EXHIBIT 99 BECTON DICKINSON REPORTS THIRD QUARTER RESULTS; CHARGES REDUCE NET INCOME BY $69 MILLION Franklin Lakes, NJ (July 21, 1999) - Becton Dickinson and Company (NYSE: BDX) announced today results for its fiscal third quarter ended June 30, 1999, which included the previously announced effects of restructuring and other charges totaling $102 million pre-tax, or $69 million after-tax. Excluding these charges, diluted earnings per share were $.38. Results for the third quarter of 1998, excluding charges of $106 million after-tax, were $.37 per share. Reported earnings per share for the current quarter were $.12. Revenues for the quarter were $873 million, a five percent increase from last year's $834 million. Charges Reduce Reported E.P.S. As the company indicated in April, results for the quarter would include expenses related to a voluntary retirement program and other charges. These other charges relate to exiting certain product lines, primarily in the home health care business and other activities, which reflect the company's decision to discontinue its efforts to introduce a stand-alone blood glucose monitoring product this year. These other charges also include write-downs associated with impaired assets. Of the total restructuring and other charges of $102 million pre-tax for the quarter, approximately $27 million were reported in cost of products sold to reflect the write-off of inventories for the exited product lines. The effect of these charges on diluted earnings per share was $.26. - -------------------------------------------------------------------------------- Helping All People Live Healthy Lives 2 Segment and Geographic Revenues By business segment, medical supplies and devices revenues for the quarter were $495 million, a four percent increase from last year's $474 million. Particularly strong performance was reported by the company's infusion therapy and pre-fillable syringe businesses. Diagnostic systems revenues were $378 million for the quarter, an increase of five percent over last year's $359 million. Especially strong results were reported for the company's flow cytometry business. On a geographic basis, revenues in the United States were $450 million for the quarter, a two percent increase from last year's $442 million. Revenues from non-U.S. markets were $423 million compared with $392 million a year ago, or an increase of eight percent. Nine Months Results For the nine months ended June 30, 1999, revenues increased 11 percent to $2.516 billion, compared with $2.274 billion last year. Net income for the nine months was $199 million or $.75 per diluted share, including the restructuring and other charges in the current quarter. ### This press release may contain certain forward-looking statements (as defined under Federal securities laws) regarding the company's performance, including future revenues, products and income, or events or developments that the company expects to occur or anticipates occurring in the future. All such statements are based upon current expectations of the company and involve a number of business risks and uncertainties. Actual results could vary materially from anticipated results described in any forward-looking statement. Factors that could cause actual results to vary materially from any forward- looking statement include, but are not limited to, competitive factors, changes in regional, national or foreign economic conditions, changes in interest or foreign currency exchange rates, delays in product introductions, Year 2000 issues, and changes in health care or other governmental regulation, as well as other factors discussed herein and in the company's filings with the Securities and Exchange Commission. - Selected Financial Schedules Follow - 3 BECTON DICKINSON AND COMPANY SELECTED FINANCIAL SCHEDULES Amounts in thousands, except per-share data
STATEMENTS Three Months Ended June 30, OF OPERATIONS 1999 1998 % Change - ------------------------------------------------------------------------------------- REVENUES $873,002 $833,561 4.7 Cost of products sold 461,323 419,007 10.1 Selling and administrative 231,924 234,418 (1.1) Research and development 50,694 80,859 (37.3) Special charges 75,553 90,945 NM - ------------------------------------------------------------------------- TOTAL OPERATING COSTS AND EXPENSES 819,494 825,229 (0.7) - ------------------------------------------------------------------------- OPERATING INCOME 53,508 8,332 NM Interest expense, net (16,877) (17,526) (3.7) Other expense, net (1,267) (1,815) (30.2) - ------------------------------------------------------------------------- INCOME (LOSS) BEFORE INCOME TAXES 35,364 (11,009) NM Income tax provision (benefit) 2,240 (1,024) NM - ------------------------------------------------------------------------- NET INCOME (LOSS) $ 33,124 $ (9,985) NM - ------------------------------------------------------------------------- EARNINGS (LOSS) PER SHARE Basic $0.13 $(0.04) NM Diluted $0.12 $(0.04) NM - ------------------------------------------------------------------------- AVERAGE SHARES OUTSTANDING Basic 250,075 246,604 Diluted 265,072 246,604 - ------------------------------------------------------------------------- NM - Not Meaningful Three Months Ended June 30, SUMMARY OF REVENUES 1999 1998 % Change - ------------------------------------------------------------------------------------ BY BUSINESS SEGMENT Medical Supplies and Devices $495,135 $474,351 4.4 Diagnostic Systems 377,867 359,210 5.2 - ------------------------------------------------------------------------- TOTAL REVENUES $873,002 $833,561 4.7 - ------------------------------------------------------------------------- BY GEOGRAPHIC AREA United States $449,616 $441,662 1.8 International 423,386 391,899 8.0 - ------------------------------------------------------------------------- TOTAL REVENUES $873,002 $833,561 4.7 - -------------------------------------------------------------------------
4 BECTON DICKINSON AND COMPANY SELECTED FINANCIAL SCHEDULES Amounts in thousands, except per-share data
STATEMENTS Nine Months Ended June 30, OF OPERATIONS 1999 1998 % Change - ------------------------------------------------------------------------------------- REVENUES $2,515,932 $2,273,634 10.7 Cost of products sold 1,276,293 1,137,890 12.2 Selling and administrative 688,044 619,575 11.1 Research and development 167,255 169,285 (1.2) Special charges 75,553 90,945 NM - ------------------------------------------------------------------------- TOTAL OPERATING COSTS AND EXPENSES 2,207,145 2,017,695 9.4 - ------------------------------------------------------------------------- OPERATING INCOME 308,787 255,939 20.6 Interest expense, net (53,506) (39,194) 36.5 Other income (expense), net 1,218 (7,112) NM - ------------------------------------------------------------------------- INCOME BEFORE INCOME TAXES 256,499 209,633 22.4 Income tax provision 57,103 62,962 (9.3) - ------------------------------------------------------------------------- NET INCOME $ 199,396 $ 146,671 35.9 - ------------------------------------------------------------------------- EARNINGS PER SHARE Basic $0.79 $0.59 33.9 Diluted $0.75 $0.56 33.9 - ------------------------------------------------------------------------- AVERAGE SHARES OUTSTANDING Basic 249,213 245,054 Diluted 265,335 260,684 - ------------------------------------------------------------------------- NM - Not Meaningful Nine Months Ended June 30, SUMMARY OF REVENUES 1999 1998 % Change - ------------------------------------------------------------------------------------ BY BUSINESS SEGMENT Medical Supplies and Devices $1,404,078 $1,230,601 14.1 Diagnostic Systems 1,111,854 1,043,033 6.6 - ------------------------------------------------------------------------- TOTAL REVENUES $2,515,932 $2,273,634 10.7 - ------------------------------------------------------------------------- BY GEOGRAPHIC AREA United States $1,266,967 $1,232,409 2.8 International 1,248,965 1,041,225 20.0 - ------------------------------------------------------------------------- TOTAL REVENUES $2,515,932 $2,273,634 10.7 - -------------------------------------------------------------------------