Full Press Release Details
Reports second quarter 2013 Revenue of $334 million, up 21% year on
year, non-GAAP EPS of 43c and raises FY 2013 Guidance.
- Second Quarter Fiscal 2013.
2 net revenue increased 21% year on year to $334 million.
from operations, excluding restructuring charges of $4.6 million, was
$30.9 million or 9.3% of revenue.
per share excluding restructuring charges, was 43 cents.
Business wins were $496 million, representing a gross book to bill of
1.48. Net business wins were $364 million, representing a net book to
Guidance updated: Revenue in the range of $1,300 million - $1,320
million and EPS in the range of $1.54 - $1.64.
DUBLIN--(BUSINESS WIRE)--July 25, 2013--ICON plc,
(NASDAQ: ICLR), a global provider of outsourced development services
to the pharmaceutical, biotechnology and medical device industries,
today reported its financial results for the second quarter ended June
Net revenues grew 21% year on year to $334.2 million from $277.0 million
Income from operations, excluding restructuring charges of $4.6 million,
was $30.9 million or 9.3% of revenue, compared to $16.6 million or 6.0%
for the same quarter last year.
Net income, excluding restructuring charges, was $26.5 million or 43
cents per share on a diluted basis, compared with $12.9 million or 21
cents per share last year.
Revenue in the first half of 2013 increased 23% to $651 million from
$529 million in 2012.
Income from operations in the first half of 2013, excluding
restructuring charges, was $58.3 million or 9.0% of revenue, compared
with $28.4m or 5.4% of revenue in the previous year.
Net income, in the first half of 2013, excluding restructuring charges,
was $48.7 million or 79 cents per share on a diluted basis, compared
with $21.9 million or 36 cents per diluted share last year.
Guidance for the full year 2013 has been updated with revenue expected
to be in the range of $1.3 billion - $1.32 billion and EPS guidance in
the range of $1.54 - $1.64.
Days sales outstanding, comprising accounts receivable and unbilled
revenue less payments on account, were 33 days at June 30, 2013,
compared with 40 days at the end of December 2012.
For the quarter ended June 30, 2013, cash generated from operating
activities was $10.8 million after expenditure of $26 million on prior
period acquisition earn outs and capital expenditure of $7.8 million.
The company's net cash amounted to $184 million at June 30, 2013,
compared to net cash of $190 million at December 31, 2012.
During the quarter the company recorded a charge of $4.6 million in
relation to various restructuring costs. US GAAP income from operations
after these items amounted to $26 million or 7.9% of revenue. US GAAP
net income for the quarter was $22 million or 36 cents per share.
CEO Ciaran Murray commented, "I am happy that Q2 was another strong
quarter for ICON. We reported revenue growth of 21% year on year and
operating margins of 9.3%. We have continued to book satisfactory levels
of new business and our trailing twelve month book to bill now stands at
1.3. Consequently we are raising our revenue guidance to the range of
$1.3-$1.32 billion and our EPS guidance to the range of $1.54-$1.64 for
the financial year 2013."
In addition to the financial measures prepared in accordance with
generally accepted accounting principles (GAAP), this press release
contains certain non-GAAP financial measures, including non-GAAP
operating and net income and non-GAAP diluted earnings per share. While
non-GAAP financial measures are not superior to or a substitute for the
comparable GAAP measures, ICON believes certain non-GAAP information is
useful to investors for historical comparison purposes.
ICON will hold its second quarter conference call today, July 25, 2013
at 9:00 EST [14:00 Ireland & UK]. This call and linked slide
presentation can be accessed live from our website at http://investor.iconplc.com.
A 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
"Investors". This calendar will be updated regularly.
The 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 to manage the opening of new offices, the
integration of new business mergers and acquisitions, as well as other
risks and uncertainties detailed from time to time in reports filed with
the US Securities and Exchange Commission 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
ICON plc is a global provider of outsourced development services to the
pharmaceutical, biotechnology and medical device industries. The company
specialises in the strategic development, management and analysis of
programs that support clinical development - from compound selection to
Phase I-IV clinical studies. With headquarters in Dublin, Ireland, ICON
currently, operates from 78 locations in 37 countries and has
approximately 10,170 employees. Further information is available at www.iconplc.com.
Contact: Investor Relations 1-888-381-7923 or
Brendan Brennan Chief Financial Officer + 353 -1-291-2000 or
Simon Holmes EVP Investor Relations and Corporate Development + 353
Consolidated Income Statements (Unaudited)
(Before restructuring and other items)
Three and Six Months ended June 30, 2013 and June 30, 2012
(Dollars, in thousands, except share and per share data)
| Three Months Ended | Six Months Ended | ||||||||
| June 30, | June 30, | June 30, | June 30, | ||||||
| 2013 | 2012 | 2013 | 2012 | ||||||
| Gross Revenue | 469,626 | 379,620 | 888,685 | 722,675 | |||||
| Reimbursable expenses | 135,407 | 102,613 | 237,677 | 193,335 | |||||
| Net Revenue | 334,219 | 277,007 | 651,008 | 529,340 | |||||
| Costs and expenses | |||||||||
| Direct costs | 214,231 | 180,127 | 416,592 | 342,411 | |||||
| Selling, general and administrative | 77,548 | 69,410 | 153,112 | 136,925 | |||||
| Depreciation and amortization | 11,520 | 10,830 | 22,976 | 21,632 | |||||
| Total costs and expenses | 303,299 | 260,367 | 592,680 | 500,968 | |||||
| Income from operations | 30,920 | 16,640 | 58,328 | 28,372 | |||||
| Net interest expense | (100) | (231) | (285) | (266) | |||||
| Income before provision for income taxes | 30,820 | 16,409 | 58,043 | 28,106 | |||||
| Provision for income taxes | 4,315 | 3,514 | 9,336 | 6,240 | |||||
| Net income | 26,505 | 12,895 | 48,707 | 21,866 | |||||
| Net income per ordinary share | |||||||||
| Basic | $0.44 | $0.21 | $0.80 | $0.36 | |||||
| Diluted | $0.43 | $0.21 | $0.79 | $0.36 | |||||
| Weighted average number of ordinary shares | |||||||||
| Basic | 60,724,296 | 59,978,509 | 60,555,945 | 60,032,306 | |||||
| Diluted | 61,898,903 | 60,630,891 | 61,607,757 | 60,607,635 |
Consolidated Income Statements (Unaudited)
Three and Six Months ended June 30, 2013 and June 30, 2012
(Dollars, in thousands, except share and per share data)
| Three Months Ended | Six Months Ended | ||||||||
| June 30, | June 30, | June 30, | June 30, | ||||||
| 2013 | 2012 | 2013 | 2012 | ||||||
| Gross Revenue | 469,626 | 379,620 | 888,685 | 722,675 | |||||
| Reimbursable expenses | 135,407 | 102,613 | 237,677 | 193,335 | |||||
| Net Revenue | 334,219 | 277,007 | 651,008 | 529,340 | |||||
| Costs and expenses | |||||||||
| Direct costs | 214,231 | 180,127 | 416,592 | 342,411 | |||||
| Selling, general and administrative | 77,548 | 69,410 | 153,112 | 136,925 | |||||
| Depreciation and amortization | 11,520 | 10,830 | 22,976 | 21,632 | |||||
| Restructuring and other items | 4,621 | 5,636 | 9,033 | 5,636 | |||||
| Total costs and expenses | 307,920 | 266,003 | 601,713 | 506,604 | |||||
| Income from operations | 26,299 | 11,004 | 49,295 | 22,736 | |||||
| Net interest expense | (100) | (231) | (285) | (266) | |||||
| Income before provision for income taxes | 26,199 | 10,773 | 49,010 | 22,470 | |||||
| Provision for income taxes | 3,720 | 2,809 | 7,486 | 5,535 | |||||
| Net income | 22,479 | 7,964 | 41,524 | 16,935 | |||||
| Net income per ordinary share | |||||||||
| Basic | $0.37 | $0.13 | $0.69 | $0.28 | |||||
| Diluted | $0.36 | $0.13 | $0.67 | $0.28 | |||||
| Weighted average number of ordinary shares | |||||||||
| Basic | 60,724,296 | 59,978,509 | 60,555,945 | 60,032,306 | |||||
| Diluted | 61,898,903 | 60,630,891 | 61,607,757 | 60,607,635 |
Summary Balance Sheet Data
June 30, 2013 and December 31, 2012
(Dollars, in thousands)
| June 30, | December 31, | ||||
| 2013 | 2012 | ||||
| (Unaudited) | (Audited) | ||||
| Net cash | 183,903 | 190,230 | |||
| Accounts receivable | 305,805 | 285,419 | |||
| Unbilled revenue | 140,145 | 112,483 | |||
| Payments on account | (272,019) | (219,467) | |||
| Total | 173,931 | 178,435 | |||
| Working Capital | 253,507 | 250,326 | |||
| Total Assets | 1,293,122 | 1,202,108 | |||
| Shareholder's Equity | 801,708 | 754,575 |
Corporate Development