Core Viewpoint - Becton Dickinson has lowered its profit forecast for the fiscal year 2026, leading to a pre-market stock price decline of 3.7% [1] Group 1 - The company has adjusted its profit expectations for the fiscal year 2026 [1] - Following the announcement, Becton Dickinson's stock experienced a pre-market drop of 3.7% [1]

Financial Data and Key Metrics Changes - Total revenue for Q1 2026 was $5.3 billion, reflecting a 0.4% increase year-on-year, with New BD growing by 2.5% [5][18] - Adjusted gross margin was 53.4%, down 140 basis points from the prior year, primarily due to tariffs [20] - Adjusted EPS was $2.91, a decrease of 15.2% year-on-year, mainly impacted by tariffs [21] - Free cash flow for the quarter was $548 million, with a conversion rate of 66%, up from 59% in the prior year [22] Business Line Data and Key Metrics Changes - Medical Essentials experienced expected order timing dynamics and volume-based procurement in China, partially offset by share gains in the US [18] - Connected Care delivered mid-single-digit growth, led by high single-digit growth in APM [18] - Biopharma Systems grew low single digits, with double-digit growth in biologics, particularly GLP-1s, offset by lower vaccine demand [19] - Interventional and surgery segments both delivered solid mid-single-digit growth, with strong performance in Advanced Tissue Regeneration [19] Market Data and Key Metrics Changes - The US market showed solid growth in the BD Vacutainer portfolio, while challenges persisted in China due to market dynamics [18] - Alaris performance was slightly ahead of expectations despite a revenue decline due to tough comparisons to the prior year [19] - The Life Sciences segment declined due to US point-of-care headwinds and market dynamics in China [20] Company Strategy and Development Direction - The company is focused on a balanced capital allocation strategy, prioritizing share repurchases and tuck-in M&A in high-growth markets [8][9] - Key trends shaping the future of healthcare include the rise of smart devices, the shift towards lower-cost care settings, and the growth in chronic disease technologies [9][10] - The company aims to enhance its commercial capabilities and operational excellence through its "Excellence Unleashed" strategy, focusing on competing, innovating, and delivering [11][16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the trajectory of the business, with core growth drivers remaining intact [27] - The company anticipates low single-digit revenue growth for New BD in fiscal 2026, with a positive currency impact expected [23] - Management acknowledged known headwinds in 10% of the portfolio but emphasized strong fundamentals in the remaining 90% [33] Other Important Information - The company is set to close a significant transaction with Waters, receiving a $4 billion cash distribution, with plans to allocate $2 billion for share repurchases and $2 billion for debt paydown [8][24] - The company has reduced its manufacturing network by nearly half, enhancing operational efficiency and cost management [16][56] Q&A Session Summary Question: Guidance for Q2 revenue and EPS - Management indicated that Q2 guidance reflects modest timing benefits and that core growth drivers remain intact, with no ramp expected from Q1 to Q2 [27][28] Question: Structural changes affecting mid-single-digit growth - Management confirmed confidence in the portfolio, noting strong performance in high-growth areas despite known headwinds [33] Question: Impact of Alaris and vaccines in China - Management expects Alaris to step up in 2027, with vaccines anticipated to have a smaller revenue impact moving forward [40][42] Question: M&A opportunities under New BD strategy - The company remains focused on tuck-in M&A that is accretive to revenue and EPS, with a robust pipeline in high-growth sectors [78][80] Question: Pricing environment and potential for price premiums - Management noted a stable pricing environment with slight positive pricing expected outside of China, anticipating improvements as VBP dynamics lessen [91]

Becton, Dickinson and Company (NYSE:BDX) Q1 2026 Earnings call February 09, 2026 08:00 AM ET Company ParticipantsJayson Bedford - Managing Director in Equity ResearchPatrick Wood - Managing Director in Equity ResearchRick Wise - Managing DirectorShawn Bevec - Senior Vice President of Investor RelationsTom Polen - Chairman, CEO and PresidentTravis Steed - Managing Director in Equity ResearchVitor Roque - SVP and Interim CFOConference Call ParticipantsJoanne Wuensch - Managing Director and Senior Equity Resea ...

Financial Data and Key Metrics Changes - Total revenue for Q1 2026 was $5.3 billion, reflecting a 0.4% increase year-on-year, with new BD growing by 2.5% [4][15] - Adjusted gross margin was 53.4%, down 140 basis points from the previous year, primarily due to tariffs [17] - Adjusted EPS was $2.91, a decrease of 15.2% year-on-year, driven mainly by the impact of tariffs [17][20] - Free cash flow for the quarter was $548 million, with a conversion rate of 66%, up from 59% in the prior year [18] Business Line Data and Key Metrics Changes - Medical Essentials saw mixed performance, with expected order timing dynamics affecting MDS, but continued share gains in the US vascular access management portfolio [15] - Connected Care delivered mid-single-digit growth, led by APM with high single-digit growth [15] - Biopharma Systems grew low single digits, with double-digit growth in biologics, particularly GLP-1s, offset by lower vaccine demand [16] - Interventional business experienced solid mid-single-digit growth, driven by high single-digit growth in UCC and double-digit growth in PureWick [16] Market Data and Key Metrics Changes - Growth was pressured by market dynamics in China, particularly in the life sciences segment, which declined due to headwinds in US point-of-care and difficult comparisons from the prior year [17] - The company expects the value-based procurement (VBP) in China to impact 80% of its portfolio by the end of 2026, with a projected headwind of about 250 basis points for the full year [36] Company Strategy and Development Direction - The company is focused on a balanced capital allocation strategy, prioritizing share repurchases and tuck-in M&A in high-growth markets [6][73] - The transformation into a pure-play med tech company is supported by divesting non-core assets and enhancing its portfolio through strategic acquisitions [7] - The company identified three key trends shaping healthcare: the rise of smart devices, the shift towards lower-cost care settings, and the growth in technologies addressing chronic diseases [7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the trajectory of the business, maintaining a prudent approach to guidance for fiscal 2026, expecting low single-digit revenue growth [20] - The company anticipates that pricing dynamics will improve as VBP in China abates, potentially leading to positive pricing in the future [85] - Management highlighted strong execution in commercial initiatives and a robust innovation pipeline, which are expected to drive future growth [9][68] Other Important Information - The company completed a significant transaction with Waters, receiving a $4 billion cash distribution, with plans to allocate $2 billion for share repurchases and $2 billion for debt paydown [6][19] - The company has reduced its manufacturing network by nearly half, which is expected to lower costs and improve operational efficiency [13][50] Q&A Session Summary Question: Guidance for Q2 revenue and EPS - Management confirmed that Q2 guidance reflects modest timing benefits and remains aligned with Q1 performance, with no fundamental changes expected [23][44] Question: Structural changes affecting mid-single-digit growth - Management reassured that the fundamentals across the majority of the portfolio remain strong, with continued investment in high-growth areas [28] Question: Impact of Alaris and vaccines in China - Management indicated that Alaris is expected to improve in 2027, while vaccine impacts are anticipated to lessen over time [36][71] Question: Pricing environment and innovation impact - Management noted a stable pricing environment with slight positive trends expected, particularly as new product innovations are introduced [84][85]

Core Viewpoint - Medical device maker Becton Dickinson has revised its profit forecast for fiscal year 2026, reflecting the impact of the separation and sale of its biosciences and diagnostics unit [1] Group 1 - The company has adjusted its outlook to account for the recent strategic changes involving its biosciences and diagnostics unit [1]

分组1 - Becton Dickinson (BDX) reported quarterly earnings of $2.91 per share, exceeding the Zacks Consensus Estimate of $2.82 per share, but down from $3.43 per share a year ago, representing an earnings surprise of +3.35% [1] - The company achieved revenues of $5.25 billion for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 2.03% and showing an increase from $5.17 billion year-over-year [2] - Becton Dickinson has outperformed the S&P 500 with an 8.2% increase in shares since the beginning of the year, compared to the S&P 500's gain of 1.3% [3] 分组2 - The current consensus EPS estimate for the upcoming quarter is $3.34 on revenues of $5.51 billion, and for the current fiscal year, it is $14.84 on revenues of $22.45 billion [7] - The Medical - Dental Supplies industry, to which Becton Dickinson belongs, is currently ranked in the top 30% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8]

MILFORD, Mass., Feb. 9, 2026 /PRNewswire/ -- Waters Corporation (NYSE: WAT) ("Waters") today announced it has completed the previously announced combination with the Biosciences & Diagnostic Solutions businesses of Becton, Dickinson and Company (NYSE: BDX) ("BD"). The transaction forms a global life sciences and diagnostics leader, equipped with best-in-class technologies, and an industry-leading financial outlook. The Company also announced the appointment of Claire M. Fraser, Ph.D., to its Board of Direct ...

Core Viewpoint - BD has successfully completed the spin-off of its Biosciences & Diagnostic Solutions business, combining it with Waters Corporation, marking a significant milestone in its BD 2025 strategy and positioning the company for future growth in the MedTech sector [1][3]. Transaction Details - BD shareholders will receive approximately 0.135 shares of Waters common stock for each share of BD common stock held as of February 5, 2026, along with cash for any fractional shares [2]. - BD received $4 billion in cash from the transaction, valuing the spun-off business at $18.8 billion based on Waters' stock price on February 6, 2026 [2]. - BD plans to utilize $2 billion of the proceeds for share repurchases and the remaining $2 billion for debt repayment, with both initiatives expected to occur in the near term [2]. Strategic Positioning - The combination with Waters is seen as a pivotal step in BD's transformation into a focused, pure-play MedTech company, enhancing its ability to capitalize on emerging healthcare trends such as connected devices and AI [3]. - BD has strategically shaped its portfolio by divesting non-core assets and making over 20 tuck-in acquisitions to strengthen its market presence [3]. Future Outlook - BD is implementing its Excellence Unleashed strategy to enhance its commercial capabilities, drive innovation, and ensure high-quality operations, which is expected to lead to sustainable revenue and cash flow growth [4]. - The company believes it is well-positioned to generate long-term shareholder value due to its global scale and recurring consumables model [4]. Leadership Changes - Claire M. Fraser, Ph.D., has been appointed to the Waters Corporation Board of Directors following the transaction, stepping down from BD's Board after nearly two decades [5]. - Her expertise in genomics and molecular diagnostics is expected to benefit Waters significantly [6].

Q1 FY26 Earnings Presentation February 9, 2026 Advancing the world of healthTM Caution Concerning Forward-looking Statements This presentation and accompanying webcast contain certain estimates and other forward-looking statements (as defined under Federal securities laws) regarding BD's future prospects and performance, including, but not limited to, future revenues, margins, earnings per share, leverage targets, capital deployment and the proposed combination of BD's Biosciences and Diagnostic Solutions b ...

Revenue Performance - Revenue for Q1 Fiscal 2026 was $5.3 billion, an increase of 1.6% as reported and 0.4% on a foreign currency-neutral basis[4] - Medical Essentials segment revenue was $1.6 billion, a 0.6% increase, while Connected Care segment revenue grew by 5.5% to $1.1 billion[9] - International revenue was $2.1 billion, showing a slight increase of 0.2% but a decrease of 2.8% on a foreign currency-neutral basis[8] - Revenues for Q4 2025 were $5,252 million, a 1.6% increase from $5,168 million in Q4 2024[23] - Total revenues for the three months ended December 31, 2025, were $5,252 million, representing a 1.6% increase compared to $5,168 million in the same period of 2024[32] - New BD revenues, excluding the Life Sciences segment, were $4,486 million for the three months ended December 31, 2025, reflecting a 3.5% increase from $4,333 million in 2024[35] Earnings and Profitability - GAAP diluted EPS was $1.34, representing a 28.8% increase compared to the previous year, while adjusted diluted EPS was $2.91, a decrease of 15.2%[7] - Operating income rose to $552 million, reflecting a 21.8% increase compared to $453 million in the previous year[23] - Net income increased by 26.1% to $382 million from $303 million year-over-year[23] - Basic earnings per share (EPS) improved by 27.6% to $1.34, up from $1.05 in Q4 2024[23] - Adjusted diluted EPS guidance for fiscal 2026 is projected to be between $12.35 and $12.65[13] - Adjusted diluted EPS for FY 2026 is projected to be between $12.35 and $12.65, reflecting a reported percentage change of +4.7% to +7.2%[41] Strategic Initiatives - The combination of BD's Biosciences and Diagnostic Solutions business with Waters Corporation is expected to close today, marking a significant strategic milestone[4] - BD announced a $110 million investment to support the U.S. pharmaceutical supply chain for biologic drugs, establishing production of prefillable syringes[5] - The company plans to reorganize its segments into five distinct units effective October 1, 2025, to better align with its product and service offerings[32] Segment Performance - The BioPharma Systems segment reported a 45.0% revenue increase to $150 million compared to $104 million in Q4 2024[26] - The Life Sciences segment reported revenues of $766 million, down 8.3% from $836 million in the prior year[35] - The BioPharma Systems segment generated $429 million in revenue, a 2.7% increase from $418 million in 2024[32] - The Connected Care segment's total revenue was $1,131 million, up 5.5% from $1,073 million in the previous year[32] - The Interventional segment reported total revenues of $1,330 million, a 5.8% increase from $1,257 million in 2024[32] Regulatory and Market Environment - The company is facing potential impacts from regulatory changes and market pressures, including pricing and reimbursement policies[22] - The company expects low single-digit revenue growth for FY 2026, with an illustrative foreign currency impact of approximately +120 basis points[39]