Analysis of Debt
Total Debt (Carrying Amount)
Becton, Dickinson & Co., balance sheet: debt
US$ in millions
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).
| Debt item | Description | The company |
|---|---|---|
| Total debt (carrying amount) | Sum of the carrying values as of the balance sheet date of all debt plus capital lease obligations. | Becton, Dickinson & Co. total debt decreased from 2019 to 2020 and from 2020 to 2021. |
Total Debt (Fair Value)
| Sep 30, 2021 | |
|---|---|
| Selected Financial Data (US$ in millions) | |
| Commercial paper borrowings | —) |
| Current portion of long-term debt | 503) |
| Term Loan Facility | —) |
| Other | —) |
| Total short-term debt (fair value) | 503) |
| Long-term debt, excluding current portion | 18,537) |
| Total debt (fair value) | 19,040) |
| Financial Ratio | |
| Debt, fair value to carrying amount ratio | 1.08 |
Based on: 10-K (reporting date: 2021-09-30).
Weighted-average Interest Rate on Debt
Weighted-average interest rate on debt: 2.65%
| Interest rate | Debt amount1 | Interest rate × Debt amount | Weighted-average interest rate2 |
|---|---|---|---|
| 1.15% | 500) | 6) | |
| 1.00% | 579) | 6) | |
| 1.40% | 347) | 5) | |
| 0.63% | 926) | 6) | |
| 0.00% | 463) | —) | |
| 3.88% | 146) | 6) | |
| 3.36% | 994) | 33) | |
| 3.73% | 873) | 33) | |
| 3.02% | 336) | 10) | |
| 0.03% | 577) | —) | |
| 1.21% | 693) | 8) | |
| 6.70% | 168) | 11) | |
| 1.90% | 577) | 11) | |
| 3.70% | 1,716) | 63) | |
| 7.00% | 174) | 12) | |
| 6.70% | 173) | 12) | |
| 0.33% | 1,037) | 3) | |
| 2.82% | 744) | 21) | |
| 1.96% | 992) | 19) | |
| 1.21% | 690) | 8) | |
| 6.00% | 246) | 15) | |
| 5.00% | 124) | 6) | |
| 1.34% | 1,034) | 14) | |
| 4.88% | 246) | 12) | |
| 4.69% | 1,033) | 48) | |
| 4.67% | 1,481) | 69) | |
| 3.79% | 742) | 28) | |
| Total | 17,611) | 467) | |
| 2.65% | |||
Based on: 10-K (reporting date: 2021-09-30).
1 US$ in millions
2 Weighted-average interest rate = 100 × 467 ÷ 17,611 = 2.65%
Interest Costs Incurred
Becton, Dickinson & Co., interest costs incurred
US$ in millions
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).
| Debt item | Description | The company |
|---|---|---|
| Charged to operations interest | Amount of the cost of borrowed funds accounted for as interest expense for debt. | Becton, Dickinson & Co. charged to operations interest decreased from 2019 to 2020 and from 2020 to 2021. |
| Capitalized interest | Amount of interest costs capitalized disclosed as an adjusting item to interest costs incurred. | |
| Interest costs | Total interest costs incurred during the period and either capitalized or charged against earnings. | Becton, Dickinson & Co. interest costs decreased from 2019 to 2020 and from 2020 to 2021. |
Adjusted Interest Coverage Ratio
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 Interest coverage ratio (without capitalized interest) = EBIT ÷ Interest expense
= 2,711 ÷ 469 = 5.78
2 Adjusted interest coverage ratio (with capitalized interest) = EBIT ÷ Interest costs
= 2,711 ÷ 512 = 5.29
| Solvency ratio | Description | The company |
|---|---|---|
| Adjusted interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments (including capitalized interest). | Becton, Dickinson & Co. adjusted interest coverage ratio deteriorated from 2019 to 2020 but then improved from 2020 to 2021 exceeding 2019 level. |