FRANKLIN LAKES, N.J., Aug. 4, 2016 /PRNewswire/ -- BD (Becton, Dickinson and Company) (NYSE: BDX), a leading global medical technology company, today announced quarterly revenues of $3.198 billion, as reported, for the third fiscal quarter ended June 30, 2016, an increase of 2.5 percent over the prior-year period revenues as reported. On a comparable, currency-neutral basis, third quarter organic adjusted revenues grew 4.0 percent.

"We are pleased with our results this quarter with both segments contributing to growth," said Vincent A. Forlenza, Chairman, CEO and President. "The combination of solid revenue growth and continued margin improvement is allowing us to increase our investment in innovation while delivering double-digit increases in earnings. At the same time, we continue to drive significant accretion from the integration of BD and CareFusion and create meaningful value for shareholders."

Third Quarter and Nine-Month Fiscal 2016 Operating Results

As reported, diluted earnings per share for the third quarter were $1.80, compared with $0.29 as reported in the prior-year period. Adjusted diluted earnings per share were $2.35, compared with $2.05 in the prior-year period. This represents an increase in adjusted diluted earnings per share of 14.6 percent, or 19.5 percent on a currency-neutral basis.

For the nine-month period ended June 30, 2016, as reported, diluted earnings per share were $4.41, compared with $2.52 as reported in the prior-year period. Adjusted diluted earnings per share were $6.48, compared with $5.22 in the prior-year period. This represents an increase in adjusted diluted earnings per share of 24.1 percent, or 33.9 percent on a currency-neutral basis.

Segment Results

In the BD Medical segment, as reported, worldwide revenues for the quarter were $2.235 billion, an increase of 1.6 percent over the prior-year period revenues as reported. As adjusted, BD Medical revenues of $2.237 billion grew 3.0 percent on a comparable, currency-neutral basis. The segment's revenue growth reflects strong performance in the Medication Management Solutions and Diabetes Care units, and solid growth in the Medication and Procedural Solutions unit. Performance in the Pharmaceutical Systems and Respiratory Solutions units was negatively impacted, in part, by customer ordering patterns and the timing of capital placements, respectively, which occurred in the second fiscal quarter, earlier than initially anticipated.

For the nine-month period ended June 30, 2016, BD Medical revenues were $6.420 billion as reported, an increase of 46.7 percent over the prior-year period revenues as reported. As adjusted, BD Medical revenues of $6.431 billion grew 3.7 percent on a comparable, currency-neutral basis.

In the BD Life Sciences segment, as reported, worldwide revenues for the quarter were $963 million, an increase of 4.6 percent from the prior-year period revenues as reported, or an increase of 6.0 percent on a currency-neutral basis. The segment's revenue growth reflects strong performance in the Diagnostic Systems and Preanalytical Systems units, and modest growth in the Biosciences unit. Growth in the Diagnostic Systems unit was driven by strong core microbiology sales including BD Kiestra™ installations during the quarter. Within the Biosciences unit, strong growth in research instruments and research reagents in the U.S. was partially offset by declines in Africa, as expected.

For the nine-month period ended June 30, 2016, BD Life Sciences revenues were $2.832 billion as reported, a decrease of 0.5 percent over the prior-year period revenues as reported, and an increase of 3.7 percent on a currency-neutral basis.

Geographic Results

As reported, third quarter revenues in the U.S. were $1.735 billion, an increase of 2.5 percent over the prior-year period revenues as reported. As adjusted, revenues in the U.S. of $1.737 billion increased 3.4 percent on a comparable basis. Within the BD Medical segment, growth was driven by strong performance in the Medication Management Solutions and Pharmaceutical Systems units. The segment's growth was negatively impacted by a decline in Medication and Procedural Solutions revenues, due in part to the divestiture of the spine business. Growth was also negatively impacted by the aforementioned timing of capital placements in the Respiratory Solutions unit. Growth in the BD Life Sciences segment was driven by solid growth in the Preanalytical Systems and Diagnostics Systems units, and strong research instrument and reagent sales in the Biosciences unit.

As reported, revenues outside of the U.S. were $1.463 billion, representing an increase of 2.5 percent over the prior-year period revenues as reported, or an increase of 4.6 percent on a currency-neutral basis. International revenue growth reflects modest growth in the BD Medical segment and strong performance in the BD Life Sciences segment. Within the BD Medical segment, growth was driven by strength in China and sales of safety-engineered products. Growth in the BD Medical segment was negatively impacted, in part, by the aforementioned timing of customer orders and capital placements in the Pharmaceutical Systems and Respiratory Solutions units, respectively. Growth in the BD Life Sciences segment reflects strong performance in Western Europe in the Diagnostic Systems unit driven by core microbiology sales, and strong growth in the Preanalytical Systems unit across all regions. This growth was partially offset by the aforementioned declines in Africa within the Biosciences unit.

For the nine-month period ended June 30, 2016, U.S. revenues were $5.145 billion as reported, an increase of 49.7 percent over the prior-year period revenues as reported. As adjusted, revenues in the U.S. of $5.156 billion grew 3.5 percent on a comparable basis. As reported, revenues outside of the U.S. were $4.107 billion, an increase of 8.5 percent over the prior-year period revenues as reported, or an increase of 16.5 percent on a currency-neutral basis. On a comparable, currency-neutral basis, revenues outside the U.S. grew 3.8 percent.

Fiscal 2016 Outlook for Full Year

As reported, and as adjusted, the Company now expects revenues to increase 21.0 to 21.5 percent. This is a decrease from previously issued guidance of 21.5 to 22.0 percent growth due to incremental currency headwinds. Excluding the impact of foreign currency, the Company continues to estimate that as reported, and as adjusted, revenues for the full fiscal year 2016 will increase 24.5 to 25.0 percent, including the accretion from the acquisition of CareFusion. On a comparable, currency-neutral basis, the Company continues to estimate organic adjusted revenues will increase 4.5 to 5.0 percent.

As reported, the Company expects full fiscal year diluted earnings per share to be between $5.88 and $5.95. The Company continues to expect full fiscal year 2016 adjusted diluted earnings per share to be between $8.50 and $8.57, which represents growth of approximately 19.0 to 20.0 percent. On a currency-neutral basis, the Company is raising full fiscal year 2016 adjusted diluted earnings per share to be between $9.08 and $9.15, which represents growth of approximately 27.0 to 28.0 percent over fiscal 2015 adjusted diluted earnings per share of $7.16. This is an increase from previously issued guidance of $9.01 to $9.08, which represented approximately 26.0 to 27.0 percent growth. Adjusted diluted earnings per share excludes, among other specified items, the non-cash amortization of intangible assets, and includes approximately 22.0 percentage points of accretion from the CareFusion acquisition.

Conference Call Information

A conference call regarding BD's third quarter results will be broadcast live on BD's website, www.bd.com/investors, along with related slides, at 8:00 a.m. (ET) Thursday, August 4, 2016. The conference call will be available for replay on BD's website, www.bd.com/investors, or at 1-800-585-8367 (domestic) and 1-404-537-3406 (international) through the close of business on Thursday, August 11, 2016, confirmation number 44231624.

Non-GAAP Financial Measures/Financial Tables

This news release contains certain non-GAAP financial measures. Reconciliations of these and other non-GAAP measures to the comparable GAAP measures are included in the attached financial tables. Within the attached financial tables presented, certain columns and rows may not add due to the use of rounded numbers. Percentages and earnings per share amounts presented are calculated from the underlying amounts.

All "comparable" basis revenue growth rates presented throughout this release include the results of CareFusion Corporation ("CareFusion") in the current and prior-year periods. Adjusted revenues for the current and prior-year periods for the Company and the Medical segment in the U.S. exclude the amortization of a write down of deferred revenue made in connection with our acquisition of CareFusion, which served to lower reported revenues for each period. Adjusted revenue growth rates presented on a comparable basis reflect the aforementioned adjustments and further exclude the impact of a distribution agreement change in the Respiratory Solutions unit. Adjusted revenue growth rates presented on an "organic" comparable basis reflect the aforementioned adjustments and are further adjusted for closed acquisitions and divestitures. Current and prior-year adjusted diluted earnings per share results exclude the impact of purchase accounting adjustments (including the non-cash amortization of acquisition-related intangible assets); and integration, restructuring and transaction costs. Prior-year adjusted diluted earnings per share results also excludes the impact of financing costs; a litigation-related charge and the dilutive impact of shares issued in the CareFusion acquisition prior to the consolidation of its operating results beginning on April 1, 2015. We also provide these measures on a currency-neutral basis after eliminating the effect of foreign currency translation, where applicable. Reconciliations of these amounts to the most directly comparable GAAP measures are included in the tables at the end of this release.

About BD

BD is a global medical technology company that is advancing the world of health by improving medical discovery, diagnostics and the delivery of care. BD leads in patient and health care worker safety and the technologies that enable medical research and clinical laboratories. The company provides innovative solutions that help advance medical research and genomics, enhance the diagnosis of infectious disease and cancer, improve medication management, promote infection prevention, equip surgical and interventional procedures, optimize respiratory care and support the management of diabetes. The company partners with organizations around the world to address some of the most challenging global health issues. BD has more than 45,000 associates across 50 countries who work in close collaboration with customers and partners to help enhance outcomes, lower health care delivery costs, increase efficiencies, improve health care safety and expand access to health. For more information on BD, please visit www.bd.com.

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This press release, including the section entitled "Fiscal 2016 Outlook for Full Year", contains certain estimates and other forward-looking statements (as defined under Federal securities laws) regarding BD's performance, including future revenues and earnings per share. All such statements are based upon current expectations of BD and involve a number of business risks and uncertainties. Actual results could vary materially from anticipated results described, implied or projected in any forward-looking statement. With respect to forward-looking statements contained herein, a number of factors could cause actual results to vary materially. These factors include, but are not limited to: risks relating to the integration of CareFusion's operations, products and employees into BD and the possibility that the anticipated synergies and other benefits of the proposed acquisition will not be realized or will not be realized within the expected timeframe; potential cuts in governmental healthcare spending, which could result in reduced demand for our product or downward pricing pressure; measures to contain healthcare costs; adverse changes in regional, national or foreign economic conditions, including any impact on our ability to access credit markets and finance our operations, the demand for our products and services as a result of reduced government funding, lower utilization rates or otherwise, or our suppliers' ability to provide products needed for our operations; changes in interest or foreign currency exchange rates; our ability to successfully integrate any businesses we acquire; the adverse impact of cyber-attacks on our information systems or products; competitive factors including technological advances and new products introduced by competitors; interruptions in our supply chain or manufacturing processes; pricing and market pressures; difficulties inherent in product development, delays in product introductions and uncertainty of market acceptance of new products; adverse changes in geopolitical conditions; increases in energy costs and their effect on, among other things, the cost of producing BD's products; efficacy or safety concerns relating to product recalls; fluctuations in costs and availability of raw materials and in BD's ability to maintain favorable supplier arrangements and relationships; new or changing laws and regulations impacting our business or changes in enforcement practices with respect to such laws; uncertainties of litigation (as described in BD's filings with the Securities and Exchange Commission); future healthcare reform, including changes in government pricing and reimbursement policies or other cost containment reforms; the effects of potential pandemic diseases; and issuance of new or revised accounting standards, as well as other factors discussed in BD's filings with the Securities and Exchange Commission. We do not intend to update any forward-looking statements to reflect events or circumstances after the date hereof except as required by applicable laws or regulations.

Contact:

Monique N. Dolecki, Investor Relations – 201-847-5378

Kristen Cardillo, Corporate Communications – 201-847-5657

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SOURCE BD (Becton, Dickinson and Company)