Stock Analysis on Net

Bristol-Myers Squibb Co. (NYSE:BMY)

Cash Flow Statement 

The cash flow statement provides information about a company cash receipts and cash payments during an accounting period, showing how these cash flows link the ending cash balance to the beginning balance shown on the company balance sheet.

The cash flow statement consists of three parts: cash flows provided by (used in) operating activities, cash flows provided by (used in) investing activities, and cash flows provided by (used in) financing activities.

Bristol-Myers Squibb Co., consolidated cash flow statement

US$ in millions

Microsoft Excel
12 months ended: Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Net earnings (loss) (8,933) 8,040 6,345 7,014 (8,995)
Depreciation and amortization, net 9,600 9,760 10,276 10,686 10,380
Deferred income taxes (2,089) (3,288) (2,738) (1,393) 983
Stock-based compensation 507 518 457 583 779
Impairment charges 2,963 255 179 1,207 1,203
Divestiture gains and royalties (1,119) (884) (1,063) (684) (699)
Acquired IPRD 13,373 913 815 1,157 12,537
Equity investment (gains) losses, net (16) 160 801 (745) (1,228)
Other adjustments 94 300 223 (365) (1,891)
Receivables 264 (995) (663) (1,054) (646)
Inventories (486) (751) (69) 13 2,672
Accounts payable 184 198 109 245 188
Rebates and discounts 1,484 904 427 863 1,189
Income taxes payable (1,260) (603) (1,423) (1,063) (2,305)
Other 624 (667) (610) (257) (115)
Changes in operating assets and liabilities 810 (1,914) (2,229) (1,253) 983
Adjustments to reconcile net earnings (loss) to net cash provided by operating activities 24,123 5,820 6,721 9,193 23,047
Net cash provided by operating activities 15,190 13,860 13,066 16,207 14,052
Sale and maturities of marketable debt securities 1,122 733 6,411 4,196 6,280
Purchase of marketable debt securities (769) (1,774) (3,592) (5,478) (4,172)
Proceeds from sales of equity investments 265 215 218 2,579 129
Capital expenditures (1,248) (1,209) (1,118) (973) (753)
Divestiture and other proceeds 1,099 909 1,305 748 741
Acquisition and other payments, net of cash acquired (21,821) (1,169) (4,286) (1,610) (13,084)
Net cash used in investing activities (21,352) (2,295) (1,062) (538) (10,859)
Proceeds from issuance of short-term debt obligations 2,987
Repayments of short-term debt obligations (3,000)
Other short-term financing obligations, net 99 (120) 194 (160) (267)
Proceeds from issuance of long-term debt 12,883 4,455 5,926 6,945
Repayment of long-term debt (2,873) (3,879) (11,431) (6,022) (2,750)
Repurchase of common stock (5,155) (8,001) (6,287) (1,546)
Dividends (4,863) (4,744) (4,634) (4,396) (4,075)
Stock option proceeds and other, net (106) 27 984 641 542
Net cash provided by (used in) financing activities 5,127 (9,416) (16,962) (16,224) (1,151)
Effect of exchange rates on cash, cash equivalents and restricted cash (137) 45 (33) (102) 111
Increase (decrease) in cash, cash equivalents and restricted cash (1,172) 2,194 (4,991) (657) 2,153
Cash, cash equivalents and restricted cash at beginning of year 11,519 9,325 14,316 14,973 12,820
Cash, cash equivalents and restricted cash at end of year 10,347 11,519 9,325 14,316 14,973

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).


The financial data over the five-year period exhibits notable volatility, particularly in net earnings and cash flows. Net earnings show significant fluctuations, with a loss of US$8,995 million in 2020, followed by positive earnings from 2021 to 2023, peaking at US$8,040 million in 2023, and then a sharp return to a loss of US$8,933 million in 2024. This inconsistency indicates periods of financial instability or significant one-time events impacting profitability.

Depreciation and Amortization
There is a gradual decline in depreciation and amortization expenses, from US$10,380 million in 2020 to US$9,600 million in 2024. This steady decrease may reflect changes in capital asset base or amortization schedules.
Deferred Income Taxes
Deferred income taxes transitioned from a positive balance of US$983 million in 2020 to negative figures in subsequent years, reaching a nadir in 2023 (-US$3,288 million) before improving slightly in 2024 (-US$2,089 million). This suggests tax timing differences or changes in tax strategy over the period.
Stock-Based Compensation
Stock-based compensation has generally declined from US$779 million in 2020 to US$507 million in 2024, indicating potential shifts in employee remuneration policies or reduced issuance of stock-based awards.
Impairment Charges
Impairment charges remained relatively stable between 2020 and 2023, with values around US$179 million to US$1,207 million, but surged sharply to US$2,963 million in 2024. This spike could indicate asset impairments or write-downs related to changes in asset valuation or unforeseen adverse conditions.
Divestiture Gains and Royalties
Divestiture gains and royalties show consistent negative values, increasing in absolute terms from -US$699 million in 2020 to -US$1,119 million in 2024, signaling ongoing costs or loss of revenue streams from divestiture activities.
Acquired IPRD (In-Process Research and Development)
Values declined sharply after 2020 from US$12,537 million to a low near US$815-913 million in 2022-2023, before a pronounced increase to US$13,373 million in 2024. This pattern may reflect acquisition activity timing, with substantial investment in new research and development assets in the most recent year.
Equity Investment Gains/Losses
Gains/losses on equity investments showed improvement between 2020 and 2021 but posted a net loss in 2022 and fluctuated around zero thereafter, implying variable returns on equity holdings and possible market influence on investment valuations.
Changes in Operating Assets and Liabilities
This item presented volatility, shifting from a positive US$983 million in 2020 to negative values through 2021-2023 (-US$1,914 million to -US$2,229 million), before improving to US$810 million in 2024. These fluctuations point to varying working capital management and business cycle impacts.
Net Cash Provided by Operating Activities
Operating cash flow increased from US$14,052 million in 2020 to a peak of US$16,207 million in 2021, before modest declines to US$13,066 million in 2022 and gradual recovery to US$15,190 million in 2024. Despite earnings volatility, operating cash generation appears relatively resilient.
Investing Activities
Investing cash flows show net cash outflows each year, with the largest outflow of -US$21,352 million in 2024, driven mainly by acquisition payments escalating sharply to -US$21,821 million that year. Capital expenditures increased steadily from -US$753 million to -US$1,248 million, reflecting ongoing investment in fixed assets.
Financing Activities
Financing activities depict considerable variability. Negative cash flows dominated from 2020 through 2023, reaching -US$16,224 million in 2021 and -US$16,962 million in 2022, primarily due to share repurchases and debt repayments. However, 2024 saw a positive inflow of US$5,127 million, indicating new financing sources or capital restructuring. Notably, long-term debt issuance rose to US$12,883 million in 2024, counterbalancing repayments and short-term debt fluctuations.
Liquidity Position
Cash and equivalents increased from US$12,820 million at the start of 2020 to US$14,973 million at year-end 2020 but declined thereafter, reaching US$9,325 million at the end of 2022. The balance partially recovered to US$11,519 million in 2023 before slightly decreasing to US$10,347 million in 2024. The changes reflect the interplay of operational cash flow, investing outflows, and fluctuating financing activities.

In summary, the data reveals cycles of profitability with substantial impairments and acquisition activities influencing earnings and cash flows. Operating cash flow exhibits relative consistency despite net earnings volatility, while investing and financing activities denote significant strategic shifts including heavy acquisition spending and capital restructuring in recent years. Liquidity remains adequate but shows sensitivity to these financial maneuvers.