Summary
Becton, Dickinson and Company (BD) filed an 8-K on February 5, 2018, to disclose changes in its business segment reporting following the acquisition of C.R. Bard, Inc. The company is establishing a new third reporting segment, "BD Interventional," which will house the majority of Bard's product offerings and some existing BD Medical products. This new segment will be comprised of three units: Surgery, Peripheral Intervention, and Urology and Critical Care. BD's existing "BD Medical" segment will also be reorganized into a "Medication Delivery Solutions" unit, incorporating certain Bard products. Furthermore, BD is providing supplemental unaudited historical combined financial information, presented as "adjusted comparable revenues." This non-GAAP measure is intended to allow investors to better compare historical performance across periods, reflecting the Bard acquisition as if it occurred at the start of fiscal year 2016, and accounting for segment realignments, divestitures, and other adjustments. This information is provided to facilitate an understanding of management's guidance for fiscal year 2018.
Key Highlights
- 1BD is establishing a new "BD Interventional" reporting segment following the acquisition of C.R. Bard, Inc.
- 2The BD Interventional segment will encompass Bard's former Surgical Specialties, Vascular Products, and a majority of its Urology Products, along with select BD Medical products.
- 3The existing BD Medical segment will be reorganized into a "Medication Delivery Solutions" unit, incorporating certain Bard product lines.
- 4Supplemental unaudited historical combined financial information is being provided, using a non-GAAP measure called "adjusted comparable revenues."
- 5Adjusted comparable revenues are presented as if the Bard acquisition occurred at the beginning of fiscal year 2016, with further adjustments for segment and reporting realignments, divestitures, and accounting treatments.
- 6This adjusted financial information aims to provide investors with a basis for comparing historical performance and understanding future guidance for the combined entity.
- 7The report specifies that the furnished information is not considered "filed" under Section 18 of the Exchange Act.