NEW YORK – Becton Dickinson reported on Thursday morning that its fiscal fourth quarter revenues rose nearly 7 percent year over year. Excluding COVID 19-related revenues, its base revenue also grew approximately 7 percent.
For the three months ended Sept. 30, the Franklin Lakes, New Jersey-based medical technology and diagnostics company posted revenues of $5.09 billion compared to $4.76 billion in the year-ago quarter, slightly above analysts' average estimate of $5.02 billion. On a currency-neutral basis, Q4 revenues grew approximately 6 percent from the prior year.
On a call with investors Thursday morning to recap the results, BD's CEO Tom Polen attributed the revenue growth in part to the firm's diversified portfolio, which "offers both durability through our leading positions and consistent demand for products essential to everyday patient care and strong growth," Polen said.
BD's medical segment brought in $2.55 billion in revenues, a roughly 8 percent increase over $2.38 billion reported a year ago. Its life sciences segment recorded $1.33 billion in revenues, up around 3 percent from $1.29 billion in Q4 2022.
Within the life sciences segment, integrated diagnostic solutions revenues declined approximately 3 percent to $447 million from $459 million in the year-ago quarter, while biosciences revenues jumped 16 percent to $159 million from $137 million. COVID-19 diagnostic testing revenue for Q4 declined to $17 million from $37 million in Q4 2022.
BD Interventional segment revenues increased 9 percent in the quarter to $1.2 billion from $1.1 billion a year ago.
Revenues from the company's US business increased 6 percent to $2.88 billion from $2.71 billion a year ago, while revenues from international markets rose approximately 8 percent to $2.21 billion from $2.05 billion in Q4 2022.
BD's R&D expenses declined approximately 7 percent year over year in Q4 to $281 million from $300 million, and its sales and administrative costs jumped 26 percent to $3.39 billion from $2.69 billion.
BD's net income for Q4 was $108 million, or $.37 per share, compared to net income of $287 million, or $.93 per share, a year ago. On an adjusted basis, the company reported Q4 EPS of $3.42, on par with the Wall Street estimate of $3.43 per share.
For its full fiscal year 2023, BD reported revenues of $19.37 billion, an increase of approximately 3 percent from $18.87 billion in 2022 and slightly above the average Wall Street estimate of $19.3 billion.
BD medical revenues in fiscal 2023 increased approximately 8 percent year over year to $9.50 billion from $8.84 billion, while BD life sciences revenues fell 8 percent to $5.13 billion from $5.56 billion.
Within life sciences, integrated diagnostic solutions revenues fell 13 percent to $3.62 billion from $4.19 billion a year ago. Biosciences revenues rose approximately 9 percent to $1.51 billion from $1.38 billion. COVID-19 diagnostic testing revenue for the full year declined 86 percent to $73 million from $511 million in 2022.
On the call, Polen said that the firm attained record sales for its BD Kiestra automated microbiology system in 2023. In addition, the firm continues "to drive strong double-digit growth in our BD Cor and BD Max molecular platforms, leveraging our growing installed base through menu expansion that includes our new vaginal panel and our Onclarity HPV with Thin Prep on BD Cor, and now greater than 20 assays on BD Max," he said.
Polen said BD launched 27 new products in 2023 and plans to launch 25 more in 2024. On a slide accompanying the call, the firm showed near- and mid-term planned product launches by fiscal year 2025 in its life science business that included the FACS Duet Premium, BD Rhapsody HT Xpress, BD FACS Discover 58 Cell Sorter with three and four laser configurations, Synapsis ID/AST, and additional RealBlue and RealYellow Dyes. The firm also teased planned launches in the future of the FACS Discover A8 Analyzer, BD Cor respiratory viral and enteric panels, and the BD Elience Point-of-Care Molecular system.
BD interventional segment revenues for the full year increased 6 percent to $4.74 billion from $4.46 billion a year ago.
On a full-year basis, revenues from the company's US business increased 4 percent to $11.11 billion from $10.72 billion, while revenues from international markets rose approximately 1 percent to $8.26 billion from $8.15 billion in 2022.
BD's full-year R&D expenses declined approximately 2 percent year over year to $1.24 billion from $1.26 billion, and its sales and administrative costs increased a fraction of a percent to $4.72 billion from $4.71 billion.
For FY 2023, BD's net income was $1.48 billion, or $4.94 per share, compared to net income of $1.78 billion, or $5.88 per share, in 2022. The firm reported adjusted full-year earnings per share of $12.21, slightly below the consensus Wall Street estimate of $12.22.
For fiscal 2024, BD expects revenue of approximately $20.1 billion to $20.3 billion and adjusted EPS of $12.70 to $13.00.
In morning trading on the Nasdaq, BD's stock was down approximately 8 percent to $235.66.