Becton, Dickinson And Company · NYSE:BDX
Becton, Dickinson And — Q2 2024 Earnings Presentation
28 slides from Becton, Dickinson And's earnings presentation, May 2, 2024
Slide 1: Q2 FY24 Earnings Presentation
2 FY24 Qe ry Presentation BD May 2, 2024 Advancing the h'M world of healt
Slide 2: Caution Concerning Forward-Looking Statements
Caution Concerning Forward-Looking Statements This presentation and accompanying audio webcast contain certain estimates and other forward-looking statements (as defined under federal securities laws) regarding BD's future prospects and performance, including, but not limited to, future revenues, ma
Slide 3: Q2 results reflect strong execution of our BD 2025 strategy
Q2 results reflect strong execution of our BD 2025 strategy Y¥ Significant organic revenue growth acceleration driven by strong volumes Y All-time record number of BD Alaris™ pumps manufactured and shipped ¥ Strong margin execution drove significant sequential improvement Y Operating cash flow more
Slide 4: BD Connected Medication Management Solutions deliver unique high impact benefits
BD Connected Medication Management Solutions deliver unique high impact benefits to customer, with a strong cadence of ongoing innovation Best in class connected medication management portfolio Strong future innovation pipeline with integrated combined with integrated BD analytics portal common serv
Slide 5: Broadening our leadership in the high-growth PVD platform
Broadening our leadership in the high-growth PVD platform Improving Standard of Care for Minimizing Access Site Portal Hypertension Complications BD Liverty™ TIPS Stent Graft Low Profile Arterial Stent Graft For Treatment of PAD * >60 patients enrolled in ARCH pivotal IDE * Received IDE approval Dec
Slide 6: Corporate Sustainability: Together We Advance
Corporate Sustainability: Together We Advance - driving outcomes across four pillars of health fouarpdsud)S R ss “SPonsibie Supe we (oy nh yo °rce and com™ FORTUNE Received up Named to — B G Health AMERICA'S usiness Group on Health MOST “ COMPANIES Excellence in Health & Well-being statista%a
Slide 7: Q2 FY24 Consolidated Performance Summary
Q2 FY24 Consolidated Performance Summary Revenue Adj. Operating Margin Adj. EPS Operating Cash Flow % 3 $5.0B 24.3% 17 1.4B Organic +160 bps YoY +10.8% YoY YTD Revenue by segment Revenue by geography BD Life Sciences United States BD Medical $1,304M 58% $2,449M +2.3% FXN +3.7% FXN BD Interventional
Slide 8: BD Medical: Q2 FY24 Revenue and Key Highlights
BD Medical: Q2 FY24 Revenue and Key Highlights Medication Delivery Solutions MDS $1,107M * Broad portfolio growth: Vascular Access Management, hypodermic +3.5% FXN products, non-dedicated infusion sets, partially offset by market dynamics in China Medication Management Solutions * Infusion: Double-d
Slide 9: BD Life Sciences: Q2 FY24 Revenue and Key Highlights
BD Life Sciences: Q2 FY24 Revenue and Key Highlights IDS $927M +4.4% FXN $1,304M +2.3% FXN BDB $377M (2.3%) FXN Integrated Diagnostic Solutions * Microbiology: High-single digit growth in Blood Culture, TB and ID/AST * Specimen Management: Broad volume strength across the BD Vacutainer™ portfolio Bi
Slide 10: BD Interventional: Q2 FY24 Revenue and Key Highlights
BD Interventional: Q2 FY24 Revenue and Key Highlights SURG $379M (0.3%) FXN includes ~(1,300 bps) divestiture impact UCC $424M +26.7% FXN $1,292M +9.5% FXN +13.6% Organic PI $489M +5.0% FXN Surgery * Advanced Repair & Reconstruction: Double-digit growth in Phasix™ hernia resorbable scaffold reflects
Slide 11: Q2 FY24 Adjusted Income Statement
Q2 FY24 Adjusted Income Statement (As adjusted) $ in million: Q2 FY24 Q2 FY23 Revenues Organic revenue growth Gross Profit $2,674 $2,614 2.3% 2.8% Gross margin 53.0% 54.2% (120) bps (100) bps SSG&A $1,172 $1,219 (3.9%) (3.9%) % of revenues 23.2% 25.3% (210) bps (210) bps R&D $284 $316 (10.1%) (10.3%
Slide 12: Q2 FY24 YTD Free Cash Flow
Q2 FY24 YTD Free Cash Flow Stronger cash flows enabling our growth strategy $1,119M * BD Excellence operating system yielding strong results * Returned over $1B of capital YTD to shareholders through dividends and share repurchases * Balance sheet in a strong position with net leverage of 2.6x FY23
Slide 13: FY24 Guidance Summary
FY24 Guidance Summary | May 2, 2024 February 1, 2024 Organic revenue growth (FXN) Revenue growth (FXN) 5.5% to 6.25% Midpoint of 5.875% 4.75% to 5.5% Midpoint of 5.125% 5.5% to 6.25% Midpoint of 5.875% 475% to 5.5% Midpoint of 5.125% * Segment growth expectations relative to BDX organic growth range
Slide 14: Appendix
Appendix
Slide 15: Our innovation pipeline
Our innovation pipeline - Over 100 new product launches expected by FY25) Recent innovation driving growth PIVO™ Pro + BD Nexiva™ with NearPort™IV Access a Near and mid-term catalysts BD Libertas™ SmL = Sy 7 Select pipeline products BAM rcrctaMaxe 2 # = fe Net Gen BD Al siterite9 abo | Central Fill
Slide 16: Basis of Presentation and Guidance Considerations
Basis of Presentation All dollar amounts presented are USD ($) in millions, unless otherwise indicated, except per share figures. FXN denotes currency-neutral basis. Revenue year over-year change comparisons are on an FXN basis unless otherwise noted. Organic Revenue denotes foreign currency neutral
Slide 17: Glossary
Glossary ADC Automated Dispensing Cabinets Adj Adjusted ATP Automated Tablet Packager B Billion BDB Biosciences BPS Basis Points BTK Below the Knee CEO Chief Executive Officer CTIGCITV2 — Chlamydia/Gonorrhea/Trichomonas cy Calendar Year DCB Drug Coated Balloon coiron —_Fomnas efor tteres Tones EPS E
Slide 18: Supplemental Reconciliation - Revenues by Business Segments and Units
Supplemental Reconciliation - Revenues by Business Segments and Units For the Three Months Ended March 31, (Unaudited; $ in millions) D=(A-B)/B E=(A-B-C)/B A B Cc % Change 2024 2023 FX Impact Reported FXN BD MEDICAL Medication Delivery Solutions $ 1107 $ 1070 $ - 35 35 Medication Management Solution
Slide 19: Supplemental Reconciliation - Reported Revenue to Organic Revenue
Supplemental Reconciliation — Reported Revenue to Organic Revenue For the Three Months Ended March 31, (Unaudited; $ in millions) D=(A-B-C)/B A B c % Change 2024 2023 FX Impact FXN TOTAL REVENUES S$ 5,045 S$ 4821 $ (4) 4.7 Less: Inorganic revenue adjustment - 44 - (100.0) Organic Revenue $ 5,045 $ 4
Slide 20: Supplemental Reconciliation - Reported Diluted EPS to Adjusted Diluted EPS
Supplemental Reconciliation —- Reported Diluted EPS to Adjusted Diluted EPS For the Three Months Ended March 31, (Unaudited) Foreign Foreign Foreign Currency Currency Currency Neutral Neutral 2024 2023 Change Translation Change Change % _ Change % Reported Diluted Earnings per Share § 185 $ 153 $ 03
Slide 21: Reported (GAAP) to Adjusted (Non-GAAP) Q2 FY24
Product, Income tax (A) Notes for Non- Reported Purchase Integration Restructuring Separation - European litigation, and TSA / LSA benefit of Adjusted GAAP (GAAP) accounting costs costs related items Regulatory other items total special items (Non-GAAP) Adjustment (1) Revenues $ 5,045 - - - - - - -
Slide 22: Reported (GAAP) to Adjusted (Non-GAAP) Q2 FY23
Income tax (B) Notes for Non- Reported Purchase Integration Restructuring Separation - European TSA / LSA benefit of Adjusted GAAP (GAAP) accounting costs costs related items Regulatory total special items (Non-GAAP) Adjustment(1) Revenues $ 4,821 - - - - - - - $ 4,821 Gross Profit $ 2,235 $ 364 - -
Slide 23: Adjusted Q2 FY24 vs Q2 FY23 Change
(A) (B) (C) = (A) - (B) (D) = (C) / (B) (E) (F) = (C) - (E) (G) = (F) / (B) Adjusted Adjusted Adjusted $ Adjusted % FX Translation Adjusted FXN $ Adjusted FXN % (Non-GAAP) (Non-GAAP) Change Change Adjustment Change Change Revenues $ 5,045 $ 4,821 $ 224 4.6% $ (4) $ 228 4.7% Gross Profit $ 2,674 $ 2,
Slide 24: Revenue by Geography
D=(A-B)/B E=(A-B-C)/B A B C % Change 2024 2023 FX Impact Reported FXN United States $ 2,906 $ 2,733 — 6.3% 6.3% International $ 2,139 $ 2,088 $ (4) 2.4% 2.6% Developed Markets $ 4,292 $ 4,087 — 5.0% 5.0% Emerging Markets $ 753 $ 734 $ (4) 2.6% 3.2% China $ 325 $ 347 $ (12) (6.3%) (2.9%) TOTAL REVENU
Slide 25: Supplemental Reconciliation - Net Leverage and Free Cash Flow
Supplemental Reconciliation — Net Leverage and Free Cash Flow Last Twelve Months Ended March 31, 2024 For the Six Months Ended March 31, 2024 (Unaudited; Amounts in millions) (Unaudited; Amounts in millions) 2024 2023 Change Reported GAAP net income from continuing operations $ 1379 Net Cash Provide
Slide 26: FY2024 Outlook Reconciliation
FY2024 Outlook Reconciliation BDX Reported Revenues FY2024 Revenue Growth FY2024 Inorganic Impact to Revenue Growth FY2024 Organic Revenue Growth Illustrative Foreign Currency (FX) Impact, based on FX spot rates Total FY 2024 Revenues Full Year FY2023 Full Year FY2024 Outlook ($ in millions) FX Neut
Slide 27: FY2024 Outlook Reconciliation
FY2024 Outlook Reconciliation Full Year FY2024 Outlook Full Year FY2023 from Continuing Operations Total Company Reported Diluted Earnings per Share $ 5.10 Purchase accounting adjustments ($1.434 billion pre-tax)“ 497 Integration costs ($67 million pre-tax) @ 0.23 Restructuring costs ($239 million p
Slide 28: Investor Relations contact information
Investor Relations contact information \ ia rl Greg Rodetis Adam Reiffe Nadia Goncalves Senior Vice President Sr. Director Sr. Director Treasurer & Head of Investor Investor Relations Investor Relations Relations investor.relations@bd.com Advancing the world of health™
Becton, Dickinson and Company — Q2 2024 Earnings Presentation on 6ix