- Source : Press Release
- Date : 2010-02-24
- Companies : Bio-Rad Laboratories, Inc.
Bio-Rad Laboratories, Inc. Reports Record Fourth-Quarter and Full-Year 2009 Financial Results
HERCULES, CA--(Marketwire - February 24, 2010) - Bio-Rad Laboratories, Inc. (NYSE: BIO) and
(NYSE: BIO.B), a multinational manufacturer and distributor of life science
research and clinical diagnostic products, announced financial results
today for the fourth quarter and fiscal year ended December 31, 2009.
Fourth-quarter reported revenues were $495.1 million, up 10.5% compared to
$448.0 million reported for the fourth quarter of 2008. On a
currency-neutral basis, quarterly revenues increased 4.3% compared to the
same period last year. This increase was the result of organic growth
across Bio-Rad's two main areas, Life Science and Clinical Diagnostics.
Fourth-quarter gross margin was 54.2% compared to 55.1% during the same
quarter last year.
Net income attributable to Bio-Rad for the fourth quarter of 2009 was $37.9
million, or $1.35 per share on a fully diluted basis compared to ($0.30)
per share, during the same period last year. The fourth quarter 2008 loss
was a result of non-cash impairment charges of $35.0 million. Included in
the fourth quarter of 2009 were non-cash impairment charges of $3.8
million.
For the full year, sales grew by 1.1% to $1,784.2 million compared to
$1,764.4 million in 2008. After normalizing for the impact of currency
effects, Bio-Rad sales grew by 5.5%.
Full-year net income attributable to Bio-Rad was $144.6 million, or $5.20
per share on a fully diluted basis, compared to $89.5 million, or $3.24 per
share, respectively, in 2008. Full-year gross margin was 56.0% compared to
last year's figure of 54.6%. This improvement in gross margin is primarily
the result of improved manufacturing planning and utilization as well as a
reduction in purchase accounting and royalty-related expenses.
"We are pleased with our performance in the fourth quarter as well as the
entire year," said Norman Schwartz, Bio-Rad President and Chief Executive
Officer. "We approached 2009 with caution as the world faced some tough
economic conditions. Yet in spite of those challenges, 2009 turned out to
be another successful year for Bio-Rad. Looking ahead to 2010, we will
focus on the integration of the diagnostics businesses of Biotest AG that
Bio-Rad acquired in January and the introduction of new products."
Life Science
The Life Science segment net sales for the fourth quarter were $191.0
million, up 12.1% compared to the same period last year. On a
currency-neutral basis, Life Science segment sales increased by 6.6%.
Full-year reported revenues for the Life Science segment were $631.5
million, down 1.9% over the prior year, or an increase of 0.8% on a
currency-neutral basis. Performance in the Life Science segment during the
fourth quarter benefited from sales of the Company's next generation PCR
instruments, in particular, the CFX96™ real-time thermal cycler. Segment
performance was also boosted by sales of the Company's protein separation
and analysis tools including electrophoresis, chromatography, and imaging
products as well as sales of the ProteOn™ protein interaction array
system. During the quarter, the segment launched the Mini-PROTEAN® TGX
precast electrophoresis gel product line, which delivers ultra-fast time to
results, high resolution, and extended shelf life.
Clinical Diagnostics
The Clinical Diagnostics segment reported net sales of $300.5 million for
the fourth quarter, up 9.7% compared to the prior-year quarter. On a
currency-neutral basis, net sales were up 2.9%. Full-year reported revenues
for the Clinical Diagnostics segment were $1,139.9 million, an increase of
3.0% over the prior year. On a currency-neutral basis, full-year sales
increased 8.5% compared to 2008 results. Performance in the Clinical
Diagnostics segment during the fourth quarter was the result of growth
across all product lines, most notably quality controls, blood typing, and
diabetes monitoring. During the fourth quarter, Bio-Rad announced that it
had signed an agreement to acquire certain diagnostics businesses of
Biotest AG, including its diagnostics products in the areas of blood
transfusion testing, transplantation, and infectious diseases. (The
transaction was completed in the first quarter of 2010).
2009 Full-Year Highlights
-- Full-year Company sales grew by 1.1% to $1,784.2 million.
-- Full-year net income attributable to Bio-Rad was $144.6 million, or
$5.20 per share on a fully diluted basis, compared to $89.5 million, or
$3.24 per share, respectively, in 2008.
-- In April, the Life Science segment launched its SsoFast™ EvaGreen®
Supermix, the first member of Bio-Rad's next-generation family of
high-performance, real-time PCR reagents.
-- In June, the Clinical Diagnostics segment announced that it had
received FDA clearance of two new multiplex infectious disease serology
panels for use on the BioPlex 2200 system: the BioPlex ToRC IgG panel
and the BioPlex HSV-1 & HSV-2 IgG panel. The ToRC IgG kit simultaneously
detects IgG class antibodies to Toxoplasma gondii (T. gondii), Rubella,
and Cytomegalovirus (CMV). The HSV-1 & HSV-2 IgG kit utilizes
type-specific proteins to simultaneously detect and differentiate IgG
class antibodies to the two most common herpes subtypes, HSV-1 and
HSV-2.
-- In September, Bio-Rad and Bruker Corporation, a manufacturer of mass
spectrometry (MS) instruments, announced the launch of the Lucid
Proteomics System, which improves the possibility of discovering
biomarkers that have clinical relevance.
-- Also in September, Bio-Rad announced the launch of Unity Real Time®
2.0, the latest version of its expert QC Data Management solution. The
platform is designed to manage laboratory QC and to validate analytical
runs.
-- In October, Bio-Rad announced it had signed an agreement to acquire
certain diagnostics businesses of Biotest AG, including its diagnostics
products in the areas of blood transfusion testing, transplantation, and
infectious diseases. (The transaction was completed in the first quarter
of 2010).
Management will discuss these results in a conference call at 2 PM Pacific
Time (5 PM Eastern Time) February 24, 2010. Interested parties may access
the call by dialing 866-277-1181 (in the U.S.) or 617-597-5358
(international), access number 83859462. The live webcast can be accessed
at http://www.bio-rad.com. A replay of the call will be available at
888-286-8010 (in the U.S.), or 617-801-6888 (international), access number
44802116 for seven days following the call, and the webcast can be accessed
at http://www.bio-rad.com for 30 days.
About Bio-Rad
Bio-Rad Laboratories, Inc. (NYSE: BIO) and (NYSE: BIO.B), has remained at
the center of scientific discovery for more than 50 years, manufacturing
and distributing a broad range of products for the life science research
and clinical diagnostic markets. The Company is renowned worldwide among
hospitals, universities, major research institutions, as well as
biotechnology and pharmaceutical companies for its commitment to quality
and customer service. Founded in 1952, Bio-Rad is headquartered in
Hercules, California, and serves more than 85,000 research and industry
customers worldwide through its global network of operations. The Company
employs over 6,700 people globally and had revenues of nearly $1.8 billion
in 2009. For more information, visit www.bio-rad.com.
This release contains certain forward-looking statements within the meaning
of the Private Securities Litigation Reform Act of 1995 and Section 21E of
the Securities Exchange Act of 1934. Forward-looking statements generally
can be identified by the use of forward-looking terminology such as,
"believe," "expect," "may," "will," "intend," "estimate," "continue," or
similar expressions or the negative of those terms or expressions. Such
statements involve risks and
uncertainties, which could cause actual results to vary materially from
those expressed in or indicated by the forward-looking statements. For
further information regarding the Company's risks and uncertainties, please
refer to the "Risk Factors" in the Company's public reports filed with the
Securities and Exchange Commission, including the Company's most recent
Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current
Reports on Form 8-K. The Company cautions you not to place undue reliance
on forward-looking statements, which reflect an analysis only and speak
only as of the date hereof. Bio-Rad Laboratories, Inc., disclaims any
obligation to update these forward-looking statements.
Bio-Rad Laboratories, Inc.
Condensed Consolidated Statements of Income
(in thousands, except per share data)
(UNAUDITED)
Three Months Ended Twelve Months Ended
December 31, December 31,
------------------------ ------------------------
2009 2008 2009 2008
----------- ----------- ----------- -----------
Net sales $ 495,073 $ 447,965 $ 1,784,244 $ 1,764,365
Cost of goods sold 226,604 201,289 784,401 801,843
----------- ----------- ----------- -----------
Gross profit 268,469 246,676 999,843 962,522
Selling, general and
administrative
expense 163,862 154,497 601,468 591,304
Product research and
development expense 44,510 41,120 163,585 159,518
Impairment losses on
goodwill and
long-lived assets 3,802 28,757 3,802 28,757
----------- ----------- ----------- -----------
Income from operations 56,295 22,302 230,988 182,943
Interest expense 14,363 7,985 47,024 32,113
Foreign exchange
losses 1,754 5,238 5,003 7,634
Other (income)
expense, net (1,915) 5,020 (6,871) 353
----------- ----------- ----------- -----------
Income before taxes 42,093 4,059 185,832 142,843
Provision for income
taxes (3,571) (10,567) (36,667) (44,579)
----------- ----------- ----------- -----------
Net income (loss)
including
noncontrolling
interests 38,522 (6,508) 149,165 98,264
Less: Net income
attributable to
noncontrolling
interests (660) (1,708) (4,545) (8,754)
----------- ----------- ----------- -----------
Net income (loss)
attributable to
Bio-Rad $ 37,862 $ (8,216) $ 144,620 $ 89,510
=========== =========== =========== ===========
Basic earnings (loss)
per share:
Net income (loss)
attributable to
Bio-Rad $ 1.38 $ (0.30) $ 5.28 $ 3.30
=========== =========== =========== ===========
Weighted average
common shares 27,491 27,278 27,404 27,112
=========== =========== =========== ===========
Diluted earnings (loss)
per share:
Net income (loss)
attributable to
Bio-Rad $ 1.35 $ (0.30) $ 5.20 $ 3.24
=========== =========== =========== ===========
Weighted average
common shares 28,006 27,278 27,828 27,638
=========== =========== =========== ===========
Bio-Rad Laboratories, Inc.
Condensed Consolidated Balance Sheets
(In thousands)
(UNAUDITED)
December 31, December 31,
2009 2008
----------- -----------
Current assets:
Cash and cash equivalents $ 649,938 $ 204,524
Short-term investments 94,876 38,950
Accounts receivable, net 345,734 339,653
Inventories 351,206 375,616
Other current assets 120,920 135,198
----------- -----------
Total current assets 1,562,674 1,093,941
Property, plant and equipment, net 302,417 300,732
Goodwill, net 327,626 321,820
Purchased intangibles, net 204,779 228,590
Other assets 138,357 92,181
----------- -----------
Total assets $ 2,535,853 $ 2,037,264
=========== ===========
Current liabilities:
Accounts payable $ 92,988 $ 117,982
Accrued payroll and employee benefits 126,702 119,420
Notes payable and current maturities of
long-term debt 5,132 9,578
Income and other taxes payable 42,322 33,731
Other current liabilities 152,828 137,323
----------- -----------
Total current liabilities 419,972 418,034
Long-term debt, net of current maturities 737,919 445,979
Other long-term liabilities 98,749 102,611
----------- -----------
Total liabilities 1,256,640 966,624
Bio-Rad stockholders' equity 1,259,726 1,041,139
Noncontrolling interests 19,487 29,501
----------- -----------
Total stockholders' equity 1,279,213 1,070,640
----------- -----------
Total liabilities and stockholders'
equity $ 2,535,853 $ 2,037,264
=========== ===========
Bio-Rad Laboratories, Inc.
Condensed Consolidated Statements of Cash Flows
(In thousands)
(UNAUDITED)
Year Ended
December 31,
2009 2008
----------- -----------
Cash flows from operating activities:
Cash received from customers $ 1,778,316 $ 1,765,667
Cash paid to suppliers and employees (1,386,382) (1,495,669)
Interest paid (38,471) (30,792)
Income tax payments (37,749) (49,159)
Other operating activities 9,360 1,324
----------- -----------
Net cash provided by operating activities 325,074 191,371
Cash flows from investing activities:
Payment for acquisitions and long-term
investments (35,990) (53,014)
Other investing activities (139,962) (93,093)
----------- -----------
Net cash used in investing activities (175,952) (146,107)
Cash flows from financing activities:
Long-term borrowings 294,750 1,600
Payments on long-term borrowings (6,823) (11,589)
Other financing activities 6,006 16,320
----------- -----------
Net cash provided by financing activities 293,933 6,331
Effect of foreign exchange rate changes on cash 2,359 (8,835)
----------- -----------
Net increase in cash and cash equivalents 445,414 42,760
Cash and cash equivalents at beginning of year 204,524 161,764
----------- -----------
Cash and cash equivalents at end of year $ 649,938 $ 204,524
=========== ===========
Reconciliation of net income including
noncontrolling interests to net cash
provided by operating activities:
Net income including noncontrolling interests $ 149,165 $ 98,264
Adjustments to reconcile net income including
noncontrolling interests to net cash provided
by operating activities:
Depreciation and amortization 101,682 97,088
Impairment losses on goodwill and long-lived
assets 3,802 28,757
Changes in working capital 66,707 (46,563)
Other 3,718 13,825
----------- -----------
Net cash provided by operating activities $ 325,074 $ 191,371
=========== ===========
For more information contact:
Christine Tsingos
Vice President and Chief Financial Officer
Ron Hutton
Treasurer
Bio-Rad Laboratories, Inc.
510-724-7000
Email Contact
