Specialist
Former senior executive at Becton Dickinson and Co
Agenda
- Key trends and developments in the infusion pumps and injectables manufacturing space
- Becton Dickinson’s (NYSE: BDX) manufacturing capacity to meet global supply shortages
- Historical M&A integrations and tuck-in acquisition opportunities to expand informatics and AI portfolios
- Becton Dickinson’s competitive positioning amid Alaris infusion pump recall
- 2023 outlook and strategies to drive revenue growth
Questions
1.
What major trends and developments have you been following in the medical device and instruments space over the past 6-9 months or so that might better inform our Interview on BD [Becton Dickinson]?
2.
What tools does BD have at its disposal to fight inflationary pressures from raw materials price increases and/or supply chain inefficiencies? How sustainable do you view the company’s ability to weather these macro challenges?
3.
How might profitability pressures from coronavirus and lingering staffing issues for large health systems impact capital equipment contracts coming up for renewal? How severely do you think health systems will fight back on pricing and potential cost increases passed on from inflation?
4.
How much does BD’s “One-Stick” initiative play into the company’s recent competitive gains in catheters and overall strong momentum in vascular access management? How do you assess its execution in the “One-Stick” strategy?
5.
What financial opportunity do you see for BD to ramp up manufacturing and capitalise on the dearth of supply in the global syringe market? How well-positioned is the company to benefit from this opportunity over the next 2-3 years?
6.
Could you discuss the emerging trend of smart connected care and some of BD’s investments to take advantage of this potential tailwind? Management outlined it as one of the top three or so key innovation priorities longer term.
7.
What balance do you think BD will strike in terms of R&D investment across smart connected care, adjacent care settings and chronic disease outcomes? What innovation are you excited about longer term?
8.
In which areas do you think BD might make tuck-in moves to fuel longer-term growth or margin expansion? Are there any attractive opportunities in light of our discussion on innovation opportunities?
9.
What are the main leverageable synergies from Parata Systems and BD’s existing offerings, particularly with its Intellivault offering coming to market soon?
10.
How do you think the continued coronavirus lockdowns and adoption of volume-based procurement will impact BD’s longer-term growth outlook in China?
11.
What do you think BD has learned from the Alaris infusion pump recall? What modifications or improvements might we see from the company’s quality assurance and safety team?
12.
What is key for a successful go-to-market for the Alaris post-hypothetical approval from the FDA? How will BD seek to win back the confidence of both customers and patients?
13.
What might be the net-net margin impact of the Alaris pump potentially returning to market vs the decline in COVID-19-related testing revenues? How should we be thinking about the profitability trade-off there?
14.
What do you see as the most attractive margin expansion opportunities for BD in this high inflationary environment? How do you assess the company’s ability to reach 540bps operating margin expansion by 2025 with costs rising on all fronts?
15.
To what extent do you think BD can leverage its robust manufacturing network and wide breadth of offerings to provide supply chain guarantees and volume discounts to health systems as they try to navigate a tricky operating environment? What stickiness or pricing benefit can be realised here?
16.
Have we missed anything about BD that might be especially important to highlight? Are there any challenges and/or opportunities on the horizon to watch?
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