Stock Analysis on Net
Stock Analysis on Net

Becton, Dickinson & Co. (NYSE:BDX)

This company has been moved to the archive! The financial data has not been updated since May 5, 2022.

Analysis of Operating Leases

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An operating lease is treated like a rental contract. Neither the leased asset nor the associated liability is reported on the lessee balance sheet, but the rights may be very similar to the rights of an owner. The lessee only records the lease payments as a rental expense in income statement.

Present Value of Future Operating Lease Payments (before Adoption of FASB Topic 842)

Becton, Dickinson & Co., future operating lease payments (before adoption of FASB Topic 842)

US$ in millions

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Sep 30, 2021 Sep 30, 2020 Sep 30, 2019 Sep 30, 2018 Sep 30, 2017 Sep 30, 2016
Total undiscounted future operating lease payments — — 546 511 277 278
Discount rate1 — — 3.17% 3.25% 3.34% 3.68%
 
Total present value of future operating lease payments — — 490 456 250 250

Based on: 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30).

1 Weighted-average interest rate for Becton, Dickinson & Co. debt

Year Future operating lease payments (as reported) Year Future operating lease payments (estimated) Present value at 3.17%
2020 122 2020 122 118
2021 103 2021 103 97
2022 83 2022 83 76
2023 57 2023 57 50
2024 56 2024 56 48
2025 and thereafter 125 2025 56 46
2026 56 45
2027 13 10
Total: 546 546 490

Based on: 10-K (reporting date: 2019-09-30).

Year Future operating lease payments (as reported) Year Future operating lease payments (estimated) Present value at 3.25%
2019 107 2019 107 104
2020 94 2020 94 88
2021 76 2021 76 69
2022 62 2022 62 55
2023 48 2023 48 41
2024 and thereafter 124 2024 48 40
2025 48 38
2026 28 22
Total: 511 511 456

Based on: 10-K (reporting date: 2018-09-30).

Year Future operating lease payments (as reported) Year Future operating lease payments (estimated) Present value at 3.34%
2018 67 2018 67 65
2019 57 2019 57 53
2020 47 2020 47 43
2021 35 2021 35 31
2022 31 2022 31 26
2023 and thereafter 40 2023 31 25
2024 9 7
Total: 277 277 250

Based on: 10-K (reporting date: 2017-09-30).

Year Future operating lease payments (as reported) Year Future operating lease payments (estimated) Present value at 3.68%
2017 74 2017 74 71
2018 55 2018 55 51
2019 48 2019 48 43
2020 38 2020 38 33
2021 30 2021 30 25
2022 and thereafter 33 2022 30 24
2023 3 2
Total: 278 278 250

Based on: 10-K (reporting date: 2016-09-30).

Adjustments to Financial Statements for Operating Leases

Becton, Dickinson & Co., adjustments to financial statements

US$ in millions

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Sep 30, 2021 Sep 30, 2020 Sep 30, 2019 Sep 30, 2018 Sep 30, 2017 Sep 30, 2016
Adjustment to Total Assets
Total assets (as reported) 53,866 54,012 51,765 53,904 37,734 25,586
Add: Operating lease right-of-use asset (before adoption of FASB Topic 842)1 — — 490 456 250 250
Total assets (adjusted) 53,866 54,012 52,255 54,360 37,984 25,836
Adjustment to Total Debt
Total debt (as reported) 17,610 17,931 19,390 21,495 18,870 11,551
Add: Operating lease liability (before adoption of FASB Topic 842)2 — — 490 456 250 250
Add: Current operating lease liabilities (recorded in Accrued expenses) 126 106 — — — —
Add: Non-current operating lease liabilities (recorded in Deferred income taxes and other liabilities) 344 336 — — — —
Total debt (adjusted) 18,080 18,373 19,880 21,951 19,120 11,801

Based on: 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30).

1, 2 Equal to total present value of future operating lease payments.

Becton, Dickinson & Co., Financial Data: Reported vs. Adjusted

Adjusted Financial Ratios for Operating Leases (Summary)

Becton, Dickinson & Co., adjusted financial ratios

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Sep 30, 2021 Sep 30, 2020 Sep 30, 2019 Sep 30, 2018 Sep 30, 2017 Sep 30, 2016
Total Asset Turnover1
Reported total asset turnover 0.38 0.32 0.33 0.30 0.32 0.49
Adjusted total asset turnover 0.38 0.32 0.33 0.29 0.32 0.48
Debt to Equity2
Reported debt to equity 0.74 0.75 0.92 1.02 1.46 1.51
Adjusted debt to equity 0.76 0.77 0.94 1.05 1.48 1.55
Return on Assets3 (ROA)
Reported ROA 3.88% 1.62% 2.38% 0.58% 2.92% 3.81%
Adjusted ROA 3.88% 1.62% 2.36% 0.57% 2.90% 3.78%

Based on: 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30).

1 See details »

2 See details »

3 See details »

Financial ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Becton, Dickinson & Co. adjusted total asset turnover ratio deteriorated from 2019 to 2020 but then improved from 2020 to 2021 exceeding 2019 level.
Adjusted debt to equity A solvency ratio calculated as adjusted total debt divided by total shareholders’ equity. Becton, Dickinson & Co. adjusted debt to equity ratio improved from 2019 to 2020 and from 2020 to 2021.
Adjusted ROA A profitability ratio calculated as net income divided by adjusted total assets. Becton, Dickinson & Co. adjusted ROA deteriorated from 2019 to 2020 but then improved from 2020 to 2021 exceeding 2019 level.

Becton, Dickinson & Co., Financial Ratios: Reported vs. Adjusted

Adjusted Total Asset Turnover

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Sep 30, 2021 Sep 30, 2020 Sep 30, 2019 Sep 30, 2018 Sep 30, 2017 Sep 30, 2016
As Reported
Selected Financial Data (US$ in millions)
Revenues 20,248 17,117 17,290 15,983 12,093 12,483
Total assets 53,866 54,012 51,765 53,904 37,734 25,586
Activity Ratio
Total asset turnover1 0.38 0.32 0.33 0.30 0.32 0.49
Adjusted for Operating Leases
Selected Financial Data (US$ in millions)
Revenues 20,248 17,117 17,290 15,983 12,093 12,483
Adjusted total assets 53,866 54,012 52,255 54,360 37,984 25,836
Activity Ratio
Adjusted total asset turnover2 0.38 0.32 0.33 0.29 0.32 0.48

Based on: 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30).

2021 Calculations

1 Total asset turnover = Revenues ÷ Total assets
= 20,248 ÷ 53,866 = 0.38

2 Adjusted total asset turnover = Revenues ÷ Adjusted total assets
= 20,248 ÷ 53,866 = 0.38

Activity ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Becton, Dickinson & Co. adjusted total asset turnover ratio deteriorated from 2019 to 2020 but then improved from 2020 to 2021 exceeding 2019 level.

Adjusted Debt to Equity

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Sep 30, 2021 Sep 30, 2020 Sep 30, 2019 Sep 30, 2018 Sep 30, 2017 Sep 30, 2016
As Reported
Selected Financial Data (US$ in millions)
Total debt 17,610 17,931 19,390 21,495 18,870 11,551
Shareholders’ equity 23,677 23,765 21,081 20,994 12,948 7,633
Solvency Ratio
Debt to equity1 0.74 0.75 0.92 1.02 1.46 1.51
Adjusted for Operating Leases
Selected Financial Data (US$ in millions)
Adjusted total debt 18,080 18,373 19,880 21,951 19,120 11,801
Shareholders’ equity 23,677 23,765 21,081 20,994 12,948 7,633
Solvency Ratio
Adjusted debt to equity2 0.76 0.77 0.94 1.05 1.48 1.55

Based on: 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30).

2021 Calculations

1 Debt to equity = Total debt ÷ Shareholders’ equity
= 17,610 ÷ 23,677 = 0.74

2 Adjusted debt to equity = Adjusted total debt ÷ Shareholders’ equity
= 18,080 ÷ 23,677 = 0.76

Solvency ratio Description The company
Adjusted debt-to-equity A solvency ratio calculated as adjusted total debt divided by total shareholders’ equity. Becton, Dickinson & Co. adjusted debt-to-equity ratio improved from 2019 to 2020 and from 2020 to 2021.

Adjusted Return on Assets (ROA)

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Sep 30, 2021 Sep 30, 2020 Sep 30, 2019 Sep 30, 2018 Sep 30, 2017 Sep 30, 2016
As Reported
Selected Financial Data (US$ in millions)
Net income 2,092 874 1,233 311 1,100 976
Total assets 53,866 54,012 51,765 53,904 37,734 25,586
Profitability Ratio
ROA1 3.88% 1.62% 2.38% 0.58% 2.92% 3.81%
Adjusted for Operating Leases
Selected Financial Data (US$ in millions)
Net income 2,092 874 1,233 311 1,100 976
Adjusted total assets 53,866 54,012 52,255 54,360 37,984 25,836
Profitability Ratio
Adjusted ROA2 3.88% 1.62% 2.36% 0.57% 2.90% 3.78%

Based on: 10-K (reporting date: 2021-09-30), 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30).

2021 Calculations

1 ROA = 100 × Net income ÷ Total assets
= 100 × 2,092 ÷ 53,866 = 3.88%

2 Adjusted ROA = 100 × Net income ÷ Adjusted total assets
= 100 × 2,092 ÷ 53,866 = 3.88%

Profitability ratio Description The company
Adjusted ROA A profitability ratio calculated as net income divided by adjusted total assets. Becton, Dickinson & Co. adjusted ROA deteriorated from 2019 to 2020 but then improved from 2020 to 2021 exceeding 2019 level.