Strong Margin Execution Drives Performance
in Quarter
- Revenue of $5.0 billion as
reported, adjusted revenue of $5.1
billion, driven by strong organic revenue growth
- GAAP and adjusted diluted EPS of $1.68 and $3.50
grew 23.5% and 18.2%, respectively
- Year-to-date Cash from Continuing Operations grew 60% to
$2.7 billion and Free Cash Flow grew
over 100% to $2.2 billion, increasing
$1.0 billion and $1.2 billion since the prior year,
respectively
- The company updated its fiscal 2024 GAAP revenue growth
guidance to approximately 3.7%, and its organic revenue growth
guidance to 5.0% to 5.25%
- The company increased its fiscal 2024 adjusted diluted EPS
guidance by 5 cents at the midpoint
to $13.05 to $13.151
FRANKLIN
LAKES, N.J., Aug. 1, 2024
/PRNewswire/ -- BD (Becton, Dickinson and Company) (NYSE: BDX), a
leading global medical technology company, today announced results
for its third quarter of fiscal 2024, which ended June 30, 2024.
"We delivered strong performance across multiple parts of our
portfolio, and accelerated margin expansion and cash flow driven by
growing momentum of our BD Excellence operating system," said
Tom Polen, chairman, CEO and
president of BD. "It's never been clearer that our teams are
transforming BD into the innovative MedTech leader we set out to be
when we launched our BD 2025 strategy, and our focused efforts have
positioned us well to achieve our increased fiscal 2024 earnings
guidance and deliver on our long-term goals."
1 BD does
not attempt to provide reconciliations of forward-looking adjusted
diluted EPS guidance to the comparable GAAP measure. See the
discussion below under "Assumptions and Outlook for Full Year
Fiscal 2024."
|
Recent Business and Corporate Sustainability
Highlights
- The company announced a definitive agreement to acquire
Edwards Lifesciences' Critical Care Product Group for
$4.2 billion, enhancing BD's
portfolio of smart connected care solutions, AI-based technologies
and becoming an advanced monitoring technology leader.
- BD Life Sciences:
- The Integrated Diagnostics Solutions business unit
announced US FDA approval for self-collection of samples for
cervical cancer screening in a healthcare setting.
- The Biosciences business unit announced the
commercial launch of the BD Rhapsody™ ATAC-Seq Assay, a new
offering for the Rhapsody platform that expands our single cell
capabilities to serve epigenomics - an adjacent and rapidly growing
area of DNA regulation research focused on cancer and infectious
diseases.
- BD issued its Fiscal Year 2023 Together We Advance
Corporate Sustainability Report and announced it has
surpassed its Scope 1 and 2 science-based greenhouse gas (GHG)
emissions reduction targets for FY 2023 by 5 percentage points,
with a reduction of 18% versus its fiscal 2019 baseline.
- Issued 2023 Product Security Annual Report,
highlighting the company's leadership and commitment to product
security, transparency and collaboration.
Third Quarter Fiscal 2024 Operating Results
|
|
Three Months Ended
June 30,
|
|
Change
|
|
Foreign
Currency
Neutral
Change1
|
|
Organic
Revenue
Change1,3
|
(Millions of dollars, except per share
amounts)
|
|
2024
|
|
2023
|
|
|
|
Revenues
|
|
$
4,990
|
|
$
4,878
|
|
2.3 %
|
|
2.9 %
|
|
|
Adjusted Revenues1,2
|
|
$
5,057
|
|
$
4,878
|
|
3.7 %
|
|
4.3 %
|
|
5.2 %
|
|
|
|
|
|
|
|
|
|
|
|
Reported Diluted Earnings per
Share
|
|
$ 1.68
|
|
$ 1.36
|
|
23.5 %
|
|
33.1 %
|
|
|
Adjusted Diluted Earnings per
Share1
|
|
$ 3.50
|
|
$ 2.96
|
|
18.2 %
|
|
22.6 %
|
|
|
|
1Represents
a non-GAAP financial measure; refer to reconciliations of non-GAAP
financial measures included in the attached financial
tables.
|
2Adjusted
Revenues excludes the recognition of accruals resulting from recent
developments relating to the Italian government medical device pay
back legislation, as well as another legal matter, and which
substantially relate to years prior to the current fiscal
year.
|
3Organic
Revenue growth denotes foreign currency neutral Adjusted Revenues
further adjusted for the impact to revenues from acquisitions and
divestitures during the first 12 months
post-acquisition/divestiture.
|
Geographic Results
Revenues (Millions of dollars)
|
|
Three Months Ended June 30,
|
|
Reported Change
|
|
Foreign Currency
Neutral Change1
|
|
|
2024
|
|
2023
|
|
|
United States
|
|
$
2,891
|
|
$
2,772
|
|
4.3 %
|
|
4.3 %
|
Adjusted United States1,
2
|
|
2,897
|
|
2,772
|
|
4.5 %
|
|
4.5 %
|
|
|
|
|
|
|
|
|
|
International
|
|
$
2,098
|
|
$
2,106
|
|
(0.3) %
|
|
1.1 %
|
Adjusted
International1,2
|
|
2,160
|
|
2,106
|
|
2.6 %
|
|
4.0 %
|
|
|
|
|
|
|
|
|
|
Total Revenues
|
|
$
4,990
|
|
$
4,878
|
|
2.3 %
|
|
2.9 %
|
Adjusted Total
Revenues1,2
|
|
$
5,057
|
|
$
4,878
|
|
3.7 %
|
|
4.3 %
|
|
1Represents
a non-GAAP financial measure; refer to reconciliations of non-GAAP
financial measures included in the attached financial
tables.
|
2Adjusted
Revenues excludes the recognition of accruals resulting from recent
developments relating to the Italian government medical device pay
back legislation, as well as another legal matter, and which
substantially relate to years prior to the current fiscal
year.
|
Segment Results
Revenues (Millions of dollars)
|
|
Three Months Ended
June 30,
|
|
Reported
Change
|
|
Foreign
Currency
Neutral
Change1
|
|
Organic
Revenue
Change1,3
|
|
|
2024
|
|
2023
|
|
|
|
BD Medical
|
|
$ 2,558
|
|
$ 2,434
|
|
5.1 %
|
|
5.6 %
|
|
5.6 %
|
|
|
|
|
|
|
|
|
|
|
|
BD Life Sciences
|
|
$ 1,260
|
|
$ 1,226
|
|
2.7 %
|
|
3.5 %
|
|
3.5 %
|
|
|
|
|
|
|
|
|
|
|
|
BD Interventional
|
|
$ 1,240
|
|
$ 1,218
|
|
1.8 %
|
|
2.6 %
|
|
6.4 %
|
|
|
|
|
|
|
|
|
|
|
|
Other2
|
|
$
(67)
|
|
$
—
|
|
(100.0) %
|
|
(100.0) %
|
|
(100.0) %
|
|
|
|
|
|
|
|
|
|
|
|
Total Revenues
|
|
$ 4,990
|
|
$ 4,878
|
|
2.3 %
|
|
2.9 %
|
|
|
Adjusted Revenues1,2
|
|
$ 5,057
|
|
$ 4,878
|
|
3.7 %
|
|
4.3 %
|
|
5.2 %
|
|
1Represents
a non-GAAP financial measure; refer to reconciliations of non-GAAP
financial measures included in the attached financial
tables.
|
2Adjusted
Revenues excludes "Other" which represents the recognition of
accruals resulting from recent developments relating to the Italian
government medical device pay back legislation, as well as another
legal matter, and which substantially relate to years prior to the
current fiscal year.
|
3Organic
Revenue growth denotes foreign currency neutral Adjusted Revenues
further adjusted for the impact to revenues from acquisitions and
divestitures during the first 12 months
post-acquisition/divestiture.
|
The BD Medical segment includes the Medication
Delivery Solutions (MDS), Medication Management Solutions (MMS),
and Pharmaceutical Systems (PS) business units. BD Medical revenue
growth was driven by MMS and MDS.
- MDS performance reflects strong volume growth across the
portfolio with increased market position in Vascular Access
Management and hypodermic products that was partially offset by the
impact of market dynamics in China, as anticipated.
- MMS performance reflects high double-digit growth in
Infusion driven by BD Alaris™ and higher utilization of infusion
sets that was partially offset by the prior-year comparison in
Dispensing Solutions.
- PS performance reflects strong double-digit growth in
Biologics and GLP-1s that was offset by expected transitory market
dynamics including customer inventory de-stocking in
anti-coagulants and vaccines.
The BD Life Sciences segment includes the Integrated
Diagnostic Solutions (IDS) and Biosciences (BDB) business units. BD
Life Sciences revenue growth was driven by IDS.
- IDS performance reflects high-single digit growth in
Specimen Management driven by broad volume strength across the BD
Vacutainer™ portfolio and customer upgrades to higher value
products.
- BDB performance reflects transitory market dynamics that
resulted in lower market demand for instruments that was partially
offset by growth in clinical reagents.
The BD Interventional segment includes the Surgery,
Peripheral Intervention (PI), and Urology & Critical Care (UCC)
business units. BD Interventional organic revenue growth
was driven by performance across the segment.
- Surgery performance reflects double-digit organic growth
across all three major platforms - Advanced Repair &
Reconstruction, Infection Prevention, and Biosurgery. The unit's
performance also reflects the impact from the divestiture of the
Surgical Instrumentation platform.
- PI performance reflects double-digit growth in the
Peripheral Vascular Disease portfolio that was partially offset by
a decline in Oncology, primarily driven by market dynamics in
China.
- UCC performance reflects strong double-digit growth in
the PureWick™ franchise with continued adoption of both the Male
and Female portfolios.
Assumptions and Outlook for Full Year Fiscal 2024
The company provided the following guidance with respect to
fiscal 2024.
The company updated its fiscal 2024 revenue growth guidance,
reflecting market dynamics partially offset by continued broad
strength across its portfolio. The company increased its adjusted
diluted earnings per share guidance by 5
cents at the midpoint to a range of $13.05 to $13.15
driven by the strength of its margin performance and updated margin
outlook for the full fiscal year.
|
Fiscal 2024 Guidance as of August 1,
2024
|
Fiscal 2024 Guidance as of May 2,
2024
|
GAAP Revenues
|
~$20.1
billion
|
~$20.1 to $20.3
billion
|
GAAP Revenue Growth
|
~3.7%
|
|
Adjusted Revenues
|
~$20.1 to $20.2
billion
|
n/a
|
Organic Revenue Growth (FXN)
|
5.0% to
5.25%
|
5.5% to
6.25%
|
|
|
|
Adjusted Diluted EPS
|
$13.05 to
$13.15
|
$12.95 to
$13.15
|
Adjusted Diluted EPS Growth
|
6.9% to
7.7%
|
6.1% to
7.7%
|
Estimated Impact of Surgical Instrumentation
Platform
Divestiture included in Adjusted Diluted EPS
|
(~75) basis
points
|
(~75) basis
points
|
BD's outlook for fiscal 2024 reflects numerous assumptions about
many factors that could affect its business, based on the
information management has reviewed as of this date. Management
will discuss its outlook and several of its assumptions on its
third fiscal quarter earnings call.
The company's expected adjusted diluted EPS for fiscal 2024
excludes potential charges or gains that may be recorded during the
fiscal year, such as, among other things, the non-cash amortization
of intangible assets, acquisition-related charges, spin-related
costs, and certain tax matters. BD does not attempt to provide
reconciliations of forward-looking adjusted diluted non-GAAP EPS
guidance to the comparable GAAP measure because the impact and
timing of these potential charges or gains is inherently uncertain
and difficult to predict and is unavailable without unreasonable
efforts. In addition, the company believes such reconciliations
would imply a degree of precision and certainty that could be
confusing to investors. Such items could have a material impact on
GAAP measures of BD's financial performance. We also present our
estimated organic revenue growth for our 2024 fiscal year after
adjusting for the illustrative impact of foreign currency
translation. BD believes that this adjustment allows investors to
better evaluate BD's anticipated underlying earnings performance
for our 2024 fiscal year in relation to our underlying 2023 fiscal
year performance.
Conference Call and Presentation Materials
BD will
host an audio webcast today for the public, investors, analysts,
and news media to discuss its third quarter results. The audio
webcast will be broadcast live on BD's website,
www.bd.com/investors at 8 a.m. (ET) Thursday, August 1,
2024. Accompanying slides will be available on BD's website,
www.bd.com/investors at approximately 6:30
a.m. (ET). The conference call will be available for replay
on BD's website, www.bd.com/investors. Alternatively, you can dial
into the replay at 800-839-2385 (domestic) and 402-220-7203
(international) through the close of business on Thursday, August 8, 2024. A confirmation number
is not needed to access the replay.
Non-GAAP Financial Measures/Financial Tables
This news
release contains certain non-GAAP financial measures. These include
adjusted revenues, revenue growth rates on a currency-neutral,
adjusted, and organic basis, adjusted diluted earnings per share,
and free cash flow. These non-GAAP financial measures are not in
accordance with generally accepted accounting principles in the
United States. BD management believes that the use of non-GAAP
measures to adjust for items that are considered by management to
be outside of BD's underlying operational results or that affect
period to period comparability helps investors to gain a better
understanding of our performance year-over-year, to analyze
underlying trends in our businesses, to analyze our operating
results, and to understand future prospects. Management uses these
non-GAAP financial measures to measure and forecast the company's
performance, especially when comparing such results to previous
periods or forecasts. We believe presenting such adjusted metrics
provides investors with greater transparency to the information
used by BD management for its operational decision-making and for
comparison to other companies within the medical technology
industry. Although BD's management believes non-GAAP results are
useful in evaluating the performance of its business, its reliance
on these measures is limited since items excluded from such
measures may have a material impact on BD's net income, earnings
per share or cash flows calculated in accordance with GAAP.
Therefore, management typically uses non-GAAP results in
conjunction with GAAP results to address these limitations. BD
strongly encourages investors to review its consolidated financial
statements and publicly filed reports in their entirety and
cautions investors that the non-GAAP measures used by BD may differ
from similar measures used by other companies, even when similar
terms are used to identify such measures. Non-GAAP measures should
not be considered replacements for, and should be read together
with, the most comparable GAAP financial measures.
We present adjusted revenues for the third quarter and the first
nine months of fiscal year 2024 after eliminating the recognition
of accruals resulting from recent developments relating to the
Italian government medical device pay back legislation, as well as
another legal matter, which substantially relate to years prior to
the current fiscal year, because we believe these items affect the
comparability of the periods presented to prior periods.
We also present adjusted diluted earnings per share for the
third quarter and the first nine months of fiscal year 2024, and
the corresponding prior periods, after eliminating items we believe
are not part of our ordinary operations and affect the
comparability of the periods presented. Adjusted diluted earnings
per share includes adjustments for the impact of purchase
accounting adjustments, integration and restructuring costs,
transaction and financing costs, spin-off related costs, certain
regulatory costs, certain product remediation costs, certain legal
matters, certain investment gains and losses, certain asset
impairment charges, and certain pension settlement costs. In
particular, current and prior-year adjusted diluted earnings per
share results exclude European regulatory initiative-related costs,
which represent costs incurred to develop processes and systems to
establish initial compliance with the European Union Medical Device
Regulation and the European Union In Vitro Diagnostic Medical
Device Regulation (collectively, the "New EU Medical Devices
Regulations"), which represent a significant, unusual change to the
existing regulatory framework. We consider the excluded European
regulatory initiative-related costs to be duplicative of previously
incurred costs and/or one-off costs related to establishing initial
compliance with such regulatory regimes, and in each case are
limited to a specific period of time. These expenses relate to
establishing initial compliance with the New EU Medical Devices
Regulations and include the cost of labor, other services and
consulting (in particular, research and development and clinical
trials) and supplies, travel and other miscellaneous costs. These
costs were recorded in Cost of products sold and Research
and development expense.
We also present revenue growth rates for the third quarter and
first nine months of fiscal year 2024 over the corresponding prior
periods on a currency-neutral basis after eliminating the effect of
foreign currency translation, where applicable. We also show the
growth in adjusted diluted earnings per share compared to the prior
year periods after eliminating the impact of foreign currency
translation to further enable investors to evaluate BD's
underlying earnings performance compared to the prior periods. We
calculate foreign currency-neutral percentages by converting our
current-period local currency financial results using the prior
period foreign currency exchange rates and comparing these adjusted
amounts to our current-period results. As exchange rates are an
important factor in understanding period-to-period comparisons, we
believe the presentation of results on a foreign currency-neutral
basis in addition to reported results helps improve investors'
ability to understand our operating results and evaluate our
performance in comparison to the prior periods.
We also present free cash flow for the first nine months of
fiscal year 2024 over the corresponding prior period, which is net
cash provided by continuing operating activities less capital
expenditures, to provide a view of the Company's ability to
generate cash for use in acquisitions and other investing and
financing activities. Free cash flow is not a measure of cash
available for discretionary expenditures given that we have certain
non-discretionary obligations such as debt service that are not
deducted from the measure. We believe the presentation of results
of free cash flow in addition to reported results helps improve
investors' ability to understand our operating results and evaluate
our performance in comparison to the prior period.
Reconciliations of these and other non-GAAP measures to the
comparable GAAP measures are included in the attached financial
tables. Within the attached financial tables presented, certain
columns and rows may not add due to the use of rounded numbers.
Percentages and earnings per share amounts presented are calculated
from the underlying amounts.
About BD
BD is one of the largest global medical
technology companies in the world and is advancing the world of
health by improving medical discovery, diagnostics and the delivery
of care. The company supports the heroes on the frontlines of
health care by developing innovative technology, services and
solutions that help advance both clinical therapy for patients and
clinical process for health care providers. BD and its more than
70,000 employees have a passion and commitment to help enhance the
safety and efficiency of clinicians' care delivery process, enable
laboratory scientists to accurately detect disease and advance
researchers' capabilities to develop the next generation of
diagnostics and therapeutics. BD has a presence in virtually every
country and partners with organizations around the world to address
some of the most challenging global health issues. By working in
close collaboration with customers, BD can help enhance outcomes,
lower costs, increase efficiencies, improve safety and expand
access to health care. For more information on BD, please visit
bd.com or connect with us on LinkedIn at
www.linkedin.com/company/bd1/ and on X (formerly known as Twitter)
@BDandCo.
This press release and accompanying audio webcast on
August 1, 2024 contain certain estimates and other
forward-looking statements (as defined under Federal securities
laws) regarding BD's future prospects and performance, including,
but not limited to, future revenues, margins, earnings per share,
leverage targets and capital deployment. All such statements are
based upon current expectations and assumptions of BD and involve a
number of business risks and uncertainties. Actual results could
vary materially from anticipated results described, implied or
projected in any forward-looking statement. With respect to such
forward-looking statements, a number of factors could cause actual
results to vary materially. These factors include, but are not
limited to, risks relating to macroeconomic conditions and their
impact on our operations and healthcare spending generally,
including any impact of disruptions in the global transportation
networks or other aspects of our supply chain on our ability to
source raw materials, components and energy sources needed to
produce our products, labor constraints or disputes, inflationary
pressures, currency rate fluctuations, and increased interest
rates and borrowing costs; conditions in international
markets, including geopolitical developments such as the evolving
situations in Russia and
Ukraine, the Middle East and Asia, which could adversely impact our
operations; competitive factors including technological advances
and new products or novel medical therapies introduced by
competitors; increases in energy costs and their effect on, among
other things, the cost of producing BD's products; product efficacy
or safety concerns or non-compliance with applicable regulatory
requirements (such as non-compliance of our products with
registration requirements resulting from modifications to such
products, or other factors) resulting in product recalls or actions
being taken with respect to our products; changes to legislation or
regulations impacting the U.S. or foreign healthcare systems,
changes in medical practices or in the preference of healthcare
consumers, potential cuts in governmental research or other
healthcare spending, or governmental or private measures to contain
healthcare costs, such as China's
volume-based procurement tender process or changes in pricing and
reimbursement policies, which could result in reduced demand for
our products or downward pricing pressure; increased labor costs
and labor shortages or disputes; new or changing laws and
regulations impacting our business (including the imposition of
tariffs, sanctions, changes in tax laws, new environmental laws and
regulations (such as those related to climate change or materials
of concern), new cybersecurity, artificial intelligence or privacy
laws, or changes in laws impacting international trade or
anti-corruption and bribery, or changes in reporting requirements
or enforcement practices with respect to such laws; our suppliers'
ability to provide products needed for our operations and BD's
ability to maintain favorable supplier arrangements and
relationships; adverse changes in regional, national or foreign
economic conditions, including any impact on our ability to access
credit markets and finance our operations; the adverse impact of
information and technology system disruptions, including
disruptions caused by cyberattacks, on our business or products;
risks relating to our overall indebtedness; the possible impact of
public health crises on our business and the global healthcare
system, which could decrease demand for our
products, disrupt our operations or the operations of
our customers and companies within our supply chain, or increase
transportation costs; interruptions in our manufacturing or
sterilization processes or those of our third-party providers,
including any restrictions placed on the use of ethylene oxide for
sterilization; pricing and market pressures; difficulties inherent
in product development, delays in product introductions and
uncertainty of market acceptance of new products; the overall
timing of the replacement or remediation of the BD Alaris™ Infusion
System and return to market in the U.S., which may be impacted by,
among other things, customer readiness, supply continuity and our
continued engagement with the FDA; our ability to achieve our
projected level or mix of product sales; our ability to
successfully integrate any businesses we acquire; uncertainties of
litigation and/or investigations and/or subpoenas (as described in
BD's filings with the Securities and Exchange Commission ("SEC"));
and the issuance of new or revised accounting standards, as well as
other factors discussed in BD's filings with the SEC. We do not
intend to update any forward-looking statements to reflect events
or circumstances after the date hereof except as required by
applicable laws or regulations.
Contacts:
Investors: Adam Reiffe, Sr.
Director, Investor Relations - 201-847-6927
Media: Troy Kirkpatrick, VP,
Public Relations - 858-617-2361
BECTON DICKINSON AND
COMPANY
CONDENSED CONSOLIDATED INCOME STATEMENTS
(Unaudited; Amounts in millions, except share and per share data)
|
|
|
|
Three Months Ended June
30,
|
|
|
2024
|
|
2023
|
|
% Change
|
REVENUES
|
|
$
|
4,990
|
|
|
$
|
4,878
|
|
|
2.3
|
|
|
|
|
|
|
|
|
Cost of products
sold
|
|
2,683
|
|
|
2,778
|
|
|
(3.4)
|
|
Selling and
administrative expense
|
|
1,196
|
|
|
1,190
|
|
|
0.5
|
|
Research and
development expense
|
|
299
|
|
|
306
|
|
|
(2.3)
|
|
Integration,
restructuring and transaction expense
|
|
112
|
|
|
70
|
|
|
60.6
|
|
Other operating expense
(income), net
|
|
98
|
|
|
(13)
|
|
|
828.7
|
|
TOTAL OPERATING COSTS
AND EXPENSES
|
|
4,388
|
|
|
4,329
|
|
|
1.3
|
|
OPERATING
INCOME
|
|
602
|
|
|
549
|
|
|
9.7
|
|
|
|
|
|
|
|
|
Interest
expense
|
|
(137)
|
|
|
(119)
|
|
|
15.4
|
|
Interest
income
|
|
48
|
|
|
24
|
|
|
98.7
|
|
Other (expense) income,
net
|
|
(13)
|
|
|
17
|
|
|
(173.8)
|
|
INCOME BEFORE INCOME
TAXES
|
|
500
|
|
|
471
|
|
|
6.1
|
|
Income tax
provision
|
|
13
|
|
|
64
|
|
|
(79.7)
|
|
NET INCOME
|
|
487
|
|
|
407
|
|
|
19.6
|
|
Preferred stock
dividends
|
|
—
|
|
|
(15)
|
|
|
(100.0)
|
|
NET INCOME APPLICABLE
TO COMMON SHAREHOLDERS
|
|
$
|
487
|
|
|
$
|
392
|
|
|
24.2
|
|
|
|
|
|
|
|
|
Basic Earnings per
Share
|
|
$
|
1.68
|
|
|
$
|
1.37
|
|
|
22.6
|
|
Diluted Earnings per
Share
|
|
$
|
1.68
|
|
|
$
|
1.36
|
|
|
23.5
|
|
|
|
|
|
|
|
|
AVERAGE SHARES
OUTSTANDING (in thousands)
|
|
|
|
|
|
|
Basic
|
|
289,562
|
|
286,317
|
|
|
Diluted
|
|
290,253
|
|
287,944
|
|
|
BECTON DICKINSON AND
COMPANY
CONDENSED CONSOLIDATED INCOME STATEMENTS
(Unaudited; Amounts in millions, except share and per share data)
|
|
|
|
Nine Months Ended June
30,
|
|
|
2024
|
|
2023
|
|
% Change
|
REVENUES
|
|
$
|
14,741
|
|
|
$
|
14,285
|
|
|
3.2
|
|
|
|
|
|
|
|
|
Cost of products
sold
|
|
8,103
|
|
|
7,816
|
|
|
3.7
|
|
Selling and
administrative expense
|
|
3,601
|
|
|
3,581
|
|
|
0.6
|
|
Research and
development expense
|
|
888
|
|
|
956
|
|
|
(7.2)
|
|
Integration,
restructuring and transaction expense
|
|
288
|
|
|
175
|
|
|
64.3
|
|
Other operating expense
(income), net
|
|
86
|
|
|
(7)
|
|
|
1,400.6
|
|
TOTAL OPERATING COSTS
AND EXPENSES
|
|
12,966
|
|
|
12,523
|
|
|
3.5
|
|
OPERATING
INCOME
|
|
1,775
|
|
|
1,762
|
|
|
0.8
|
|
|
|
|
|
|
|
|
Interest
expense
|
|
(373)
|
|
|
(339)
|
|
|
10.2
|
|
Interest
income
|
|
108
|
|
|
40
|
|
|
171.9
|
|
Other (expense) income,
net
|
|
(19)
|
|
|
18
|
|
|
(205.3)
|
|
INCOME BEFORE INCOME
TAXES
|
|
1,491
|
|
|
1,481
|
|
|
0.7
|
|
Income tax
provision
|
|
186
|
|
|
104
|
|
|
78.2
|
|
NET INCOME
|
|
1,305
|
|
|
1,376
|
|
|
(5.2)
|
|
Preferred stock
dividends
|
|
—
|
|
|
(60)
|
|
|
(100.0)
|
|
NET INCOME APPLICABLE
TO COMMON SHAREHOLDERS
|
|
$
|
1,305
|
|
|
$
|
1,316
|
|
|
(0.8)
|
|
|
|
|
|
|
|
|
Basic Earnings per
Share
|
|
$
|
4.50
|
|
|
$
|
4.62
|
|
|
(2.6)
|
|
Diluted Earnings per
Share
|
|
$
|
4.49
|
|
|
$
|
4.60
|
|
|
(2.4)
|
|
|
|
|
|
|
|
|
AVERAGE SHARES
OUTSTANDING (in thousands)
|
|
|
|
|
|
|
Basic
|
|
289,815
|
|
284,830
|
|
|
Diluted
|
|
290,857
|
|
286,368
|
|
|
BECTON DICKINSON AND
COMPANY
CONDENSED CONSOLIDATED BALANCE SHEETS
(Amounts in millions)
|
|
|
|
June 30,
2024
|
|
September 30,
2023
|
|
|
(Unaudited)
|
|
|
ASSETS
|
|
|
|
|
Cash and
equivalents
|
|
$
|
4,459
|
|
|
$
|
1,416
|
|
Restricted
cash
|
|
28
|
|
|
65
|
|
Short-term
investments
|
|
851
|
|
|
8
|
|
Trade receivables,
net
|
|
2,596
|
|
|
2,534
|
|
Inventories
|
|
3,255
|
|
|
3,273
|
|
Prepaid expenses and
other
|
|
1,018
|
|
|
1,380
|
|
TOTAL CURRENT
ASSETS
|
|
12,207
|
|
|
8,676
|
|
Property, plant and
equipment, net
|
|
6,518
|
|
|
6,557
|
|
Goodwill and other
intangibles, net
|
|
34,456
|
|
|
35,469
|
|
Other assets
|
|
2,401
|
|
|
2,078
|
|
TOTAL ASSETS
|
|
$
|
55,582
|
|
|
$
|
52,780
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
Current debt
obligations
|
|
$
|
1,192
|
|
|
$
|
1,141
|
|
Other current
liabilities
|
|
5,413
|
|
|
5,500
|
|
Long-term
debt
|
|
18,131
|
|
|
14,738
|
|
Long-term employee
benefit obligations
|
|
907
|
|
|
1,023
|
|
Deferred income taxes
and other liabilities
|
|
4,071
|
|
|
4,582
|
|
Shareholders'
equity
|
|
25,868
|
|
|
25,796
|
|
TOTAL LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
$
|
55,582
|
|
|
$
|
52,780
|
|
BECTON DICKINSON AND
COMPANY
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited; Amounts in millions)
|
|
|
|
Nine Months Ended June
30,
|
|
|
2024
|
|
2023
|
OPERATING
ACTIVITIES
|
|
|
|
|
Net income
|
|
$
|
1,305
|
|
|
$
|
1,376
|
|
Depreciation and
amortization
|
|
1,700
|
|
|
1,701
|
|
Change in operating
assets and liabilities and other, net
|
|
(340)
|
|
|
(1,413)
|
|
NET CASH PROVIDED BY
CONTINUING OPERATING ACTIVITIES
|
|
2,666
|
|
|
1,665
|
|
INVESTING
ACTIVITIES
|
|
|
|
|
Capital
expenditures
|
|
(429)
|
|
|
(580)
|
|
Purchases of
investments, net
|
|
(830)
|
|
|
—
|
|
Other, net
|
|
(318)
|
|
|
(272)
|
|
NET CASH USED FOR
INVESTING ACTIVITIES
|
|
(1,577)
|
|
|
(853)
|
|
FINANCING
ACTIVITIES
|
|
|
|
|
Change in short-term
debt
|
|
—
|
|
|
49
|
|
Proceeds from long-term
debt
|
|
4,517
|
|
|
1,662
|
|
Payments of
debt
|
|
(1,142)
|
|
|
(1,716)
|
|
Repurchases of common
stock
|
|
(500)
|
|
|
—
|
|
Dividends
paid
|
|
(825)
|
|
|
(849)
|
|
Other, net
|
|
(88)
|
|
|
(105)
|
|
NET CASH PROVIDED BY
(USED FOR) FINANCING ACTIVITIES
|
|
1,963
|
|
|
(959)
|
|
Net cash used for
operating activities of discontinued operations
|
|
(46)
|
|
|
—
|
|
Effect of exchange rate
changes on cash and equivalents and restricted cash
|
|
—
|
|
|
13
|
|
NET INCREASE (DECREASE)
IN CASH AND EQUIVALENTS AND RESTRICTED CASH
|
|
3,006
|
|
|
(134)
|
|
OPENING CASH AND
EQUIVALENTS AND RESTRICTED CASH
|
|
1,481
|
|
|
1,159
|
|
CLOSING CASH AND
EQUIVALENTS AND RESTRICTED CASH
|
|
$
|
4,487
|
|
|
$
|
1,024
|
|
BECTON DICKINSON AND
COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY BUSINESS SEGMENTS AND UNITS - UNITED STATES
Three Months Ended June 30,
(Unaudited; Amounts in millions)
|
|
|
|
A
|
|
B
|
|
C=(A-B)/B
|
|
|
2024
|
|
2023
|
|
% Change
|
BD MEDICAL
|
|
|
|
|
|
|
Medication Delivery
Solutions
|
|
$
|
670
|
|
|
$
|
628
|
|
|
6.8
|
|
Medication Management
Solutions
|
|
680
|
|
|
587
|
|
|
15.9
|
|
Pharmaceutical
Systems
|
|
158
|
|
|
186
|
|
|
(15.4)
|
|
TOTAL
|
|
$
|
1,508
|
|
|
$
|
1,400
|
|
|
7.6
|
|
|
|
|
|
|
|
|
BD LIFE
SCIENCES
|
|
|
|
|
|
|
Integrated Diagnostic
Solutions
|
|
$
|
405
|
|
|
$
|
398
|
|
|
1.9
|
|
Biosciences
|
|
141
|
|
|
148
|
|
|
(5.0)
|
|
TOTAL
|
|
$
|
546
|
|
|
$
|
546
|
|
|
—
|
|
|
|
|
|
|
|
|
BD
INTERVENTIONAL
|
|
|
|
|
|
|
Surgery
|
|
$
|
283
|
|
|
$
|
298
|
|
|
(4.8)
|
|
Peripheral
Intervention
|
|
263
|
|
|
256
|
|
|
2.8
|
|
Urology and Critical
Care
|
|
297
|
|
|
272
|
|
|
9.1
|
|
TOTAL
|
|
$
|
844
|
|
|
$
|
826
|
|
|
2.1
|
|
|
|
|
|
|
|
|
Other(1)
|
|
$
|
(6)
|
|
|
$
|
—
|
|
|
(100.0)
|
|
|
|
|
|
|
|
|
TOTAL UNITED
STATES
|
|
$
|
2,891
|
|
|
$
|
2,772
|
|
|
4.3
|
|
|
|
(1)
|
Represents an accrual
resulting from a legal matter and which substantially relates to
years prior to the current fiscal year. This amount was not
allocated to our reportable segments.
|
BECTON DICKINSON AND
COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY BUSINESS SEGMENTS AND UNITS - INTERNATIONAL
Three Months Ended June 30, (continued)
(Unaudited; Amounts in millions)
|
|
|
|
|
|
|
|
|
|
D=(A-B)/B
|
|
E=(A-B-C)/B
|
|
|
A
|
|
B
|
|
C
|
|
% Change
|
|
|
2024
|
|
2023
|
|
FX Impact
|
|
Reported
|
|
FXN
|
BD MEDICAL
|
|
|
|
|
|
|
|
|
|
|
Medication Delivery
Solutions
|
|
$
|
453
|
|
|
$
|
459
|
|
|
$
|
(6)
|
|
|
(1.3)
|
|
|
—
|
|
Medication Management
Solutions
|
|
160
|
|
|
167
|
|
|
(1)
|
|
|
(4.0)
|
|
|
(3.4)
|
|
Pharmaceutical
Systems
|
|
437
|
|
|
408
|
|
|
(4)
|
|
|
7.2
|
|
|
8.3
|
|
TOTAL
|
|
$
|
1,050
|
|
|
$
|
1,033
|
|
|
$
|
(12)
|
|
|
1.6
|
|
|
2.7
|
|
|
|
|
|
|
|
|
|
|
|
|
BD LIFE
SCIENCES
|
|
|
|
|
|
|
|
|
|
|
Integrated Diagnostic
Solutions
|
|
$
|
491
|
|
|
$
|
460
|
|
|
$
|
(7)
|
|
|
6.8
|
|
|
8.2
|
|
Biosciences
|
|
222
|
|
|
220
|
|
|
(2)
|
|
|
1.1
|
|
|
2.2
|
|
TOTAL
|
|
$
|
714
|
|
|
$
|
680
|
|
|
$
|
(9)
|
|
|
4.9
|
|
|
6.2
|
|
|
|
|
|
|
|
|
|
|
|
|
BD
INTERVENTIONAL
|
|
|
|
|
|
|
|
|
|
|
Surgery
|
|
$
|
93
|
|
|
$
|
90
|
|
|
$
|
(2)
|
|
|
3.1
|
|
|
5.1
|
|
Peripheral
Intervention
|
|
225
|
|
|
225
|
|
|
(5)
|
|
|
—
|
|
|
2.4
|
|
Urology and Critical
Care
|
|
78
|
|
|
77
|
|
|
(3)
|
|
|
1.4
|
|
|
5.6
|
|
TOTAL
|
|
$
|
396
|
|
|
$
|
392
|
|
|
$
|
(10)
|
|
|
1.0
|
|
|
3.7
|
|
|
|
|
|
|
|
|
|
|
|
|
Other(1)
|
|
$
|
(62)
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
(100.0)
|
|
|
(100.0)
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
INTERNATIONAL
|
|
$
|
2,098
|
|
|
$
|
2,106
|
|
|
$
|
(31)
|
|
|
(0.3)
|
|
|
1.1
|
|
|
|
(1)
|
Represents the
recognition of an accrual resulting from recent developments
relating to the Italian government medical device pay back
legislation and which substantially relates to years prior to the
current fiscal year. This amount was not allocated to our
reportable segments.
|
BECTON DICKINSON AND
COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY BUSINESS SEGMENTS AND UNITS - TOTAL
Three Months Ended June 30, (continued)
(Unaudited; Amounts in millions)
|
|
|
|
|
|
|
|
|
|
D=(A-B)/B
|
|
E=(A-B-C)/B
|
|
|
A
|
|
B
|
|
C
|
|
% Change
|
|
|
2024
|
|
2023
|
|
FX Impact
|
|
Reported
|
|
FXN
|
BD MEDICAL
|
|
|
|
|
|
|
|
|
|
|
Medication Delivery
Solutions
|
|
$
|
1,123
|
|
|
$
|
1,086
|
|
|
$
|
(6)
|
|
|
3.4
|
|
|
3.9
|
|
Medication Management
Solutions
|
|
840
|
|
|
754
|
|
|
(1)
|
|
|
11.5
|
|
|
11.6
|
|
Pharmaceutical
Systems
|
|
594
|
|
|
594
|
|
|
(4)
|
|
|
0.1
|
|
|
0.9
|
|
TOTAL
|
|
$
|
2,558
|
|
|
$
|
2,434
|
|
|
$
|
(12)
|
|
|
5.1
|
|
|
5.6
|
|
|
|
|
|
|
|
|
|
|
|
|
BD LIFE
SCIENCES
|
|
|
|
|
|
|
|
|
|
|
Integrated Diagnostic
Solutions
|
|
$
|
896
|
|
|
$
|
858
|
|
|
$
|
(7)
|
|
|
4.5
|
|
|
5.3
|
|
Biosciences
|
|
363
|
|
|
368
|
|
|
(2)
|
|
|
(1.4)
|
|
|
(0.7)
|
|
TOTAL
|
|
$
|
1,260
|
|
|
$
|
1,226
|
|
|
$
|
(9)
|
|
|
2.7
|
|
|
3.5
|
|
|
|
|
|
|
|
|
|
|
|
|
BD
INTERVENTIONAL
|
|
|
|
|
|
|
|
|
|
|
Surgery
|
|
$
|
376
|
|
|
$
|
388
|
|
|
$
|
(2)
|
|
|
(3.0)
|
|
|
(2.5)
|
|
Peripheral
Intervention
|
|
488
|
|
|
481
|
|
|
(5)
|
|
|
1.5
|
|
|
2.6
|
|
Urology and Critical
Care
|
|
375
|
|
|
349
|
|
|
(3)
|
|
|
7.4
|
|
|
8.3
|
|
TOTAL
|
|
$
|
1,240
|
|
|
$
|
1,218
|
|
|
$
|
(10)
|
|
|
1.8
|
|
|
2.6
|
|
|
|
|
|
|
|
|
|
|
|
|
Other(1)
|
|
$
|
(67)
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
(100.0)
|
|
|
(100.0)
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
REVENUES
|
|
$
|
4,990
|
|
|
$
|
4,878
|
|
|
$
|
(31)
|
|
|
2.3
|
|
|
2.9
|
|
|
|
(1)
|
Represents the
recognition of accruals resulting from recent developments relating
to the Italian government medical device pay back legislation, as
well as another legal matter, and which substantially relate to
years prior to the current fiscal year. Such amounts were not
allocated to our reportable segments.
|
BECTON DICKINSON AND
COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY BUSINESS SEGMENTS AND UNITS - UNITED STATES
Nine Months Ended June 30,
(Unaudited; Amounts in millions)
|
|
|
|
A
|
|
B
|
|
C=(A-B)/B
|
|
|
2024
|
|
2023
|
|
% Change
|
BD MEDICAL
|
|
|
|
|
|
|
Medication Delivery
Solutions
|
|
$
|
1,971
|
|
|
$
|
1,863
|
|
|
5.8
|
|
Medication Management
Solutions
|
|
1,883
|
|
|
1,701
|
|
|
10.7
|
|
Pharmaceutical
Systems
|
|
442
|
|
|
478
|
|
|
(7.5)
|
|
TOTAL
|
|
$
|
4,297
|
|
|
$
|
4,042
|
|
|
6.3
|
|
|
|
|
|
|
|
|
BD LIFE
SCIENCES
|
|
|
|
|
|
|
Integrated Diagnostic
Solutions
|
|
$
|
1,286
|
|
|
$
|
1,327
|
|
|
(3.1)
|
|
Biosciences
|
|
426
|
|
|
444
|
|
|
(4.1)
|
|
TOTAL
|
|
$
|
1,712
|
|
|
$
|
1,772
|
|
|
(3.4)
|
|
|
|
|
|
|
|
|
BD
INTERVENTIONAL
|
|
|
|
|
|
|
Surgery
|
|
$
|
851
|
|
|
$
|
880
|
|
|
(3.3)
|
|
Peripheral
Intervention
|
|
762
|
|
|
748
|
|
|
1.8
|
|
Urology and Critical
Care
|
|
930
|
|
|
794
|
|
|
17.2
|
|
TOTAL
|
|
$
|
2,543
|
|
|
$
|
2,421
|
|
|
5.0
|
|
|
|
|
|
|
|
|
Other(1)
|
|
$
|
(6)
|
|
|
$
|
—
|
|
|
(100.0)
|
|
|
|
|
|
|
|
|
TOTAL UNITED
STATES
|
|
$
|
8,546
|
|
|
$
|
8,235
|
|
|
3.8
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Represents an accrual
resulting from a legal matter and which substantially relates to
years prior to the current fiscal year. This amount was not
allocated to our reportable segments.
|
BECTON DICKINSON AND
COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY BUSINESS SEGMENTS AND UNITS - INTERNATIONAL
Nine Months Ended June 30, (continued)
(Unaudited; Amounts in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
D=(A-B)/B
|
|
E=(A-B-C)/B
|
|
|
A
|
|
B
|
|
C
|
|
% Change
|
|
|
2024
|
|
2023
|
|
FX Impact
|
|
Reported
|
|
FXN
|
BD MEDICAL
|
|
|
|
|
|
|
|
|
|
|
Medication Delivery
Solutions
|
|
$
|
1,310
|
|
|
$
|
1,332
|
|
|
$
|
4
|
|
|
(1.6)
|
|
|
(1.9)
|
|
Medication Management
Solutions
|
|
475
|
|
|
483
|
|
|
6
|
|
|
(1.5)
|
|
|
(2.7)
|
|
Pharmaceutical
Systems
|
|
1,154
|
|
|
1,092
|
|
|
5
|
|
|
5.7
|
|
|
5.2
|
|
TOTAL
|
|
$
|
2,940
|
|
|
$
|
2,907
|
|
|
$
|
15
|
|
|
1.1
|
|
|
0.6
|
|
|
|
|
|
|
|
|
|
|
|
|
BD LIFE
SCIENCES
|
|
|
|
|
|
|
|
|
|
|
Integrated Diagnostic
Solutions
|
|
$
|
1,451
|
|
|
$
|
1,371
|
|
|
$
|
6
|
|
|
5.8
|
|
|
5.4
|
|
Biosciences
|
|
689
|
|
|
660
|
|
|
3
|
|
|
4.4
|
|
|
4.0
|
|
TOTAL
|
|
$
|
2,139
|
|
|
$
|
2,031
|
|
|
$
|
8
|
|
|
5.3
|
|
|
4.9
|
|
|
|
|
|
|
|
|
|
|
|
|
BD
INTERVENTIONAL
|
|
|
|
|
|
|
|
|
|
|
Surgery
|
|
$
|
273
|
|
|
$
|
252
|
|
|
$
|
—
|
|
|
8.6
|
|
|
8.7
|
|
Peripheral
Intervention
|
|
669
|
|
|
635
|
|
|
(5)
|
|
|
5.4
|
|
|
6.2
|
|
Urology and Critical
Care
|
|
234
|
|
|
225
|
|
|
(5)
|
|
|
3.9
|
|
|
5.9
|
|
TOTAL
|
|
$
|
1,177
|
|
|
$
|
1,112
|
|
|
$
|
(10)
|
|
|
5.8
|
|
|
6.7
|
|
|
|
|
|
|
|
|
|
|
|
|
Other(1)
|
|
$
|
(62)
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
(100.0)
|
|
|
(100.0)
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
INTERNATIONAL
|
|
$
|
6,195
|
|
|
$
|
6,050
|
|
|
$
|
13
|
|
|
2.4
|
|
|
2.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Represents the
recognition of an accrual resulting from recent developments
relating to the Italian government medical device pay back
legislation and which substantially relates to years prior to the
current fiscal year. This amount was not allocated to our
reportable segments.
|
BECTON DICKINSON AND
COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY BUSINESS SEGMENTS AND UNITS - TOTAL
Nine Months Ended June 30, (continued)
(Unaudited; Amounts in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
D=(A-B)/B
|
|
E=(A-B-C)/B
|
|
|
A
|
|
B
|
|
C
|
|
% Change
|
|
|
2024
|
|
2023
|
|
FX Impact
|
|
Reported
|
|
FXN
|
BD MEDICAL
|
|
|
|
|
|
|
|
|
|
|
Medication Delivery
Solutions
|
|
$
|
3,282
|
|
|
$
|
3,195
|
|
|
$
|
4
|
|
|
2.7
|
|
|
2.6
|
|
Medication
Management Solutions
|
|
2,359
|
|
|
2,184
|
|
|
6
|
|
|
8.0
|
|
|
7.8
|
|
Pharmaceutical
Systems
|
|
1,596
|
|
|
1,570
|
|
|
5
|
|
|
1.7
|
|
|
1.3
|
|
TOTAL
|
|
$
|
7,237
|
|
|
$
|
6,949
|
|
|
$
|
15
|
|
|
4.1
|
|
|
3.9
|
|
|
|
|
|
|
|
|
|
|
|
|
BD LIFE
SCIENCES
|
|
|
|
|
|
|
|
|
|
|
Integrated Diagnostic
Solutions
|
|
$
|
2,737
|
|
|
$
|
2,699
|
|
|
$
|
6
|
|
|
1.4
|
|
|
1.2
|
|
Biosciences
|
|
1,115
|
|
|
1,104
|
|
|
3
|
|
|
1.0
|
|
|
0.7
|
|
TOTAL
|
|
$
|
3,852
|
|
|
$
|
3,803
|
|
|
$
|
8
|
|
|
1.3
|
|
|
1.1
|
|
|
|
|
|
|
|
|
|
|
|
|
BD
INTERVENTIONAL
|
|
|
|
|
|
|
|
|
|
|
Surgery
|
|
$
|
1,124
|
|
|
$
|
1,131
|
|
|
$
|
—
|
|
|
(0.6)
|
|
|
(0.6)
|
|
Peripheral
Intervention
|
|
1,431
|
|
|
1,383
|
|
|
(5)
|
|
|
3.5
|
|
|
3.9
|
|
Urology and Critical
Care
|
|
1,165
|
|
|
1,019
|
|
|
(5)
|
|
|
14.3
|
|
|
14.7
|
|
TOTAL
|
|
$
|
3,720
|
|
|
$
|
3,533
|
|
|
$
|
(10)
|
|
|
5.3
|
|
|
5.6
|
|
|
|
|
|
|
|
|
|
|
|
|
Other(1)
|
|
$
|
(67)
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
(100.0)
|
|
|
(100.0)
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
REVENUES
|
|
$
|
14,741
|
|
|
$
|
14,285
|
|
|
$
|
13
|
|
|
3.2
|
|
|
3.1
|
|
|
|
(1)
|
Represents the
recognition of accruals resulting from recent developments relating
to the Italian government medical device pay back legislation, as
well as another legal matter, and which substantially relate to
years prior to the current fiscal year. Such amounts were not
allocated to our reportable segments.
|
BECTON DICKINSON AND
COMPANY
SUPPLEMENTAL REVENUE INFORMATION
RECONCILIATION OF REPORTED REVENUE CHANGE TO ADJUSTED REVENUE
CHANGE TO ORGANIC REVENUE CHANGE
Three Months Ended June 30,
(Unaudited; Amounts in millions)
|
|
|
|
|
|
|
|
|
|
D = (A-B)/B
|
|
E=(A-B-C)/B
|
|
|
A
|
|
B
|
|
C
|
|
% Change
|
|
|
2024
|
|
2023
|
|
FX Impact
|
|
Reported
|
|
FXN
|
TOTAL
REVENUES
|
|
$
|
4,990
|
|
|
$
|
4,878
|
|
|
$
|
(31)
|
|
|
2.3
|
|
|
2.9
|
|
Add: Reduction for
government legislative and
legal matters(1)
|
|
67
|
|
|
—
|
|
|
—
|
|
|
100.0
|
|
|
100.0
|
|
Adjusted
Revenues
|
|
$
|
5,057
|
|
|
$
|
4,878
|
|
|
$
|
(31)
|
|
|
3.7
|
|
|
4.3
|
|
Less: Inorganic revenue
adjustment (2)
|
|
—
|
|
|
43
|
|
|
—
|
|
|
(100.0)
|
|
|
(100.0)
|
|
Organic
Revenue
|
|
$
|
5,057
|
|
|
$
|
4,835
|
|
|
$
|
(31)
|
|
|
4.6
|
|
|
5.2
|
|
|
|
|
|
|
|
|
|
|
|
|
BD INTERVENTIONAL
REVENUES
|
|
$
|
1,240
|
|
|
$
|
1,218
|
|
|
$
|
(10)
|
|
|
1.8
|
|
|
2.6
|
|
Less: Inorganic revenue
adjustment (2)
|
|
—
|
|
|
43
|
|
|
—
|
|
|
(100.0)
|
|
|
(100.0)
|
|
BD Interventional
Organic Revenue
|
|
$
|
1,240
|
|
|
$
|
1,175
|
|
|
$
|
(10)
|
|
|
5.5
|
|
|
6.4
|
|
|
|
(1)
|
Represents the
recognition of accruals resulting from recent developments relating
to the Italian government medical device pay back legislation, as
well as another legal matter, and which substantially relate to
years prior to the current fiscal year.
|
(2)
|
Inorganic revenue
adjustment is defined as the amount of incremental revenue
attributable to acquisitions and the revenue decline attributable
to divestitures during the first 12 months
post-acquisition/divestiture. Divestitures include: the sale of the
Surgical Instrumentation platform in the Interventional segment.
|
BECTON DICKINSON AND
COMPANY
SUPPLEMENTAL REVENUE INFORMATION
RECONCILIATION OF REPORTED GEOGRAPHIC REVENUE TO ADJUSTED
GEOGRAPHIC
Three Months Ended June 30,
(Unaudited; Amounts in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
D=(A-B)/B
|
|
E=(A-B-C)/B
|
|
|
A
|
|
B
|
|
C
|
|
% Change
|
|
|
2024
|
|
2023
|
|
FX Impact
|
|
Reported
|
|
FXN
|
UNITED STATES
REVENUES
|
|
$
|
2,891
|
|
|
$
|
2,772
|
|
|
$
|
—
|
|
|
4.3
|
|
|
4.3
|
|
Add: Reduction for
legal matters(1)
|
|
6
|
|
|
—
|
|
|
—
|
|
|
100.0
|
|
|
100.0
|
|
Adjusted United States
Revenues
|
|
$
|
2,897
|
|
|
$
|
2,772
|
|
|
$
|
—
|
|
|
4.5
|
|
|
4.5
|
|
|
|
|
|
|
|
|
|
|
|
|
INTERNATIONAL
REVENUES
|
|
$
|
2,098
|
|
|
$
|
2,106
|
|
|
$
|
(31)
|
|
|
(0.3)
|
|
|
1.1
|
|
Add: Reduction for
government legislative matters(1)
|
|
62
|
|
|
—
|
|
|
—
|
|
|
100.0
|
|
|
100.0
|
|
Adjusted International
Revenues
|
|
$
|
2,160
|
|
|
$
|
2,106
|
|
|
$
|
(31)
|
|
|
2.6
|
|
|
4.0
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Revenues
|
|
$
|
4,990
|
|
|
$
|
4,878
|
|
|
$
|
(31)
|
|
|
2.3
|
|
|
2.9
|
|
Add: Reduction for
government legislative and
legal matters(1)
|
|
67
|
|
|
—
|
|
|
—
|
|
|
100.0
|
|
|
100.0
|
|
Adjusted Total
Revenues
|
|
$
|
5,057
|
|
|
$
|
4,878
|
|
|
$
|
(31)
|
|
|
3.7
|
|
|
4.3
|
|
|
|
(1)
|
Represents the
recognition of accruals resulting from recent developments relating
to the Italian government medical device pay back legislation, as
well as another legal matter, and which substantially relate to
years prior to the current fiscal year.
|
BECTON DICKINSON AND
COMPANY
SUPPLEMENTAL INFORMATION
RECONCILIATION FROM NET CASH PROVIDED BY CONTINUING OPERATING
ACTIVITIES TO FREE CASH FLOW
Nine Months Ended June 30,
(Unaudited; Amounts in millions)
|
|
|
|
|
|
|
|
|
|
|
|
A
|
|
B
|
|
C=A-B
|
|
D=C/B
|
|
|
2024
|
|
2023
|
|
Change
|
|
% Change
|
Net Cash Provided by
Continuing Operating Activities
|
|
$
|
2,666
|
|
|
$
|
1,665
|
|
|
$
|
1,001
|
|
|
60.1
|
%
|
Capital
Expenditures
|
|
(429)
|
|
|
(580)
|
|
|
151
|
|
|
(26.0)
|
%
|
Free Cash
Flow
|
|
$
|
2,237
|
|
|
$
|
1,085
|
|
|
$
|
1,152
|
|
|
106.2
|
%
|
BECTON DICKINSON AND
COMPANY
SUPPLEMENTAL INFORMATION
RECONCILIATION OF REPORTED DILUTED EPS TO ADJUSTED DILUTED
EPS
(Unaudited)
|
|
|
Three Months Ended June
30,
|
|
2024
|
|
2023
|
|
Change
|
|
FX Impact
|
|
FXN
Change
|
|
Change %
|
|
FXN
Change %
|
Reported Diluted
Earnings per Share
|
$
|
1.68
|
|
|
$
|
1.36
|
|
|
$
|
0.32
|
|
|
$
|
(0.13)
|
|
|
$
|
0.45
|
|
|
23.5 %
|
|
33.1 %
|
Purchase accounting
adjustments ($352 million and $362 million pre-tax,
respectively) (1)
|
1.21
|
|
|
1.26
|
|
|
|
|
—
|
|
|
|
|
|
|
|
Integration costs ($7
million and $8 million pre-tax,
respectively) (2)
|
0.03
|
|
|
0.03
|
|
|
|
|
—
|
|
|
|
|
|
|
|
Restructuring costs
($95 million and $62 million pre-tax,
respectively) (2)
|
0.33
|
|
|
0.21
|
|
|
|
|
—
|
|
|
|
|
|
|
|
Transaction Costs ($10
million pre-tax) (3)
|
0.03
|
|
|
—
|
|
|
|
|
—
|
|
|
|
|
|
|
|
Financing Costs (($2)
million pre-tax) (3)
|
(0.01)
|
|
|
—
|
|
|
|
|
—
|
|
|
|
|
|
|
|
European regulatory
initiative-related costs ($25 million and $33 million
pre-tax, respectively) (4)
|
0.09
|
|
|
0.12
|
|
|
|
|
—
|
|
|
|
|
|
|
|
Product, litigation,
and other items ($174 million and $93 million pre-tax,
respectively) (5)
|
0.60
|
|
|
0.32
|
|
|
|
|
—
|
|
|
|
|
|
|
|
Tax impact of specified
items and other tax related (($133) million and ($98)
million, respectively)
|
(0.46)
|
|
|
(0.34)
|
|
|
|
|
—
|
|
|
|
|
|
|
|
Adjusted Diluted
Earnings per Share
|
$
|
3.50
|
|
|
$
|
2.96
|
|
|
$
|
0.54
|
|
|
$
|
(0.13)
|
|
|
$
|
0.67
|
|
|
18.2 %
|
|
22.6 %
|
|
|
(1)
|
Includes amortization
and other adjustments related to the purchase accounting for
acquisitions.
|
(2)
|
Represents costs
associated with integration and restructuring
activities.
|
(3)
|
Represents transaction
costs and financing impacts associated with the agreement to
acquire Edwards Lifesciences' Critical Care Product Group. The
transaction costs are recorded in Integration,
restructuring and transaction expense and the financing
impacts are recorded in Interest
income and Interest expense.
|
(4)
|
Represents costs
incurred to develop processes and systems to establish initial
compliance with the European Union Medical Device Regulation and
the European Union In Vitro Diagnostic Medical Device Regulation,
which represent a significant, unusual change to the existing
regulatory framework. We consider these costs to be duplicative of
previously incurred costs and/or one-off costs, which are limited
to a specific period of time. These expenses, which are recorded
in Cost of products sold and Research and
development expense, include the cost of labor, other services
and consulting (in particular, research and development and
clinical trials) and supplies, travel and other miscellaneous
costs.
|
(5)
|
Includes certain
(income) expense items which are not part of ordinary operations
and affect the comparability of the periods presented. Such items
may include certain product remediation costs, certain legal
matters, certain investment gains and losses, certain asset
impairment charges, and certain pension settlement costs. The
amount in 2024 reflects the recognition of $67 million in accruals
as an impact to Revenues resulting from recent
developments relating to the Italian government medical device pay
back legislation, as well as another legal matter, and which
substantially relate to years prior to our current fiscal year, as
well as charges to Other operating expense (income),
net related to legal matters, including a $50 million
charge to accrue an estimated liability for the SEC investigation
with respect to, among other things, certain reporting issues
involving BD Alaris™ infusion pumps included in SEC
disclosures prior to 2021, based on discussions with the SEC with
respect to the potential for resolving this matter. The Company
cannot anticipate the timing, scope, outcome or ultimate impact of
the SEC investigation, financial or otherwise, including but not
limited to what actions the SEC might pursue against the Company
and/or individuals. As a result, the ultimate resolution is unknown
at this time, and it is possible that the amount of the Company's
liability could significantly exceed its currently accrued amount.
The amount in 2023 includes a charge to Cost of products
sold of $90 million to adjust the estimate of future
product remediation costs.
|
BECTON DICKINSON AND
COMPANY
SUPPLEMENTAL INFORMATION
RECONCILIATION OF REPORTED DILUTED EPS TO ADJUSTED DILUTED EPS
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended June
30,
|
|
2024
|
|
2023
|
|
Change
|
|
FX Impact
|
|
FXN
Change
|
|
Change %
|
|
FXN
Change %
|
Reported Diluted
Earnings per Share
|
$
|
4.49
|
|
|
$
|
4.60
|
|
|
$
|
(0.11)
|
|
|
$
|
(0.43)
|
|
|
$
|
0.32
|
|
|
(2.4)
|
%
|
|
7.0
|
%
|
Purchase
accounting adjustments ($1.076 billion and $1.071 billion pre-tax,
respectively) (1)
|
3.70
|
|
|
3.74
|
|
|
|
|
—
|
|
|
|
|
|
|
|
Integration costs ($17
million and $55 million pre-tax,
respectively) (2)
|
0.06
|
|
|
0.19
|
|
|
|
|
—
|
|
|
|
|
|
|
|
Restructuring costs
($262 million and $120 million pre-tax,
respectively) (2)
|
0.90
|
|
|
0.42
|
|
|
|
|
0.01
|
|
|
|
|
|
|
|
Transaction Costs ($9
million pre-tax) (3)
|
0.03
|
|
|
—
|
|
|
|
|
—
|
|
|
|
|
|
|
|
Financing Costs (($2)
million pre-tax) (3)
|
(0.01)
|
|
|
—
|
|
|
|
|
—
|
|
|
|
|
|
|
|
Separation-related
items ($7 million and $10 million pre-tax,
respectively) (4)
|
0.02
|
|
|
0.03
|
|
|
|
|
—
|
|
|
|
|
|
|
|
European
regulatory initiative-related costs ($72 million and $103 million
pre-tax, respectively) (5)
|
0.25
|
|
|
0.36
|
|
|
|
|
—
|
|
|
|
|
|
|
|
Product,
litigation, and other items ($169 million and $97 million pre-tax,
respectively) (6)
|
0.58
|
|
|
0.34
|
|
|
|
|
—
|
|
|
|
|
|
|
|
Tax impact of specified
items and other tax related (($197) million and
($253) million, respectively)
|
(0.68)
|
|
|
(0.88)
|
|
|
|
|
—
|
|
|
|
|
|
|
|
Adjusted Diluted
Earnings per Share
|
$
|
9.34
|
|
|
$
|
8.80
|
|
|
$
|
0.54
|
|
|
$
|
(0.42)
|
|
|
$
|
0.96
|
|
|
6.1
|
%
|
|
10.9
|
%
|
|
|
(1)
|
Includes amortization
and other adjustments related to the purchase accounting for
acquisitions.
|
(2)
|
Represents costs
associated with integration and restructuring
activities.
|
(3)
|
Represents transaction
costs and financing impacts associated with the agreement to
acquire Edwards Lifesciences' Critical Care Product Group. The
transaction costs are recorded in Integration,
restructuring and transaction expense and the financing
impacts are recorded in Interest
income and Interest expense.
|
(4)
|
Represents costs
recorded to Other operating expense (income),
net incurred in connection with the separation of BD's
former Diabetes Care business.
|
(5)
|
Represents costs
incurred to develop processes and systems to establish initial
compliance with the European Union Medical Device Regulation and
the European Union In Vitro Diagnostic Medical Device Regulation,
which represent a significant, unusual change to the existing
regulatory framework. We consider these costs to be duplicative of
previously incurred costs and/or one-off costs, which are limited
to a specific period of time. These expenses, which are recorded
in Cost of products sold and Research and
development expense, include the cost of labor, other services
and consulting (in particular, research and development and
clinical trials) and supplies, travel and other miscellaneous
costs.
|
(6)
|
Includes certain
(income) expense items which are not part of ordinary operations
and affect the comparability of the periods presented. Such items
may include certain product remediation costs, certain legal
matters, certain investment gains and losses, certain asset
impairment charges, and certain pension settlement costs. The
amount in 2024 reflects the recognition of $67 million in accruals
as an impact to Revenues resulting from recent
developments relating to the Italian government medical device pay
back legislation, as well as another legal matter, and which
substantially relate to years prior to our current fiscal year, as
well as charges to Other operating expense (income),
net related to legal matters, including a $50 million
charge to accrue an estimated liability for the SEC investigation
with respect to, among other things, certain reporting issues
involving BD Alaris™ infusion pumps included in SEC
disclosures prior to 2021, based on discussions with the SEC with
respect to the potential for resolving this matter. The Company
cannot anticipate the timing, scope, outcome or ultimate impact of
the SEC investigation, financial or otherwise, including but not
limited to what actions the SEC might pursue against the Company
and/or individuals. As a result, the ultimate resolution is unknown
at this time, and it is possible that the amount of the Company's
liability could significantly exceed its currently accrued amount.
The amount in 2023 includes a charge to Cost of products
sold of $90 million to adjust the estimate of future
product remediation costs.
|
BECTON DICKINSON AND
COMPANY
SUPPLEMENTAL INFORMATION
FY 2024 OUTLOOK RECONCILIATION
|
|
|
|
Full Year FY
2023
|
|
Full Year FY 2024
Outlook
|
|
|
($ in
millions)
|
|
% Change
|
|
Revenues
|
BDX Reported
Revenues
|
|
$
|
19,372
|
|
|
|
|
|
|
|
|
|
|
|
|
FY 2024 Reported
Revenue Growth
|
|
|
|
~3.7%
|
|
|
Revenue Adjustment
Impact
|
|
|
|
(~35) basis
points
|
|
|
Illustrative Foreign
Currency (FX) Impact
|
|
|
|
(~35) basis
points
|
|
|
FY 2024 Revenue Growth
(adjusted)(FXN)
|
|
|
|
+4.25% to
4.5%
|
|
|
FY 2024 Inorganic
Impact to Revenue Growth
|
|
|
|
(~75) basis
points
|
|
|
FY 2024 Organic Revenue
Growth(FXN)
|
|
|
|
+5.0% to
+5.25%
|
|
|
|
|
|
|
|
|
|
Total FY 2024
Revenues
|
|
|
|
|
|
~$20.1
billion
|
Revenue Adjustment
Impact
|
|
|
|
|
|
$0.067
billion
|
Total FY 2024 Revenues
(adjusted)
|
|
|
|
|
|
~$20.1 to $20.2
billion
|
|
Notes
|
- Revenue Adjustment
Impact reflects the recognition of accruals resulting from recent
developments relating to the Italian government medical device pay
back legislation, as well as another legal matter, and which
substantially relate to years prior to the current fiscal
year.
|
- Inorganic Impact
to Revenue Growth reflects the revenue decline attributable to
divestitures for the first 12 months
post-divestiture.
|
BECTON DICKINSON AND
COMPANY
SUPPLEMENTAL INFORMATION
FY 2024 OUTLOOK RECONCILIATION CONTINUED
|
|
|
|
|
|
Full Year FY 2024
Outlook
|
|
|
Full Year FY 2023 from
Continuing Operations
|
|
Total
Company
|
Reported Diluted
Earnings per Share
|
|
$
|
5.10
|
|
|
|
|
|
Purchase accounting
adjustments ($1.434 billion pre-tax) (1)
|
|
4.97
|
|
|
|
|
|
Integration costs ($67
million pre-tax) (2)
|
|
0.23
|
|
|
|
|
|
Restructuring costs
($239 million pre-tax) (2)
|
|
0.83
|
|
|
|
|
|
Separation-related
items ($14 million pre-tax) (3)
|
|
0.05
|
|
|
|
|
|
European regulatory
initiative-related costs ($139 million
pre-tax) (4)
|
|
0.48
|
|
|
|
|
|
Product, litigation,
and other items ($554 million
pre-tax) (5)
|
|
1.92
|
|
|
|
|
|
Income tax benefit of
special items (($399) million)
|
|
(1.38)
|
|
|
|
|
|
Adjusted Diluted
Earnings per Share
|
|
$
|
12.21
|
|
|
$13.05 to
$13.15
|
Adjusted Diluted
Earnings per Share Percentage Change
|
|
|
|
+6.9% to
+7.7%
|
|
|
(1)
|
Includes amortization
and other adjustments related to the purchase accounting for
acquisitions.
|
(2)
|
Represents costs
associated with integration and restructuring
activities.
|
(3)
|
Represents costs
recorded to Other operating (income)
expense, net incurred in connection with the
separation of BD's former Diabetes Care business.
|
(4)
|
Represents costs
incurred to develop processes and systems to establish initial
compliance with the European Union Medical Device Regulation and
the European Union In Vitro Diagnostic Medical Device Regulation,
which represent a significant, unusual change to the existing
regulatory framework. We consider these costs to be duplicative of
previously incurred costs and/or one-off costs, which are limited
to a specific period of time. These expenses, which are recorded
in Cost of products sold and Research and
development expense, include the cost of labor, other services
and consulting (in particular, research and development and
clinical trials) and supplies, travel and other miscellaneous
costs.
|
(5)
|
Includes certain
(income) expense items which are not part of ordinary operations
and affect the comparability of the periods presented. Such items
may include certain product remediation costs, certain product
liability and legal defense costs, certain investment gains and
losses, certain asset impairment charges, and certain pension
settlement costs. The amount in 2023 includes a charge of $653
million to adjust the estimate of future product remediation costs
to Cost of products sold and a charge of $57
million related to pension settlement costs to Other
expense, net. The amount in 2023 also includes a gain of $268
million related to the sale of our Surgical Instrumentation
platform recorded to Other operating (income) expense,
net.
|
View original
content:https://www.prnewswire.com/news-releases/bd-reports-third-quarter-fiscal-2024-financial-results-302211754.html
SOURCE BD (Becton, Dickinson and Company)