NEW YORK – Becton Dickinson reported on Thursday that its fiscal fourth quarter revenues declined nearly 2 percent year over year while its base revenue grew approximately 4 percent.
For the three months ended Sept. 30, the Franklin Lakes, New Jersey-based medical tech and diagnostics company posted revenues of $4.76 billion compared to $4.85 billion in the year-ago quarter, and slightly above analysts' average estimate of $4.72 billion. On a currency-neutral basis, Q4 revenues increased approximately 2 percent over the prior year.
On a call with investors before the market opened, CEO Tom Polen highlighted that BD "delivered strong, consistent growth" in its base business, overall.
BD's medical segment brought in $2.38 billion, a 6 percent increase over $2.25 billion reported a year ago. Its life sciences segment recorded $1.29 billion in revenues, down approximately 16 percent from $1.53 billion in Q4 2021.
Within the life sciences segment, integrated diagnostic solutions revenues fell 21 percent to $930 million from $1.18 billion in the quarter, while biosciences revenues increased 2 percent to $358 million from $352 million.
The firm's base business performance was offset by a decline in COVID-only testing revenues. Within integrated diagnostic solutions, BD said it had base business growth that was driven by leveraging an increased BD Max installed base, availability of specimen management products, and incremental clinical microbiology instrument installations.
Performance in the biosciences unit reflected advancement in flow cytometry supported by strong demand for recently launched FACSymphony A1/A5 SE analyzers and FACSymphony S6 sorter, BD said, as well as higher instrument manufacturing output that was enabled by strategic procurement of critical components.
BD Interventional segment revenues inched up in the quarter to $1.10 billion from $1.07 billion a year ago.
Revenues from the company's US business were up 2 percent to $2.71 billion from $2.65 billion a year ago, while revenues from international markets declined approximately 7 percent to $2.05 billion from $2.20 billion in Q4 2021.
BD's net income for Q4 was $287 million, or $.92 per share, compared to net income of $265 million, or $.84 per share, a year ago.
On an adjusted basis, the company reported Q4 EPS of $2.75, slightly above the Wall Street estimate of $2.74 per share.
BD's R&D expenses declined 18 percent year over year to $300 million from $368 million, and its sales and administrative costs declined 8 percent to $1.18 billion from $1.29 billion.
For full-year 2022, BD reported revenues of $18.87 billion, a decrease of approximately 1 percent from $19.13 billion in 2021.
On the call, Polen further noted that BD saw 9 percent revenue growth in its base business in fiscal 2022.
BD medical revenues in fiscal 2022 increased 6 percent year over year to $8.84 billion from $8.36 billion, while BD life sciences revenues fell 15 percent to $5.56 billion from $6.53 billion.
Within life sciences, integrated diagnostic systems dipped 20 percent to $4.19 billion from $5.23 billion a year ago. Bioscience revenues increased approximately 6 percent to $1.38 billion from $1.31 billion. COVID-19 diagnostic testing revenue for the full year declined to $511 million from $1.96 billion in 2021.
BD interventional segment revenues for the full year increased 5 percent to $4.46 billion from $4.24 billion a year ago.
On a full-year basis, revenues from the company's US business increased 3 percent to $10.72 billion from $10.37 billion, while revenues from international markets fell 7 percent to $8.15 billion from $8.76 billion in 2021.
For FY 2022, BD's net income was $1.78 billion, or $5.88 per share, compared to $2.09 billion, or $6.85 per share, in 2021. The firm reported adjusted full-year earnings per share of $11.35, beating the consensus Wall Street estimate of $11.33.
For fiscal 2023, BD provided guidance for revenue of $18.6 billion to $18.8 billion, and adjusted EPS of $11.85 to $12.10. The revenue guidance range assumes approximately $125 million to $175 million in COVID-19-only diagnostic testing revenues, BD said.
In morning trading on the Nasdaq, BD's stock was up approximately 2 percent to $221.95.