Full Press Release Details
net new business awards of $140 million and a 20% increase in EPS for the Second
Quarter FY 2006 (NASDAQ:ICLR)
- Second Quarter Fiscal 2006, ending November 30, 2005.
Ireland, January 10, 2006 - ICON plc (NASDAQ: ICLR), a global contract clinical
research organisation, which has approximately 3,000 employees providing
services to the pharmaceutical, biotech and medical device industries from
locations in 25 countries worldwide, today reported the financial results for
its second quarter ended November 30, 2005.
revenues for the quarter were $88.1 million, representing an 11% increase over
net revenues of $79.5 million for the same quarter last year. Income from
operations for the quarter was $9.0 million, which represents an increase of
from the $7.0 million reported for the second quarter last year. Operating
margin for the quarter was 10.2% compared with 8.8% for the equivalent period
last year. Net income for the quarter was $7.0 million or 49 cents per share,
a diluted basis, compared with $5.8 million or 41 cents per share for the second
quarter last year, an increase of 20%.
six months to November 30, 2005, net revenues were $174.0 million, representing
a 10% increase over net revenues of $157.8 million reported for the first six
months of last year. Income from operations for the six months to November
2005 was $17.4 million, representing an increase of 5% from the $16.5 million
reported for the same period last year. Operating margin for the six months
November 30, 2005 was 10.0%, compared with 10.4% in the same period last year.
Net income was $13.3 million or 94 cents per share, on a diluted basis compared
with $13.1 million or 93 cents per share reported for the same period last
sales outstanding, comprising accounts receivable and unbilled revenue less
payments on account, were 67 days at November 30, 2005 compared with 70 days
quarter ended November 30, 2005, cash generated from operations was $11.7
million, and capital expenditure was $7.8 million. For the six months to
November 30, 2005, cash generated from operations was $14.5 million, capital
expenditure was $11.0 million and net payments of $3.4 million were made in
relation to prior year acquisitions. As a result of these factors the company's
net cash, short-term debt and short-term investments were $79.2 million at
November 30, 2005, compared to $75.4 million at August 31, 2005 and $78.4
million at May 31, 2005.
very pleased with our performance in the second quarter", commented Chairman,
John Climax. "Revenue
growth accelerated, operating margin continued to improve and we booked record
levels of new business, continuing the momentum built up over the past few
on the outlook, Dr Climax said "At the end of November, our total backlog was
$633 million and business flows continued to be good. Based on this strong
position, we expect that our net revenues for the 12 months ended December
2006 will be between $380 - $400 million and we estimate that approximately
million, or 76% of these forecasts are currently
and awarded business. We will provide more detailed guidance on our conference
call to be held today".
company will hold its second quarter conference call today, January 10, 2006
8:00 EST [13:00 GMT / 14:00 CET]. This call and linked slide presentation can
accessed live from our website at http://www.iconclinical.com.
recording will also be available on the website for 90 days following the call.
In addition, a calendar of company events, including upcoming conference
presentations, is available on our website, under "shareholders services". This
calendar will be updated regularly.
statements made in this Press Release may contain forward-looking statements
that involve a number of risks and uncertainties. In addition to the matters
described in this Press Release, the ability to maintain large client contracts
or enter into new contracts, maintain client relationships and the ability
manage the opening of new offices, the integration of new business mergers
acquisitions, as well as other risks and uncertainties detailed from time to
time in SEC reports filed by ICON, including its Form 20-F, F-1, S-8 and F-3,
may affect the actual results achieved by ICON. ICON disclaims any intent or
obligation to update these forward-looking statements.
financial information presented herein has been prepared in accordance with
Investor Relations 1-888-381-7923 or
Murray CFO + 353 -1-291-2000
| ICON plc | |||||||
| Consolidated Income Statements | |||||||
| (Unaudited) | |||||||
| Three and Six Months ended November 30, 2005 and 2004 | |||||||
| (Dollars, in thousands, except share and per share data) | |||||||
| Three Months Ended | Six Months Ended | ||||||
| November 30, | November 30, | November 30, | November 30, | ||||
| 2005 | 2004 | 2005 | 2004 | ||||
| Gross Revenue | 120,344 | 117,068 | 235,696 | 234,263 | |||
| Subcontractor costs | 32,272 | 37,573 | 61,703 | 76,429 | |||
| Net Revenue | 88,072 | 79,495 | 173,993 | 157,834 | |||
| Costs and expenses | |||||||
| Direct costs | 48,721 | 43,671 | 96,031 | 86,124 | |||
| Selling, general and administrative | 26,824 | 25,520 | 53,633 | 48,859 | |||
| Depreciation and amortization | 3,509 | 3,296 | 6,943 | 6,358 | |||
| Total costs and expenses | 79,054 | 72,487 | 156,607 | 141,341 | |||
| Income from operations | 9,018 | 7,008 | 17,386 | 16,493 | |||
| Interest income (net) | 603 | 179 | 1,018 | 343 | |||
| Income before provision of income taxes | 9,621 | 7,187 | 18,404 | 16,836 | |||
| Provision for income taxes | 2,618 | 1,310 | 5,077 | 3,632 | |||
| Minority Interest | 50 | 58 | (9) | 80 | |||
| Net income | 6,953 | 5,819 | 13,336 | 13,124 | |||
| Net income per ordinary share | |||||||
| Basic | $0.50 | $0.42 | $0.95 | $0.95 | |||
| Diluted | $0.49 | $0.41 | $0.94 | $0.93 | |||
| Weighted average number of ordinary shares | |||||||
| Basic | 14,005,454 | 13,847,689 | 14,027,564 | 13,839,857 | |||
| Diluted | 14,261,734 | 14,067,079 | 14,234,326 | 14,088,030 |
| ICON plc | |||||
| Summary Balance Sheet Data | |||||
| November 30, 2005 and May 31, 2005 | |||||
| (Dollars, in thousands) | |||||
| November 30, | May 31, | ||||
| 2005 | 2005 | ||||
| (unaudited) | (audited) | ||||
| Cash and short-term investments | 82,242 | 78,375 | |||
| Short-term debt | (3,000) | - | |||
| Net cash | 79,242 | 78,375 | |||
| Accounts receivable | 63,727 | 80,486 | |||
| Unbilled revenue | 75,589 | 56,762 | |||
| Payments on account | (50,926) | (52,583) | |||
| Total | 88,390 | 84,665 | |||
| Working Capital | 133,406 | 125,288 | |||
| Total assets | 354,872 | 347,553 | |||
| Shareholder's equity | 241,959 | 233,066 | |||
| Source: | ICON plc | ||||
| Contact: | Investor Relations 1-888-381-7923 or | ||||
| Ciaran Murray CFO + 353 1 291 2000 | |||||
| both at ICON. | |||||
| http://www.iconclinical.com |