Medical technology company Becton Dickinson & Co. said on Tuesday that quarterly net income fell as costs rose sharply, but after excluding litigation charges and pension settlements, the results were higher than analysts had expected.
Becton Dickinson, which makes needles, drug delivery systems and lab equipment, said the new medical device tax on sales that went into effect on Jan. 1 under the U.S. health reform law cut earnings during the quarter by 4 cents per share.
It reported earnings of $1.54 before special items for the fiscal fourth quarter, up from $1.42 a year earlier. Analysts had expected $1.46 on that basis.
Becton Dickinson said net income was $91 million, or 46 cents per share, compared with $289 million, or $1.43 per share, a year earlier.
For fiscal 2014, the company expects earnings of $6.16 to $6.22 per share from continuing operations, up 6 percent to 7 percent from adjusted fiscal 2013 earnings.
© 2014 Thomson/Reuters. All rights reserved.