Becton, Dickinson and Company Reports 9.8% Revenue Growth in Q1 Fiscal 2025

Becton, Dickinson and Company (BD) reported a revenue increase of 9.8% for the first quarter of fiscal year 2025, totaling $5.168 billion, compared to $4.706 billion in the same period last year. The growth was driven by a combination of volume increases, pricing adjustments, and the acquisition of the Advanced Patient Monitoring unit, which contributed 5.7% to the revenue growth. Net income for the quarter was $303 million, or $1.04 per diluted share, up from $281 million, or $0.96 per diluted share, in the prior year.

The company's operating costs rose to $4.715 billion from $4.267 billion year-over-year, primarily due to increased selling and administrative expenses, which reached $1.318 billion compared to $1.213 billion in the previous year. Research and development expenses also increased to $343 million from $290 million. The operating income for the quarter was $453 million, slightly higher than $439 million in the same quarter last year. The effective income tax rate significantly decreased to 0.9% from 21.6%, largely due to a favorable discrete item impacting the current-period rate.

Strategically, BD completed the acquisition of Edwards Lifesciences’ Critical Care product group on September 3, 2024, which has been integrated into the Medical segment as the Advanced Patient Monitoring unit. This acquisition is expected to enhance BD's portfolio of monitoring solutions and contribute to future revenue growth. Additionally, the company announced plans to separate its Biosciences and Diagnostic Solutions business, targeting completion of the transaction in fiscal year 2026, pending various approvals.

Operationally, BD's total assets decreased to $54.665 billion from $57.286 billion at the end of the previous fiscal year, with cash and equivalents dropping to $711 million from $1.717 billion. The company reported a total debt of $18.758 billion, down from $20.110 billion, reflecting ongoing efforts to manage its capital structure. BD's employee headcount remained stable, with 287,135,421 shares of common stock outstanding as of December 31, 2024.

Looking ahead, BD's management remains focused on its growth strategy, which includes expanding its core business, enhancing operational efficiency, and developing innovative products. However, the company acknowledges potential challenges, including market dynamics in China, supply chain disruptions, and regulatory changes that could impact future performance. The company continues to monitor these factors closely as it aims to sustain its long-term growth trajectory.