Becton, Dickinson and Company (BDX) investor relations material

Executive summary

• Q2 FY26 revenue was $4.7 billion, up 2.6% FXN (5.2% reported), with over 90% of the portfolio delivering mid-single-digit growth and strong operational execution.

• Adjusted diluted EPS rose 3.9% year-over-year to $2.90, with adjusted operating margin at 24.2%, both ahead of expectations.

• Raised full-year adjusted EPS guidance to $12.52–$12.72, reflecting strong first-half performance, improved visibility, and confidence in the new strategy.

• Returned $2.3 billion to shareholders through $2 billion in share repurchases and $0.3 billion in dividends; retired $2.1 billion of debt.

• Announced Vitor Roque as permanent CFO and completed the spin-off of the Biosciences and Diagnostic Solutions business.

Financial highlights

• Q2 FY26 revenue grew 2.6% FXN (5.2% reported) to $4.7 billion; gross margin was 54.7%, down 90 basis points, impacted by tariffs.

• Adjusted operating margin was 24.2%, down 110 basis points; adjusted operating income was $1,142 million.

• Adjusted EPS was $2.90, up 3.9% year-over-year, excluding $450 million in non-cash asset impairment charges.

• Free cash flow for YTD improved to $1.1 billion, driven by working capital management.

• Operating income for Q2 was $93 million, down 75.6% year-over-year due to higher restructuring and integration costs.

Outlook and guidance

• Reaffirmed full-year revenue guidance of low single-digit growth FXN, with second-half revenue growth expected to mirror the first half.

• Adjusted operating margin guidance remains at approximately 25%, inclusive of tariffs.

• Adjusted effective tax rate expected between 16% and 17%.

• Full-year adjusted EPS guidance raised to $12.52–$12.72 for fiscal 2026.

• Guidance excludes potential charges such as amortization, acquisition, separation, and certain tax matters.