Latest news with #BDExcellence
Yahoo
07-08-2025
- Business
- Yahoo
Becton Dickinson shares surge as Q3 earnings beat drives guidance hike
-- Becton Dickinson shares surged over 8% in premarket trading on Thursday after the medical technology company reported third-quarter earnings that exceeded analyst expectations and raised its full-year profit outlook, citing strong margin improvements driven by operational excellence initiatives. The company reported adjusted earnings per share of $3.68 for its fiscal third quarter, significantly beating the analyst consensus of $3.40. Revenue came in at $5.5 billion, slightly above the $5.49 billion analysts had expected and representing a 10.4% increase from the same period last year. On an organic basis, revenue grew 3.0% YoY. "We increased our organic growth trajectory in Q3 while delivering strong margin and EPS growth fueled by BD Excellence, enabling us to raise our EPS guidance and reaffirm organic revenue growth expectations for the full year," said Tom Polen, chairman, CEO and president of BD. The company raised its full-year adjusted earnings guidance to between $14.30 and $14.45 per share, up from its previous forecast of $14.06 to $14.34 and above the analyst consensus of $14.10. The company maintained its organic revenue growth forecast of 3.0% to 3.5% for the fiscal year. BD's Medical segment led growth with a 14.4% revenue increase to $2.93 billion, while the Interventional segment grew 7.2% to $1.33 billion. The Life Sciences segment saw a slight 0.5% decline to $1.25 billion, reflecting lower demand for point-of-care testing and blood culture products. Gross margin improved 160 basis points on a GAAP basis and 50 basis points on an adjusted basis compared to the prior year, while adjusted operating income increased 11.3%. The company also noted progress on its recently announced agreement to combine its Biosciences and Diagnostic Solutions business with Waters Corporation (NYSE:WAT), which it expects will create "an innovative life science and diagnostic leader focused on high-volume testing." Related articles Becton Dickinson shares surge as Q3 earnings beat drives guidance hike Clients buying into summer rally, bracing for later pullback, says BofA's Hartnett Surge of 50% since our AI selection, this chip giant still has great potential Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
26-06-2025
- Business
- Yahoo
BD's Q1 Earnings Call: Our Top 5 Analyst Questions
Becton, Dickinson and Company's first quarter results were met with a sharp negative market reaction, reflecting concerns around revenue performance and margin compression. Management attributed the shortfall primarily to weaker demand in its Life Sciences segment, driven by reduced global research funding and slower-than-expected recovery in diagnostic testing volumes. CEO Tom Polen stated, 'We are not satisfied with this quarter's top-line growth,' highlighting both external pressures—such as changes in U.S. research grant policy—and internal supply chain adjustments. The company also pointed to delays in returning blood culture testing to normal levels, despite resolving earlier supplier issues. Is now the time to buy BDX? Find out in our full research report (it's free). Revenue: $5.27 billion vs analyst estimates of $5.35 billion (4.5% year-on-year growth, 1.5% miss) Adjusted EPS: $3.35 vs analyst estimates of $3.28 (2.1% beat) Adjusted EBITDA: $1.52 billion vs analyst estimates of $1.54 billion (28.9% margin, 1.1% miss) Adjusted EPS guidance for the full year is $14.20 at the midpoint, missing analyst estimates by 1.2% Operating Margin: 10.4%, down from 14.5% in the same quarter last year Constant Currency Revenue rose 6% year on year (4.7% in the same quarter last year) Market Capitalization: $48.98 billion While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Larry Biegelsen (Wells Fargo) asked for clarity on the magnitude and mitigation of tariff expenses, with CFO Chris DelOrefice explaining that the $0.25 per share impact is net of mitigation efforts and would need to be partially annualized for next year. Robbie Marcus (JPMorgan) pressed on specific drivers behind the downward revision in organic growth, with DelOrefice breaking down the headwinds as primarily stemming from China, research spending cuts, and slow diagnostic recovery. Matt Taylor (Jefferies) explored the company's levers for managing tariffs, prompting CEO Tom Polen to detail inventory repositioning, supplier shifts, and the use of alternate global manufacturing sites to reduce exposure. Travis Steed (Bank of America) questioned the credibility of the accelerated growth outlook for the second half, with management conceding that macro volatility has made guidance more difficult but expressing confidence in the pipeline of launches and operational execution. Patrick Wood (Morgan Stanley) asked about sustaining internal efficiency programs, to which Polen and President Mike Feld highlighted that the BD Excellence initiatives are still expanding and viewed as energizing for employees, freeing up time for value-added work. In the coming quarters, the StockStory team will be monitoring (1) the pace of recovery in diagnostics and research funding environments, (2) successful ramp-up and market uptake of new product launches such as FACSDiscover A8 and CentroVena One, and (3) the effectiveness of tariff mitigation strategies as the external landscape evolves. Execution on the planned business separation and further margin improvements through BD Excellence will also be key signposts. BD currently trades at $170.90, down from $206.90 just before the earnings. At this price, is it a buy or sell? See for yourself in our full research report (it's free). Donald Trump's victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs. While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today.
