Press Release

<< Back
View printer-friendly version
BD Announces Results For 2018 Third Fiscal Quarter; Raises Fiscal 2018 Revenue Guidance
- As reported, revenues of $4.278 billion increased 41.0 percent.
- On a comparable, currency-neutral basis, revenues increased 5.5 percent.
- As reported, diluted earnings per share of $2.03 increased 370.7 percent.
- As adjusted, diluted earnings per share of $2.91 increased 18.3 percent, or 11.0 percent on a currency-neutral basis.
- The company is raising full fiscal year 2018 revenue guidance, and narrowing its adjusted diluted earnings per share guidance.
- The company reaffirms that the acquisition of C.R. Bard is expected to be accretive to adjusted dilutive earnings per share on a high-single digit basis in fiscal year 2019.

FRANKLIN LAKES, N.J., Aug. 2, 2018 /PRNewswire/ -- BD (Becton, Dickinson and Company) (NYSE: BDX), a leading global medical technology company, today reported quarterly revenues of $4.278 billion for the third fiscal quarter ended June 30, 2018.  This represents an increase of 41.0 percent from the prior-year period, which is primarily due to the acquisition of C. R. Bard.  On a comparable, currency-neutral basis that includes the revenues of C.R. Bard in the current and prior year, revenues increased 5.5 percent over the prior-year period.

"Our strong revenue growth and operating performance this quarter demonstrate that we are delivering on our strategy," said Vincent A. Forlenza, Chairman and CEO.  "We are on track with the integration of C. R. Bard and continue to deliver on our financial commitments while providing innovative solutions for our customers and their patients worldwide."

Third Quarter and Nine-Month Fiscal 2018 Operating Results
As reported, diluted earnings per share for the third quarter were $2.03, compared with $(0.75) in the prior-year period.  This represents an increase of 370.7 percent and is primarily due to a non-cash charge in the prior year related to the previously announced change in the U.S. dispensing business model.  Adjusted diluted earnings per share were $2.91, compared with $2.46 in the prior-year period.  This represents an increase in adjusted diluted earnings per share of 18.3 percent, or 11.0 percent on a currency-neutral basis.

For the nine-month period ended June 30, 2018, as reported, diluted earnings per share were $1.27, compared with $3.36 in the prior-year period.  This represents a decrease of 62.2 percent and is primarily due to purchase accounting expenses relating to acquisitions and additional tax expense relating to new U.S. tax legislation, as well as the aforementioned non-cash charge in the prior year related to the change in the U.S. dispensing model.  Adjusted diluted earnings per share were $8.08, compared with $7.09 in the prior-year period.  This represents an increase in adjusted diluted earnings per share of 14.0 percent, or 8.0 percent on a currency-neutral basis.

Segment Results
In the BD Medical segment, as reported, worldwide revenues for the quarter of $2.246 billion increased 20.0 percent from the prior-year period, primarily due to the acquisition of C. R. Bard.  On a comparable, currency-neutral basis, BD Medical revenues increased 5.7 percent over the prior-year period.  The segment's results were driven by strong performance in the Medication Delivery Solutions and Medication Management Solutions units.

For the nine-month period ended June 30, 2018, BD Medical revenues were $6.270 billion as reported, an increase of 14.5 percent from the prior-year period.  On a comparable, currency-neutral basis, BD Medical revenues of $6.480 billion increased 4.1 percent over the prior-year period, which includes an estimated 110 basis point adverse impact from the previously disclosed change in the U.S. dispensing business model.

In the BD Life Sciences segment, as reported, worldwide revenues for the quarter were $1.079 billion, an increase of 8.2 percent over the prior-year period, or 5.6 percent on a currency-neutral basis.  Revenue growth reflects strong performance across the Preanalytical Systems, Diagnostic Systems and Biosciences units.

For the nine-month period ended June 30, 2018, BD Life Sciences revenues were $3.222 billion as reported, an increase of 9.7 percent from the prior-year period, or an increase of 6.7 percent on a currency-neutral basis.

In the BD Interventional segment, as reported, worldwide revenues for the quarter were $0.954 billion.  On a comparable, currency-neutral basis, revenues increased 5.1 percent over the prior-year period.  The segment's results reflect strong performance in the Peripheral Intervention and Urology and Critical Care units.

For the nine-month period ended June 30, 2018, BD Interventional revenues were $2.089 billion as reported.  On a comparable, currency-neutral basis, BD Interventional revenues of $2.826 billion increased 4.9 percent.

Geographic Results
As reported, third quarter revenues in the U.S. of $2.338 billion increased 45.9 percent from the prior-year period, primarily due to the acquisition of C. R. Bard.  On a comparable basis, U.S. revenues increased 5.9 percent over the prior-year period.  Growth in the U.S. was driven by strong performance across the BD Medical and BD Life Sciences segments, and in the Peripheral Intervention and Urology and Critical Care units within the BD Interventional segment.

As reported, revenues outside of the U.S. of $1.941 billion increased 35.4 percent from the prior-year period, primarily due to the acquisition of C. R. Bard.  On a comparable, currency-neutral basis, revenues outside of the U.S. increased 5.1 percent over the prior-year period.  International revenue growth was driven by strong performance across the BD Life Sciences segment, as well as in the Medication Delivery Solutions and Medication Management Solutions units within the BD Medical segment, and the Surgery and Peripheral Intervention units in the BD Interventional segment.

For the nine-month period ended June 30, 2018, U.S. revenues were $6.319 billion as reported, an increase of 30.0 percent over the prior-year period.  On a comparable basis, U.S. revenues of $6.916 billion increased 3.7 percent over the prior-year period, including an estimated 140 basis point adverse impact from the change in the U.S. dispensing business model.  As reported, revenues outside of the U.S. of $5.261 billion increased 29.3 percent over the prior-year period.  On a comparable, currency-neutral basis, revenues outside the U.S. of $5.611 billion increased 6.6 percent over the prior-year period.

Fiscal 2018 Outlook for Full Year
The company is raising its full fiscal year 2018 revenue guidance and now expects growth to exceed 31.5 percent on a reported basis, compared to previous guidance of approximately 31.0 to 31.5 percent growth.  On a comparable, currency-neutral basis, the company is also raising its revenue guidance and now expects growth to exceed 5.5 percent, compared to previous guidance of 5.0 to 5.5 percent growth.  Comparable revenue guidance continues to include an estimated 50 basis point adverse impact from the change in the U.S. dispensing business model and the estimated sales impact from Hurricane Maria in Puerto Rico on Bard's business during BD's first fiscal quarter.

The company is narrowing its full fiscal year 2018 adjusted diluted earnings per share guidance to a range of $10.95 to $11.05, from a range of $10.90 to $11.05 previously. This represents growth of approximately 15.5 to 16.5 percent over fiscal 2017 adjusted diluted earnings per share, and reflects the company's increased revenue outlook as well as a small decrease in the expected benefit from foreign currency.  On a currency-neutral basis, the company continues to expect full fiscal year adjusted diluted earnings per share growth of approximately 12.0 percent.

Estimated adjusted diluted earnings per share for fiscal 2018 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, and certain tax and litigation matters.  BD does not attempt to provide reconciliations of forward-looking non-GAAP earnings 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 substantial impact on GAAP measures of BD's financial performance.

Conference Call Information
A conference call regarding BD's third quarter results will be broadcast live on BD's website, www.bd.com/investors, along with related slides, at 8:00 a.m. (ET) Thursday, August 2, 2018.  The conference call will be available for replay on BD's website, www.bd.com/investors, or at 1-800-585-8367 (domestic) and 1-404-537-3406 (international) through the close of business on Thursday, August 9, 2018, confirmation number 2788137.

Non-GAAP Financial Measures/Financial Tables
This news release contains certain non-GAAP financial measures.  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.

All "comparable" basis revenue growth rates relating to fiscal year 2018 presented throughout this release include the results of C. R. Bard, Inc. ("Bard") in the current and prior-year periods and are further adjusted for certain items as detailed in the attached tables. Beginning in the second quarter of fiscal year 2018, the Company's organizational structure was based upon three principal business segments: BD Medical ("Medical"), BD Life Sciences ("Life Sciences") and BD Interventional ("Interventional").  The Interventional segment was added upon the Company's completion of its acquisition of Bard, and this new segment includes the majority of Bard's product offerings and certain product offerings which were previously reported in the Medical segment.  Certain of Bard's product offerings are included under the Company's Medical segment, specifically within the new Medication Delivery Solutions unit, which was formerly the Medical segment's Medication and Procedural Solutions unit.  Prior-year amounts have been revised to reflect the movement of certain product offerings which were previously reported in the Medical segment and which are now reported in the Interventional segment, as discussed above.  Current and prior-year adjusted diluted earnings per share results exclude, among other things, the impact of purchase accounting adjustments (including the non-cash amortization of acquisition-related intangible assets); integration, restructuring and transaction costs; the reversal of a litigation reserve; and the loss on debt extinguishment.  We also provide these measures on a currency-neutral basis after eliminating the effect of foreign currency translation, where applicable.  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.  Reconciliations of these amounts to the most directly comparable GAAP measures are included in the tables at the end of this release.  As previously announced, comparable historical revenue schedules inclusive of Bard for BD's 2016 and 2017 fiscal years, and the first quarter of BD's 2018 fiscal year, are available on the Investor page of BD's website, www.bd.com/investors.

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 65,000 employees have a passion and commitment to help improve patient outcomes, improve the safety and efficiency of clinicians' care delivery process, enable laboratory scientists to better diagnose 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.  In 2017, BD welcomed C. R. Bard and its products into the BD family.  For more information on BD, please visit bd.com.

This press release, including the section entitled "Fiscal 2018 Outlook for Full Year", contains certain estimates and other forward-looking statements (as defined under Federal securities laws) regarding BD's performance, including future revenues and earnings per share.  All such statements are based upon current expectations 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 forward-looking statements contained herein, a number of factors could cause actual results to vary materially.  These factors include, but are not limited to: risks relating to the integration of the C.R. Bard operations, products and employees into BD and the possibility that the anticipated synergies and other benefits of the proposed acquisition will not be realized or will not be realized within the expected timeframe; the impact of the recent U.S. tax reform; legislative or regulatory changes to the U.S. healthcare system, potential cuts in governmental healthcare spending or measures to contain healthcare costs, each of which could result in reduced demand for our products or downward pricing pressure; changes in interest or foreign currency exchange rates; adverse changes in regional, national or foreign economic conditions, particularly in emerging markets, including any impact on our ability to access credit markets and finance our operations, the demand for our products and services, utilization rates or otherwise, or our suppliers' ability to provide products needed for our operations; new or changing laws and regulations impacting our business (including the imposition of tariffs or changes in laws impacting international trade) or changes in enforcement practices with respect to such laws; our ability to successfully integrate any businesses we acquire; the adverse impact of cyber-attacks on our information systems or products; competitive factors including technological advances and new products introduced by competitors; interruptions in our supply chain or manufacturing processes; pricing and market pressures; difficulties inherent in product development, delays in product introductions and uncertainty of market acceptance of new products; adverse changes in geopolitical conditions; increases in energy costs and their effect on, among other things, the cost of producing BD's products; product efficacy or safety concerns resulting in product recalls or actions being taken by the FDA or other regulators; fluctuations in costs and availability of raw materials and in BD's ability to maintain favorable supplier arrangements and relationships; risks relating to our ability to continue to successfully integrate CareFusion's operations in order to fully obtain the benefits of the transaction; uncertainties of litigation (as described in BD's filings with the Securities and Exchange Commission); future healthcare reform outside the U.S., including changes in government pricing and reimbursement policies or other cost containment reforms; and issuance of new or revised accounting standards, as well as other factors discussed in BD's filings with the Securities and Exchange Commission.  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.

 

BECTON DICKINSON AND COMPANY

CONSOLIDATED INCOME STATEMENTS

(Unaudited; Amounts in millions, except share and per share data)




Three Months Ended June 30,



2018


2017


% Change

REVENUES


$

4,278


$

3,035


41.0








Cost of products sold


2,262


1,532


47.7

Selling and administrative expense


1,081


719


50.3

Research and development expense


277


186


49.1

Acquisitions and other restructurings


146


81


81.3

Other operating expense, net



741


(100.0)

TOTAL OPERATING COSTS AND EXPENSES


3,766


3,258


15.6

OPERATING INCOME (LOSS)


513


(223)


330.2








Interest expense


(182)


(184)


(1.0)

Interest income


8


19


(59.4)

Other income (expense), net


308


(16)


2,063.0

INCOME (LOSS) BEFORE INCOME TAXES


647


(404)


260.4

Income tax provision (benefit)


53


(271)


119.6

NET INCOME (LOSS)


594


(132)


548.9

Preferred stock dividends


(38)


(32)


16.9

NET INCOME (LOSS) APPLICABLE TO COMMON
SHAREHOLDERS


$

556


$

(165)


437.6








EARNINGS PER SHARE







Basic Earnings (Loss) per Share


$

2.08


$

(0.75)


377.3

Diluted Earnings (Loss) per Share


$

2.03


$

(0.75)


370.7








AVERAGE SHARES OUTSTANDING (in thousands)







Basic


267,836


220,807



Diluted


273,925


220,807



 

 

BECTON DICKINSON AND COMPANY

CONSOLIDATED INCOME STATEMENTS

(Unaudited; Amounts in millions, except share and per share data)




Nine Months Ended June 30,



2018


2017


% Change

REVENUES


$

11,581


$

8,927


29.7








Cost of products sold


6,410


4,539


41.2

Selling and administrative expense


2,912


2,151


35.3

Research and development expense


728


554


31.6

Acquisitions and other restructurings


604


243


148.4

Other operating expense, net



405


(100.0)

TOTAL OPERATING COSTS AND EXPENSES


10,655


7,892


35.0

OPERATING INCOME


926


1,035


(10.5)








Interest expense


(525)


(364)


44.1

Interest income


55


31


80.5

Other income (expense), net


302


(51)


697.3

INCOME BEFORE INCOME TAXES


759


650


16.6

Income tax provision (benefit)


313


(123)


354.9

NET INCOME


446


773


(42.3)

Preferred stock dividends


(114)


(32)


250.6

NET INCOME APPLICABLE TO COMMON
SHAREHOLDERS


$

332


$

741


(55.2)








EARNINGS PER SHARE







Basic Earnings per Share


$

1.30


$

3.43


(62.1)

Diluted Earnings per Share


$

1.27


$

3.36


(62.2)








AVERAGE SHARES OUTSTANDING (in thousands)







Basic


254,934


215,817



Diluted


260,860


220,406



 

 

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



2018


2017


% Change

BD MEDICAL







Medication Delivery Solutions (a)


$

505


$

335


50.8

Medication Management
Solutions


483


447


8.1

Diabetes Care


138


132


4.7

Pharmaceutical Systems


103


93


11.6

TOTAL


$

1,230


$

1,006


22.2








BD LIFE SCIENCES







Preanalytical Systems


$

199


$

191


4.2

Diagnostic Systems


151


145


4.2

Biosciences


126


115


9.7

TOTAL


$

476


$

451


5.6








BD INTERVENTIONAL







Surgery (a)


$

259


$

142


NM

Peripheral Intervention (a)


195


3


NM

Urology and Critical Care


178



NM

TOTAL


$

632


$

145


NM








TOTAL UNITED STATES


$

2,338


$

1,603


45.9


(a) The presentation of prior-period amounts reflects a reclassification of $145 million associated with the movement, effective on January 1, 2018, of certain product offerings from the Medical segment to the Interventional segment.

 

 

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



2018


2017


FX Impact


Reported


FXN

BD MEDICAL











Medication Delivery Solutions (a)


$

471


$

367


$

23


28.3


22.1

Medication Management
Solutions


127


109


9


17.1


9.1

Diabetes Care


138


131


7


5.4


0.1

Pharmaceutical Systems


279


258


19


8.4


1.0

TOTAL


$

1,016


$

864


$

58


17.5


10.8












BD LIFE SCIENCES











Preanalytical Systems


$

205


$

185


$

8


10.7


6.2

Diagnostic Systems


211


191


10


10.7


5.7

Biosciences


188


171


8


9.7


4.9

TOTAL


$

603


$

547


$

26


10.4


5.6












BD INTERVENTIONAL











Surgery (a)


$

77


$

20


$

5


NM


NM

Peripheral Intervention (a)


157


1


10


NM


NM

Urology and Critical Care


87



5


NM


NM

TOTAL


$

322


$

22


$

19


NM


NM












TOTAL INTERNATIONAL


$

1,941


$

1,433


$

103


35.4


28.2


(a) The presentation of prior-period amounts reflects a reclassification of $22 million associated with the movement, effective on January 1, 2018, of certain product offerings from the Medical segment to the Interventional segment.

 

 

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



2018


2017


FX Impact


Reported


FXN

BD MEDICAL











Medication Delivery Solutions (a)


$

977


$

702


$

23


39.0


35.8

Medication Management
Solutions


610


556


9


9.8


8.3

Diabetes Care


276


263


7


5.1


2.4

Pharmaceutical Systems


383


350


19


9.3


3.8

TOTAL


$

2,246


$

1,871


$

58


20.0


16.9












BD LIFE SCIENCES











Preanalytical Systems


$

404


$

376


$

8


7.4


5.2

Diagnostic Systems


362


335


10


7.9


5.0

Biosciences


314


286


8


9.7


6.8

TOTAL


$

1,079


$

997


$

26


8.2


5.6












BD INTERVENTIONAL











Surgery (a)


$

336


$

163


$

5


NM


NM

Peripheral Intervention (a)


353


5


10


NM


NM

Urology and Critical Care


265



5


NM


NM

TOTAL


$

954


$

167


$

19


NM


NM













TOTAL REVENUES


$

4,278


$

3,035


$

103


41.0


37.6


(a) The presentation of prior-period amounts reflects a reclassification of $167 million associated with the movement, effective on January 1, 2018, of certain product offerings from the Medical segment to the Interventional segment.

 

 

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



2018


2017


% Change

BD MEDICAL







Medication Delivery Solutions (a)


$

1,379


$

1,026


34.4

Medication Management
Solutions


1,415


1,403


0.9

Diabetes Care


415


400


3.8

Pharmaceutical Systems


239


231


3.5

TOTAL


$

3,448


$

3,060


12.7








BD LIFE SCIENCES







Preanalytical Systems


$

565


$

552


2.2

Diagnostic Systems


518


471


9.9

Biosciences


350


331


5.7

TOTAL


$

1,433


$

1,355


5.8








BD INTERVENTIONAL







Surgery (a)


$

687


$

434


NM

Peripheral Intervention (a)


393


10


NM

Urology and Critical Care


358



NM

TOTAL


$

1,438


$

444


NM








TOTAL UNITED STATES


$

6,319


$

4,859


30.0


(a) The presentation of prior-period amounts reflects a reclassification of $444 million associated with the movement, effective on January 1, 2018, of certain product offerings from the Medical segment to the Interventional segment.

 

 

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



2018


2017


FX Impact


Reported


FXN

BD MEDICAL











Medication Delivery Solutions (a)


$

1,298


$

1,065


$

65


21.9


15.8

Medication Management
Solutions


364


321


26


13.4


5.2

Diabetes Care


405


374


21


8.5


2.9

Pharmaceutical Systems


755


658


59


14.7


5.8

TOTAL


$

2,822


$

2,417


$

171


16.7


9.7












BD LIFE SCIENCES











Preanalytical Systems


$

595


$

541


$

29


10.0


4.7

Diagnostic Systems


634


548


31


15.8


10.2

Biosciences


559


494


27


13.4


7.9

TOTAL


$

1,789


$

1,582


$

87


13.1


7.6












BD INTERVENTIONAL











Surgery (a)


$

177


$

65


$

12


NM


NM

Peripheral Intervention (a)


303


4


22


NM


NM

Urology and Critical Care


171



11


NM


NM

TOTAL


$

651


$

68


$

45


NM


NM












TOTAL INTERNATIONAL


$

5,261


$

4,068


$

302


29.3


21.9


(a) The presentation of prior-period amounts reflects a reclassification of $68 million associated with the movement, effective on January 1, 2018, of certain product offerings from the Medical segment to the Interventional segment.

 

 

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



2018


2017


FX Impact


Reported


FXN

BD MEDICAL











Medication Delivery Solutions (a)


$

2,677


$

2,091


$

65


28.0


24.9

Medication Management
Solutions


1,778


1,723


26


3.2


1.7

Diabetes Care


820


773


21


6.1


3.4

Pharmaceutical Systems


994


889


59


11.8


5.2

TOTAL


$

6,270


$

5,477


$

171


14.5


11.4












BD LIFE SCIENCES











Preanalytical Systems


$

1,160


$

1,094


$

29


6.1


3.4

Diagnostic Systems


1,152


1,019


31


13.1


10.1

Biosciences


910


825


27


10.3


7.0

TOTAL


$

3,222


$

2,937


$

87


9.7


6.7












BD INTERVENTIONAL











Surgery (a)


$

864


$

499


$

12


NM


NM

Peripheral Intervention (a)


697


14


22


NM


NM

Urology and Critical Care


529



11


NM


NM

TOTAL


$

2,089


$

513


$

45


NM


NM












TOTAL REVENUES


$

11,581


$

8,927


$

302


29.7


26.3


(a) The presentation of prior-period amounts reflects a reclassification of $513 million associated with the movement, effective on January 1, 2018, of certain product offerings from the Medical segment to the Interventional segment.

 

 

BECTON DICKINSON AND COMPANY

SUPPLEMENTAL INFORMATION

RECONCILIATION OF REPORTED REVENUE CHANGE TO COMPARABLE REVENUE CHANGE - UNITED STATES

Three Months Ended June 30,

(Unaudited; Amounts in millions)





















A



B


C


D


E


F=B+C+D+E



G=(A-F)/F



BD
Reported



BD
Reported (a)


Bard (b)


Intercompany
Adjustment
(c)


Divestiture
Adjustments
(d)


Comparable



Comparable
% Change



2018



2017


2017



2017



BD MEDICAL

















Medication Delivery Solutions (a)


$

505



$

335


$

144


$

(3)


$


$

476



6.2

Medication Management Solutions


483



447





447



8.1

Diabetes Care


138



132





132



4.7

Pharmaceutical Systems


103



93





93



11.6

TOTAL


$

1,230



$

1,006


$

144


$

(3)


$


$

1,147



7.2


















BD LIFE SCIENCES

















Preanalytical Systems


$

199



$

191


$


$


$


$

191



4.2

Diagnostic Systems


151



145





145



4.2

Biosciences


126



115





115



9.7

TOTAL


$

476



$

451


$


$


$


$

451



5.6


















BD INTERVENTIONAL

















Surgery (a)


$

259



$

142


$

129


$


$

(9)


$

262



(1.4)

Peripheral Intervention (a)


195



3


178




181



7.6

Urology and Critical Care


178




167




167



6.9

TOTAL


$

632



$

145


$

474


$


$

(9)


$

610



3.5


















TOTAL UNITED STATES


$

2,338



$

1,603


$

618


$

(3)


$

(9)


$

2,208



5.9



(a)

Reflects a reclassification of $145 million associated with the movement, effective on January 1, 2018, of certain product offerings from the Medical segment to the Interventional segment.

(b)

Amounts presented in alignment with BD's current-period segment, organizational unit and regional reporting structure.  Also reflects the elimination of revenues from the Peripheral Intervention unit related to a royalty income stream, reported as revenues by Bard, which BD reports as non-operating income in the current-year period.

(c)

Represents the elimination of revenues from the Medication Delivery Solutions unit which BD previously recognized from Bard as third-party revenues and that would be treated as intercompany revenues in the current-year period.

(d)

Represents adjustments for BD's divestiture of its soft tissue core needle biopsy product line and Bard's divestiture of its Aspira® product line.

 

 

BECTON DICKINSON AND COMPANY

SUPPLEMENTAL INFORMATION

RECONCILIATION OF REPORTED REVENUE CHANGE TO COMPARABLE REVENUE CHANGE - INTERNATIONAL

SUPPLEMENTAL INFORMATION

Three Months Ended June 30, (continued)

(Unaudited; Amounts in millions)




















A



B


C


D


E=B+C+D



F


G=(A-E-F)/E



BD
Reported



BD
Reported (a)


Bard (b)


Divestiture
Adjustments
(c)


Comparable



FX Impact


FXN %
Change



2018



2017


2017



2017




BD MEDICAL

















Medication Delivery Solutions (a)


$

471



$

367


$

59


$


$

426



$

23


5.3

Medication Management Solutions


127



109




109



9


9.1

Diabetes Care


138



131




131



7


0.1

Pharmaceutical Systems


279



258




258



19


1.0

TOTAL


$

1,016



$

864


$

59


$


$

923



$

58


3.8


















BD LIFE SCIENCES

















Preanalytical Systems


$

205



$

185


$


$


$

185



$

8


6.2

Diagnostic Systems


211



191




191



10


5.7

Biosciences


188



171




171



8


4.9

TOTAL


$

603



$

547


$


$


$

547



$

26


5.6


















BD INTERVENTIONAL

















Surgery (a)


$

77



$

20


$

45


$

(2)


$

64



$

5


14.4

Peripheral Intervention (a)


157



1


134



136



10


8.7

Urology and Critical Care


87




80



80



5


3.0

TOTAL


$

322



$

22


$

259


$

(2)


$

279



$

19


8.4


















TOTAL INTERNATIONAL


$

1,941



$

1,433


$

318


$

(2)


$

1,749



$

103


5.1



(a)

Reflects a reclassification of $22 million associated with the movement, effective on January 1, 2018, of certain product offerings from the Medical segment to the Interventional segment.

(b)

Amounts presented in alignment with BD's current-period segment, organizational unit and regional reporting structure.

(c)     

Represents adjustments for BD's divestiture of its soft tissue core needle biopsy product line and Bard's divestiture of its Aspira® product line.

 

 

BECTON DICKINSON AND COMPANY

SUPPLEMENTAL INFORMATION

RECONCILIATION OF REPORTED REVENUE CHANGE TO COMPARABLE REVENUE CHANGE - TOTAL

Three Months Ended June 30, (continued)

(Unaudited; Amounts in millions)























A



B


C


D


E


F=B+C+D+E



G


H=(A-F-G)/F



BD
Reported



BD
Reported (a)


Bard (b)


Intercompany
Adjustment
(c)


Divestiture
Adjustments
(d)


Comparable



FX Impact


FXN %
Change



2018



2017


2017




2017




BD MEDICAL



















Medication Delivery Solutions (a)


$

977



$

702


$

203


$

(3)


$


$

902



$

23


5.8

Medication Management
Solutions


610



556





556



9


8.3

Diabetes Care


276



263





263



7


2.4

Pharmaceutical Systems


383



350





350



19


3.8

TOTAL


$

2,246



$

1,871


$

203


$

(3)


$


$

2,070



$

58


5.7




















BD LIFE SCIENCES



















Preanalytical Systems


$

404



$

376


$


$


$


$

376



$

8


5.2

Diagnostic Systems


362



335





335



10


5.0

Biosciences


314



286





286



8


6.8

TOTAL


$

1,079



$

997


$


$


$


$

997



$

26


5.6




















BD INTERVENTIONAL



















Surgery (a)


$

336



$

163


$

175


$


$

(11)


$

326



$

5


1.7

Peripheral Intervention (a)


353



5


312




317



10


8.1

Urology and Critical Care


265




246




246



5


5.6

TOTAL


$

954



$

167


$

733


$


$

(11)


$

889



$

19


5.1




















TOTAL REVENUES


$

4,278



$

3,035


$

936


$

(3)


$

(11)


$

3,957



$

103


5.5



(a)

Reflects a reclassification of $167 million associated with the movement, effective on January 1, 2018, of certain product offerings from the Medical segment to the Interventional segment.

(b)

Amounts presented in alignment with BD's current-period segment, organizational unit and regional reporting structure.  Also reflects the elimination of revenues from the Peripheral Intervention unit related to a royalty income stream, reported as revenues by Bard, which BD reports as non-operating income in the current-year period.

(c)

Represents the elimination of revenues from the Medication Delivery Solutions unit which BD previously recognized from Bard as third-party revenues and that would be treated as intercompany revenues in the current-year period.

(d)

Represents adjustments for BD's divestiture of its soft tissue core needle biopsy product line and Bard's divestiture of its Aspira® product line.

 

 

BECTON DICKINSON AND COMPANY

SUPPLEMENTAL INFORMATION

RECONCILIATION OF REPORTED REVENUE CHANGE TO COMPARABLE REVENUE CHANGE - UNITED STATES

Nine Months Ended June 30,

(Unaudited; Amounts in millions)




A


B


C


D


E=A+B+C+D



F


G


H


I


J=F+G+H+I



K=(E-J)/J



BD
Reported


Bard Q1 (b)


Intercompany
Adjustment (c)


Divestiture
Adjustments
(d)


Comparable



BD
Reported (a)


Bard (b)


Intercompany
Adjustment
(c)


Divestiture
Adjustments
(d)


Comparable



Comparable
% Change



2018


2018




2018



2017


2017




2017



BD MEDICAL

























Medication Delivery Solutions (a)


$

1,379


$

145


$

(3)


$


$

1,521



$

1,026


$

429


$

(11)


$


$

1,444



5.3

Medication Management
Solutions


1,415





1,415



1,403





1,403



0.9

Diabetes Care


415





415



400





400



3.8

Pharmaceutical Systems


239





239



231





231



3.5

TOTAL


$

3,448


$

145


$

(3)


$


$

3,590



$

3,060


$

429


$

(11)


$


$

3,478



3.2


























BD LIFE SCIENCES

























Preanalytical Systems


$

565


$


$


$


$

565



$

552


$


$


$


$

552



2.2

Diagnostic Systems


518





518



471





471



9.9

Biosciences


350





350



331





331



5.7

TOTAL


$