HERCULES, CA--(Marketwire - Nov 6, 2012) - Bio-Rad Laboratories, Inc. (
Third-quarter reported revenues were $498.7 million, a decrease of 3.5% compared to $516.5 million reported for the third quarter of 2011. On a currency-neutral basis, quarterly revenues increased 3.6% compared to the same period last year. This growth includes $5.2 million of sales of droplet digital PCR products related to Bio-Rad's acquisition of QuantaLife in October 2011. Third-quarter gross margin was 54.8%, compared to 57.3% during the same quarter in 2011. Gross margin was impacted by approximately $2.2 million of amortization expense related to the Company's acquisition of QuantaLife, as well as a $3.8 million reserve associated with certain environmental issues.
Net income for third quarter was $42.4 million, or $1.48 per share on a fully diluted basis versus $45.9 million, or $1.61 per share reported for the same period last year. Bio-Rad's current quarter income results were favorably impacted by $8.5 million due to a reduction in the valuation of the contingent consideration associated with the QuantaLife acquisition.
Year-to-date revenues were $1.50 billion, a decrease of 1.8% compared to $1.52 billion reported in the first three quarters of 2011. Adjusting for the impact of currency, year-to-date revenue growth was 2.7%.
Year-to-date net income for the first three quarters of 2012 was $121.7 million, or $4.26 per share on a fully diluted basis compared to $119.0 million, or $4.18 per share reported during the same period in 2011.
"Performance in the third quarter reflects momentum and growth in many of our product areas, although macroeconomic challenges continue to have an impact on our performance," said Norman Schwartz, Bio-Rad President and Chief Executive Officer.
The Life Science segment net sales for the third quarter were $167.0 million, down 2.6% compared to the same period last year. On a currency-neutral basis, Life Science segment sales increased by 2.2% compared to the third quarter of 2011. Performance during the third quarter reflects strength across the segment's product lines, in particular, the Company's QX100™ Droplet Digital™ PCR system as well as shipments of process chromatography media. Strong sales in North America were offset by slowness in Europe and Japan. In September, Bio-Rad introduced the TC20™ automated cell counter, the next generation of the Company's TC10™ automated cell counter that provides accurate and reliable counts of live mammalian cells in 30 seconds. Also during the quarter, Bio-Rad acquired an automated benchtop cell sorting system from Propel Labs. First shipments of the S3™ Cell Sorter are anticipated in January 2013.
Reported net sales for the Clinical Diagnostics segment in the third quarter were $328.4 million, down 3.8% compared to the third quarter in 2011. On a currency-neutral basis, sales were up 4.5%. During the quarter, the Clinical Diagnostics segment had growth across most product lines most notably from quality controls, diabetes and immunohematology products, as well as the BioPlex® 2200 system. Strength in the Pacific Rim, the U.S., and Eastern Europe were offset by weakness in Western Europe.
Management will discuss these results in a conference call at 2 PM Pacific Time (5 PM Eastern Time) November 6, 2012. Interested parties may access the call by dialing 866-730-5764 (in the U.S.) or 857-350-1588 (international), access number 44911474.
A live webcast of the conference call may be accessed in the "Investor Relations" section of 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 48801274, for seven days following the call. The webcast of the call will be archived on the Bio-Rad site for on-demand replay for up to a year and may be accessed in the "Investor Relations" section of www.bio-rad.com.
Bio-Rad Laboratories, Inc. (
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 and Quarterly Reports on Form 10-Q. 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)|
|Three Months Ended |
|Nine Months Ended |
|Cost of goods sold||225,187||220,338||655,404||656,368|
|Selling, general and administrative expense||160,274||176,867||493,823||521,370|
|Research and development expense||49,004||45,387||154,263||136,327|
|Income from operations||64,232||73,922||191,906||209,226|
|Foreign exchange losses, net||448||6,346||3,508||12,132|
|Other (income) expense, net||(1,511||)||(538||)||(14,692||)||(5,907||)|
|Income before income taxes||53,394||55,773||165,592||161,853|
|Provision for income taxes||(11,023||)||(9,911||)||(43,712||)||(43,031||)|
|Net income including noncontrolling interests||42,371||45,862||121,880||118,822|
|Net loss (income) attributable to noncontrolling interests||13||35||(148||)||162|
|Net income attributable to Bio-Rad||$||42,384||$||45,897||$||121,732||$||118,984|
|Basic earnings per share:|
|Net income per share basic attributable to Bio-Rad||$||1.50||$||1.63||$||4.31||$||4.25|
|Weighted average common shares - basic||28,312||28,072||28,255||27,997|
|Diluted earnings per share:|
|Net income per share diluted attributable to Bio-Rad||$||1.48||$||1.61||$||4.26||$||4.18|
|Weighted average common shares - diluted||28,645||28,456||28,609||28,454|
|Bio-Rad Laboratories, Inc.|
|Condensed Consolidated Balance Sheets|
|September 30,||December 31,|
|Cash and cash equivalents||$||426,457||$||574,231|
|Accounts receivable, net||375,800||398,674|
|Other current assets||157,592||152,856|
|Total current assets||1,845,441||1,798,155|
|Property, plant and equipment, net||397,949||349,501|
|Purchased intangibles, net||268,866||259,497|
|Accrued payroll and employee benefits||129,690||112,564|
|Notes payable and current maturities of long-term debt||306||814|
|Income and other taxes payable||30,396||52,285|
|Other current liabilities||159,992||164,328|
|Total current liabilities||433,666||459,115|
|Long-term debt, net of current maturities||732,233||731,698|
|Other long-term liabilities||201,635||161,608|
|Bio-Rad stockholders' equity||1,934,882||1,743,937|
|Total stockholders' equity||1,935,482||1,744,382|
|Total liabilities and stockholders' equity||$||3,303,016||$||3,096,803|
|Bio-Rad Laboratories, Inc.|
|Condensed Consolidated Statements of Cash Flows|
|Nine Months Ended September 30,|
|Cash flows from operating activities:|
|Cash received from customers||$||1,512,991||$||1,508,934|
|Cash paid to suppliers and employees||(1,231,537||)||(1,249,674||)|
|Income tax payments||(73,784||)||(38,029||)|
|Other operating activities||8,503||6,094|
|Net cash provided by operating activities||180,244||181,239|
|Cash flows from investing activities:|
|Payments for acquisitions and long-term investments||(38,479||)||(8,698||)|
|Other investing activities||(302,285||)||(205,191||)|
|Net cash used in investing activities||(340,764||)||(213,889||)|
|Cash flows from financing activities:|
|Payments on long-term borrowings||(496||)||(226,615||)|
|Other financing activities||9,569||14,788|
|Net cash provided by (used in) financing activities||9,073||(211,827||)|
|Effect of foreign exchange rate changes on cash||3,673||8,954|
|Net decrease in cash and cash equivalents||(147,774||)||(235,523||)|
|Cash and cash equivalents at beginning of period||574,231||906,551|
|Cash and cash equivalents at end of period||$||426,457||$||671,028|
|Reconciliation of net income including noncontrolling interests to net cash provided by operating activities:|
|Net income including noncontrolling interests||$||121,880||$||118,822|
|Adjustments to reconcile net income including noncontrolling interests to net cash provided by operating activities:|
|Depreciation and amortization||94,885||88,127|
|Changes in working capital||(32,271||)||(49,450||)|
|Net cash provided by operating activities||$||180,244||$||181,239|