[Financial Performance Summary](index=1&type=section&id=Financial%20Performance%20Summary) [Q3 FY2024 Financial Highlights](index=1&type=section&id=Q3%20FY2024%20Financial%20Highlights) BD reported strong Q3 FY2024 results with adjusted revenue of $5.1 billion and adjusted diluted EPS of $3.50, driven by margin execution and organic growth, and over 100% year-to-date free cash flow growth Q3 FY2024 Key Financial Metrics | Metric | Q3 2024 | Q3 2023 | Change | | :--- | :--- | :--- | :--- | | **Revenue (Reported)** | $5.0 billion | $4.88 billion | 2.3% | | **Adjusted Revenue** | $5.1 billion | $4.88 billion | 3.7% | | **GAAP Diluted EPS** | $1.68 | $1.36 | 23.5% | | **Adjusted Diluted EPS** | $3.50 | $2.96 | 18.2% | - Year-to-date cash flow demonstrated significant improvement: - Cash from Continuing Operations grew **60% to $2.7 billion** - Free Cash Flow grew **over 100% to $2.2 billion**, an increase of **$1.2 billion** from the prior year[1](index=1&type=chunk) [Recent Business and Corporate Sustainability Highlights](index=1&type=section&id=Recent%20Business%20and%20Corporate%20Sustainability%20Highlights) Key strategic developments include acquiring Edwards Lifesciences' Critical Care Product Group for $4.2 billion, FDA approval for cervical cancer screening, and surpassing GHG emissions reduction targets - Announced a definitive agreement to acquire Edwards Lifesciences' Critical Care Product Group for **$4.2 billion** to enhance its portfolio of smart connected care and AI-based technologies[2](index=2&type=chunk) - BD Life Sciences received U.S. FDA approval for self-collection of samples for cervical cancer screening in a healthcare setting[2](index=2&type=chunk) - Commercially launched the BD Rhapsody™ ATAC-Seq Assay, expanding single-cell capabilities into the epigenomics research market[3](index=3&type=chunk) - Surpassed its Scope 1 and 2 science-based greenhouse gas (GHG) emissions reduction targets for FY 2023 by **5 percentage points**, achieving an **18% reduction** versus its fiscal 2019 baseline[3](index=3&type=chunk) [Detailed Financial Results (Q3 FY2024)](index=3&type=section&id=Detailed%20Financial%20Results%20(Q3%20FY2024)) [Overall Operating and Geographic Results](index=3&type=section&id=Overall%20Operating%20and%20Geographic%20Results) Q3 FY2024 adjusted revenues reached $5.06 billion, a 3.7% increase, driven by 4.5% growth in the U.S. market and 2.6% internationally Q3 FY2024 Adjusted Revenue by Geography (in millions) | Region | Q3 2024 | Q3 2023 | Reported Change | Currency Neutral Change | | :--- | :--- | :--- | :--- | :--- | | **United States** | $2,897 | $2,772 | 4.5% | 4.5% | | **International** | $2,160 | $2,106 | 2.6% | 4.0% | | **Total Adjusted Revenues** | **$5,057** | **$4,878** | **3.7%** | **4.3%** | [Segment Performance](index=5&type=section&id=Segment%20Performance) All segments contributed to Q3 FY2024 organic growth, with BD Medical up 5.6%, BD Interventional up 6.4%, and BD Life Sciences up 3.5% Q3 FY2024 Revenue by Segment (in millions) | Segment | Q3 2024 Revenue | Reported Change | Organic Revenue Change | | :--- | :--- | :--- | :--- | | **BD Medical** | $2,558 | 5.1% | 5.6% | | **BD Life Sciences** | $1,260 | 2.7% | 3.5% | | **BD Interventional** | $1,240 | 1.8% | 6.4% | | **Total Adjusted Revenues** | **$5,057** | **3.7%** | **5.2%** | [BD Medical](index=5&type=section&id=BD%20Medical) BD Medical's revenue growth was driven by Medication Management Solutions and Medication Delivery Solutions, partially offset by China market dynamics and Pharmaceutical Systems de-stocking - Medication Management Solutions (MMS) performance was driven by **high double-digit growth in Infusion**, particularly from BD Alaris™ and higher utilization of infusion sets[6](index=6&type=chunk) - Medication Delivery Solutions (MDS) saw **strong volume growth** and increased market position in Vascular Access Management, though partially offset by anticipated market dynamics in China[6](index=6&type=chunk) - Pharmaceutical Systems (PS) performance was affected by customer inventory de-stocking in anti-coagulants and vaccines, which offset **strong double-digit growth in Biologics and GLP-1s**[6](index=6&type=chunk) [BD Life Sciences](index=5&type=section&id=BD%20Life%20Sciences) BD Life Sciences' growth was led by Integrated Diagnostic Solutions' Specimen Management, while Biosciences performance was impacted by lower instrument demand - Growth was driven by the Integrated Diagnostic Solutions (IDS) business unit, which saw **high-single digit growth in Specimen Management**[7](index=7&type=chunk) - Biosciences (BDB) performance was impacted by lower market demand for instruments, which was partially offset by growth in clinical reagents[7](index=7&type=chunk) [BD Interventional](index=5&type=section&id=BD%20Interventional) BD Interventional delivered strong organic growth across Surgery, Peripheral Intervention, and Urology & Critical Care, with double-digit increases in key platforms - Surgery performance reflected **double-digit organic growth** across Advanced Repair & Reconstruction, Infection Prevention, and Biosurgery platforms[8](index=8&type=chunk) - Peripheral Intervention (PI) performance was led by **double-digit growth** in the Peripheral Vascular Disease portfolio[8](index=8&type=chunk) - Urology & Critical Care (UCC) performance was highlighted by **strong double-digit growth** in the PureWick™ franchise[8](index=8&type=chunk) [Fiscal Year 2024 Outlook](index=5&type=section&id=Fiscal%20Year%202024%20Outlook) [Updated Guidance](index=5&type=section&id=Updated%20Guidance) BD updated its FY2024 guidance, lowering organic revenue growth to 5.0-5.25% due to market dynamics, but increasing adjusted diluted EPS to $13.05-$13.15 due to strong margin performance Fiscal 2024 Guidance Update | Metric | New Guidance (Aug 1, 2024) | Previous Guidance (May 2, 2024) | | :--- | :--- | :--- | | **Organic Revenue Growth (FXN)** | 5.0% to 5.25% | 5.5% to 6.25% | | **Adjusted Diluted EPS** | $13.05 to $13.15 | $12.95 to $13.15 | | **Adjusted Diluted EPS Growth** | 6.9% to 7.7% | 6.1% to 7.7% | [Financial Statements](index=12&type=section&id=Financial%20Statements) [Condensed Consolidated Income Statements](index=12&type=section&id=Condensed%20Consolidated%20Income%20Statements) For Q3 FY2024, BD reported revenues of $4.99 billion and net income of $487 million, with nine-month revenues at $14.74 billion and net income of $1.31 billion Income Statement Summary - Three Months Ended June 30 (in millions) | Account | 2024 | 2023 | | :--- | :--- | :--- | | **Revenues** | $4,990 | $4,878 | | **Operating Income** | $602 | $549 | | **Net Income** | $487 | $407 | | **Diluted EPS** | $1.68 | $1.36 | Income Statement Summary - Nine Months Ended June 30 (in millions) | Account | 2024 | 2023 | | :--- | :--- | :--- | | **Revenues** | $14,741 | $14,285 | | **Operating Income** | $1,775 | $1,762 | | **Net Income** | $1,305 | $1,376 | | **Diluted EPS** | $4.49 | $4.60 | [Condensed Consolidated Balance Sheets](index=14&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of June 30, 2024, total assets were $55.58 billion, with cash and equivalents at $4.46 billion, total liabilities at $29.71 billion, and shareholders' equity at $25.87 billion Balance Sheet Summary (in millions) | Account | June 30, 2024 | Sept 30, 2023 | | :--- | :--- | :--- | | **Cash and equivalents** | $4,459 | $1,416 | | **Total Current Assets** | $12,207 | $8,676 | | **Total Assets** | $55,582 | $52,780 | | **Long-term debt** | $18,131 | $14,738 | | **Total Shareholders' Equity** | $25,868 | $25,796 | [Condensed Consolidated Statements of Cash Flows](index=15&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) For the nine months ended June 30, 2024, net cash from continuing operating activities increased 60% to $2.67 billion, resulting in free cash flow of $2.24 billion, up 106.2% year-over-year Cash Flow Summary - Nine Months Ended June 30 (in millions) | Account | 2024 | 2023 | | :--- | :--- | :--- | | **Net Cash from Continuing Operating Activities** | $2,666 | $1,665 | | **Capital Expenditures** | ($429) | ($580) | | **Net Cash Used for Investing Activities** | ($1,577) | ($853) | | **Net Cash Provided by (Used for) Financing Activities** | $1,963 | ($959) | Free Cash Flow Reconciliation - Nine Months Ended June 30 (in millions) | Metric | 2024 | 2023 | Change | % Change | | :--- | :--- | :--- | :--- | :--- | | **Free Cash Flow** | $2,237 | $1,085 | $1,152 | 106.2% | [Supplemental Information and Reconciliations](index=16&type=section&id=Supplemental%20Information%20and%20Reconciliations) [Reconciliation of Non-GAAP Measures](index=22&type=section&id=Reconciliation%20of%20Non-GAAP%20Measures) Q3 reported revenue growth of 2.3% was adjusted to an organic growth rate of 5.2%, and reported diluted EPS of $1.68 was adjusted to $3.50 for various items - The reconciliation from reported revenue to organic revenue for Q3 shows adjustments for legal matters (**+$67 million**) and inorganic divestitures (**-$43 million**), resulting in an organic revenue growth rate of **5.2%**[42](index=42&type=chunk) Q3 FY2024 EPS Reconciliation (Reported to Adjusted) | Description | Per Share Amount | | :--- | :--- | | **Reported Diluted EPS** | **$1.68** | | Purchase accounting adjustments | $1.21 | | Restructuring costs | $0.33 | | Product, litigation, and other items | $0.60 | | Other adjustments (net) | ($0.32) | | **Adjusted Diluted EPS** | **$3.50** |

Core Insights - The company reported a revenue of $5.0 billion for the third quarter of fiscal 2024, with adjusted revenue reaching $5.1 billion, reflecting strong organic revenue growth [1][3] - GAAP diluted EPS was $1.68, marking a 23.5% increase, while adjusted diluted EPS was $3.50, up 18.2% [1][3] - Year-to-date cash from continuing operations increased by 60% to $2.7 billion, and free cash flow more than doubled to $2.2 billion [1] - The company updated its fiscal 2024 GAAP revenue growth guidance to approximately 3.7% and organic revenue growth guidance to 5.0% to 5.25% [1][10] - Adjusted diluted EPS guidance for fiscal 2024 was raised by 5 cents to a range of $13.05 to $13.15 [1][10] Financial Performance - Total revenues for the three months ended June 30, 2024, were $4,990 million, a 2.3% increase from $4,878 million in the same period of 2023 [3][11] - Adjusted revenues for the same period were $5,057 million, reflecting a 3.7% increase [3][11] - The company achieved a reported operating income of $602 million, up 9.7% from $549 million year-over-year [12] - Net income for the quarter was $487 million, a 19.6% increase compared to $407 million in the prior year [12] Segment Performance - BD Medical segment revenues were $2,558 million, a 5.1% increase from $2,434 million in the previous year [5][18] - BD Life Sciences segment revenues totaled $1,260 million, reflecting a 2.7% increase from $1,226 million [5][18] - BD Interventional segment revenues were $1,240 million, up 1.8% from $1,218 million [5][18] Geographic Results - Revenues from the United States were $2,891 million, a 4.3% increase from $2,772 million in the prior year [4][16] - International revenues were $2,098 million, showing a slight decline of 0.3% from $2,106 million [4][16] Strategic Developments - The company announced a definitive agreement to acquire Edwards Lifesciences' Critical Care Product Group for $4.2 billion, enhancing its portfolio in smart connected care solutions and AI-based technologies [2] - BD Life Sciences received FDA approval for self-collection of samples for cervical cancer screening [2] - The company issued its Fiscal Year 2023 Corporate Sustainability Report, surpassing its greenhouse gas emissions reduction targets by 5 percentage points [2]

Let's check out the factors that have shaped BDX's performance prior to this announcement. In April, BD's Biosciences business unit announced the global commercial release of the three- and four-laser additions to the BD FACSDiscover S8 Cell Sorter family, which complement the five-laser instrument launched last year. In February, BD announced a strategic partnership with Camtech Health to increase access to cervical cancer screening in Singapore through the country's first-ever program to offer at-home sel ...

Core Insights - BD and Quest Diagnostics have entered a global collaboration to develop, manufacture, and commercialize flow cytometry-based companion diagnostics aimed at improving treatment selection for cancer and other diseases [1][2]. Company Overview - BD is a leading global medical technology company with over 70,000 employees, focused on advancing health through innovative technology and solutions [5]. - Quest Diagnostics is a major player in diagnostic information services, serving one in three adult Americans and half of the physicians and hospitals in the U.S. with nearly 50,000 employees [6]. Collaboration Details - The collaboration will provide the pharmaceutical industry with an end-to-end solution for companion diagnostics, covering everything from exploratory panel development to the manufacturing and distribution of FDA-approved diagnostic kits [2][4]. - The partnership combines BD's expertise in flow cytometry with Quest's capabilities in biomarker and assay development, aiming to bring novel companion diagnostics to market [3][4]. Technology and Impact - Flow cytometry is highlighted as a critical technology that can rapidly analyze and sort individual cells, providing insights into patients' immune responses and aiding in the selection of first-line therapies for cancer patients [3]. - The use of companion diagnostics is expected to enhance patient outcomes and reduce healthcare costs by enabling more precise healthcare [4].

FRANKLIN LAKES, N.J., July 23, 2024 /PRNewswire/ -- The Board of Directors of BD (Becton, Dickinson and Company) (NYSE: BDX), a leading global medical technology company, today announced it has declared a quarterly dividend of $0.95 per common share, payable on September 30, 2024 to holders of record on September 9, 2024. The indicated annual dividend rate is $3.80 per share. About BD BD is one of the largest global medical technology companies in the world and is advancing the world of health by improving ...

Becton Dickinson (BDX) appears an attractive pick, as it has been recently upgraded to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices. A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years. The power of a ...

Core Viewpoint - Investors in the Medical - Dental Supplies sector should consider Becton Dickinson (BDX) and Merit Medical (MMSI) for potential value investment opportunities [1] Group 1: Zacks Rank and Earnings Outlook - Becton Dickinson has a Zacks Rank of 2 (Buy), indicating a positive earnings outlook, while Merit Medical has a Zacks Rank of 3 (Hold) [3] - The Zacks Rank system favors stocks with positive revisions to earnings estimates, suggesting BDX has an improving earnings outlook [3] Group 2: Valuation Metrics - BDX has a forward P/E ratio of 17.73, significantly lower than MMSI's forward P/E of 25.96 [5] - BDX's PEG ratio is 2.02, while MMSI's PEG ratio is higher at 2.41, indicating BDX may be more favorably valued considering expected earnings growth [5] - BDX's P/B ratio stands at 2.60, compared to MMSI's P/B of 4.02, further suggesting BDX is undervalued relative to its book value [6] Group 3: Value Grades - BDX has a Value grade of B, while MMSI has a Value grade of C, indicating that BDX is perceived as a better value investment [7]

More on the News The company has advised customers to prioritize vial use based on clinical needs, following guidelines from the Infectious Disease Society of America and the World Health Organization. While BD does not anticipate a significant financial impact from this issue, it is fully focused on restoring the supply of blood culture vials to normal levels. Price Performance Image Source: Zacks Investment Research Quest Diagnostics, carrying a Zacks Rank #2 (Buy) at present, has an estimated long-term g ...

According to the U.S. Census Bureau, the "U.S. population age 65 and over grew nearly five times faster than the total population over the 100 years from 1920 to 2020." Not only that, the older population reached 55.8 million, representing 16.8% of the nation in 2020. Thanks to the post-World War II baby boom, a mass of humanity entered the frame. Brookdale Senior Living (BKD) Still, prospective investors will require some patience. In the past four quarters, the company incurred a loss per share of 19 cent ...

Core Insights - BD (Becton, Dickinson and Company) is addressing a supply issue related to its BACTEC™ blood culture vials, which is not expected to have a material financial impact on the company [1][2][4] - The company is taking measures to mitigate the impact on patient care by manually allocating blood culture vials and advising customers to prioritize usage based on clinical needs [2][4] Company Overview - BD is a leading global medical technology company with a commitment to improving medical discovery, diagnostics, and care delivery [1][3] - The company employs approximately 70,000 individuals and operates in nearly every country, collaborating with organizations to tackle global health challenges [1] Supply Chain Management - The company is experiencing reduced availability of blood culture vials from its supplier and is implementing various strategies to address this issue, including providing manufacturing expertise to the supplier and modifying production schedules [4] - BD is also collaborating with the U.S. Food and Drug Administration to explore options for mitigating supply delays [4] Communication with Stakeholders - BD has communicated with healthcare providers regarding the supply situation and is actively working to ensure that the majority of global demand is met [2][4] - The company has set up a dedicated website for updates on the BACTEC™ blood culture vials supply [5]