Full Press Release Details
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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16
under the Securities Exchange Act of
For the quarterly period ended September 30, 2010
Commission File Number 0-28564
(Translation of registrant s name into English)
(Address of principal executive office)
check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
Indicate by check mark if the registrant is
submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the
Securities Exchange Act of 1934.
If Yes is marked, indicate below the file number
assigned to the registrant in connection with Rule 12g3-2(b): 82- .
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| Item | Page | |||
| Other Information | 3 | |||
| Signatures | 4 | |||
| Exhibit Index | 5 |
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On November 8, 2010, QIAGEN N.V. (Nasdaq: QGEN; Frankfurt, Prime Standard: QIA) issued a press release announcing its unaudited financial results for the quarter ended September 30, 2010. The
press release is furnished herewith as Exhibit 99.1 and is incorporated by reference herein.
QIAGEN has regularly reported
adjusted results, which are considered non-GAAP financial measures, to give additional insight into our financial performance as a supplement to understand, manage, and evaluate our business results and make operating decisions. Adjusted results
should be considered in addition to the reported results prepared in accordance with U.S. generally accepted accounting principles, but should not be considered as a substitute. Reconciliations of reported results to adjusted results are included in
the tables accompanying the press release. We believe certain items should be excluded from adjusted results when they are outside of our ongoing core operations, vary significantly from period to period, or affect the comparability of results with
the Company s competitors and our own prior periods.
The non-GAAP financial measures used in this press release are
non-GAAP operating income, pre-tax income, net income and diluted earnings per share. These adjusted results exclude costs related to amortization of acquired intangible assets, impairment losses, share-based payment expenses, acquisition,
integration and restructuring expenses, including inventory fair value adjustments related to business acquisitions, as well as non-recurring charges or income. Management views these costs as not indicative of the profitability or cash flows of our
ongoing or future operations and therefore considers the adjusted results as a supplement, and to be viewed in conjunction with, the reported GAAP results.
We also consider results on a constant currency basis. Our functional currency is the U.S. dollar and our subsidiaries functional currencies are the local currency of the respective countries in
which they are headquartered. A significant portion of our revenues and expenses is denominated in euros and currencies other than the United States dollar. Management believes that analysis of constant currency period-over-period changes is useful
because changes in exchange rates can affect the growth rate of net sales and expenses, potentially to a significant degree. Constant currency figures are calculated by translating the local currency actual results in the current period using the
average exchange rates from the previous year s respective period instead of the current period.
constant currency financial measures internally in our planning, forecasting and reporting, as well as to measure and compensate our employees. We also use the adjusted results when comparing to our historical operating results, which have
consistently been presented on an adjusted basis.
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Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| QIAGEN N.V. | ||
| By: | / S / R OLAND S ACKERS | |
| Roland Sackers | ||
| Chief Financial Officer |
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| Exhibit No. | Exhibit | |
| 99.1 | Press Release dated November 8, 2010 |
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QIAGEN Reports Third Quarter 2010 Results
QIAGEN's Third Quarter 2010
| in US$ millions, except per share information | Q3 2010 | Q3 2009 | Growth | |||||||||
| Net sales | 274.3 | 259.7 | 6 | % | ||||||||
| Net sales at constant exchange rates | 279.1 | 259.7 | 7 | % | ||||||||
| Net income, adjusted | 58.8 | 53.5 | 10 | % | ||||||||
| EPS, adjusted (US$) | 0.25 | 0.26 |
For information on the adjusted figures, please refer to the reconciliation table accompanying this release.
Venlo, The Netherlands, November 8, 2010 - QIAGEN N.V. (Nasdaq: QGEN; Frankfurt Prime Standard: QIA) today announced results of
operations for the third quarter and the nine-month period ended September 30, 2010. Net sales for the third quarter of 2010 were in line with expectations provided by QIAGEN on August 10, 2010, while adjusted earnings per share exceeded
QIAGEN delivered a solid performance in the third quarter of 2010, meeting or exceeding our guidance against the
backdrop of challenging economic conditions, said Peer Schatz, Chief Executive Officer of QIAGEN N.V. While our molecular diagnostics franchise continues to grow rapidly and gain share, the portion of U.S. sales in prevention assays
(approximately 20% of sales and primarily HPV tests) has been exposed to declining doctors office visits. We have more than offset this pressure through successful market conversion, resulting in steadily increasing penetration. Our successful
conversion efforts have produced sequential quarterly and year-over-year growth in this area despite a year-on-year decline in visits of up to 15%. Although we believe a reversal can be expected, this adverse trend has continued in the third quarter
and will impact our full-year sales in 2010. At the same time, our underlying business performance remains strong, underscoring our strategic initiatives to expand in molecular diagnostics, applied testing, pharma and academia. As we look to 2011,
and with current economic conditions anticipated to continue, we believe QIAGEN is well-positioned to keep growing significantly faster than its markets and make further progress toward global leadership in molecular technologies.
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Third Quarter 2010 Results
Net sales in the third quarter of 2010 increased 6% to $274.3 million from $259.7 million in the same quarter of 2009, and rose 7% at
constant exchange rates (CER). Reported operating income for the quarter declined 6% to $50.2 million from $53.4 million in the same quarter of 2009, while net income for the 2010 quarter declined 3% to $36.5 million from $37.7 million in the 2009
quarter. Diluted earnings per share for the third quarter of 2010 declined to $0.15 (based on 239.0 million weighted average shares and share equivalents outstanding) from $0.18 in the comparable 2009 period (based on 208.3 million
weighted average shares and share equivalents outstanding).
Adjusted operating income decreased 3% to $79.1 million in the third quarter of
2010 from $81.8 million in 2009, while adjusted net income rose 10% in the third quarter to $58.8 million from $53.5 million in the comparable 2009 period. Adjusted diluted earnings per share declined to $0.25 in the third quarter of 2010 from $0.26
in 2009. Reconciliations of reported results to adjusted results are included in the tables accompanying this release.
Net sales rose 11% to $801.4 million in the nine-month period ended September 30, 2010, from $720.7 million in the same
period of 2009. Reported operating income of $137.8 million for this nine-month period was slightly above the $137.3 million in the comparable 2009 period. Net income increased 16% to $108.0 million from $93.3 million in 2009, while diluted earnings
per share of $0.45 in the 2010 period were unchanged from the comparable 2009 period.
Adjusted operating income in the nine-month period
ended September 30, 2010, increased 6% to $225.8 million from $212.7 million in 2009, while adjusted net income rose 13% to $160.7 million in the first nine months of 2010 from $142.0 million in the comparable 2009 period. Adjusted diluted
earnings per share decreased to $0.67 per share in the first nine months of 2010 from $0.69 per share in the comparable 2009 period.
for the third quarter and nine-month period of 2010 include the results of operations from recent acquisitions, notably SABiosciences Corporation (acquired in December 2009) and DxS Ltd. (acquired in September 2009). Reconciliations of reported
results determined in accordance with generally accepted accounting principles (GAAP) to adjusted results are included in the tables accompanying this release.
Our performance in the third quarter of 2010, which faced a tough comparison against the exceptional contributions of swine flu-related products to our results in 2009, reaffirms our track record of
delivering organic growth with improved profitability, said Roland Sackers, Chief Financial Officer of QIAGEN N.V. By targeting further improvements through operational excellence initiatives we have improved our adjusted operating
income margin during the year, exceeding 29% of net sales in the third quarter of 2010. We continue to focus on driving growth internally as well as by leveraging our strong balance sheet and cash flow.
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Driving Growth and Strengthening
Strategic Position in Molecular Diagnostics
QIAGEN is in an important strategic phase, driving significant expansion in molecular
diagnostics prevention, profiling, personalized healthcare and point-of-need testing by leveraging its global leadership in sample and assay technologies and making major investments in new products and market expansion.
Among product categories, consumables and related revenues represented 88% of net sales in the third quarter of 2010 and grew 10% CER over the third
quarter of 2009. Instrumentation represented 12% of net sales in the third quarter of 2010, decreasing 5% CER from the comparable 2009 period.
All customer classes had improved performances in the third quarter of 2010, with 8% organic sales growth when excluding significant one-time
contributions from swine flu-related products in 2009. An additional six percentage points of CER sales growth was attributed to acquisitions made within the last 12 months. (Total CER growth rates below are shown excluding swine flu-related sales):
Molecular diagnostics (50% of sales) advanced on solid demand from end-market customers and expansion of the profiling
assays portfolio (approximately 20% of sales). Sales rose 18% CER, which included five percentage points attributed to acquisitions made within the last 12 months. In prevention assays (approximately 25% of sales), HPV (human papillomavirus) test
screening and genotyping solution sales in the Americas have grown sequentially for three consecutive quarters in 2010, and also over the third quarter of 2009. QIAGEN s successful market adoption initiatives continued to drive sales, more than
offsetting a significant decline in patient visits to doctors amid challenging U.S. economic conditions. In personalized healthcare (approximately 5% of sales), QIAGEN formed an additional partnership with an undisclosed major pharmaceutical company
to develop a molecular companion diagnostic.
Applied testing (7% of sales) benefited from portfolio expansion
initiatives and the assay launch addressing new European standards in forensic testing as sales rose 30% CER, which included seven percentage points attributed to acquisitions made within the last 12 months. Further growth is expected from the
launch during the fourth quarter of 2010 of the first series of food tests following the May 2010 acquisition of the German food market business Institute for Product Quality (ifp).
Pharma (20% of sales) enjoyed sustained demand for products used by pharmaceutical companies in development, particularly in Asia,
while growth for products used in drug discovery remained soft. Sales grew 11% CER, with eight percentage points attributed to acquisitions made within the last 12 months.
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sales) showed a softer performance in the third quarter of 2010, although trends indicate a solid market outlook. Sales rose 5% CER, with five percentage points attributed to acquisitions made within the last 12 months.
At constant exchange rates, the Americas (53% of sales), Europe (35% of sales) and Asia/Japan (11% of sales) all advanced at robust double-digit rates in
the third quarter of 2010 compared to the same period in 2009 when excluding swine flu-related product sales.
QIAGEN s current pipeline