Financial snapshot: 2024 shock and cash-flow resilience#

Bristol-Myers Squibb ([BMY]) closed FY2024 with a striking mix of outcomes: the company recorded a net loss of $8.95B while simultaneously producing $13.94B of free cash flow, and its balance sheet absorbed large acquisition-related funding that lifted net debt to $40.85B. The swing to a net loss from a $8.03B profit in 2023 reflects one-time acquisition and non-cash effects that dominated headline earnings even as operating cash remained robust. These contrasts create the central tension for BMS: earnings volatility driven by strategic transactions versus recurrent cash-generation that supports dividends and deleveraging flexibility.

Revenue growth in FY2024 was a rare bright spot: $48.30B, up roughly +7.32% versus $45.01B in FY2023, demonstrating underlying commercial momentum across newer growth assets even as legacy products encounter pressure. Operating income remained positive at $9.66B, producing an operating margin near 20.00%, but the net margin inverted to -18.53% because acquisition-related items and other adjustments pulled reported net income into negative territory. The line items that explain the swing are visible in cash flow and balance sheet activity — particularly $20.72B recorded as acquisitions net in investing activities — and the company’s reported EBITDA mechanics for 2024 are not directly comparable to prior years because of these large, one-off elements. According to the FY2024 financial statements and cash flow disclosures, these acquisition and non-operating items were the primary contributors to the accounting loss despite strong operating cash flow generation (see source). BMS Debt and Cash Flow Profile

The quality-of-earnings picture is therefore mixed: cash-based metrics are healthy and trending up — net cash provided by operating activities rose to $15.19B (+9.59% YoY) and free cash flow increased by +10.20% — while GAAP net income is depressed by transactional accounting. That divergence matters for stakeholders because free cash flow funds dividends, interest, and strategic activity even when reported net income is temporarily negative. Investors should therefore treat the FY2024 net loss as a signal of transaction accounting impact rather than an operational collapse, but they must also recognize the permanent balance-sheet consequences of those transactions.