Becton, Dickinson and Company

This is our first report on Becton, Dickinson and Company, a medical device giant known to supply supplies, devices, laboratory equipment and diagnostic products to the healthcare industry. The company delivered strong and steady growth in its core business and ended the financial year with significant momentum. It outperformed its revenue and earnings forecasts for the fiscal year and expanded its margins. Becton has worked towards building their innovation pipeline, investing around 60% of their new product development in three key sectors. They also actively controlled their portfolio, spinning embecta and phasing out over 2,500 SKUs as they pushed the Project RECODE program to streamline their portfolio and eliminate items that create complexity in their manufacturing processes. They launched 25 important new offerings during the quarter, expanding their innovation pipeline. It is worth highlighting that their product introductions reinforce their industry leadership in their durable core and broaden their portfolio in higher-growth markets across smart connected care, allowing new care contexts and enhancing chronic disease outcomes. We initiate coverage on the stock of Becton, Dickinson and Company with a ‘Hold’ rating.