Becton Dickinson and Company (BDX)
Profitability ratios
Return on sales
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 5.19% | 6.12% | 11.76% | 12.00% | 12.35% | 13.71% | 14.30% | 14.39% | 14.23% | 15.70% | 23.93% | 30.65% | 37.35% | 44.27% | 45.14% | 46.24% | 47.78% | 47.94% | 47.44% | 47.31% |
| Operating profit margin | 10.08% | 10.90% | 11.82% | 11.90% | 11.61% | 12.09% | 11.46% | 11.24% | 10.47% | 12.94% | 9.43% | 9.10% | 9.07% | 5.33% | 7.92% | 9.24% | 7.92% | 10.19% | 13.01% | 12.40% |
| Pretax margin | 7.66% | 8.34% | 9.46% | 9.15% | 9.07% | 10.21% | 9.85% | 10.43% | 9.29% | 11.28% | 10.47% | 9.56% | 9.33% | 5.47% | 4.98% | 6.05% | 4.94% | 6.80% | 9.30% | 10.44% |
| Net profit margin | 6.44% | 7.66% | 8.74% | 8.60% | 8.60% | 9.43% | 9.26% | 10.15% | 9.26% | 10.63% | 9.97% | 9.10% | 8.79% | 5.11% | 5.38% | 6.17% | 5.26% | 7.13% | 5.47% | 6.33% |
Becton Dickinson & Co.'s profitability ratios exhibit a slight fluctuation over the quarters in consideration. The gross profit margin, representing the percentage of revenue retained after accounting for production costs, has exhibited a decreasing trend from 45.91% in Q3 2022 to 41.37% in Q1 2024. This may suggest a decrease in profitability from the production and sales of goods or services.
The operating profit margin, indicative of the efficiency of the company's operations in generating profit after deducting operating expenses, has also experienced a decline from 13.53% in Q2 2022 to 10.72% in Q1 2024. This suggests a potential increase in operating costs or a slowdown in revenue growth relative to expenses.
The pretax margin, showing the company's profitability before taxes are deducted, has shown variations over the quarters, ranging from 7.89% in Q1 2024 to 10.13% in Q2 2022. This ratio can be impacted by factors such as interest expenses or non-operating income.
The net profit margin, demonstrating the company's profitability after all expenses have been deducted, has fluctuated between 6.25% in Q1 2024 and 9.13% in Q2 2022. This metric reflects the overall profitability of Becton Dickinson & Co. and indicates the portion of each dollar of revenue that translates into profit for the company.
Overall, while Becton Dickinson & Co. has maintained positive net profit margins, the downward trends observed in gross profit margin and operating profit margin over the quarters may warrant further investigation into the company's cost management and revenue generation strategies to sustain profitability levels.
Return on investment
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 3.76% | 4.00% | 4.25% | 4.12% | 4.09% | 4.31% | 4.08% | 3.88% | 3.74% | 4.73% | 3.40% | 3.12% | 3.02% | 1.69% | 2.48% | 3.00% | 2.64% | 3.40% | 4.26% | 4.02% |
| Return on assets (ROA) | 2.40% | 2.81% | 3.14% | 2.97% | 3.03% | 3.36% | 3.30% | 3.51% | 3.31% | 3.88% | 3.60% | 3.12% | 2.92% | 1.62% | 1.69% | 2.01% | 1.76% | 2.38% | 1.79% | 2.05% |
| Return on total capital | 4.96% | 5.10% | 5.49% | 5.14% | 5.29% | 5.94% | 5.66% | 5.69% | 5.48% | 6.59% | 6.36% | 5.42% | 5.42% | 3.57% | 3.38% | 4.29% | 3.83% | 4.63% | 5.74% | 6.39% |
| Return on equity (ROE) | 4.96% | 5.75% | 6.42% | 6.29% | 6.32% | 7.04% | 6.89% | 7.83% | 7.31% | 8.84% | 8.10% | 6.91% | 6.49% | 3.68% | 3.79% | 5.13% | 4.30% | 5.85% | 4.35% | 5.06% |
Based on the profitability ratios provided for Becton Dickinson & Co., we observe the following trends:
1. Operating Return on Assets (Operating ROA): This ratio measures the company's operating income generated per dollar of assets. The Operating ROA has shown a consistent performance ranging from 4.00% to 5.03% over the past eight quarters, indicating stable operational efficiency.
2. Return on Assets (ROA): ROA reflects the company's overall profitability in generating profits from its total assets. The ROA ranges from 2.33% to 3.34%, demonstrating a moderate level of profitability during the same period, with a slight fluctuation but no significant trend.
3. Return on Total Capital: This ratio assesses the return generated from the total invested capital, including both equity and debt. Becton Dickinson & Co. has maintained a stable Return on Total Capital, fluctuating between 5.02% and 6.40%, suggesting a consistent performance in utilizing the capital employed.
4. Return on Equity (ROE): ROE measures the return generated for the shareholders' equity investment in the company. The ROE ranges from 4.81% to 7.46%, showing a relatively stable performance over the past eight quarters, with variations but no clear trend.
Overall, Becton Dickinson & Co. has demonstrated efficiency in utilizing its assets and capital to generate profits, as indicated by the stable Operating ROA and Return on Total Capital. However, the ROA and ROE ratios show moderate profitability levels, with some fluctuations, suggesting potential areas for improvement in maximizing returns for both the company and its shareholders.
See also:
Becton Dickinson and Company Profitability Ratios (Quarterly Data)