Segment Data

3 Months Ended

Dec. 31, 2019

The Company's organizational structure is based upon three principal business segments: BD Medical (“Medical”), BD Life Sciences (“Life Sciences”) and BD Interventional ("Interventional"). The Company's segments are strategic businesses that are managed separately because each one develops, manufactures and markets distinct products and services. Segment disclosures are on a performance basis consistent with internal management reporting. The Company evaluates performance of its business segments and allocates resources to them primarily based upon segment operating income, which represents revenues reduced by product costs and operating expenses.

Effective October 1, 2019, Life Sciences joined its former Preanalytical Systems and Diagnostic Systems organizational units to create a new Integrated Diagnostic Solutions organizational unit which focuses on driving growth and innovation around integrated specimen management to diagnostic solutions. The Integrated Diagnostic Solutions organizational unit consists of the following principal product lines:



Organizational Unit		Principal Product Lines
Integrated Diagnostic Solutions		Integrated systems for specimen collection; safety-engineered blood collection products and systems; automated blood culturing and tuberculosis culturing systems; molecular testing systems for infectious diseases and women’s health; microorganism identification and drug susceptibility systems; liquid-based cytology systems for cervical cancer screening; rapid diagnostic assays for testing of respiratory infections; microbiology laboratory automation and plated media for clinical and industrial applications.

Revenues by segment, organizational unit and geographical areas for the three-month periods are detailed below. The Company has no material intersegment revenues.



	Three Months Ended December 31,
(Millions of dollars)	2019						2018
	United States		International		Total		United States		International		Total
Medical
Medication Delivery Solutions (a)	$	520	$	428	$	948	$	519	$	438	$	956
Medication Management Solutions (a)	462		113		575		508		118		625
Diabetes Care	139		129		268		145		129		274
Pharmaceutical Systems	84		215		299		68		212		280
Total segment revenues	$	1,204	$	886	$	2,090	$	1,239	$	896	$	2,135

Life Sciences
Integrated Diagnostic Solutions
Preanalytical Systems	$	202	$	196	$	398	$	201	$	192	$	393
Diagnostic Systems	184		218		402		175		207		382
Total Integrated Diagnostic Solutions	386		414		800		376		399		774
Biosciences	152		171		323		108		173		281
Total segment revenues	$	538	$	585	$	1,123	$	484	$	572	$	1,056

Interventional
Surgery (b)	$	256	$	70	$	326	$	246	$	64	$	310
Peripheral Intervention (b)	225		170		395		223		160		382
Urology and Critical Care (b)	206		85		291		195		83		277
Total segment revenues	$	688	$	325	$	1,012	$	664	$	306	$	970

Total Company revenues	$	2,430	$	1,795	$	4,225	$	2,387	$	1,773	$	4,160


(a)	Prior-period amounts reflect the reclassification of U.S. revenues of $2 million associated with the movement, effective on October 1, 2019, of certain products from the Medication Delivery Solutions unit to the Medication Management Solutions unit.

(b)Prior-period amounts reflect the total reclassifications of $31 million of U.S. revenues and $14 million of international revenues associated with the movement, effective on October 1, 2019, of certain products from the Surgery unit and the Urology and Critical Care unit to the Peripheral Intervention unit.

Segment income for the three-month periods was as follows:



	Three Months Ended December 31,
(Millions of dollars)	2019			2018
Income Before Income Taxes
Medical (a)	$	564		$	665
Life Sciences	361			305
Interventional	243			209
Total Segment Operating Income	1,167			1,180
Acquisitions and other restructurings	(86		)	(91		)
Net interest expense	(134		)	(183		)
Other unallocated items (b)	(553		)	(192		)
Total Income Before Income Taxes	$	394		$	714


(a)	The amount for the three months ended December 31, 2019 included the estimated cost of a product recall of $59 million which was recorded to Cost of products sold and is further discussed in Note 15.

(b)

Primarily comprised of foreign exchange, certain general and administrative expenses and share-based compensation expense. The amount for the three months ended December 31, 2018 included the pre-tax gain recognized on the Company's sale of its Advanced Bioprocessing business of approximately $335 million, which is further discussed in Note 9.