NEW YORK, Nov. 3 (GenomeWeb News) - Becton Dickinson reported today 10 percent revenue growth in its fiscal fourth quarter, and a positive outlook for the next year. However, 7 percent of that growth was organic while the remaining 3 percent was due to favorable currency exchange rates.
Total revenue for the three months ended Sept. 30 increased to $1.4 billion from $1.2 billion year over year. Of the three segments, BD Medical accounted for slightly more than half of total revenues, at 55 percent. BD Medical's total fourth-quarter revenues increased 11 percent to $762 million.
The BD Diagnostics segment saw its total revenues for the quarter increase 8 percent to $403 million. Growth in this segment was spurred by strong international sales, which outperformed the United States.
In the BD Biosciences segment, total quarterly revenue increased 12 percent to $214 million. Research instrument and reagent sales continued to be primary growth contributors, the company said.
Geographically, U.S. revenues increased 9 percent to $687 million over the previous quarter, and international revenues increased 11 percent to $692 million. All business segments gained from favorable exchange rates and the company estimated a 3-percent benefit from foreign currency translation for the quarter, the company said.
R&D spending for the fourth quarter increased 30 percent to $76.5 million from $58 million.
"Performance such as this will allow us to increase the pace of our R&D spending while also targeting double-digit earnings growth," Edward J. Ludwig, BD's president and CEO said in a statement.
BD also posted a profit of approximately $149 million, or $.60 per share, from approximately $67 million, or $.27 per share during last year's fourth quarter. BD expects "earnings will grow by approximately 10 percent" for fiscal year 2006, said Ludwig.
The company did not break out its cash on hand.
Shares in BD were up 8.8 percent, or $4.53, at $56.28 in mid-afternoon trading.