Becton Dickinson (BDX) Q2 2025 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Tue, April 14, 2026 astatine 9:45 AM CDT 42 min read

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Thursday, May 1, 2025 astatine 8 a.m. ET

• Chairman, Chief Executive Officer, and President — Tom Polen

• Executive Vice President and Chief Financial Officer — Chris DelOrefice

• President, Medical Segment — Mike Garrison

• President, Life Sciences Segment — Mike Feld

• President, Interventional Segment — Rick Byrd

Tom Polen, BD's Chairman, Chief Executive Officer and President; and Chris DelOrefice, Executive Vice President and Chief Financial Officer. Following this morning's prepared remarks, Tom and Chris volition beryllium joined for Q&A by our conception presidents. Mike Garrison, President of the Medical segment; Mike Feld, President of the Life Sciences conception and Rick Byrd, President of the Interventional segment. Before we get started, I privation to punctual you that, we volition beryllium making forward-looking statements. You tin work the disclaimer successful our net merchandise and the disclosures successful our SEC filings disposable connected the Investor Relations website. Unless different specified, each comparisons volition beryllium made connected a year-over-year ground versus the applicable fiscal period.

Revenue percent changes are connected an FX-neutral ground unless different noted. Tariff commentary is based connected tariff policies arsenic of April 30th and does not see immoderate of the tariffs that person been announced, but presently are delayed oregon threatened. And we enactment that, planetary commercialized policies, commercialized restrictions and tariffs are rapidly evolving and determination tin beryllium nary assurance arsenic to however the scenery whitethorn alteration and what the eventual interaction connected our guidance and results of operations volition be. Reconciliations betwixt GAAP and non-GAAP measures are included successful the appendices of the net merchandise and presentation. With that, I americium pleased to crook it implicit to Tom.

Tom Polen: Thank you, Greg, and bully morning, everyone. My comments this greeting volition absorption connected our Q2 results and the strategical actions we are taking to not lone navigate the near-term situation with agility, but to guarantee BD is champion positioned to present semipermanent value. Starting with our Q2 results, revenues came successful beneath our expectations, increasing 6% oregon 0.9% organic. This show was mostly attributable to marketplace dynamics concentrated successful Life Sciences, which reflects the alteration successful probe backing argumentation versus what was initially anticipated arsenic good arsenic the slower instrumentality to mean levels of humor civilization investigating successful our Diagnostics business.

We are not satisfied with this quarter's top-line maturation and it is not reflective of the mid-single-digits maturation we've been consistently delivering implicit the past respective years. I volition stock much connected the decisive actions we are taking, including circumstantial investments to reaccelerate integrated income maturation successful this dynamic market. Importantly, we were capable to offset these challenges to transcend our adjusted EPS maturation expectations, arsenic we proceed to consistently execute and present beardown show down the P&L. Specifically, we delivered adjusted gross margins of 54.9%, which accrued year-over-year by 190 ground points. Our beardown borderline show is being fueled by momentum successful BD Excellence, with present 4 consecutive quarters of beardown gross borderline expansion.