News & Events

Franklin Lakes, NJ (July 18, 2001) -- BD (Becton, Dickinson and Company) (NYSE:BDX) today reported revenues of $954 million for the third quarter ended June 30, 2001, an increase of 4 percent over the same period a year ago. At constant foreign exchange rates, revenues increased 7 percent.

Diluted earnings per share were 46 cents for the third quarter, compared with 43 cents for the prior year’s quarter. Last year’s reported earnings included a gain from the sale of an equity investment, offset in part by charges related to the acquisition of in-process research and development and the write-down of an asset held for sale. Excluding these items, earnings per share for the prior year would have been 40 cents.

“We are pleased with our continuing sales growth, led globally by BD Biosciences and in the U.S. by our safety-engineered products,” said Edward J. Ludwig, president and chief executive officer. “This performance, along with our ongoing control over spending, has resulted in an increase in our operating margin for the year.”

Mr. Ludwig confirmed that the Company remains on track to achieve earnings per share of approximately 50 cents in the fourth quarter, prior to the adoption of Securities and Exchange Commission Staff Accounting Bulletin No. 101.

In the Medical Systems segment, worldwide revenues of $523 million increased 2 percent for the quarter, or 5 percent at constant foreign exchange rates. Contributing to this segment’s revenue growth was an increase in U.S. Consumer Health Care revenues of approximately 11 percent due primarily to sales of insulin syringes, reflecting the impact of longstanding incentive programs offered by the Company in the drug wholesaler channel. Beginning in the fourth quarter, the Company intends to redirect its promotional efforts toward sustaining its branded syringe sales at the retail level and toward development of the U.S. pen needle market. These activities are expected to result in lower Consumer Health Care sales in the fourth quarter.

In the Clinical Laboratory Solutions segment, worldwide revenues increased 6 percent to $284 million, or 8 percent at constant foreign exchange rates.

Both segments benefited from strong sales of advanced protection devices. U.S. sales of safety-engineered products were $66 million for Medical Systems, representing an increase of 41 percent versus the prior year’s quarter, and $43 million for Clinical Laboratory Solutions, representing an increase of 65 percent versus the prior year’s quarter.

Revenues for the Biosciences segment grew 11 percent to $147 million. At constant foreign exchange rates, revenues increased 13 percent. Both product groups contributed to this growth.

On a geographic basis, third quarter revenues in the United States increased 9 percent to $525 million. Revenues outside the United States of $429 million decreased 1 percent, or increased 5 percent at constant foreign exchange rates. Revenues for the quarter and year to date were adversely impacted by economic conditions in Latin America, and by a further decline in sales performance in Asia Pacific.

Nine-Month Results
For the nine-month period ended June 30, 2001, reported revenues were $2.759 billion, a 2 percent increase over $2.698 billion a year ago, or 6 percent at constant foreign exchange rates. Diluted earnings per share for the nine-month period were $1.13.

BD is a medical technology company that manufactures and sells a broad range of supplies, devices and systems for use by healthcare professionals, medical research institutions, industry and the general public.

This press release may contain certain forward-looking statements (as defined under Federal securities laws) regarding the Company’s performance, including future revenues, products and income, or events or developments that the Company expects to occur or anticipates occurring in the future. All such statements are based upon current expectations of the Company and involve a number of business risks and uncertainties. Actual results could vary materially from anticipated results described, implied or projected in any forward-looking statement. Factors that could cause actual results to vary materially from any forward-looking statement include, but are not limited to: competitive factors; pricing and market share pressures; uncertainties of litigation; the Company’s ability to achieve sales and earnings forecasts, which are based on sales volume and product mix assumptions, to achieve its cost savings objectives, and to achieve anticipated synergies and other cost savings in connection with acquisitions; changes in regional, national or foreign economic conditions; increases in energy costs; fluctuations in costs and availability of raw materials and in the Company’s ability to maintain favorable supplier arrangements and relationships; changes in interest or foreign currency exchange rates; delays in product introductions; and changes in health care or other governmental regulation, as well as other factors discussed in this press release and in the Company’s filings with the Securities and Exchange Commission. We do not intend to update any forward-looking statements.

BD’s news releases can be found on its website at www.bd.com or through Business Wire at www.businesswire.com. A conference call with analysts regarding this news release will be broadcast live on BD’s website at 8:30 a.m. EDT Thursday, July 19, 2001, and will be available for replay at www.bd.com through July 25, 2001.

BECTON DICKINSON AND COMPANY
CONSOLIDATED INCOME STATEMENTS
(Unaudited; Amounts in thousands, except per-share data)

                                        Three Months Ended June 30,
                                     2001            2000     % Change
----------------------------------------------------------------------
                           
REVENUES                          $ 954,192       $ 914,140       4.4

Cost of products sold               475,305         453,838       4.7
Selling and administrative          248,709         248,773         -
Research and development             53,105          60,202     (11.8)

----------------------------------------------------------------------
TOTAL OPERATING COSTS
     AND EXPENSES                   777,119         762,813       1.9
----------------------------------------------------------------------

OPERATING INCOME                    177,073         151,327      17.0

Interest expense, net               (13,155)        (17,564)    (25.1)
Gains on investments, net                 -          31,766        NM
Other expense, net                     (367)         (4,021)    (90.9)
----------------------------------------------------------------------

INCOME BEFORE             
     INCOME TAXES                   163,551         161,508       1.3

Income tax provision                 39,252          47,090     (16.6)
----------------------------------------------------------------------

NET INCOME                        $ 124,299       $ 114,418       8.6
----------------------------------------------------------------------

EARNINGS PER SHARE

     Basic                        $    0.48       $    0.45       6.7
     Diluted                      $    0.46       $    0.43       7.0
----------------------------------------------------------------------

AVERAGE SHARES OUTSTANDING

     Basic                          258,086         252,904
     Diluted                        269,653         263,659
----------------------------------------------------------------------

NM - Not Meaningful 

BECTON DICKINSON AND COMPANY
CONSOLIDATED INCOME STATEMENTS
(Unaudited; Amounts in thousands, except per-share data)

                                         Nine Months Ended June 30,
                                     2001            2000     % Change
----------------------------------------------------------------------

REVENUES                        $ 2,758,628     $ 2,698,436       2.2

Cost of products sold             1,411,867       1,377,776       2.5
Selling and administrative          725,913         726,674      (0.1)
Research and development            160,329         171,120      (6.3)

----------------------------------------------------------------------
TOTAL OPERATING COSTS
     AND EXPENSES                 2,298,109       2,275,570       1.0
----------------------------------------------------------------------

OPERATING INCOME                    460,519         422,866       8.9

Interest expense, net               (47,717)        (60,320)    (20.9)
Gains on investments, net                 -          64,925        NM
Other (expense) income, net         (13,746)            893        NM
----------------------------------------------------------------------

INCOME BEFORE
        INCOME TAXES                399,056         428,364      (6.8)

Income tax provision                 95,773         119,481     (19.8)
----------------------------------------------------------------------

NET INCOME                      $   303,283     $   308,883      (1.8)
----------------------------------------------------------------------

EARNINGS PER SHARE

     Basic                      $      1.17     $      1.22      (4.1)
     Diluted                    $      1.13     $      1.17      (3.4)
----------------------------------------------------------------------

AVERAGE SHARES OUTSTANDING

     Basic                          256,513         252,093
     Diluted                        268,357         263,192
----------------------------------------------------------------------

NM - Not Meaningful


BECTON DICKINSON AND COMPANY
SUPPLEMENTAL REVENUE INFORMATION
(Unaudited; Amounts in thousands)


                                       Three Months Ended June 30,
                                    2001             2000     % Change
                                --------------------------------------

MEDICAL SYSTEMS
   United States                $ 271,113       $ 249,407         8.7
   International                  251,985         262,775        (4.1)
----------------------------------------------------------------------
TOTAL                           $ 523,098       $ 512,182         2.1
----------------------------------------------------------------------

CLINICAL LABORATORY SOLUTIONS
   United States                $ 168,757       $ 153,023        10.3
   International                  115,658         116,357        (0.6)
----------------------------------------------------------------------
TOTAL                           $ 284,415       $ 269,380         5.6
----------------------------------------------------------------------

BIOSCIENCES 
   United States                $  84,858       $  78,971         7.5
   International                   61,821          53,607        15.3
----------------------------------------------------------------------
TOTAL                           $ 146,679       $ 132,578        10.6
----------------------------------------------------------------------

TOTAL REVENUES     
   United States                $ 524,728       $ 481,401         9.0
   International                  429,464         432,739        (0.8)
----------------------------------------------------------------------
TOTAL                           $ 954,192       $ 914,140         4.4
----------------------------------------------------------------------


                                        Nine Months Ended June 30,
                                    2001             2000     % Change
                                 -------------------------------------

MEDICAL SYSTEMS
   United States              $   724,074     $   688,032         5.2
   International                  744,296         776,085        (4.1)
----------------------------------------------------------------------
TOTAL                         $ 1,468,370     $ 1,464,117         0.3
----------------------------------------------------------------------

CLINICAL LABORATORY SOLUTIONS
   United States              $   504,161     $   473,973         6.4
   International                  355,566         360,439        (1.4)
----------------------------------------------------------------------
TOTAL                         $   859,727     $   834,412         3.0
----------------------------------------------------------------------

BIOSCIENCES
   United States              $   238,349     $   227,594         4.7
   International                  192,182         172,313        11.5
----------------------------------------------------------------------
TOTAL                         $   430,531     $   399,907         7.7
----------------------------------------------------------------------

TOTAL REVENUES
   United States              $ 1,466,584     $ 1,389,599         5.5
   International                1,292,044       1,308,837        (1.3)
----------------------------------------------------------------------
TOTAL                         $ 2,758,628     $ 2,698,436         2.2
----------------------------------------------------------------------


BECTON DICKINSON AND COMPANY
REVENUES BY BUSINESS SEGMENTS AND MAJOR PRODUCT GROUPS
Three Months Ended June 30,
(Unaudited; Amounts in thousands)

                                             United States
                                --------------------------------------
                                    2001             2000     % Change
                                --------------------------------------

MEDICAL SYSTEMS
   Medical Surgical             $ 159,871       $ 148,834         7.4
   Consumer Health Care            88,511          79,586        11.2
   Pharmaceutical Systems          15,772          13,616        15.8
   Ophthalmic Systems               6,959           7,371        (5.6)
----------------------------------------------------------------------
TOTAL                           $ 271,113       $ 249,407         8.7
----------------------------------------------------------------------

CLINICAL LABORATORY SOLUTIONS
   Preanalytical Solutions      $  86,896       $  73,062        18.9
   Diagnostic Systems              81,861          79,961         2.4
----------------------------------------------------------------------
TOTAL                           $ 168,757       $ 153,023        10.3
----------------------------------------------------------------------

BIOSCIENCES
   Immunocytometry & Reagents   $  59,554       $  57,302         3.9
   Discovery Labware               25,304          21,669        16.8
----------------------------------------------------------------------
TOTAL                           $  84,858       $  78,971         7.5
----------------------------------------------------------------------

TOTAL UNITED STATES             $ 524,728       $ 481,401         9.0
----------------------------------------------------------------------

                                                International
                                --------------------------------------
                                    2001            2000      % Change
                                --------------------------------------

MEDICAL SYSTEMS
   Medical Surgical             $ 141,077       $ 151,123        (6.6)
   Consumer Health Care            45,106          52,092       (13.4)
   Pharmaceutical Systems          59,863          54,085        10.7
   Ophthalmic Systems               5,939           5,475         8.5
----------------------------------------------------------------------
TOTAL                           $ 251,985       $ 262,775        (4.1)
----------------------------------------------------------------------

CLINICAL LABORATORY SOLUTIONS
   Preanalytical Solutions      $  59,578       $  59,576           -
   Diagnostic Systems              56,080          56,781        (1.2)
----------------------------------------------------------------------
TOTAL                           $ 115,658       $ 116,357        (0.6)
----------------------------------------------------------------------

BIOSCIENCES
   Immunocytometry & Reagents   $  46,632       $  38,178        22.1
   Discovery Labware               15,189          15,429        (1.6)
----------------------------------------------------------------------
TOTAL                           $  61,821       $  53,607        15.3
----------------------------------------------------------------------

TOTAL INTERNATIONAL             $ 429,464       $ 432,739        (0.8)
----------------------------------------------------------------------

                                                Total
                                --------------------------------------
                                    2001            2000      % Change
                                --------------------------------------

MEDICAL SYSTEMS
   Medical Surgical             $ 300,948       $ 299,957         0.3
   Consumer Health Care           133,617         131,678         1.5
   Pharmaceutical Systems          75,635          67,701        11.7
   Ophthalmic Systems              12,898          12,846         0.4
----------------------------------------------------------------------
TOTAL                           $ 523,098       $ 512,182         2.1
----------------------------------------------------------------------

CLINICAL LABORATORY SOLUTIONS
   Preanalytical Solutions      $ 146,474       $ 132,638        10.4
   Diagnostic Systems             137,941         136,742         0.9
----------------------------------------------------------------------
TOTAL                           $ 284,415       $ 269,380         5.6
----------------------------------------------------------------------

BIOSCIENCES
   Immunocytometry & Reagents   $ 106,186       $  95,480        11.2
   Discovery Labware               40,493          37,098         9.2
----------------------------------------------------------------------
TOTAL                           $ 146,679       $ 132,578        10.6
----------------------------------------------------------------------

TOTAL REVENUES                  $ 954,192       $ 914,140         4.4
----------------------------------------------------------------------

                                      FX Neutral % Growth
                                 -------------------------------
                                 International       Total
                                 --------------- ---------------

MEDICAL SYSTEMS
   Medical Surgical                  (1.8)            2.8
   Consumer Health Care              (9.0)            3.2
   Pharmaceutical Systems            16.5            16.3
   Ophthalmic Systems                13.9             2.7
----------------------------------------------------------------
TOTAL                                 0.9             4.7
----------------------------------------------------------------

CLINICAL LABORATORY SOLUTIONS
   Preanalytical Solutions            5.5            12.9
   Diagnostic Systems                 4.2             3.2
----------------------------------------------------------------
TOTAL                                 4.9             8.0
----------------------------------------------------------------

BIOSCIENCES
   Immunocytometry & Reagents        28.1            13.6
   Discovery Labware                  4.5            11.7
----------------------------------------------------------------
TOTAL                                21.3            13.1
----------------------------------------------------------------

TOTAL                                 4.5             6.9
----------------------------------------------------------------


BECTON DICKINSON AND COMPANY
REVENUES BY BUSINESS SEGMENTS AND MAJOR PRODUCT GROUPS
Nine Months Ended June 30,
(Unaudited; Amounts in thousands)


                                           United States
                               ---------------------------------------
                                   2001            2000      % Change
                               ---------------------------------------

MEDICAL SYSTEMS
   Medical Surgical             $ 452,076       $ 422,416         7.0
   Consumer Health Care           212,147         210,843         0.6
   Pharmaceutical Systems          38,464          33,424        15.1
   Ophthalmic Systems              21,387          21,349         0.2
----------------------------------------------------------------------
TOTAL                           $ 724,074       $ 688,032         5.2
----------------------------------------------------------------------

CLINICAL LABORATORY SOLUTIONS
   Preanalytical Solutions      $ 249,965       $ 220,539        13.3
   Diagnostic Systems             254,196         253,434         0.3
----------------------------------------------------------------------
TOTAL                           $ 504,161       $ 473,973         6.4
----------------------------------------------------------------------

BIOSCIENCES
   Immunocytometry & Reagents   $ 171,380       $ 167,730         2.2
   Discovery Labware               66,969          59,864        11.9
----------------------------------------------------------------------
TOTAL                           $ 238,349       $ 227,594         4.7
----------------------------------------------------------------------

TOTAL UNITED STATES           $ 1,466,584     $ 1,389,599         5.5
----------------------------------------------------------------------

                                           International
                                --------------------------------------
                                    2001          2000        % Change
                                --------------------------------------

MEDICAL SYSTEMS
   Medical Surgical             $ 422,755       $ 452,971        (6.7)
   Consumer Health Care           141,289         151,503        (6.7)
   Pharmaceutical Systems         163,185         155,458         5.0
   Ophthalmic Systems              17,067          16,153         5.7
----------------------------------------------------------------------
TOTAL                           $ 744,296       $ 776,085        (4.1)
----------------------------------------------------------------------

CLINICAL LABORATORY SOLUTIONS
   Preanalytical Solutions      $ 179,279       $ 183,727        (2.4)
   Diagnostic Systems             176,287         176,712        (0.2)
----------------------------------------------------------------------
TOTAL                           $ 355,566       $ 360,439        (1.4)
----------------------------------------------------------------------

BIOSCIENCES
   Immunocytometry & Reagents   $ 146,516       $ 126,085        16.2
   Discovery Labware               45,666          46,228        (1.2)
----------------------------------------------------------------------
TOTAL                           $ 192,182       $ 172,313        11.5
----------------------------------------------------------------------

TOTAL INTERNATIONAL           $ 1,292,044     $ 1,308,837        (1.3)
----------------------------------------------------------------------

                                                   Total
                                --------------------------------------
                                   2001            2000       % Change
                                --------------------------------------

MEDICAL SYSTEMS
   Medical Surgical             $ 874,831       $ 875,387        (0.1)
   Consumer Health Care           353,436         362,346        (2.5)
   Pharmaceutical Systems         201,649         188,882         6.8
   Ophthalmic Systems              38,454          37,502         2.5
----------------------------------------------------------------------
TOTAL                          $ 1,468,370    $ 1,464,117         0.3
----------------------------------------------------------------------

CLINICAL LABORATORY SOLUTIONS
   Preanalytical Solutions      $ 429,244       $ 404,266         6.2
   Diagnostic Systems             430,483         430,146         0.1
----------------------------------------------------------------------
TOTAL                           $ 859,727       $ 834,412         3.0
----------------------------------------------------------------------

BIOSCIENCES
   Immunocytometry & Reagents   $ 317,896       $ 293,815         8.2
   Discovery Labware              112,635         106,092         6.2
----------------------------------------------------------------------
TOTAL                           $ 430,531       $ 399,907         7.7
----------------------------------------------------------------------

TOTAL REVENUES                $ 2,758,628     $ 2,698,436         2.2
----------------------------------------------------------------------


                                      FX Neutral % Growth
                                 -------------------------------
                                 International       Total
                                 --------------- ---------------

MEDICAL SYSTEMS
   Medical Surgical                  (0.7)            3.1
   Consumer Health Care               0.4             0.5
   Pharmaceutical Systems            15.7            15.6
   Ophthalmic Systems                14.3             6.2
----------------------------------------------------------------
TOTAL                                 3.1             4.1
----------------------------------------------------------------

CLINICAL LABORATORY SOLUTIONS
   Preanalytical Solutions            5.5             9.8
   Diagnostic Systems                 6.9             3.0
----------------------------------------------------------------
TOTAL                                 6.2             6.3
----------------------------------------------------------------

BIOSCIENCES
   Immunocytometry & Reagents        26.3            12.5
   Discovery Labware                  6.3             9.5
----------------------------------------------------------------
TOTAL                                20.9            11.7
----------------------------------------------------------------

TOTAL                                 6.3             5.9
----------------------------------------------------------------