Becton, Dickinson and Co., the Franklin Lake, N.J.-based medical-device maker, reported a modest jump in comparable revenue as profits dropped just slightly due to rising costs and a weak flu season.
BD reported $3 billion in revenue in the three months ended Dec. 31, down 1.8% on a comparable, currency-neutral basis. Comparable results include the current and prior-year financial figures for CareFusion, which BD acquired in March.
A 54.8% increase in costs and declining life sciences revenues brought BD's profits down 2.9% to $229 billion.
Positive results came from BD's medical segment, which reported $2.1 billion in revenue, up 1.9% on a comparable, currency-neutral basis. Gains came from medication management solutions, medication and procedural solutions, pharmaceutical systems, and diabetes care.
The life sciences segment didn't fare as well, with revenues of $933 million, down 4.8%, partially reflecting unfavorable currency exchange rates. Growth in pre-analytical systems and biosciences were offset by a decline in diagnostic systems revenue due to a weaker-than-expected flu season, the company said.
BD now expects fiscal 2016 revenues to increase 20% to 20.5% over the previous year when including the impact of foreign currency. That's down 23% to 23.5% from previous guidance. The company affirmed its estimate that organic adjusted revenues would increase 4.5% to 5% on a currency-neutral basis.
Previous earnings guidance of $8.37 to $8.44 adjusted diluted earnings per share was reaffirmed and includes the impact of foreign currency. That would represent 17% to 18% growth from the previous year.