BD Announces Results for Third Fiscal Quarter
- Reports earnings per share from continuing operations of $1.38, or $1.30 after excluding specified item
- Revises earnings guidance to high end of range previously provided for fiscal year 2009
- Reports divestiture of Home Healthcare product line
FRANKLIN LAKES, N.J., July 30 /PRNewswire-FirstCall/ -- BD (Becton, Dickinson and Company) (NYSE: BDX) today reported quarterly revenues of $1.820 billion for the third fiscal quarter ended June 30, 2009, representing a decrease of 1.6 percent from the prior-year period. Excluding the unfavorable impact from foreign currency translation, which overall is estimated to account for 7 percentage points, worldwide revenues increased 5 percent.
"We are pleased with our solid third quarter performance and, in particular, the results achieved by our Diagnostics segment and our Medical segment's Pharmaceutical Systems and Diabetes Care units," stated Edward J. Ludwig, Chairman and Chief Executive Officer. "In the face of a challenging global economy, we exceeded our overall expectations in the quarter and, as a result, we are revising our revenue and earnings guidance to the high end of the range previously provided for this year. We remain confident that our focus on productivity improvements and disciplined expense management, along with our ongoing investments in long-term growth opportunities, will ensure BD's future success."
Analyses of Third Quarter and Nine-Month Period of Fiscal Year 2009 and 2008 Earnings
Table 1 Three Months Ended June 30, Nine Months Ended June 30,
------- ---------------------------- ---------------------------
2009 2008 % Growth 2009 2008 % Growth
------- ------ -------- ------- ------ --------
Diluted EPS $ 1.39 $ 1.18 17.8% $ 3.70 $ 3.34 10.8%
Home
Healthcare
Divestiture (0.01) - (0.03) (0.03)
------- ------ ------- ------
Diluted EPS
from
Continuing
Operations $ 1.38 $ 1.18 16.9% $ 3.67 $ 3.31 10.9%
Specified
Items:
Litigation
Charge (1) - - 0.11 -
Tax
Adjustment
(2) (0.08) - (0.08) -
------- ------ ------- ------
Adjusted
Diluted EPS
from
Continuing
Operations $ 1.30 $ 1.18 10.2% $ 3.70 $ 3.31 11.8%
======= ====== ======= ======
(1) Represents the charge relating to the pending settlement with the
direct purchaser plaintiffs (which includes BD's distributors) in
the antitrust class actions.
(2) Represents the tax benefit relating to various tax settlements in
multiple jurisdictions.
The preceding analysis (Table 1) of diluted earnings per share from continuing operations for the three-month and nine-month periods ended June 30, 2009 and 2008 identifies the specified items that affect comparability of results between periods. As illustrated, third quarter fiscal 2009 diluted earnings per share from continuing operations included a tax benefit of $20 million (8 cents diluted earnings per share from continuing operations) relating to various tax settlements in multiple jurisdictions. Excluding the tax benefit of 8 cents, third quarter fiscal 2009 diluted earnings per share from continuing operations were $1.30, representing an increase of 10 percent over diluted earnings per share from continuing operations of $1.18 from the prior-year period. Reported diluted earnings per share from continuing operations for the third quarter of fiscal 2009 included a 7-cents gain from our hedging program.
For the nine-month period, diluted earnings per share from continuing operations of $3.67 included the aforementioned tax benefit of 8 cents and the second quarter charge of 11 cents relating to a pending antitrust class action settlement. Excluding these specified items, diluted earnings per share from continuing operations for the nine-month period in fiscal year 2009 were $3.70, representing an increase of 12 percent over diluted earnings per share from continuing operations of $3.31 from the prior-year period. Reported diluted earnings per share from continuing operations for the nine-month period ending June 30, 2009 included a 23-cents gain from our hedging program.
Home Healthcare Product Line Sold
In July 2009, the Company sold the assets associated with its Home Healthcare product line to 3M, including product inventory, brand names and manufacturing associated with ACE((R)), Tensor((R)), Bauer & Black((R) )and Tru-Fit((R)) products, and thermometers. Consequently, the results of operations of the Home Healthcare product line have been classified as discontinued operations for all quarters and years referred to in this release. Included in the attached financial tables are the Company's Consolidated Income Statements for the first two quarters of fiscal year 2009 and for all periods in fiscal year 2008, which reflect this classification change. The Company expects to record a gain on the sale of about 5 cents diluted earnings per share from discontinued operations in the fourth fiscal quarter.
Segment Results
In the BD Medical segment, worldwide revenues for the quarter were $969 million, representing a decrease of 3 percent from the prior year period. Excluding the unfavorable impact from foreign currency translation of an estimated 8 percentage points, revenues increased 5 percent in the quarter due in part to sales of insulin delivery products, as well as safety-engineered and prefillable devices. For the nine-month period ended June 30, 2009 the BD Medical segment reported a 2 percent decrease in revenue growth. On a currency neutral basis, BD Medical revenues for the nine-month period increased by 3 percent.
In the BD Diagnostics segment, worldwide revenues for the quarter were $566 million, representing an increase of 2 percent from the prior year period. Excluding the unfavorable impact from foreign currency translation of an estimated 6 percentage points, revenues increased 8 percent in the quarter. Sales of safety-engineered devices, cancer diagnostics products and infectious disease testing systems, including flu-related products, contributed to revenue growth. For the nine-month period ended June 30, 2009 the BD Diagnostics segment reported 2.5 percent revenue growth. On a currency neutral basis, BD Diagnostics revenues for the nine-month period increased by 6.5 percent.
In the BD Biosciences segment, worldwide revenues for the quarter were $285 million, representing a decrease of 4 percent from the prior year period. Excluding the unfavorable impact from foreign currency translation of an estimated 3 percentage points, revenues decreased 1 percent in the quarter. Demand in the U.S. for capital equipment in the research and clinical segments continued to be impacted by funding constraints. International revenue growth moderated in the third quarter primarily due to lessening demand for instruments in Europe and Japan. For the nine-month period ended June 30, 2009 the BD Biosciences segment reported 3 percent revenue growth. On a currency neutral basis, BD Biosciences revenues for the nine-month period increased by 4 percent.
Geographic Results
Third quarter revenues in the U.S. were $805 million, representing an increase of 3 percent from the prior year period. Revenues outside of the U.S. were $1.015 billion, representing a decrease of 5 percent from the prior year period, and reflect an estimated 11 percentage points of unfavorable impact from foreign currency translation.
For the nine-month period ended June 30, 2009, revenues in the U.S. were $2.365 billion, representing an increase of 2 percent from the prior year period. Revenues outside of the U.S. were $2.898 billion, representing a decrease of 1 percent from the prior year period, and reflect an estimated 8 percentage points of unfavorable impact from foreign currency translation.
Fiscal 2009 Outlook for Full Year
The Company revised its guidance for full fiscal year 2009 reported diluted earnings per share from continuing operations to approximately 11 to 12 percent over diluted earnings per share from continuing operations of $4.42 for the full fiscal year 2008. The Company's guidance for full fiscal year 2009 includes an approximate 28-cents gain from our hedging program as discussed on our April 28, 2009 second fiscal quarter conference call.
The following analysis of estimated diluted earnings per share from continuing operations for the full fiscal year identifies specified items that affect the comparability of results between periods. As illustrated in Table 2, the Company expects that diluted earnings per share from continuing operations for the full fiscal year 2009, excluding specified items, will be approximately $4.92 to $4.96, representing an increase of approximately 11 to 12 percent over diluted earnings per share from continuing operations of $4.42 for the fiscal year 2008.
Table 2 Twelve Months Ended September 30,
------- ------------------------------------
2009 2008 % Growth
-------------- ------- --------
(Estimated)
Diluted EPS (1) $4.93 - $4.97 $ 4.46 10 - 11%
Home Healthcare
Divestiture (0.04) (0.04)
-------------- -------
Diluted EPS from
Continuing Operations $4.89 - $4.93 $ 4.42 11 - 12%
Specified Items:
Litigation Charge (2) 0 .11 -
Tax Adjustment (3) (0.08) -
-------------- -------
Adjusted Diluted EPS
from Continuing
Operations $4.92 - $4.96 $ 4.42 11 - 12%
============= =======
(1) Does not include estimated gain on sale of Home Healthcare
of about 5 cents.
(2) Represents the charge relating to the pending settlement
with the direct purchaser plaintiffs (which includes BD's
distributors) in the antitrust class actions.
(3) Represents the tax benefit relating to various tax
settlements in multiple jurisdictions.
Conference Call Information
A conference call regarding BD's third fiscal quarter results, its expectations for the full fiscal year 2009 and its preliminary outlook for fiscal year 2010 will be broadcast live on BD's website, www.bd.com/investors, along with related slides, at 10:00 a.m. (ET) Thursday, July 30, 2009. The conference call will be available for replay on BD's website, www.bd.com/investors, or at 800-642-1687 (domestic) and 706-645-9291 (international), Conference ID: 16834521, through the close of business on Thursday, August 6, 2009.
This news release contains certain non-GAAP financial measures. A reconciliation of these and other measures to the comparable GAAP measures is included in this release and in the attached financial tables.
About BD
BD is a leading global medical technology company that develops, manufactures and sells medical devices, instrument systems and reagents. The Company is dedicated to improving people's health throughout the world. BD is focused on improving drug delivery, enhancing the quality and speed of diagnosing infectious diseases and cancers, and advancing research, discovery and production of new drugs and vaccines. BD's capabilities are instrumental in combating many of the world's most pressing diseases. Founded in 1897 and headquartered in Franklin Lakes, New Jersey, BD employs approximately 28,000 people in approximately 50 countries throughout the world. The Company serves healthcare institutions, life science researchers, clinical laboratories, the pharmaceutical industry and the general public. For more information, please visit www.bd.com.
This press release, including the section entitled "Fiscal 2009 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, earnings per share and income, or events or developments that BD expects to occur or anticipates occurring in the future. 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, factors that could cause actual results to vary materially from any forward-looking statement include, but are not limited to: adverse changes in regional, national or foreign economic conditions, including any impact that may result from the current global economic downturn on our ability to access credit markets and finance our operations, the demand for our products and services, or our suppliers' ability to provide products needed for our operations; changes in interest or foreign currency exchange rates, particularly in light of increased volatility in currency exchange rates; competitive factors; pricing and market share pressures; difficulties inherent in product development and delays in product introductions; increases in energy costs and their effect on, among other things, the cost of producing BD's products; fluctuations in costs and availability of raw materials and in BD's ability to maintain favorable supplier arrangements and relationships; uncertainties of litigation (as described in BD's filings with the Securities and Exchange Commission); the effects of potential pandemic diseases; changes in healthcare or other governmental regulation, 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 this press release and 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 thousands, except per share data)
Three Months Ended June 30,
2009 2008 % Change
---- ---- --------
REVENUES $1,820,255 $1,849,339 (1.6)
Cost of products sold 860,063 905,388 (5.0)
Selling and administrative 429,940 435,807 (1.3)
Research and development 98,489 99,928 (1.4)
------------------------------------- ------ ------ ----
TOTAL OPERATING COSTS
AND EXPENSES 1,388,492 1,441,123 (3.7)
------------------------------------- --------- --------- ----
OPERATING INCOME 431,763 408,216 5.8
Interest income 12,767 10,956 16.5
Interest expense (11,288) (9,017) 25.2
Other expense, net (4,247) (1,285) NM
------------------------------------- ------ ------ --
INCOME FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES 428,995 408,870 4.9
Income tax provision 90,291 112,875 (20.0)
------------------------------------- ------ ------- -----
INCOME FROM CONTINUING OPERATIONS 338,704 295,995 14.4
INCOME FROM DISCONTINUED OPERATIONS
NET OF INCOME TAX PROVISION (BENEFIT)
OF $214 AND $(261), RESPECTIVELY 2,323 1,094 NM
------------------------------------- ----- ----- --
NET INCOME $341,027 $297,089 14.8
------------------------------------- -------- -------- ----
EARNINGS PER SHARE
Basic:
Income from continuing operations $1.41 $1.21 16.5
Income from discontinued operations $0.01 $- NM
Net income (1) $1.42 $1.22 16.4
Diluted:
Income from continuing operations $1.38 $1.18 16.9
Income from discontinued operations $0.01 $- NM
Net income $1.39 $1.18 17.8
AVERAGE SHARES OUTSTANDING
Basic 240,109 244,273
Diluted 245,696 251,648
------------------------------------- ------- -------
NM - Not Meaningful
(1) Total per share amounts may not add due to rounding
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL INFORMATION
(Unaudited; Amounts in thousands, except per share data)
Three Months Ended June 30, 2009
------------------------------------------
Tax Excluding
As Reported Adjustment (1) Item
----------- ------------- -----------
Income taxes 90,291 20,485 110,776
effective tax rate 21.0% 25.8%
Income from continuing
operations 338,704 (20,485) 318,219
as a % of revenues 18.6% 17.5%
Diluted earnings per share
--------------------------
Income from continuing
operations $1.38 $(0.08) $1.30
(1) Represents the tax benefit relating to various tax settlements in
multiple jurisdictions.
BECTON DICKINSON AND COMPANY
CONSOLIDATED INCOME STATEMENTS
(Unaudited; Amounts in thousands, except per share data)
Nine Months ended June 30,
2009 2008 % Change
---- ---- --------
REVENUES $5,263,141 $5,262,786 0.0
Cost of products sold 2,485,687 2,566,465 (3.1)
Selling and administrative 1,272,318 1,263,212 0.7
Research and development 294,391 287,169 2.5
----------------------------------- ------- ------- ---
TOTAL OPERATING COSTS
AND EXPENSES 4,052,396 4,116,846 (1.6)
----------------------------------- --------- --------- ----
OPERATING INCOME 1,210,745 1,145,940 5.7
Interest income 18,730 32,489 (42.3)
Interest expense (26,607) (27,455) (3.1)
Other (expense) income, net (538) 252 NM
----------------------------------- ---- --- --
INCOME FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES 1,202,330 1,151,226 4.4
Income tax provision 295,033 314,321 (6.1)
----------------------------------- ------- ------- ----
INCOME FROM CONTINUING OPERATIONS 907,297 836,905 8.4
INCOME FROM DISCONTINUED OPERATIONS
NET OF INCOME TAX PROVISION OF
$1,681 AND $1,364, RESPECTIVELY 7,086 7,916 (10.5)
----------------------------------- ----- ----- -----
NET INCOME $914,383 $844,821 8.2
----------------------------------- -------- -------- ---
EARNINGS PER SHARE
Basic:
Income from continuing operations $3.77 $3.42 10.2
Income from discontinued operations $0.03 $0.03 -
Net income (1) $3.80 $3.46 9.8
Diluted:
Income from continuing operations $3.67 $3.31 10.9
Income from discontinued operations $0.03 $0.03 -
Net income $3.70 $3.34 10.8
AVERAGE SHARES OUTSTANDING
Basic 240,923 244,478
Diluted 247,083 252,944
---------------------------------- ------- -------
NM - Not Meaningful
(1) Total per share amounts may not add due to rounding
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL INFORMATION
(Unaudited; Amounts in thousands, except per share data)
Nine Months ended June 30, 2009
-------------------------------------------------
As Litigation Tax Excluding
Reported Charge (1) Adjustment(2) Items
---------- ----------- ------------ ---------
Selling and
administrative $1,272,318 $(45,000) $- $1,227,318
as a % of revenues 24.2% 23.3%
Operating Income 1,210,745 45,000 - 1,255,745
as a % of revenues 23.0% 23.9%
Income taxes 295,033 17,100 20,485 332,618
effective tax rate 24.5% 26.7%
Income from continuing
operations 907,297 27,900 (20,485) 914,712
as a % of revenues 17.2% 17.4%
Diluted earnings per share
--------------------------
Income from continuing
operations $3.67 $0.11 $(0.08) $3.70
(1) Represents the charge relating to the pending settlement with the
direct purchaser plaintiffs (which includes BD's distributors)
in the antitrust class actions.
(2) Represents the tax benefit relating to various tax settlements in
multiple jurisdictions.
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY SEGMENT AND GEOGRAPHIC AREA
(Unaudited; Amounts in thousands)
Three Months Ended June 30,
2009 2008 % Change
---- ---- --------
BD MEDICAL
--------------
United States $397,898 $386,724 2.9
International 570,773 611,424 (6.6)
-------------- ------- ------- ----
TOTAL $968,671 $998,148 (3.0)
-------------- -------- -------- ----
BD DIAGNOSTICS
--------------
United States $299,374 $280,118 6.9
International 267,005 273,304 (2.3)
-------------- ------- ------- ----
TOTAL $566,379 $553,422 2.3
-------------- -------- -------- ---
BD BIOSCIENCES
--------------
United States $108,136 $116,239 (7.0)
International 177,069 181,530 (2.5)
-------------- ------- ------- ----
TOTAL $285,205 $297,769 (4.2)
-------------- -------- -------- ----
TOTAL REVENUES
--------------
United States $805,408 $783,081 2.9
International 1,014,847 1,066,258 (4.8)
-------------- --------- --------- ----
TOTAL $1,820,255 $1,849,339 (1.6)
-------------- ---------- ---------- ----
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY SEGMENT AND GEOGRAPHIC AREA
(Unaudited; Amounts in thousands)
Nine Months ended June 30,
2009 2008 % Change
---- ---- --------
BD MEDICAL
--------------
United States $1,167,062 $1,149,717 1.5
International 1,558,285 1,640,722 (5.0)
-------------- --------- --------- ----
TOTAL $2,725,347 $2,790,439 (2.3)
-------------- ---------- ---------- ----
BD DIAGNOSTICS
--------------
United States $872,055 $840,695 3.7
International 774,156 766,050 1.1
-------------- ------- ------- ---
TOTAL $1,646,211 $1,606,745 2.5
-------------- ---------- ---------- ---
BD BIOSCIENCES
--------------
United States $325,926 $333,891 (2.4)
International 565,657 531,711 6.4
-------------- ------- ------- ---
TOTAL $891,583 $865,602 3.0
-------------- -------- -------- ---
TOTAL REVENUES
--------------
United States $2,365,043 $2,324,303 1.8
International 2,898,098 2,938,483 (1.4)
-------------- --------- --------- ----
TOTAL $5,263,141 $5,262,786 -
-------------- ---------- ---------- --
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY BUSINESS SEGMENTS AND UNITS
Three Months Ended June 30,
(Unaudited; Amounts in thousands)
United States
--------------------------------------
2009 2008 % Change
---- ---- --------
BD MEDICAL
-------------------------
Medical Surgical Systems $256,171 $243,960 5.0
Diabetes Care 91,330 87,469 4.4
Pharmaceutical Systems 43,460 49,125 (11.5)
Ophthalmic Systems 6,937 6,170 12.4
------------------------- ----- ----- ----
TOTAL $397,898 $386,724 2.9
------------------------- -------- -------- ---
BD DIAGNOSTICS
-------------------------
Preanalytical Systems $155,760 $144,416 7.9
Diagnostic Systems 143,614 135,702 5.8
------------------------- ------- ------- ---
TOTAL $299,374 $280,118 6.9
------------------------- -------- -------- ---
BD BIOSCIENCES
-------------------------
Cell Analysis $70,518 $80,186 (12.1)
Discovery Labware 37,618 36,053 4.3
------------------------- ------ ------ ---
TOTAL $108,136 $116,239 (7.0)
-------------------------- -------- -------- ----
TOTAL UNITED STATES $805,408 $783,081 2.9
-------------------------- -------- -------- ---
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY BUSINESS SEGMENTS AND UNITS
Three Months Ended June 30, (continued)
(Unaudited; Amounts in thousands)
International
--------------------------------------------------
% Change
-----------------------------
FX FX
2009 2008 Reported Neutral Impact
---- ---- -------- ------- ------
BD MEDICAL
-------------------
Medical Surgical
Systems $242,701 $272,064 (10.8) 3.1 (13.9)
Diabetes Care 94,521 94,244 0.3 12.3 (12.0)
Pharmaceutical
Systems 220,503 230,346 (4.3) 8.3 (12.6)
Ophthalmic Systems 13,048 14,770 (11.7) 0.1 (11.8)
------------------- ------ ------ ----- --- -----
TOTAL $570,773 $611,424 (6.6) 6.4 (13.0)
------------------- -------- -------- ---- --- -----
BD DIAGNOSTICS
-------------------
Preanalytical
Systems $136,427 $146,345 (6.8) 6.5 (13.3)
Diagnostic Systems 130,578 126,959 2.9 13.0 (10.1)
------------------- ------- ------- --- ---- -----
TOTAL $267,005 $273,304 (2.3) 9.5 (11.8)
------------------- -------- -------- ---- --- -----
BD BIOSCIENCES
-------------------
Cell Analysis $139,251 $141,889 (1.9) 3.0 (4.9)
Discovery Labware 37,818 39,641 (4.6) 0.8 (5.4)
------------------- ------ ------ ---- --- ----
TOTAL $177,069 $181,530 (2.5) 2.5 (5.0)
------------------- -------- -------- ---- --- ----
TOTAL INTERNATIONAL $1,014,847 $1,066,258 (4.8) 6.5 (11.3)
------------------- ---------- ---------- ---- --- -----
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY BUSINESS SEGMENTS AND UNITS
Three Months Ended June 30, (continued)
(Unaudited; Amounts in thousands)
Total
--------------------------------------------------
% Change
----------------------------
FX FX
2009 2008 Reported Neutral Impact
---- ---- -------- ------- ------
BD MEDICAL
-------------------
Medical Surgical
Systems $498,872 $516,024 (3.3) 4.0 (7.3)
Diabetes Care 185,851 181,713 2.3 8.5 (6.2)
Pharmaceutical
Systems 263,963 279,471 (5.5) 4.8 (10.3)
Ophthalmic Systems 19,985 20,940 (4.6) 3.7 (8.3)
------------------- ------ ------ ---- --- ----
TOTAL $968,671 $998,148 (3.0) 5.1 (8.1)
------------------- -------- -------- ---- --- ----
BD DIAGNOSTICS
-------------------
Preanalytical
Systems $292,187 $290,761 0.5 7.2 (6.7)
Diagnostic Systems 274,192 262,661 4.4 9.3 (4.9)
------------------- ------- ------- --- --- ----
TOTAL $566,379 $553,422 2.3 8.2 (5.9)
------------------- -------- -------- --- --- ----
BD BIOSCIENCES
-------------------
Cell Analysis $209,769 $222,075 (5.5) (2.4) (3.1)
Discovery Labware 75,436 75,694 (0.3) 2.5 (2.8)
------------------- ------ ------ ---- --- ----
TOTAL $285,205 $297,769 (4.2) (1.2) (3.0)
------------------- -------- -------- ---- ---- ----
TOTAL REVENUES $1,820,255 $1,849,339 (1.6) 5.0 (6.6)
------------------- ---------- ---------- ---- --- ----
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY BUSINESS SEGMENTS AND UNITS
Nine Months ended June 30,
(Unaudited; Amounts in thousands)
United States
----------------------------------------
2009 2008 % Change
---- ---- --------
BD MEDICAL
-------------------------
Medical Surgical Systems $754,776 $729,152 3.5
Diabetes Care 263,028 250,099 5.2
Pharmaceutical Systems 129,177 151,882 (14.9)
Ophthalmic Systems 20,081 18,584 8.1
------------------------- ------ ------ ---
TOTAL $1,167,062 $1,149,717 1.5
------------------------- ---------- ---------- ---
BD DIAGNOSTICS
-------------------------
Preanalytical Systems $452,426 $428,391 5.6
Diagnostic Systems 419,629 412,304 1.8
------------------------- ------- ------- ---
TOTAL $872,055 $840,695 3.7
------------------------- -------- -------- ---
BD BIOSCIENCES
-------------------------
Cell Analysis $219,668 $225,814 (2.7)
Discovery Labware 106,258 108,077 (1.7)
------------------------- ------- ------- ----
TOTAL $325,926 $333,891 (2.4)
------------------------- -------- -------- ----
TOTAL UNITED STATES $2,365,043 $2,324,303 1.8
------------------------- ---------- ---------- ---
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY BUSINESS SEGMENTS AND UNITS
Nine Months ended June 30, (continued)
(Unaudited; Amounts in thousands)
International
----------------------------------------------------
% Change
----------------------------
FX FX
2009 2008 Reported Neutral Impact
---- ---- -------- ------ ------
BD MEDICAL
-------------------
Medical Surgical
Systems $697,178 $766,401 (9.0) 2.3 (11.3)
Diabetes Care 271,221 269,215 0.7 8.8 (8.1)
Pharmaceutical
Systems 550,718 563,969 (2.3) 5.6 (7.9)
Ophthalmic Systems 39,168 41,137 (4.8) 3.7 (8.5)
------------------- ------ ------ ---- --- ----
TOTAL $1,558,285 $1,640,722 (5.0) 4.5 (9.5)
------------------- ---------- ---------- ---- --- ----
BD DIAGNOSTICS
-------------------
Preanalytical
Systems $396,380 $408,031 (2.9) 7.2 (10.1)
Diagnostic Systems 377,776 358,019 5.5 12.2 (6.7)
------------------- ------- ------- --- ---- ----
TOTAL $774,156 $766,050 1.1 9.5 (8.4)
------------------- -------- -------- --- --- ----
BD BIOSCIENCES
-------------------
Cell Analysis $450,615 $421,095 7.0 8.1 (1.1)
Discovery Labware 115,042 110,616 4.0 4.4 (0.4)
------------------- ------- ------- --- --- ----
TOTAL $565,657 $531,711 6.4 7.3 (0.9)
------------------- -------- -------- --- --- ----
TOTAL INTERNATIONAL $2,898,098 $2,938,483 (1.4) 6.4 (7.8)
------------------- ---------- ---------- ---- --- ----
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY BUSINESS SEGMENTS AND UNITS
Nine Months ended June 30, (continued)
(Unaudited; Amounts in thousands)
Total
----------------------------------------------------
% Change
--------------------------
FX FX
2009 2008 Reported Neutral Impact
---- ---- -------- ------- ------
BD MEDICAL
-------------------
Medical Surgical
Systems $1,451,954 $1,495,553 (2.9) 2.9 (5.8)
Diabetes Care 534,249 519,314 2.9 7.1 (4.2)
Pharmaceutical
Systems 679,895 715,851 (5.0) 1.2 (6.2)
Ophthalmic Systems 59,249 59,721 (0.8) 5.1 (5.9)
------------------- ------ ------ ---- --- ----
TOTAL $2,725,347 $2,790,439 (2.3) 3.3 (5.6)
------------------- ---------- ---------- ---- --- ----
BD DIAGNOSTICS
--------------
Preanalytical
Systems $848,806 $836,422 1.5 6.4 (4.9)
Diagnostic Systems 797,405 770,323 3.5 6.6 (3.1)
------------------- ------- ------- --- --- ----
TOTAL $1,646,211 $1,606,745 2.5 6.5 (4.0)
------------------- ---------- ---------- --- --- ----
BD BIOSCIENCES
-------------------
Cell Analysis $670,283 $646,909 3.6 4.3 (0.7)
Discovery Labware 221,300 218,693 1.2 1.4 (0.2)
------------------- ------- ------- --- --- ----
TOTAL $891,583 $865,602 3.0 3.6 (0.6)
------------------- -------- -------- --- --- ----
TOTAL REVENUES $5,263,141 $5,262,786 - 4.3 (4.3)
------------------- ---------- ---------- - --- ----
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL REVENUE INFORMATION
SAFETY REVENUES
(Unaudited; Amounts in thousands)
Three Months Ended June 30,
--------------------------------------------------
% Change
--------------------------
FX FX
2009 2008 Reported Neutral Impact
---- ---- -------- ------- ------
TOTAL SAFETY REVENUES
---------------------
United States $272,719 $261,041 4.5 4.5 -
International 148,970 143,495 3.8 17.9 (14.1)
--------------------- ------- ------- --- ---- -----
TOTAL $421,689 $404,536 4.2 9.3 (5.1)
--------------------- -------- -------- --- --- ----
Nine Months ended June 30,
---------------------------------------------------
% Change
--------------------------
FX FX
2009 2008 Reported Neutral Impact
---- ---- -------- ------- ------
TOTAL SAFETY REVENUES
---------------------
United States $796,714 $774,608 2.9 2.9 -
International 419,768 390,797 7.4 18.7 (11.3)
--------------------- ------- ------- --- ---- -----
TOTAL $1,216,482 $1,165,405 4.4 8.2 (3.8)
--------------------- ---------- ---------- --- --- ----
BECTON DICKINSON AND COMPANY
CONSOLIDATED INCOME STATEMENTS FISCAL 2009
Revised for Home Health Care Discontinued Operations
(Unaudited; Amounts in thousands, except per-share data)
Quarter 1 Quarter 2 Quarter 2 YTD
--------- --------- -------------
REVENUES $1,717,919 $1,724,967 $3,442,886
Cost of products sold 796,274 829,350 1,625,624
Selling and administrative 406,019 436,359 842,378
Research and development 97,314 98,588 195,902
---------------------------------- ------ ------ -------
TOTAL OPERATING COSTS AND EXPENSES 1,299,607 1,364,297 2,663,904
---------------------------------- --------- --------- ---------
OPERATING INCOME 418,312 360,670 778,982
Interest income 1,651 4,312 5,963
Interest expense (7,824) (7,495) (15,319)
Other income (expense), net 9,411 (5,701) 3,710
---------------------------------- ----- ------ -----
INCOME FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES 421,550 351,786 773,336
Income tax provision 112,131 92,612 204,743
---------------------------------- ------- ------ -------
INCOME FROM CONTINUING OPERATIONS 309,419 259,174 568,593
Income from Discontinued Operations
before Income Tax 3,503 2,726 6,229
Income tax provision 854 611 1,465
----------------------------------- --- --- -----
INCOME FROM DISCONTINUED OPERATIONS 2,649 2,115 4,764
----------------------------------- ----- ----- -----
NET INCOME $312,068 $261,289 $573,357
----------------------------------- -------- -------- --------
EARNINGS PER SHARE
Basic:
Income from continuing
operations $1.28 $1.08 $2.36
Income from discontinued operations $0.01 $0.01 $0.02
Net income $1.29 $1.09 $2.38
Diluted:
Income from continuing operations $1.25 $1.05 $2.30
Income from discontinued operations $0.01 $0.01 $0.02
Net income $1.26 $1.06 $2.32
AVERAGE SHARES OUTSTANDING
Basic 242,397 240,239 241,330
Diluted 248,311 245,890 247,436
----------------------------------- ------- ------- -------
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL INFORMATION
Revised for Home Health Care Discontinued Operations
(Unaudited; Amounts in thousands, except per share data)
Three Months Ended March 31, 2009
------------------------------------
As Litigation Excluding
Revised Charge (1) Item
--------- ------------ ----------
Selling and administrative $436,359 $(45,000) $391,359
as a % of revenues 25.3% 22.7%
Operating Income 360,670 45,000 405,670
as a % of revenues 20.9% 23.5%
Income taxes 92,612 17,100 109,712
effective tax rate 26.3% 27.7%
Income from continuing operations 259,174 27,900 287,074
as a % of revenues 15.0% 16.6%
Diluted earnings per share
-----------------------------------
Income from continuing operations(2) $1.05 $0.11 $1.17
(1) Represents the charge relating to the pending settlement with the
direct purchaser plaintiffs (which includes BD's distributors)
in the antitrust class actions.
(2) Total per share amounts may not add due to rounding.
Six Months Ended March 31, 2009
-------------------------------
As Litigation Excluding
Revised Charge (1) Item
--------- ------------ ----------
Selling and administrative $842,378 $(45,000) $797,378
as a % of revenues 24.5% 23.2%
Operating Income 778,982 45,000 823,982
as a % of revenues 22.6% 23.9%
Income taxes 204,743 17,100 221,843
effective tax rate 26.5% 27.1%
Income from continuing operations 568,593 27,900 596,493
as a % of revenues 16.5% 17.3%
Diluted earnings per share
---------------------------------
Income from continuing operations $2.30 $0.11 $2.41
(1) Represents the charge relating to the pending settlement with the
direct purchaser plaintiffs (which includes BD's distributors)
in the antitrust class actions.
BECTON DICKINSON AND COMPANY
CONSOLIDATED INCOME STATEMENTS FISCAL 2008
Revised for Home Health Care Discontinued Operations
(Unaudited; Amounts in thousands, except per-share data)
Quarter 1 Quarter 2 Quarter 3 Quarter 4 Year
---------- ---------- ---------- ---------- ----------
REVENUES $1,687,077 $1,726,370 $1,849,339 $1,812,156 $7,074,942
Cost of products
sold 820,005 841,073 905,388 880,372 3,446,838
Selling and
administrative 417,197 410,207 435,807 432,399 1,695,610
Research and
development 91,374 95,866 99,928 108,463 395,631
------------------- ------ ------ ------ ------- -------
TOTAL OPERATING
COSTS AND EXPENSES 1,328,576 1,347,146 1,441,123 1,421,234 5,538,079
------------------- --------- --------- --------- --------- ---------
OPERATING INCOME 358,501 379,224 408,216 390,922 1,536,863
Interest income 13,528 8,005 10,956 6,879 39,368
Interest expense (10,339) (8,098) (9,017) (8,889) (36,343)
Other income
(expense), net 707 828 (1,285) (1,734) (1,484)
-------------------- --- --- ------ ------ ------
INCOME FROM
CONTINUING
OPERATIONS BEFORE
INCOME TAXES 362,397 379,959 408,870 387,178 1,538,404
Income tax provision 95,028 106,418 112,875 108,216 422,537
-------------------- ------ ------- ------- ------- -------
INCOME FROM
CONTINUING
OPERATIONS 267,369 273,541 295,995 278,962 1,115,867
Income from
Discontinued
Operations before
Income Tax 5,213 3,234 833 4,434 13,714
Income tax provision
(benefit) 1,034 590 (261) 1,222 2,585
-------------------- ----- --- ---- ----- -----
INCOME FROM
DISCONTINUED
OPERATIONS 4,179 2,644 1,094 3,212 11,129
-------------------- ----- ----- ----- ----- ------
NET INCOME $271,548 $276,185 $297,089 $282,174 $1,126,996
-------------------- -------- -------- -------- -------- ----------
EARNINGS PER SHARE
Basic: (1)
Income from
continuing
operations $1.09 $1.12 $1.21 $1.14 $4.57
Income from
discontinued
operations $0.02 $0.01 $- $0.01 $0.05
Net income $1.11 $1.13 $1.22 $1.16 $4.61
Diluted: (1)
Income from
continuing
operations $1.06 $1.08 $1.18 $1.11 $4.42
Income from
discontinued
operations $0.02 $0.01 $- $0.01 $0.04
Net income $1.07 $1.09 $1.18 $1.12 $4.46
AVERAGE SHARES
OUTSTANDING
Basic 244,292 244,869 244,273 243,863 244,323
Diluted 253,116 252,788 251,648 251,197 252,681
-------------------- ------- ------- ------- ------- -------
(1) Total per share amounts may not add due to rounding.
SOURCE BD (Becton, Dickinson and Company)
Released July 30, 2009