Try to replace this in functions.php:
Code:
$comma1 = ',';
} else {
eval("\$day2 .= \"$comma2 ".gettemplate('calendar_showbirthdays',1,0)."\";");
$comma2 = ',';
with this:
Code:
$comma1 = '<br>';
} else {
eval("\$day2 .= \"$comma2 ".gettemplate('calendar_showbirthdays',1,0)."\";");
$comma2 = '<br>';
After you do this make sure you go to your user profile, and click update.