Shares of Bristol-Myers Squibb (BMY) plummeted 5.01% in pre-market trading on Thursday, despite the company reporting better-than-expected second-quarter results. The sharp decline appears to be driven by lowered full-year earnings guidance and a significant charge related to a development deal with BioNTech.

The pharmaceutical giant posted Q2 2025 adjusted earnings per share (EPS) of $1.46, surpassing analysts' expectations of $1.07. Revenue for the quarter rose 1% to $12.3 billion, significantly beating the consensus estimate of $11.4 billion. The company's top-selling drugs, including blood thinner Eliquis and cancer treatments Opdivo and Revlimid, outperformed expectations and contributed to the revenue beat.

However, investors seem to be focusing on the company's revised full-year guidance. Bristol-Myers Squibb lowered its 2025 non-GAAP EPS forecast to a range of $6.35 to $6.65, down from the previous range of $6.70 to $7.00. This adjustment includes a $0.57 per share impact from a charge related to the BioNTech deal. Despite raising its full-year revenue guidance to $46.5-$47.5 billion from $45.8-$46.8 billion, the EPS reduction appears to have overshadowed the positive revenue outlook. The market's negative reaction suggests concerns about the company's profitability and the impact of the BioNTech charge on its bottom line.