PRESS RELEASE DATED AUGUST 2, 2012, WHICH IS FURNISHED PURSUANT TO ITEM 2.02
Published on August 2, 2012
Exhibit 99.1
1 Becton Drive
Franklin Lakes, NJ 07417
www.bd.com
News Release
|
Contact:
Monique N. Dolecki, Investor Relations 201-847-5378
Colleen T. White, Corporate Communications 201-847-5369
BD ANNOUNCES RESULTS FOR 2012 THIRD FISCAL QUARTER
| Reported results reflect reclassification of Discovery Labware unit as discontinued operations, excluding Advanced Bioprocessing. |
| Third-quarter earnings per share of $1.59 include $1.52 from continuing operations and $0.07 from discontinued operations relating to the Discovery Labware unit. |
Franklin Lakes, NJ (August 2, 2012) BD (Becton, Dickinson and Company) (NYSE: BDX), a leading global medical technology company, today reported quarterly revenues of $1.981 billion for the third fiscal quarter ended June 30, 2012, representing an increase of 1.5 percent from the prior-year period, or 4.9 percent on a foreign currency-neutral basis.
We are very pleased with our third quarter results, said Vincent A. Forlenza, Chairman of the Board, Chief Executive Officer and President. As we anticipated, our revenue and earnings growth improved this quarter, demonstrating that our strategy implementation is on track and in line with our previously communicated expectations.
Update on Agreement to Sell Discovery Labware Unit, Excluding Advanced Bioprocessing
In April 2012, the Company signed a definitive agreement to sell its BD Biosciences - Discovery Labware unit, excluding its Advanced Bioprocessing platform. The transaction is expected to be completed by the end of calendar year 2012, subject to the satisfaction of customary closing conditions, including consultations and regulatory approvals. The results of operations associated with this disposal group have been reclassified as discontinued operations for all quarters and years referred to in this release.
As illustrated on page 3 of the attached financial tables, diluted earnings per share for the third quarter of $1.59 less the $0.07 from discontinued operations resulted in earnings per share from continuing operations of $1.52.
Also included for reference in the attached financial tables are the Companys Consolidated Income Statements reflecting the reclassification change of the Discovery Labware disposal group to discontinued operations, for the first two quarters of fiscal year 2012 and for all periods in fiscal year 2011.
Third Quarter and Nine-Month Fiscal 2012 Operating Results
Reported diluted earnings per share from continuing operations for the third quarter were $1.52, representing an increase of 5.6 percent over the prior-year period. On a foreign currency-neutral basis, diluted earnings per share from continuing operations for the third quarter increased by 9.7 percent.
For the nine-month period ending June 30, 2012, reported diluted earnings per share from continuing operations were $3.95, representing a decrease of 1.7 percent over the prior- year period. On a foreign currency-neutral basis, diluted earnings per share from continuing operations increased by 1.0 percent for this period.
Segment Results
In the BD Medical segment, worldwide revenues for the quarter were $1.070 billion, representing an increase of 2.4 percent compared with the prior-year period, or 6.4 percent on a currency-neutral basis. The segments revenue growth reflected strong sales and favorable comparisons in the Diabetes Care and Pharmaceutical Systems units. For the nine-month period ended June 30, 2012, BD Medical revenues increased 3.0 percent, or 4.8 percent on a currency-neutral basis.
In the BD Diagnostics segment, worldwide revenues for the quarter were $642 million, representing an increase of 1.7 percent compared with the prior-year period, or 4.7 percent on a foreign currency-neutral basis. The segments growth was primarily driven
by solid sales of Preanalytical Systems safety-engineered products and strong sales in the Womens Health and Cancer platform. For the nine-month period ended June 30, 2012, BD Diagnostics revenues increased 3.0 percent, or 4.3 percent on a currency-neutral basis.
In the BD Biosciences segment, worldwide revenues for the quarter were $268 million, representing a decrease of 2.7 percent compared with the prior-year period. On a currency-neutral basis, revenues increased by 0.2 percent. Segment results continue to be negatively affected by weakness in the U.S. research market. For the nine-month period ended June 30, 2012, BD Biosciences revenues increased 0.2 percent, or 1.3 percent on a currency-neutral basis.
Geographic Results
Third quarter revenues in the U.S. were $837 million, representing an increase of 1.1 percent compared with the prior-year period. Revenues outside of the U.S. were $1.144 billion, representing an increase of 1.7 percent compared with the prior-year period, or an increase of 7.8 percent on a foreign currency-neutral basis. International revenues reflected continued strength in emerging markets and strong sales of safety-engineered products. For the nine-month period ended June 30, 2012, revenues in the U.S. were $2.464 billion, representing an increase of 1.3 percent compared with the prior-year period. Revenues outside of the U.S. were $3.277 billion, representing an increase of 3.6 percent compared with the prior-year period, or 6.4 percent on a foreign currency-neutral basis.
Fiscal 2012 Outlook for Full Year
The Company expects reported revenue growth for the full fiscal year 2012 to be about 1 percent versus its previously disclosed guidance of 1 to 2 percent. This reflects the anticipated effects of unfavorable currency translation. On a currency-neutral basis, the Company is raising the lower end of its previously disclosed guidance of 3 to 4 percent to about 4 percent. The Company expects reported diluted earnings per share from continuing operations for the full fiscal year 2012 to be between $5.33 and $5.38. This reflects the reclassification of the Discovery Labware unit as discontinued operations and the anticipated effects of unfavorable currency translation. On a currency-neutral basis, the Company reaffirms its previously disclosed diluted earnings per share growth guidance of 4 to 5 percent, which includes the estimated impact of our recently announced agreement to acquire Safety Syringes, Inc.
Conference Call Information
A conference call regarding BDs third quarter results and its expectations for the full fiscal year 2012 will be broadcast live on BDs website, www.bd.com/investors, along with related slides, at 8:00 a.m. (ET) Thursday August 2, 2012. The conference call will be available for replay on BDs website, www.bd.com/investors, or at 1-800-585-8367 (domestic) and 1-404-537-3406 (international) through the close of business on Tuesday, August 9, 2012, access code 96886040.
Non-GAAP Financial Measures
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.
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 peoples 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. BDs capabilities are instrumental in combating many of the worlds most pressing diseases. Founded in 1897 and headquartered in Franklin Lakes, New Jersey, BD employs approximately 29,000 associates in more than 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 2012 Outlook for Full Year, contains certain estimates and other forward-looking statements (as defined under Federal securities laws) regarding BDs 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 from any forward-looking statement. These factors 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 conditions on our ability to access credit markets and finance our operations, the demand for our products and services as a result of reduced government funding, lower utilization rates or otherwise, or our suppliers ability to provide products needed for our operations; the unknown consequences of healthcare reform in the United States, including the impact of the reduction in Medicare and Medicaid payments to hospitals, pharmaceutical companies and other customers, which
could reduce demand for our products and increase downward pricing pressure; changes in interest or foreign currency exchange rates; competitive factors; pricing and other market pressures; our ability to successfully integrate any businesses we acquire; 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 BDs products; fluctuations in costs and availability of raw materials and in BDs ability to maintain favorable supplier arrangements and relationships; new or changing laws impacting our business or changes in enforcement practices with respect to such laws; uncertainties of litigation (as described in BDs filings with the Securities and Exchange Commission); future healthcare reform, including changes in government pricing and reimbursement policies or other cost containment reforms; the effects of potential pandemic diseases; and issuance of new or revised accounting standards, as well as other factors discussed in BDs 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, | ||||||||||||
2012 | 2011 | % Change | ||||||||||
REVENUES |
$ | 1,980,530 | $ | 1,951,889 | 1.5 | |||||||
Cost of products sold |
947,395 | 922,652 | 2.7 | |||||||||
Selling and administrative |
469,130 | 467,968 | 0.2 | |||||||||
Research and development |
114,987 | 114,078 | 0.8 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL OPERATING COSTS AND EXPENSES |
1,531,512 | 1,504,698 | 1.8 | |||||||||
|
|
|
|
|
|
|||||||
OPERATING INCOME |
449,018 | 447,191 | 0.4 | |||||||||
Interest income |
6,253 | 11,508 | (45.7 | ) | ||||||||
Interest expense |
(34,849 | ) | (22,211 | ) | 56.9 | |||||||
Other expense, net |
(1,881 | ) | (1,318 | ) | 42.7 | |||||||
|
|
|
|
|
|
|||||||
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES |
418,541 | 435,170 | (3.8 | ) | ||||||||
Income tax provision |
106,960 | 113,630 | (5.9 | ) | ||||||||
|
|
|
|
|
|
|||||||
INCOME FROM CONTINUING OPERATIONS |
311,581 | 321,540 | (3.1 | ) | ||||||||
INCOME FROM DISCONTINUED OPERATIONS NET OF INCOME TAX PROVISION OF $7,288 AND $9,012, RESPECTIVELY |
15,285 | 21,518 | (29.0 | ) | ||||||||
|
|
|
|
|
|
|||||||
NET INCOME |
$ | 326,866 | $ | 343,058 | (4.7 | ) | ||||||
|
|
|
|
|
|
|||||||
EARNINGS PER SHARE |
||||||||||||
Basic: |
||||||||||||
Income from continuing operations |
$ | 1.54 | $ | 1.47 | 4.8 | |||||||
Income from discontinued operations |
$ | 0.08 | $ | 0.10 | (20.0 | ) | ||||||
Net income |
$ | 1.62 | $ | 1.57 | 3.2 | |||||||
Diluted: |
||||||||||||
Income from continuing operations |
$ | 1.52 | $ | 1.44 | 5.6 | |||||||
Income from discontinued operations |
$ | 0.07 | $ | 0.10 | (30.0 | ) | ||||||
Net income (1) |
$ | 1.59 | $ | 1.53 | 3.9 | |||||||
AVERAGE SHARES OUTSTANDING |
||||||||||||
Basic |
202,015 | 218,966 | ||||||||||
Diluted |
205,290 | 223,567 |
(1) | Total per share amounts may not add due to rounding. |
Page 1
BECTON DICKINSON AND COMPANY
CONSOLIDATED INCOME STATEMENTS
(Unaudited; Amounts in thousands, except per share data)
Nine Months Ended June 30, | ||||||||||||
2012 | 2011 | % Change | ||||||||||
REVENUES |
$ | 5,741,211 | $ | 5,595,856 | 2.6 | |||||||
Cost of products sold |
2,789,044 | 2,654,081 | 5.1 | |||||||||
Selling and administrative |
1,439,094 | 1,343,946 | 7.1 | |||||||||
Research and development |
343,968 | 344,989 | (0.3 | ) | ||||||||
|
|
|
|
|
|
|||||||
TOTAL OPERATING COSTS AND EXPENSES |
4,572,106 | 4,343,016 | 5.3 | |||||||||
|
|
|
|
|
|
|||||||
OPERATING INCOME |
1,169,105 | 1,252,840 | (6.7 | ) | ||||||||
Interest income |
38,379 | 41,294 | (7.1 | ) | ||||||||
Interest expense |
(99,367 | ) | (61,685 | ) | 61.1 | |||||||
Other income (expense), net |
2,392 | (8,436 | ) | NM | ||||||||
|
|
|
|
|
|
|||||||
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES |
1,110,509 | 1,224,013 | (9.3 | ) | ||||||||
Income tax provision |
275,260 | 308,177 | (10.7 | ) | ||||||||
|
|
|
|
|
|
|||||||
INCOME FROM CONTINUING OPERATIONS |
835,249 | 915,836 | (8.8 | ) | ||||||||
INCOME FROM DISCONTINUED OPERATIONS NET OF INCOME TAX PROVISION OF $22,158 AND $26,338, RESPECTIVELY |
45,635 | 55,179 | (17.3 | ) | ||||||||
|
|
|
|
|
|
|||||||
NET INCOME |
$ | 880,884 | $ | 971,015 | (9.3 | ) | ||||||
|
|
|
|
|
|
|||||||
EARNINGS PER SHARE |
||||||||||||
Basic: |
||||||||||||
Income from continuing operations |
$ | 4.02 | $ | 4.11 | (2.2 | ) | ||||||
Income from discontinued operations |
$ | 0.22 | $ | 0.25 | (12.0 | ) | ||||||
Net income |
$ | 4.24 | $ | 4.36 | (2.8 | ) | ||||||
Diluted: |
||||||||||||
Income from continuing operations |
$ | 3.95 | $ | 4.02 | (1.7 | ) | ||||||
Income from discontinued operations |
$ | 0.22 | $ | 0.24 | (8.3 | ) | ||||||
Net income |
$ | 4.17 | $ | 4.26 | (2.1 | ) | ||||||
AVERAGE SHARES OUTSTANDING |
||||||||||||
Basic |
207,605 | 222,674 | ||||||||||
Diluted |
211,254 | 227,782 |
NM - Not Meaningful
Page 2
Becton Dickinson and Company
Supplemental Income Statement Information - Fiscal 2012
Revised for discontinued operations of Discovery Labware divestiture
(Unaudited: Amounts in thousands, except per-share data)
Previously Reported |
Amounts reclassified to Discontinued Operations |
As Revised |
||||||||||
Quarter 1 |
||||||||||||
Revenues |
$ | 1,887,645 | $ | 55,925 | $ | 1,831,720 | ||||||
Income from Continuing Operations |
$ | 263,010 | $ | 14,466 | $ | 248,544 | ||||||
Diluted Earnings Per Share from Continuing Operations |
$ | 1.21 | $ | 0.07 | $ | 1.14 | ||||||
Quarter 2 |
||||||||||||
Revenues |
$ | 1,990,818 | $ | 61,857 | $ | 1,928,961 | ||||||
Income from Continuing Operations |
$ | 290,548 | $ | 15,424 | $ | 275,124 | ||||||
Diluted Earnings Per Share from Continuing Operations |
$ | 1.38 | $ | 0.07 | $ | 1.31 | ||||||
Pro Forma | Amounts reclassified to Discontinued Operations |
From Continuing Operations |
||||||||||
Quarter 3 |
||||||||||||
Revenues |
$ | 2,040,760 | $ | 60,230 | $ | 1,980,530 | ||||||
Income |
$ | 326,795 | $ | 15,214 | $ | 311,581 | ||||||
Diluted Earnings Per Share |
$ | 1.59 | $ | 0.07 | $ | 1.52 | ||||||
YTD |
||||||||||||
Revenues |
$ | 5,919,224 | $ | 178,013 | $ | 5,741,211 | ||||||
Income |
$ | 880,353 | $ | 45,104 | $ | 835,249 | ||||||
Diluted Earnings Per Share (1) |
$ | 4.17 | $ | 0.21 | $ | 3.95 |
Certain quarterly amounts may not add to the year-to-date totals due to rounding.
(1) | Diluted Earnings per Share may not add due to rounding. |
Page 3
Becton Dickinson and Company
Supplemental Income Statement Information - Fiscal 2011 and 2010
Revised for discontinued operations of Discovery Labware divestiture
(Unaudited: Amounts in thousands, except per-share data)
Previously Reported |
Amounts reclassified to Discontinued Operations |
As Revised |
||||||||||
Fiscal 2011 |
||||||||||||
Revenues |
$ | 7,828,904 | $ | 244,867 | $ | 7,584,037 | ||||||
Income from Continuing Operations |
$ | 1,264,852 | $ | 63,969 | $ | 1,200,883 | ||||||
Diluted Earnings Per Share from Continuing Operations |
$ | 5.59 | $ | 0.28 | $ | 5.31 | ||||||
Fiscal 2010 |
||||||||||||
Revenues |
$ | 7,372,333 | $ | 247,948 | $ | 7,124,385 | ||||||
Income from Continuing Operations |
$ | 1,176,340 | $ | 61,496 | $ | 1,114,844 | ||||||
Diluted Earnings Per Share from Continuing Operations |
$ | 4.90 | $ | 0.26 | $ | 4.64 |
Page 4
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY SEGMENT AND GEOGRAPHIC AREA
(Unaudited; Amounts in thousands)
Three Months Ended June 30, | ||||||||||||
2012 | 2011 | % Change | ||||||||||
BD MEDICAL |
||||||||||||
United States |
$ | 429,621 | $ | 416,729 | 3.1 | |||||||
International |
640,455 | 628,107 | 2.0 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL |
$ | 1,070,076 | $ | 1,044,836 | 2.4 | |||||||
|
|
|
|
|
|
|||||||
BD DIAGNOSTICS |
||||||||||||
United States |
$ | 315,240 | $ | 312,802 | 0.8 | |||||||
International |
327,010 | 318,557 | 2.7 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL |
$ | 642,250 | $ | 631,359 | 1.7 | |||||||
|
|
|
|
|
|
|||||||
BD BIOSCIENCES |
||||||||||||
United States |
$ | 91,674 | $ | 97,914 | (6.4 | ) | ||||||
International |
176,530 | 177,780 | (0.7 | ) | ||||||||
|
|
|
|
|
|
|||||||
TOTAL |
$ | 268,204 | $ | 275,694 | (2.7 | ) | ||||||
|
|
|
|
|
|
|||||||
TOTAL REVENUES |
||||||||||||
United States |
$ | 836,535 | $ | 827,445 | 1.1 | |||||||
International |
1,143,995 | 1,124,444 | 1.7 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL |
$ | 1,980,530 | $ | 1,951,889 | 1.5 | |||||||
|
|
|
|
|
|
Page 5
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY SEGMENT AND GEOGRAPHIC AREA
(Unaudited; Amounts in thousands)
Nine Months Ended June 30, | ||||||||||||
2012 | 2011 | % Change | ||||||||||
BD MEDICAL |
||||||||||||
United States |
$ | 1,262,811 | $ | 1,220,744 | 3.4 | |||||||
International |
1,778,849 | 1,731,969 | 2.7 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL |
$ | 3,041,660 | $ | 2,952,713 | 3.0 | |||||||
|
|
|
|
|
|
|||||||
BD DIAGNOSTICS |
||||||||||||
United States |
$ | 945,460 | $ | 932,269 | 1.4 | |||||||
International |
947,552 | 906,160 | 4.6 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL |
$ | 1,893,012 | $ | 1,838,429 | 3.0 | |||||||
|
|
|
|
|
|
|||||||
BD BIOSCIENCES |
||||||||||||
United States |
$ | 255,587 | $ | 280,096 | (8.8 | ) | ||||||
International |
550,952 | 524,618 | 5.0 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL |
$ | 806,539 | $ | 804,714 | 0.2 | |||||||
|
|
|
|
|
|
|||||||
TOTAL REVENUES |
||||||||||||
United States |
$ | 2,463,858 | $ | 2,433,109 | 1.3 | |||||||
International |
3,277,353 | 3,162,747 | 3.6 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL |
$ | 5,741,211 | $ | 5,595,856 | 2.6 | |||||||
|
|
|
|
|
|
Page 6
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY BUSINESS SEGMENTS AND UNITS
Three Months Ended June 30,
(Unaudited; Amounts in thousands)
United States | ||||||||||||
2012 | 2011 | % Change | ||||||||||
BD MEDICAL |
||||||||||||
Medical Surgical Systems |
$ | 241,320 | $ | 244,756 | (1.4 | ) | ||||||
Diabetes Care |
110,013 | 100,465 | 9.5 | |||||||||
Pharmaceutical Systems |
78,288 | 71,508 | 9.5 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL |
$ | 429,621 | $ | 416,729 | 3.1 | |||||||
|
|
|
|
|
|
|||||||
BD DIAGNOSTICS |
||||||||||||
Preanalytical Systems |
$ | 165,962 | $ | 162,589 | 2.1 | |||||||
Diagnostic Systems |
149,278 | 150,213 | (0.6 | ) | ||||||||
|
|
|
|
|
|
|||||||
TOTAL |
$ | 315,240 | $ | 312,802 | 0.8 | |||||||
|
|
|
|
|
|
|||||||
BD BIOSCIENCES |
||||||||||||
Cell Analysis (1) |
$ | 91,674 | $ | 97,914 | (6.4 | ) | ||||||
|
|
|
|
|
|
|||||||
TOTAL |
$ | 91,674 | $ | 97,914 | (6.4 | ) | ||||||
|
|
|
|
|
|
|||||||
TOTAL UNITED STATES |
$ | 836,535 | $ | 827,445 | 1.1 | |||||||
|
|
|
|
|
|
(1) | Cell Analysis consists of the Cell Analysis unit and the Advanced Bioprocessing platform. |
Advanced Bioprocessing was previously reported with the Discovery Labware unit.
Page 7
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 | ||||||||||||||||||||
2012 | 2011 | Reported | FXN | FX Impact | ||||||||||||||||
BD MEDICAL |
||||||||||||||||||||
Medical Surgical Systems |
$ | 290,451 | $ | 284,262 | 2.2 | 8.4 | (6.2 | ) | ||||||||||||
Diabetes Care |
122,662 | 119,719 | 2.5 | 8.7 | (6.2 | ) | ||||||||||||||
Pharmaceutical Systems |
227,342 | 224,126 | 1.4 | 8.7 | (7.3 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL |
$ | 640,455 | $ | 628,107 | 2.0 | 8.5 | (6.5 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
BD DIAGNOSTICS |
||||||||||||||||||||
Preanalytical Systems |
$ | 167,492 | $ | 167,737 | (0.1 | ) | 6.3 | (6.4 | ) | |||||||||||
Diagnostic Systems |
159,518 | 150,820 | 5.8 | 10.9 | (5.1 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL |
$ | 327,010 | $ | 318,557 | 2.7 | 8.5 | (5.8 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
BD BIOSCIENCES |
||||||||||||||||||||
Cell Analysis (1) |
$ | 176,530 | $ | 177,780 | (0.7 | ) | 3.8 | (4.5 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL |
$ | 176,530 | $ | 177,780 | (0.7 | ) | 3.8 | (4.5 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL INTERNATIONAL |
$ | 1,143,995 | $ | 1,124,444 | 1.7 | 7.8 | (6.1 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
(1) | Cell Analysis consists of the Cell Analysis unit and the Advanced Bioprocessing platform. |
Advanced Bioprocessing was previously reported with the Discovery Labware unit.
Page 8
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 | ||||||||||||||||||||
2012 | 2011 | Reported | FXN | FX Impact | ||||||||||||||||
BD MEDICAL |
||||||||||||||||||||
Medical Surgical Systems |
$ | 531,771 | $ | 529,018 | 0.5 | 3.8 | (3.3 | ) | ||||||||||||
Diabetes Care |
232,675 | 220,184 | 5.7 | 9.1 | (3.4 | ) | ||||||||||||||
Pharmaceutical Systems |
305,630 | 295,634 | 3.4 | 8.9 | (5.5 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL |
$ | 1,070,076 | $ | 1,044,836 | 2.4 | 6.4 | (4.0 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
BD DIAGNOSTICS |
||||||||||||||||||||
Preanalytical Systems |
$ | 333,454 | $ | 330,326 | 0.9 | 4.2 | (3.3 | ) | ||||||||||||
Diagnostic Systems |
308,796 | 301,033 | 2.6 | 5.1 | (2.5 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL |
$ | 642,250 | $ | 631,359 | 1.7 | 4.7 | (3.0 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
BD BIOSCIENCES |
||||||||||||||||||||
Cell Analysis (1) |
$ | 268,204 | $ | 275,694 | (2.7 | ) | 0.2 | (2.9 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL |
$ | 268,204 | $ | 275,694 | (2.7 | ) | 0.2 | (2.9 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL REVENUES |
$ | 1,980,530 | $ | 1,951,889 | 1.5 | 4.9 | (3.4 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
(1) | Cell Analysis consists of the Cell Analysis unit and the Advanced Bioprocessing platform. |
Advanced Bioprocessing was previously reported with the Discovery Labware unit.
Page 9
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL REVENUE INFORMATION
REVENUES BY BUSINESS SEGMENTS AND UNITS
Nine Months Ended June 30,
(Unaudited; Amounts in thousands)
United States | ||||||||||||
2012 | 2011 | % Change | ||||||||||
BD MEDICAL |
||||||||||||
Medical Surgical Systems |
$ | 727,335 | $ | 733,582 | (0.9 | ) | ||||||
Diabetes Care |
321,264 | 295,989 | 8.5 | |||||||||
Pharmaceutical Systems |
214,212 | 191,173 | 12.1 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL |
$ | 1,262,811 | $ | 1,220,744 | 3.4 | |||||||
|
|
|
|
|
|
|||||||
BD DIAGNOSTICS |
||||||||||||
Preanalytical Systems |
$ | 491,532 | $ | 481,624 | 2.1 | |||||||
Diagnostic Systems |
453,928 | 450,645 | 0.7 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL |
$ | 945,460 | $ | 932,269 | 1.4 | |||||||
|
|
|
|
|
|
|||||||
BD BIOSCIENCES |
||||||||||||
Cell Analysis (1) |
$ | 255,587 | $ | 280,096 | (8.8 | ) | ||||||
|
|
|
|
|
|
|||||||
TOTAL |
$ | 255,587 | $ | 280,096 | (8.8 | ) | ||||||
|
|
|
|
|
|
|||||||
TOTAL UNITED STATES |
$ | 2,463,858 | $ | 2,433,109 | 1.3 | |||||||
|
|
|
|
|
|
(1) | Cell Analysis consists of the Cell Analysis unit and the Advanced Bioprocessing platform. |
Advanced Bioprocessing was previously reported with the Discovery Labware unit.
Page 10
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 | ||||||||||||||||||||
2012 | 2011 | Reported | FXN | FX Impact | ||||||||||||||||
BD MEDICAL |
||||||||||||||||||||
Medical Surgical Systems |
$ | 845,685 | $ | 812,752 | 4.1 | 7.0 | (2.9 | ) | ||||||||||||
Diabetes Care |
356,575 | 345,837 | 3.1 | 5.7 | (2.6 | ) | ||||||||||||||
Pharmaceutical Systems |
576,589 | 573,380 | 0.6 | 4.1 | (3.5 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL |
$ | 1,778,849 | $ | 1,731,969 | 2.7 | 5.8 | (3.1 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
BD DIAGNOSTICS |
||||||||||||||||||||
Preanalytical Systems |
$ | 481,857 | $ | 467,570 | 3.1 | 6.5 | (3.4 | ) | ||||||||||||
Diagnostic Systems |
465,695 | 438,590 | 6.2 | 8.2 | (2.0 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL |
$ | 947,552 | $ | 906,160 | 4.6 | 7.3 | (2.7 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
BD BIOSCIENCES |
||||||||||||||||||||
Cell Analysis (1) |
$ | 550,952 | $ | 524,618 | 5.0 | 6.6 | (1.6 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL |
$ | 550,952 | $ | 524,618 | 5.0 | 6.6 | (1.6 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL INTERNATIONAL |
$ | 3,277,353 | $ | 3,162,747 | 3.6 | 6.4 | (2.8 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
(1) | Cell Analysis consists of the Cell Analysis unit and the Advanced Bioprocessing platform. |
Advanced Bioprocessing was previously reported with the Discovery Labware unit.
Page 11
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 | ||||||||||||||||||||
2012 | 2011 | Reported | FXN | FX Impact | ||||||||||||||||
BD MEDICAL |
||||||||||||||||||||
Medical Surgical Systems |
$ | 1,573,020 | $ | 1,546,334 | 1.7 | 3.3 | (1.6 | ) | ||||||||||||
Diabetes Care |
677,839 | 641,826 | 5.6 | 7.0 | (1.4 | ) | ||||||||||||||
Pharmaceutical Systems |
790,801 | 764,553 | 3.4 | 6.1 | (2.7 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL |
$ | 3,041,660 | $ | 2,952,713 | 3.0 | 4.8 | (1.8 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
BD DIAGNOSTICS |
||||||||||||||||||||
Preanalytical Systems |
$ | 973,389 | $ | 949,194 | 2.5 | 4.2 | (1.7 | ) | ||||||||||||
Diagnostic Systems |
919,623 | 889,235 | 3.4 | 4.4 | (1.0 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL |
$ | 1,893,012 | $ | 1,838,429 | 3.0 | 4.3 | (1.3 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
BD BIOSCIENCES |
||||||||||||||||||||
Cell Analysis (1) |
$ | 806,539 | $ | 804,714 | 0.2 | 1.3 | (1.1 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL |
$ | 806,539 | $ | 804,714 | 0.2 | 1.3 | (1.1 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL REVENUES |
$ | 5,741,211 | $ | 5,595,856 | 2.6 | 4.1 | (1.5 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
(1) | Cell Analysis consists of the Cell Analysis unit and the Advanced Bioprocessing platform. |
Advanced Bioprocessing was previously reported with the Discovery Labware unit.
Page 12
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL REVENUE INFORMATION
SAFETY REVENUES
(Unaudited; Amounts in thousands)
Three Months Ended June 30, | ||||||||||||||||||||
% Change | ||||||||||||||||||||
2012 | 2011 | Reported | FXN | FX Impact | ||||||||||||||||
TOTAL SAFETY REVENUES |
||||||||||||||||||||
United States |
$ | 284,830 | $ | 280,696 | 1.5 | 1.5 | | |||||||||||||
International |
215,964 | 198,417 | 8.8 | 15.7 | (6.9 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL |
$ | 500,794 | $ | 479,113 | 4.5 | 7.4 | (2.9 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
BY SEGMENT |
||||||||||||||||||||
BD Medical |
$ | 240,065 | $ | 223,460 | 7.4 | 9.8 | (2.4 | ) | ||||||||||||
BD Diagnostics |
260,729 | 255,653 | 2.0 | 5.3 | (3.3 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL |
$ | 500,794 | $ | 479,113 | 4.5 | 7.4 | (2.9 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Nine Months Ended June 30, | ||||||||||||||||||||
% Change | ||||||||||||||||||||
2012 | 2011 | Reported | FXN | FX Impact | ||||||||||||||||
TOTAL SAFETY REVENUES |
||||||||||||||||||||
United States |
$ | 858,175 | $ | 828,002 | 3.6 | 3.6 | | |||||||||||||
International |
618,290 | 545,530 | 13.3 | 16.7 | (3.4 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL |
$ | 1,476,465 | $ | 1,373,532 | 7.5 | 8.8 | (1.3 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
BY SEGMENT |
||||||||||||||||||||
BD Medical |
$ | 715,776 | $ | 641,635 | 11.6 | 12.4 | (0.8 | ) | ||||||||||||
BD Diagnostics |
760,689 | 731,897 | 3.9 | 5.6 | (1.7 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL |
$ | 1,476,465 | $ | 1,373,532 | 7.5 | 8.8 | (1.3 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
Page 13
BECTON DICKINSON AND COMPANY
CONSOLIDATED INCOME STATEMENTS FISCAL 2012
Revised for discontinued operations of Discovery Labware divestiture
(Unaudited; Amounts in thousands, except per-share data)
Quarter 1 | Quarter 2 | Quarter 2 YTD | ||||||||||
REVENUES |
$ | 1,831,720 | $ | 1,928,961 | $ | 3,760,681 | ||||||
Cost of products sold |
900,465 | 941,184 | 1,841,649 | |||||||||
Selling and administrative |
482,271 | 487,694 | 969,964 | |||||||||
Research and development |
112,227 | 116,753 | 228,981 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL OPERATING COSTS AND EXPENSES |
1,494,963 | 1,545,631 | 3,040,594 | |||||||||
|
|
|
|
|
|
|||||||
OPERATING INCOME |
336,757 | 383,330 | 720,087 | |||||||||
Interest income |
15,448 | 16,678 | 32,126 | |||||||||
Interest expense |
(29,378 | ) | (35,140 | ) | (64,518 | ) | ||||||
Other (expense) income, net |
(385 | ) | 4,657 | 4,272 | ||||||||
|
|
|
|
|
|
|||||||
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES |
322,442 | 369,525 | 691,967 | |||||||||
Income tax provision |
73,898 | 94,401 | 168,298 | |||||||||
|
|
|
|
|
|
|||||||
INCOME FROM CONTINUING OPERATIONS |
248,544 | 275,124 | 523,669 | |||||||||
Income from Discontinued Operations before Income Tax |
21,768 | 23,453 | 45,221 | |||||||||
Income Tax provision |
7,327 | 7,544 | 14,871 | |||||||||
|
|
|
|
|
|
|||||||
INCOME FROM DISCONTINUED OPERATIONS |
14,441 | 15,909 | 30,350 | |||||||||
|
|
|
|
|
|
|||||||
NET INCOME |
$ | 262,985 | $ | 291,033 | $ | 554,019 | ||||||
|
|
|
|
|
|
|||||||
EARNINGS PER SHARE |
||||||||||||
Basic: |
||||||||||||
Income from continuing operations |
$ | 1.16 | $ | 1.33 | $ | 2.49 | ||||||
Income from discontinued operations |
$ | 0.07 | $ | 0.08 | $ | 0.14 | ||||||
Net income |
$ | 1.23 | $ | 1.41 | $ | 2.63 | ||||||
Diluted: |
||||||||||||
Income from continuing operations |
$ | 1.14 | $ | 1.31 | $ | 2.45 | ||||||
Income from discontinued operations |
$ | 0.07 | $ | 0.08 | $ | 0.14 | ||||||
Net income |
$ | 1.21 | $ | 1.39 | $ | 2.59 | ||||||
AVERAGE SHARES OUTSTANDING |
||||||||||||
Basic |
214,300 | 206,426 | 210,385 | |||||||||
Diluted |
217,634 | 209,803 | 213,970 |
Certain quarterly amounts may not add to the year-to-date totals due to rounding.
Page 14
BECTON DICKINSON AND COMPANY
CONSOLIDATED INCOME STATEMENTS FISCAL 2011
Revised for discontinued operations of Discovery Labware divestiture
(Unaudited; Amounts in thousands, except per-share data)
Quarter 1 | Quarter 2 | Quarter 3 | Quarter 4 | Year | ||||||||||||||||
REVENUES |
$ | 1,783,353 | $ | 1,860,614 | $ | 1,951,889 | $ | 1,988,181 | $ | 7,584,037 | ||||||||||
Cost of products sold |
840,166 | 891,262 | 922,652 | 971,041 | 3,625,122 | |||||||||||||||
Selling and administrative |
440,955 | 435,024 | 467,968 | 479,591 | 1,823,537 | |||||||||||||||
Research and development |
113,568 | 117,343 | 114,078 | 124,528 | 469,517 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
TOTAL OPERATING COSTS AND EXPENSES |
1,394,689 | 1,443,629 | 1,504,698 | 1,575,160 | 5,918,176 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
OPERATING INCOME |
388,664 | 416,985 | 447,191 | 413,021 | 1,665,861 | |||||||||||||||
Interest income |
15,222 | 14,564 | 11,508 | 1,915 | 43,209 | |||||||||||||||
Interest expense |
(15,553 | ) | (23,921 | ) | (22,211 | ) | (22,334 | ) | (84,019 | ) | ||||||||||
Other (expense) income, net |
(4,596 | ) | (2,522 | ) | (1,318 | ) | 1,272 | (7,164 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES |
383,737 | 405,106 | 435,170 | 393,874 | 1,617,887 | |||||||||||||||
Income tax provision |
85,291 | 109,256 | 113,630 | 108,827 | 417,004 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME FROM CONTINUING OPERATIONS |
298,446 | 295,850 | 321,540 | 285,047 | 1,200,883 | |||||||||||||||
Income from Discontinued Operations before Income Tax |
26,298 | 24,688 | 30,530 | 23,793 | 105,310 | |||||||||||||||
Income Tax provision |
8,807 | 8,519 | 9,012 | 8,860 | 35,199 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME FROM DISCONTINUED OPERATIONS |
17,491 | 16,169 | 21,518 | 14,933 | 70,111 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
NET INCOME |
$ | 315,937 | $ | 312,019 | $ | 343,058 | $ | 299,980 | $ | 1,270,994 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
EARNINGS PER SHARE |
||||||||||||||||||||
Basic: |
||||||||||||||||||||
Income from continuing operations |
$ | 1.31 | $ | 1.34 | $ | 1.47 | $ | 1.32 | $ | 5.43 | ||||||||||
Income from discontinued operations |
$ | 0.08 | $ | 0.07 | $ | 0.10 | $ | 0.07 | $ | 0.32 | ||||||||||
Net income (1) |
$ | 1.39 | $ | 1.41 | $ | 1.57 | $ | 1.38 | $ | 5.75 | ||||||||||
Diluted: |
||||||||||||||||||||
Income from continuing operations |
$ | 1.28 | $ | 1.31 | $ | 1.44 | $ | 1.29 | $ | 5.31 | ||||||||||
Income from discontinued operations |
$ | 0.08 | $ | 0.07 | $ | 0.10 | $ | 0.07 | $ | 0.31 | ||||||||||
Net income (1) |
$ | 1.36 | $ | 1.38 | $ | 1.53 | $ | 1.36 | $ | 5.62 | ||||||||||
AVERAGE SHARES OUTSTANDING |
||||||||||||||||||||
Basic |
228,083 | 220,894 | 218,966 | 216,726 | 221,175 | |||||||||||||||
Diluted |
232,915 | 225,467 | 223,567 | 220,859 | 226,280 |
Certain quarterly amounts may not add to the year-to-date totals due to rounding.
(1) | Total per share amounts may not add due to rounding. |
Page 15
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL INFORMATION
Quarter-to-Date Fiscal 2012 Reconciliation - FX Impact
(Unaudited; Amounts in millions, except per share data)
Three Months Ended June 30, | ||||||||||||||||||||||||
Reported FY2012 |
Reported FY2011 |
Reported Growth $ |
Foreign Currency Translation |
FXN Change |
FXN Growth |
|||||||||||||||||||
REVENUES |
$ | 1,981 | $ | 1,952 | $ | 29 | $ | (68 | ) | $ | 96 | 4.9 | % | |||||||||||
Diluted Earnings per Share from Continuing Operations |
$ | 1.52 | $ | 1.44 | $ | 0.08 | $ | (0.06 | ) | $ | 0.14 | 9.7 | % |
All figures rounded. Totals may not add due to rounding.
FXN = Foreign Currency Neutral
Page 16
BECTON DICKINSON AND COMPANY
SUPPLEMENTAL INFORMATION
Year-to-Date Fiscal 2012 Reconciliation - FX Impact
(Unaudited; Amounts in millions, except per share data)
Nine Months Ended June 30, | ||||||||||||||||||||||||
Reported FY2012 |
Reported FY2011 |
Reported Growth $ |
Foreign Currency Translation |
FXN Change |
FXN Growth |
|||||||||||||||||||
REVENUES |
$ | 5,741 | $ | 5,596 | $ | 145 | $ | (86 | ) | $ | 232 | 4.1 | % | |||||||||||
Diluted Earnings per Share from Continuing Operations |
$ | 3.95 | $ | 4.02 | $ | (0.07 | ) | $ | (0.11 | ) | $ | 0.04 | 1.0 | % |
All figures rounded. Totals may not add due to rounding.
FXN = Foreign Currency Neutral
Page 17