How BMY’s Virology Segment Performed in 2016
The Virology segment
The Virology segment was Bristol-Myers Squibb’s (BMY) second-largest revenue contributor in 2016. The segment contributed ~24.4% of BMY’s total revenue in the year. It’s made up of drugs for chronic virus diseases and infections such as hepatitis B, hepatitis C, and HIV.
Overall, the segment’s revenue fell ~10.5% to $4.7 billion in 2016, compared to $5.3 billion in 2015.
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Hepatitis C franchise
Daklinza and Sunvepra, two drugs launched post-August 2014, contributed over 33% of the Virology segment’s total revenue in 2016. The revenues of these drugs fell ~2% to a total of $1.58 billion in 2016, compared to $1.60 billion in 2015. The fall followed lower sales in international markets.
The segment’s HIV franchise includes two drugs, Reyataz and Sustiva. In 2016, Sustiva’s revenue fell ~15% to $1.1 billion due to a loss of exclusivity, while Reyataz’s revenue fell 20% to $912 million compared to 2015.
Hepatitis B franchise
Baraclude, an oral antiviral, reported a fall of ~9% to $1.2 billion in 2016, compared to $1.3 billion in 2015, due to the generic competition of entecavir tablets from Teva Pharmaceuticals (TEVA).
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