What are the key non-GAAP measures BDX is reporting and why?

BDX is reporting adjusted revenue and adjusted earnings per share (EPS). These measures exclude items like foreign currency translation, workforce reduction charges, non-cash pension charges, litigation costs, and the medical device excise tax. The company uses these to present a clearer picture of its underlying business performance and facilitate comparisons to prior periods and peer companies, as management believes these excluded items do not reflect core operational results.

How does BDX address foreign currency impacts?

BDX presents revenue growth rates and EPS growth rates after eliminating the effect of foreign currency translation. This is done to allow investors to better understand the underlying operating results of the company and facilitate comparisons to prior periods without the volatility introduced by currency fluctuations.

What is the significance of the medical device excise tax mentioned in the filing?

The filing notes that BDX is further adjusting fiscal year 2014 EPS to remove the incremental impact of the medical device excise tax that went into effect in January 2013 under the U.S. Patient Protection and Affordable Care Act. Eliminating this tax's impact facilitates a more direct comparison between fiscal year 2014 and fiscal year 2013 results, as the tax was not in effect during the relevant portion of the prior fiscal year.

Does BDX provide any future financial outlook?

Yes, the report mentions that BDX is presenting estimated EPS and EPS growth for fiscal year 2015. These forward-looking figures are also adjusted to exclude non-cash expenses such as amortization of acquisition-related intangibles and the anticipated impact of foreign currency translation, providing management's view of expected underlying performance.

BDX 8-K: Earnings & Results

Summary

Becton, Dickinson and Company (BDX) filed an 8-K on November 4, 2014, to announce its financial results for the fourth fiscal quarter and full fiscal year ending September 30, 2014. The report primarily focuses on the company's use of non-GAAP financial measures to provide a clearer view of its underlying operational performance. Investors are provided with adjusted revenue and earnings per share (EPS) figures that exclude certain charges, foreign currency fluctuations, and the impact of the medical device excise tax. The company emphasizes that these non-GAAP measures are used by management for performance evaluation, budgeting, and comparison to peers, and are provided to investors as a supplemental tool. BD highlighted that adjusted figures facilitate better understanding of the company's operational trends by removing items not considered part of core business results or those affecting period-to-period comparability. The filing also offers forward-looking guidance for fiscal year 2015, presented on an adjusted basis.

Key Highlights

1BDX announced Q4 and full fiscal year 2014 financial results on November 4, 2014.
2The company is providing detailed non-GAAP financial measures, including adjusted revenue and EPS, to offer better insight into underlying performance.
3Adjusted metrics exclude impacts from foreign currency translation, workforce reduction charges, non-cash pension charges, litigation costs, and the medical device excise tax.
4Management uses these non-GAAP measures for internal performance evaluation, budgeting, and comparison with competitors.
5The report provides adjusted EPS guidance for fiscal year 2015.
6Non-GAAP results are presented as supplemental information and should be considered alongside GAAP results.

BECTON DICKINSON & CO 8-K Report, Financial Results (Nov 4, 2014)

Summary

Key Highlights

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