What is the main purpose of this 8-K filing?

The main purpose of this 8-K filing is to announce and provide details on Becton, Dickinson and Company's (BD) financial results for its second fiscal quarter ending March 31, 2010. It also discloses the non-GAAP financial measures the company is using to report these results.

What are 'non-GAAP financial measures' and why does BD use them?

Non-GAAP financial measures are financial calculations that differ from U.S. generally accepted accounting principles (GAAP). BD uses them to provide additional insight into its underlying operating results by excluding certain items like foreign currency fluctuations and specific one-time charges. Management believes these measures help investors better understand BD's performance and facilitate comparisons to prior periods and its own guidance.

What specific items are excluded in BD's non-GAAP reporting for this quarter?

For this second fiscal quarter, non-GAAP revenue growth rates exclude the effects of foreign currency translation. For earnings per share (EPS), the company excluded a non-cash charge related to healthcare reform impacting Medicare Part D reimbursements. Prior year EPS adjustments included a charge for a pending antitrust class action settlement.

How should investors interpret these non-GAAP measures?

Investors should view these non-GAAP measures as supplemental information that provides additional insight into BD's performance. They are not a substitute for GAAP results and should be considered in conjunction with them. It's important to note that these non-GAAP results may differ from similar measures used by other companies and that the excluded items could still have a material impact on GAAP net income or EPS.

BDX 8-K: Earnings & Results

Summary

Becton, Dickinson and Company (BD) filed an 8-K on April 29, 2010, to report its second fiscal quarter financial results ending March 31, 2010. The report highlights the use of non-GAAP financial measures, which management believes offer investors a clearer understanding of the company's underlying operating performance by excluding the impact of foreign currency translation and specific one-time items. Key non-GAAP adjustments include the exclusion of foreign currency effects from revenue growth rates and earnings per share (EPS) calculations. For EPS, specific adjustments were made for a non-cash charge related to healthcare reform impacting Medicare Part D reimbursements for the current quarter, and for a pending antitrust class action settlement in the prior year. BD's management utilizes these non-GAAP measures to evaluate performance, compare periods, and for budget planning, providing them to investors as supplemental information to enhance comparability and insight into underlying trends.

Key Highlights

1BD announced financial results for its second fiscal quarter ending March 31, 2010, via an 8-K filing.
2The company utilizes non-GAAP financial measures to present a clearer view of its operating performance.
3Non-GAAP revenue growth rates exclude the impact of foreign currency translation and hedging activities.
4Adjusted EPS excludes non-cash charges related to healthcare reform (Medicare Part D reimbursements).
5Prior period adjusted EPS excluded a charge for a pending antitrust class action settlement.
6Management uses these non-GAAP measures for performance evaluation, period-to-period comparisons, and budget planning.
7The report emphasizes that non-GAAP measures are supplemental and should be considered alongside GAAP results.

BECTON DICKINSON & CO 8-K Report, Financial Results (Apr 29, 2010)

Summary

Key Highlights

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