Summary
Becton Dickinson & Co. (BDX) reported financial results for the period ending March 31, 2009, showing a slight year-over-year decrease in revenue for the second quarter, largely due to unfavorable foreign currency translation impacts. Despite the revenue dip, the company demonstrated resilience with improvements in operating income for its Diagnostics and Biosciences segments, driven by stronger product mix and effective cost management. The company also incurred a significant charge related to an antitrust class action settlement, impacting reported net income and EPS. Liquidity remains solid, supported by operating cash flows and available credit facilities, though net cash provided by operating activities saw a decrease compared to the prior year, partly due to higher inventory levels. The company continues its share repurchase program and dividend payments. Management highlighted the ongoing impact of global economic conditions and foreign currency fluctuations on its business, while also emphasizing continued investment in research and development to drive future growth.
Financial Highlights
28 data points| Revenue | $1.72B |
| Cost of Revenue | $829.35M |
| Gross Profit | $895.62M |
| SG&A Expenses | $436.36M |
| Operating Expenses | $1.36B |
| Operating Income | $360.67M |
| Interest Expense | $7.50M |
| Net Income | $261.29M |
| EPS (Basic) | $1.09 |
| EPS (Diluted) | $1.06 |
Key Highlights
- 1Second quarter revenues decreased by 0.4% to $1.741 billion compared to the prior year, primarily due to a 5% unfavorable foreign currency translation impact.
- 2Net income for the quarter was $261.3 million, a decrease from $276.2 million in the prior year, impacted by a $45 million charge related to an antitrust class action settlement.
- 3Diluted EPS from continuing operations was $1.06, down from $1.09 in the prior year, with the litigation charge reducing EPS by $0.11.
- 4Operating income for the Diagnostics segment increased by 13% and for the Biosciences segment by 9%, reflecting improved profitability in these divisions.
- 5Net cash provided by continuing operating activities was $525.8 million for the six months ended March 31, 2009, a decrease from $686.3 million in the prior year, attributed in part to higher inventory levels.
- 6The company repurchased $341.5 million of its common stock during the six-month period, indicating a continued commitment to returning capital to shareholders.
- 7Long-term debt decreased to $747.7 million from $953.2 million, while short-term debt increased significantly, reflecting a reclassification of notes due in October 2009.