BD dives on Q1 profit slide, lowered guidance

February 8, 2012 by MassDevice staff

Shares of Becton, Dickinson & Co. continued to slide today after closing down 4% yesterday on news that it's lowering its full-year guidance and a 17% profit slide during its fiscal 1st quarter.

Becton, Dickinson & Co.

Shares of Becton, Dickinson & Co. (NYSE:BDX) continued their slide today after closing down yesterday following the release of the medical products giant's fiscal 1st quarter results.

Investors, reacting to a lower forecast for the rest of the year and to a nearly 17% profit slide, sent shares down to $77.51 last night, a 3.8% decline. Shares were trading at $76.89 as of about 12:50 p.m. today, down 0.8%.

Becton, Dickinson posted profits of $263.0 million, or $1.21 per diluted share, on sales of $1.89 billion during the 3 months ended Dec. 31, 2011. That's a top-line gain of 2.5% but a bottom-line decline fo 16.8%, compared with Q1 2011.

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Excluding a 1-time tax gain of 4 cents per share, adjusted EPS was in line with analysts' expectations at $1.21 apiece.

"We are pleased with our solid start to fiscal year 2012 given the challenging macroeconomic climate," president & CEO Vincent Forlenza said in prepared remarks. "Our operating results reflect our increased investments in high-growth areas. We will continue to drive efficiency throughout the Company and we remain committed to delivering value to our customers and shareholders."

CFO David Elkins told analysts on a conference call that BD now expects full-year sales growth to be flat due to a stronger dollar. The company had predicted sales growth of 1% to 3% for fiscal 2012. Earnings per share are now pegged to run between $5.60 and $5.70 for the full year, down from $5.75 to $5.85.