Analysis of Solvency Ratios
Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.
Solvency Ratios (Summary)
Becton, Dickinson & Co., solvency ratios
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).
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Becton, Dickinson & Co. debt to equity ratio improved from 2019 to 2020 and from 2020 to 2021. |
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Becton, Dickinson & Co. debt to equity ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021. |
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Becton, Dickinson & Co. debt to capital ratio improved from 2019 to 2020 and from 2020 to 2021. |
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Becton, Dickinson & Co. debt to capital ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021. |
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Becton, Dickinson & Co. debt to assets ratio improved from 2019 to 2020 and from 2020 to 2021. |
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Becton, Dickinson & Co. debt to assets ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021. |
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Becton, Dickinson & Co. financial leverage ratio decreased from 2019 to 2020 but then slightly increased from 2020 to 2021. |
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Becton, Dickinson & Co. interest coverage ratio improved from 2019 to 2020 and from 2020 to 2021. |
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Becton, Dickinson & Co. fixed charge coverage ratio improved from 2019 to 2020 and from 2020 to 2021. |
Debt to Equity
Becton, Dickinson & Co., debt to equity calculation, comparison to benchmarks
| Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | Sep 30, 2018 | Sep 30, 2017 | Sep 30, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Short-term debt | 500) | 707) | 1,309) | 2,601) | 203) | 1,001) | |
| Long-term debt, excluding current portion | 17,110) | 17,224) | 18,081) | 18,894) | 18,667) | 10,550) | |
| 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 | |
| Benchmarks | |||||||
| Debt to Equity, Competitors2 | |||||||
| Abbott Laboratories | 0.50 | 0.57 | 0.58 | — | — | — | |
| Cigna Group | 0.71 | 0.65 | 0.83 | — | — | — | |
| CVS Health Corp. | 0.75 | 0.93 | 1.07 | — | — | — | |
| Elevance Health Inc. | 0.64 | 0.60 | 0.63 | — | — | — | |
| Humana Inc. | 0.80 | 0.51 | 0.49 | — | — | — | |
| Intuitive Surgical Inc. | 0.00 | 0.00 | 0.00 | — | — | — | |
| Medtronic PLC | 0.51 | 0.49 | 0.51 | 0.51 | — | — | |
| Shockwave Medical Inc. | 0.07 | 0.07 | 0.07 | — | — | — | |
| UnitedHealth Group Inc. | 0.64 | 0.66 | 0.71 | — | — | — | |
| Debt to Equity, Sector | |||||||
| Health Care Equipment & Services | 0.63 | 0.65 | 0.72 | — | — | — | |
| Debt to Equity, Industry | |||||||
| Health Care | 0.80 | 0.91 | 0.92 | — | — | — | |
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 2021 Calculation
Debt to equity = Total debt ÷ Shareholders’ equity
= 17,610 ÷ 23,677 = 0.74
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Becton, Dickinson & Co. debt to equity ratio improved from 2019 to 2020 and from 2020 to 2021. |
Debt to Equity (including Operating Lease Liability)
Becton, Dickinson & Co., debt to equity (including operating lease liability) calculation, comparison to benchmarks
| Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | Sep 30, 2018 | Sep 30, 2017 | Sep 30, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Short-term debt | 500) | 707) | 1,309) | 2,601) | 203) | 1,001) | |
| Long-term debt, excluding current portion | 17,110) | 17,224) | 18,081) | 18,894) | 18,667) | 10,550) | |
| Total debt | 17,610) | 17,931) | 19,390) | 21,495) | 18,870) | 11,551) | |
| Current operating lease liabilities (recorded in Accrued expenses) | 126) | 106) | —) | —) | —) | —) | |
| Non-current operating lease liabilities (recorded in Deferred income taxes and other liabilities) | 344) | 336) | —) | —) | —) | —) | |
| Total debt (including operating lease liability) | 18,080) | 18,373) | 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 equity (including operating lease liability)1 | 0.76 | 0.77 | 0.92 | 1.02 | 1.46 | 1.51 | |
| Benchmarks | |||||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | |||||||
| Abbott Laboratories | 0.54 | 0.61 | 0.61 | — | — | — | |
| Cigna Group | 0.73 | 0.67 | 0.84 | — | — | — | |
| CVS Health Corp. | 1.01 | 1.23 | 1.39 | — | — | — | |
| Elevance Health Inc. | 0.67 | 0.63 | 0.65 | — | — | — | |
| Humana Inc. | 0.84 | 0.54 | 0.53 | — | — | — | |
| Intuitive Surgical Inc. | 0.01 | 0.01 | 0.01 | — | — | — | |
| Medtronic PLC | 0.53 | 0.51 | 0.51 | 0.51 | — | — | |
| Shockwave Medical Inc. | 0.20 | 0.11 | 0.12 | — | — | — | |
| UnitedHealth Group Inc. | 0.70 | 0.73 | 0.77 | — | — | — | |
| Debt to Equity (including Operating Lease Liability), Sector | |||||||
| Health Care Equipment & Services | 0.71 | 0.74 | 0.81 | — | — | — | |
| Debt to Equity (including Operating Lease Liability), Industry | |||||||
| Health Care | 0.86 | 0.97 | 0.98 | — | — | — | |
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 2021 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Shareholders’ equity
= 18,080 ÷ 23,677 = 0.76
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Becton, Dickinson & Co. debt to equity ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021. |
Debt to Capital
Becton, Dickinson & Co., debt to capital calculation, comparison to benchmarks
| Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | Sep 30, 2018 | Sep 30, 2017 | Sep 30, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Short-term debt | 500) | 707) | 1,309) | 2,601) | 203) | 1,001) | |
| Long-term debt, excluding current portion | 17,110) | 17,224) | 18,081) | 18,894) | 18,667) | 10,550) | |
| 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) | |
| Total capital | 41,287) | 41,696) | 40,471) | 42,489) | 31,818) | 19,184) | |
| Solvency Ratio | |||||||
| Debt to capital1 | 0.43 | 0.43 | 0.48 | 0.51 | 0.59 | 0.60 | |
| Benchmarks | |||||||
| Debt to Capital, Competitors2 | |||||||
| Abbott Laboratories | 0.34 | 0.36 | 0.37 | — | — | — | |
| Cigna Group | 0.42 | 0.40 | 0.45 | — | — | — | |
| CVS Health Corp. | 0.43 | 0.48 | 0.52 | — | — | — | |
| Elevance Health Inc. | 0.39 | 0.38 | 0.39 | — | — | — | |
| Humana Inc. | 0.44 | 0.34 | 0.33 | — | — | — | |
| Intuitive Surgical Inc. | 0.00 | 0.00 | 0.00 | — | — | — | |
| Medtronic PLC | 0.34 | 0.33 | 0.34 | 0.34 | — | — | |
| Shockwave Medical Inc. | 0.07 | 0.07 | 0.07 | — | — | — | |
| UnitedHealth Group Inc. | 0.39 | 0.40 | 0.41 | — | — | — | |
| Debt to Capital, Sector | |||||||
| Health Care Equipment & Services | 0.38 | 0.39 | 0.42 | — | — | — | |
| Debt to Capital, Industry | |||||||
| Health Care | 0.44 | 0.48 | 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).
1 2021 Calculation
Debt to capital = Total debt ÷ Total capital
= 17,610 ÷ 41,287 = 0.43
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Becton, Dickinson & Co. debt to capital ratio improved from 2019 to 2020 and from 2020 to 2021. |
Debt to Capital (including Operating Lease Liability)
Becton, Dickinson & Co., debt to capital (including operating lease liability) calculation, comparison to benchmarks
| Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | Sep 30, 2018 | Sep 30, 2017 | Sep 30, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Short-term debt | 500) | 707) | 1,309) | 2,601) | 203) | 1,001) | |
| Long-term debt, excluding current portion | 17,110) | 17,224) | 18,081) | 18,894) | 18,667) | 10,550) | |
| Total debt | 17,610) | 17,931) | 19,390) | 21,495) | 18,870) | 11,551) | |
| Current operating lease liabilities (recorded in Accrued expenses) | 126) | 106) | —) | —) | —) | —) | |
| Non-current operating lease liabilities (recorded in Deferred income taxes and other liabilities) | 344) | 336) | —) | —) | —) | —) | |
| Total debt (including operating lease liability) | 18,080) | 18,373) | 19,390) | 21,495) | 18,870) | 11,551) | |
| Shareholders’ equity | 23,677) | 23,765) | 21,081) | 20,994) | 12,948) | 7,633) | |
| Total capital (including operating lease liability) | 41,757) | 42,138) | 40,471) | 42,489) | 31,818) | 19,184) | |
| Solvency Ratio | |||||||
| Debt to capital (including operating lease liability)1 | 0.43 | 0.44 | 0.48 | 0.51 | 0.59 | 0.60 | |
| Benchmarks | |||||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | |||||||
| Abbott Laboratories | 0.35 | 0.38 | 0.38 | — | — | — | |
| Cigna Group | 0.42 | 0.40 | 0.46 | — | — | — | |
| CVS Health Corp. | 0.50 | 0.55 | 0.58 | — | — | — | |
| Elevance Health Inc. | 0.40 | 0.39 | 0.40 | — | — | — | |
| Humana Inc. | 0.46 | 0.35 | 0.34 | — | — | — | |
| Intuitive Surgical Inc. | 0.01 | 0.01 | 0.01 | — | — | — | |
| Medtronic PLC | 0.35 | 0.34 | 0.34 | 0.34 | — | — | |
| Shockwave Medical Inc. | 0.16 | 0.10 | 0.11 | — | — | — | |
| UnitedHealth Group Inc. | 0.41 | 0.42 | 0.44 | — | — | — | |
| Debt to Capital (including Operating Lease Liability), Sector | |||||||
| Health Care Equipment & Services | 0.41 | 0.43 | 0.45 | — | — | — | |
| Debt to Capital (including Operating Lease Liability), Industry | |||||||
| Health Care | 0.46 | 0.49 | 0.49 | — | — | — | |
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 2021 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 18,080 ÷ 41,757 = 0.43
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Becton, Dickinson & Co. debt to capital ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021. |
Debt to Assets
Becton, Dickinson & Co., debt to assets calculation, comparison to benchmarks
| Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | Sep 30, 2018 | Sep 30, 2017 | Sep 30, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Short-term debt | 500) | 707) | 1,309) | 2,601) | 203) | 1,001) | |
| Long-term debt, excluding current portion | 17,110) | 17,224) | 18,081) | 18,894) | 18,667) | 10,550) | |
| Total debt | 17,610) | 17,931) | 19,390) | 21,495) | 18,870) | 11,551) | |
| Total assets | 53,866) | 54,012) | 51,765) | 53,904) | 37,734) | 25,586) | |
| Solvency Ratio | |||||||
| Debt to assets1 | 0.33 | 0.33 | 0.37 | 0.40 | 0.50 | 0.45 | |
| Benchmarks | |||||||
| Debt to Assets, Competitors2 | |||||||
| Abbott Laboratories | 0.24 | 0.26 | 0.27 | — | — | — | |
| Cigna Group | 0.22 | 0.21 | 0.24 | — | — | — | |
| CVS Health Corp. | 0.24 | 0.28 | 0.31 | — | — | — | |
| Elevance Health Inc. | 0.24 | 0.23 | 0.26 | — | — | — | |
| Humana Inc. | 0.29 | 0.20 | 0.20 | — | — | — | |
| Intuitive Surgical Inc. | 0.00 | 0.00 | 0.00 | — | — | — | |
| Medtronic PLC | 0.28 | 0.27 | 0.28 | 0.28 | — | — | |
| Shockwave Medical Inc. | 0.05 | 0.06 | 0.06 | — | — | — | |
| UnitedHealth Group Inc. | 0.22 | 0.22 | 0.23 | — | — | — | |
| Debt to Assets, Sector | |||||||
| Health Care Equipment & Services | 0.23 | 0.24 | 0.26 | — | — | — | |
| Debt to Assets, Industry | |||||||
| Health Care | 0.29 | 0.31 | 0.31 | — | — | — | |
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 2021 Calculation
Debt to assets = Total debt ÷ Total assets
= 17,610 ÷ 53,866 = 0.33
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Becton, Dickinson & Co. debt to assets ratio improved from 2019 to 2020 and from 2020 to 2021. |
Debt to Assets (including Operating Lease Liability)
Becton, Dickinson & Co., debt to assets (including operating lease liability) calculation, comparison to benchmarks
| Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | Sep 30, 2018 | Sep 30, 2017 | Sep 30, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Short-term debt | 500) | 707) | 1,309) | 2,601) | 203) | 1,001) | |
| Long-term debt, excluding current portion | 17,110) | 17,224) | 18,081) | 18,894) | 18,667) | 10,550) | |
| Total debt | 17,610) | 17,931) | 19,390) | 21,495) | 18,870) | 11,551) | |
| Current operating lease liabilities (recorded in Accrued expenses) | 126) | 106) | —) | —) | —) | —) | |
| Non-current operating lease liabilities (recorded in Deferred income taxes and other liabilities) | 344) | 336) | —) | —) | —) | —) | |
| Total debt (including operating lease liability) | 18,080) | 18,373) | 19,390) | 21,495) | 18,870) | 11,551) | |
| Total assets | 53,866) | 54,012) | 51,765) | 53,904) | 37,734) | 25,586) | |
| Solvency Ratio | |||||||
| Debt to assets (including operating lease liability)1 | 0.34 | 0.34 | 0.37 | 0.40 | 0.50 | 0.45 | |
| Benchmarks | |||||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | |||||||
| Abbott Laboratories | 0.26 | 0.27 | 0.28 | — | — | — | |
| Cigna Group | 0.22 | 0.22 | 0.24 | — | — | — | |
| CVS Health Corp. | 0.33 | 0.37 | 0.40 | — | — | — | |
| Elevance Health Inc. | 0.25 | 0.24 | 0.27 | — | — | — | |
| Humana Inc. | 0.31 | 0.21 | 0.22 | — | — | — | |
| Intuitive Surgical Inc. | 0.01 | 0.01 | 0.01 | — | — | — | |
| Medtronic PLC | 0.29 | 0.28 | 0.28 | 0.28 | — | — | |
| Shockwave Medical Inc. | 0.14 | 0.09 | 0.10 | — | — | — | |
| UnitedHealth Group Inc. | 0.24 | 0.24 | 0.26 | — | — | — | |
| Debt to Assets (including Operating Lease Liability), Sector | |||||||
| Health Care Equipment & Services | 0.27 | 0.27 | 0.29 | — | — | — | |
| Debt to Assets (including Operating Lease Liability), Industry | |||||||
| Health Care | 0.31 | 0.33 | 0.33 | — | — | — | |
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 2021 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 18,080 ÷ 53,866 = 0.34
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Becton, Dickinson & Co. debt to assets ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021. |
Financial Leverage
Becton, Dickinson & Co., financial leverage calculation, comparison to benchmarks
| Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | Sep 30, 2018 | Sep 30, 2017 | Sep 30, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Total assets | 53,866) | 54,012) | 51,765) | 53,904) | 37,734) | 25,586) | |
| Shareholders’ equity | 23,677) | 23,765) | 21,081) | 20,994) | 12,948) | 7,633) | |
| Solvency Ratio | |||||||
| Financial leverage1 | 2.28 | 2.27 | 2.46 | 2.57 | 2.91 | 3.35 | |
| Benchmarks | |||||||
| Financial Leverage, Competitors2 | |||||||
| Abbott Laboratories | 2.10 | 2.21 | 2.18 | — | — | — | |
| Cigna Group | 3.29 | 3.09 | 3.44 | — | — | — | |
| CVS Health Corp. | 3.10 | 3.32 | 3.48 | — | — | — | |
| Elevance Health Inc. | 2.70 | 2.61 | 2.44 | — | — | — | |
| Humana Inc. | 2.76 | 2.55 | 2.42 | — | — | — | |
| Intuitive Surgical Inc. | 1.14 | 1.15 | 1.18 | — | — | — | |
| Medtronic PLC | 1.81 | 1.79 | 1.79 | 1.80 | — | — | |
| Shockwave Medical Inc. | 1.43 | 1.21 | 1.20 | — | — | — | |
| UnitedHealth Group Inc. | 2.96 | 3.01 | 3.02 | — | — | — | |
| Financial Leverage, Sector | |||||||
| Health Care Equipment & Services | 2.67 | 2.70 | 2.75 | — | — | — | |
| Financial Leverage, Industry | |||||||
| Health Care | 2.79 | 2.96 | 2.93 | — | — | — | |
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 2021 Calculation
Financial leverage = Total assets ÷ Shareholders’ equity
= 53,866 ÷ 23,677 = 2.28
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Becton, Dickinson & Co. financial leverage ratio decreased from 2019 to 2020 but then slightly increased from 2020 to 2021. |
Interest Coverage
Becton, Dickinson & Co., interest coverage calculation, comparison to benchmarks
| Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | Sep 30, 2018 | Sep 30, 2017 | Sep 30, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Net income | 2,092) | 874) | 1,233) | 311) | 1,100) | 976) | |
| Add: Income tax expense | 150) | 111) | (57) | 862) | (124) | 98) | |
| Add: Interest expense | 469) | 528) | 639) | 706) | 521) | 388) | |
| Earnings before interest and tax (EBIT) | 2,711) | 1,513) | 1,815) | 1,879) | 1,497) | 1,462) | |
| Solvency Ratio | |||||||
| Interest coverage1 | 5.78 | 2.87 | 2.84 | 2.66 | 2.87 | 3.77 | |
| Benchmarks | |||||||
| Interest Coverage, Competitors2 | |||||||
| Abbott Laboratories | 16.41 | 10.10 | 7.09 | — | — | — | |
| Cigna Group | 6.22 | 8.76 | 5.11 | — | — | — | |
| CVS Health Corp. | 5.16 | 4.36 | 3.96 | — | — | — | |
| Elevance Health Inc. | 10.93 | 8.96 | 9.02 | — | — | — | |
| Humana Inc. | 11.49 | 17.52 | 15.34 | — | — | — | |
| Intuitive Surgical Inc. | — | — | — | — | — | — | |
| Medtronic PLC | 5.21 | 4.71 | 4.60 | 5.95 | — | — | |
| Shockwave Medical Inc. | -7.06 | -53.14 | -53.08 | — | — | — | |
| UnitedHealth Group Inc. | 14.44 | 13.47 | 11.55 | — | — | — | |
| Interest Coverage, Sector | |||||||
| Health Care Equipment & Services | 9.06 | 8.20 | 6.69 | — | — | — | |
| Interest Coverage, Industry | |||||||
| Health Care | 12.10 | 7.74 | 8.87 | — | — | — | |
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 2021 Calculation
Interest coverage = EBIT ÷ Interest expense
= 2,711 ÷ 469 = 5.78
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Becton, Dickinson & Co. interest coverage ratio improved from 2019 to 2020 and from 2020 to 2021. |
Fixed Charge Coverage
Becton, Dickinson & Co., fixed charge coverage calculation, comparison to benchmarks
| Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | Sep 30, 2018 | Sep 30, 2017 | Sep 30, 2016 | ||
|---|---|---|---|---|---|---|---|
| Federal statutory tax rate | 21.00% | 21.00% | 21.00% | 24.50% | 35.00% | 35.00% | |
| Selected Financial Data (US$ in millions) | |||||||
| Net income | 2,092) | 874) | 1,233) | 311) | 1,100) | 976) | |
| Add: Income tax expense | 150) | 111) | (57) | 862) | (124) | 98) | |
| Add: Interest expense | 469) | 528) | 639) | 706) | 521) | 388) | |
| Earnings before interest and tax (EBIT) | 2,711) | 1,513) | 1,815) | 1,879) | 1,497) | 1,462) | |
| Add: Operating lease cost | 132) | 131) | 169) | 149) | 110) | 112) | |
| Earnings before fixed charges and tax | 2,843) | 1,644) | 1,984) | 2,028) | 1,607) | 1,574) | |
| Interest expense | 469) | 528) | 639) | 706) | 521) | 388) | |
| Operating lease cost | 132) | 131) | 169) | 149) | 110) | 112) | |
| Preferred stock dividends | 90) | 107) | 151) | 152) | 70) | —) | |
| Preferred stock dividends, tax adjustment1 | 24) | 28) | 40) | 49) | 38) | —) | |
| Preferred stock dividends, after tax adjustment | 114) | 135) | 191) | 201) | 108) | —) | |
| Fixed charges | 715) | 794) | 999) | 1,056) | 739) | 500) | |
| Solvency Ratio | |||||||
| Fixed charge coverage2 | 3.98 | 2.07 | 1.99 | 1.92 | 2.18 | 3.15 | |
| Benchmarks | |||||||
| Fixed Charge Coverage, Competitors3 | |||||||
| Abbott Laboratories | 10.21 | 6.68 | 5.14 | — | — | — | |
| Cigna Group | 5.61 | 7.84 | 4.67 | — | — | — | |
| CVS Health Corp. | 3.03 | 2.75 | 2.56 | — | — | — | |
| Elevance Health Inc. | 8.48 | 6.10 | 7.34 | — | — | — | |
| Humana Inc. | 8.05 | 12.02 | 9.76 | — | — | — | |
| Intuitive Surgical Inc. | 93.66 | 58.48 | 79.65 | — | — | — | |
| Medtronic PLC | 4.31 | 3.98 | 3.97 | 4.87 | — | — | |
| Shockwave Medical Inc. | -1.22 | -18.19 | -22.81 | — | — | — | |
| UnitedHealth Group Inc. | 8.80 | 8.51 | 7.65 | — | — | — | |
| Fixed Charge Coverage, Sector | |||||||
| Health Care Equipment & Services | 5.95 | 5.51 | 4.75 | — | — | — | |
| Fixed Charge Coverage, Industry | |||||||
| Health Care | 8.60 | 5.72 | 6.62 | — | — | — | |
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 2021 Calculation
Preferred stock dividends, tax adjustment = (Preferred stock dividends × Federal statutory tax rate) ÷ (1 − Federal statutory tax rate)
= (90 × 21.00%) ÷ (1 − 21.00%) = 24
2 2021 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= 2,843 ÷ 715 = 3.98
3 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Becton, Dickinson & Co. fixed charge coverage ratio improved from 2019 to 2020 and from 2020 to 2021. |