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 financial results for its third fiscal quarter ending June 30, 2011, as disclosed in a press release.

Why is BDX using non-GAAP financial measures?

BDX is using non-GAAP financial measures to offer investors a more transparent view of its underlying operational performance by excluding the effects of foreign currency fluctuations on revenue and specific charges impacting earnings per share (like those from healthcare reform). This helps in better comparing current results to prior periods and assessing the company's guidance.

Are the non-GAAP measures presented as reliable as GAAP measures?

BDX presents non-GAAP measures as supplemental information to provide additional insight. While management finds them useful for evaluating performance, the company clearly states that these measures should not be considered in isolation or as a substitute for GAAP results, as the excluded items can materially impact financial outcomes.

What specific items are being adjusted for in the non-GAAP calculations?

For revenue, the adjustments eliminate the effect of foreign currency translation. For earnings per share (EPS), adjustments exclude the non-cash charge related to Medicare Part D reimbursements from healthcare reform and the effect of foreign currency translation, including hedging gains or losses.

BDX 8-K: Earnings & Results

Summary

Becton, Dickinson and Company (BDX) filed an 8-K on August 2, 2011, to report its third fiscal quarter financial results ending June 30, 2011. The filing primarily highlights the company's use of non-GAAP financial measures to provide a clearer picture of its operational performance to investors. These adjustments are made to exclude the impact of foreign currency translation on revenue and specific one-time charges affecting earnings per share, such as those related to healthcare reform. Management believes these non-GAAP metrics offer enhanced insight into the company's underlying business trends and facilitate more accurate comparisons to prior periods and its own guidance. While these measures are considered supplemental, the company emphasizes that they should be viewed alongside GAAP results due to the potential material impact of the excluded items on overall financial performance. Investors are encouraged to consider these adjusted figures in conjunction with the standard GAAP reporting.

Key Highlights

1BDX announced its Q3 fiscal year 2011 financial results via a press release furnished with this 8-K.
2The company is utilizing non-GAAP financial measures to present revenue growth rates, excluding the impact of foreign currency translation.
3Non-GAAP earnings per share (EPS) are also presented, excluding charges related to healthcare reform (Medicare Part D reimbursements) and foreign currency translation for comparability.
4BDX management uses these non-GAAP measures to evaluate performance, compare periods, and for budget planning.
5The company believes these adjusted measures provide investors with a better understanding of underlying operating results and performance trends.
6BDX explicitly states that non-GAAP results are supplemental and should be considered alongside, not as a substitute for, GAAP results.
7Investors are cautioned that items excluded from non-GAAP measures can have a material impact on net income and EPS.

BECTON DICKINSON & CO 8-K Report, Financial Results (Aug 2, 2011)

Summary

Key Highlights

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