted total assets. Bristol-Myers Squibb Co. adjusted ROA improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.

Bristol-Myers Squibb Co., Financial Ratios: Reported vs. Adjusted


Adjusted Total Asset Turnover

Microsoft Excel
Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
As Reported
Selected Financial Data (US$ in millions)
Revenues 48,300 45,006 46,159 46,385 42,518
Total assets 92,603 95,159 96,820 109,314 118,481
Activity Ratio
Total asset turnover1 0.52 0.47 0.48 0.42 0.36
Adjusted for Goodwill
Selected Financial Data (US$ in millions)
Revenues 48,300 45,006 46,159 46,385 42,518
Adjusted total assets 70,884 73,990 75,671 88,812 97,934
Activity Ratio
Adjusted total asset turnover2 0.68 0.61 0.61 0.52 0.43

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

2024 Calculations

1 Total asset turnover = Revenues ÷ Total assets
= 48,300 ÷ 92,603 = 0.52

2 Adjusted total asset turnover = Revenues ÷ Adjusted total assets
= 48,300 ÷ 70,884 = 0.68

Activity ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Bristol-Myers Squibb Co. adjusted total asset turnover ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level.

Adjusted Financial Leverage

Microsoft Excel
Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
As Reported
Selected Financial Data (US$ in millions)
Total assets 92,603 95,159 96,820 109,314 118,481
Total BMS shareholders’ equity 16,335 29,430 31,061 35,946 37,822
Solvency Ratio
Financial leverage1 5.67 3.23 3.12 3.04 3.13
Adjusted for Goodwill
Selected Financial Data (US$ in millions)
Adjusted total assets 70,884 73,990 75,671 88,812 97,934
Adjusted total BMS shareholders’ equity (5,384) 8,261 9,912 15,444 17,275
Solvency Ratio
Adjusted financial leverage2 8.96 7.63 5.75 5.67

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

2024 Calculations

1 Financial leverage = Total assets ÷ Total BMS shareholders’ equity
= 92,603 ÷ 16,335 = 5.67

2 Adjusted financial leverage = Adjusted total assets ÷ Adjusted total BMS shareholders’ equity
= 70,884 ÷ -5,384 =


Adjusted Return on Equity (ROE)

Microsoft Excel
Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
As Reported
Selected Financial Data (US$ in millions)
Net earnings (loss) attributable to BMS (8,948) 8,025 6,327 6,994 (9,015)
Total BMS shareholders’ equity 16,335 29,430 31,061 35,946 37,822
Profitability Ratio
ROE1 -54.78% 27.27% 20.37% 19.46% -23.84%
Adjusted for Goodwill
Selected Financial Data (US$ in millions)
Net earnings (loss) attributable to BMS (8,948) 8,025 6,327 6,994 (9,015)
Adjusted total BMS shareholders’ equity (5,384) 8,261 9,912 15,444 17,275
Profitability Ratio
Adjusted ROE2 97.14% 63.83% 45.29% -52.19%

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

2024 Calculations

1 ROE = 100 × Net earnings (loss) attributable to BMS ÷ Total BMS shareholders’ equity
= 100 × -8,948 ÷ 16,335 = -54.78%

2 Adjusted ROE = 100 × Net earnings (loss) attributable to BMS ÷ Adjusted total BMS shareholders’ equity
= 100 × -8,948 ÷ -5,384 =


Adjusted Return on Assets (ROA)

Microsoft Excel
Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
As Reported
Selected Financial Data (US$ in millions)
Net earnings (loss) attributable to BMS (8,948) 8,025 6,327 6,994 (9,015)
Total assets 92,603 95,159 96,820 109,314 118,481
Profitability Ratio
ROA1 -9.66% 8.43% 6.53% 6.40% -7.61%
Adjusted for Goodwill
Selected Financial Data (US$ in millions)
Net earnings (loss) attributable to BMS (8,948) 8,025 6,327 6,994 (9,015)
Adjusted total assets 70,884 73,990 75,671 88,812 97,934
Profitability Ratio
Adjusted ROA2 -12.62% 10.85% 8.36% 7.88% -9.21%

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

2024 Calculations

1 ROA = 100 × Net earnings (loss) attributable to BMS ÷ Total assets
= 100 × -8,948 ÷ 92,603 = -9.66%

2 Adjusted ROA = 100 × Net earnings (loss) attributable to BMS ÷ Adjusted total assets
= 100 × -8,948 ÷ 70,884 = -12.62%

Profitability ratio Description The company
Adjusted ROA A profitability ratio calculated as net income divided by adjusted total assets. Bristol-Myers Squibb Co. adjusted ROA improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.