Becton Dickinson Q1 Earnings Top Estimates, Raises FY22 Guidance On Higher COVID-19 Related Sales

Becton Dickinson and Co BDX reported Q1 FY22 revenues of $4.9 billion, down 6% Y/Y (-5.9% on a currency-neutral basis), better than the consensus of $4.76 billion.

• Excluding COVID-19 only diagnostic testing sales, base revenues increased 8.1% (8.3%) to $4.81 billion.
• COVID-19-only Diagnostic testing revenues declined from $866 million in Q4 FY20 to $185 million.
• Medical segment sales increased 6% Y/Y at $2.39 billion.
• Life Sciences segment sales declined 25% Y/Y at $1.48 billion, reflecting the decline in COVID-only testing revenues.
• Interventional segment revenues grew 3.7% Y/Y to $1.1 billion, led by surgery & peripheral intervention performance, reflecting a continued recovery in elective volumes.
• Operating income decreased 34% Y/Y to $815 million, and margin contracted from 23.3% to 16.3%.
• Adjusted EPS of $3.64, down from $4.55 a year ago, topping the consensus of $2.85.
• Guidance: BD expects FY22 sales of $19.55 billion - $19.75 billion, higher than prior guidance of $19.3 billion -$19.5 billion, versus the consensus of $19.43 billion.
• The company forecasts approximately $450 million in COVID-19-only diagnostic testing revenues, higher than roughly $200 million previously announced.
• The company anticipates FY22 adjusted EPS of $12.80 - $13.00, compared to $12.30 - $12.50 previously, and ahead of the consensus of $12.42.
• Price Action: BDX shares are up 4.60% at $268.54 on the last check Thursday.