Full Press Release Details
Repligen Reports Third Quarter 2015
- Product Sales Increase 31% to $19.8 Million -
- Conference Call and Webcast Today at 8:30 a.m. ET -
WALTHAM, MA November 5, 2015 Repligen Corporation (NASDAQ:RGEN), a life sciences company focused on bioprocessing technology
leadership, today reported financial results for the third quarter and nine-month (year-to-date) periods ended September 30, 2015. Below are the Company s performance highlights, followed by updated financial guidance for the year 2015 and
access information for today s webcast and conference call.
Third Quarter and Year-to-Date Financial Highlights
Tony J. Hunt, President and CEO of Repligen said, During the third quarter of 2015, strength in sales of OPUS pre-packed chromatography columns, ATF
Systems and growth factors were key drivers of revenue growth. Our investment in expanding our commercial organization earlier this year is allowing us to broaden adoption of our products and leverage a growing number of opportunities. Based on our
third quarter results and expectations for the remainder of the year, we are revising our financial guidance for 2015.
Financial Guidance for
Our guidance for the year 2015 is based on expectations for our existing business and does not include the impact of revenue from potential
milestone payments, the financial impact of potential bioprocessing acquisitions or future fluctuations in foreign currency exchange rates.
Repligen will host a conference call and webcast today, November 5, 2015 at 8:30 a.m. ET, to discuss third quarter 2015 financial results and business
updates. The live call can be accessed by dialing toll-free (844) 835-7432 for domestic callers or (404) 537-3372 for international callers. Dial-in participants must provide the passcode 63731917. In addition, a webcast will be accessible
via the Investor Relations section of Repligen s website www.repligen.com; see Events & Presentations. Both the conference call and webcast will be archived for a period of time following the live event. The replay dial-in numbers are
(855) 859-2056 for domestic callers and (404) 537-3406 for international callers. Replay listeners must provide the passcode 63731917.
Non-GAAP Financial Measures
To supplement our financial
statements, which are presented on the basis of U.S. generally accepted accounting principles (GAAP), we disclose certain non-GAAP financial measures, including earnings before interest, taxes, depreciation and amortization (EBITDA) and revenue
growth rates that exclude the impact of changes in foreign currency exchange rates. The Company believes that the use of these non-GAAP measures better enables management and investors to benchmark its results against historical performance and the
performance of peers and to evaluate acquisition and other investment opportunities.
EBITDA is a non-GAAP financial measure and should not be viewed as
an alternative to GAAP measures of performance. The Company has provided a reconciliation of GAAP net income to EBITDA at the end of this release.
impact of changes in foreign currency exchange rates is highly variable and difficult to predict. The Company includes the impact of changes in foreign currency in its GAAP reporting of revenue and income. In addition, the Company provides revenue
growth rates in constant currency to exclude the impact of foreign currency translation, in order to facilitate an evaluation of our current revenue performance and a comparison to our past revenue performance. To calculate revenue growth rates in
constant currency, we convert actual net sales from local currency to U.S. dollars using constant foreign currency exchange rates in the current and prior period. Revenue growth rates that exclude the impact of sales from changes in foreign currency
exchange rates are not in accordance with U.S. GAAP and should not be considered in isolation from or as a replacement for GAAP reporting. Further, other companies may calculate these non-GAAP financial measures differently than we do, which may
limit the usefulness of those measures for comparative purposes.
About Repligen Corporation
Repligen Corporation (NASDAQ:RGEN) is a life sciences company focused on the development and commercialization of high-value consumable products used in the
process of manufacturing biological drugs.
Our bioprocessing products are sold to major life sciences and biopharmaceutical companies worldwide. We are the leading manufacturer of Protein A affinity ligands, a critical component of
Protein A media that is used to separate and purify monoclonal antibody therapeutics. Our ATF System and our growth factor products are used to increase product yield during the fermentation stage of biologic drug manufacturing. In addition, we
developed and market an innovative line of ready-to-use chromatography columns under our OPUS brand that we deliver pre-packed with our customers choice of purification
media. Repligen s corporate headquarters are in Waltham, MA (USA) and our manufacturing facilities are located in Waltham, MA and Lund, Sweden.
The following constitutes a Safe Harbor statement under the Private Securities Litigation Reform Act of 1995: This press release contains
forward-looking statements, which are made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Investors are cautioned that
statements in this press release which are not strictly historical statements, constitute forward-looking statements, including, without limitation, express or implied statements or guidance regarding current or future financial performance and
position, including cash and investment position, the potential impairment of future earnings, management s strategy, plans and objectives for future operations or acquisitions, product development and sales, litigation strategy, product
candidate research, development and regulatory approval, selling, general and administrative expenditures, intellectual property, development and manufacturing plans, availability of materials and product and adequacy of capital resources and
financing plans constitute forward-looking statements identified by words like believe, expect, may, will, should, seek, anticipate, or could and similar
expressions. Such forward-looking statements are subject to a number of risks and uncertainties that could cause actual results to differ materially from those anticipated, including, without limitation, risks associated with: our ability to
successfully grow our bioprocessing business, including as a result of acquisition, commercialization or partnership opportunities; our ability to develop and commercialize products and the market acceptance of our products; reduced demand for our
products that adversely impacts our future revenues, cash flows, results of operations and financial condition; our ability to compete with larger, better financed bioprocessing, pharmaceutical and biotechnology companies; our compliance with all
Food and Drug Administration and EMEA regulations; our volatile stock price; and other risks detailed in Repligen s most recent Annual Report on Form 10-K on file with the Securities and Exchange Commission and the other reports that Repligen
periodically files with the Securities and Exchange Commission. Actual results may differ materially from those Repligen contemplated by these forward-looking statements. These forward looking statements reflect management s current views and
Repligen does not undertake to update any of these forward-looking statements to reflect a change in its views or events or circumstances that occur after the date hereof except as required by law.
Senior Director Investor Relations
Repligen Corporation
REPLIGEN CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
| Three months ended September 30, | Nine months ended September 30, | |||||||||||||||
| (in thousands, except share and per share data) | 2015 | 2014 | 2015 | 2014 | ||||||||||||
| Revenue: | ||||||||||||||||
| Product revenue | $ | 19,814 | $ | 15,152 | $ | 62,088 | $ | 45,038 | ||||||||
| Royalty and other revenue | 126 | 2,117 | ||||||||||||||
| Total revenue | 19,814 | 15,278 | 62,088 | 47,155 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Cost of product revenue | 8,444 | 6,931 | 25,103 | 19,938 | ||||||||||||
| Research and development | 1,490 | 1,650 | 4,309 | 4,281 | ||||||||||||
| Selling, general and administrative | 5,959 | 4,471 | 18,226 | 12,180 | ||||||||||||
| Contingent consideration - fair value adjustments | 233 | 10 | 2,114 | 126 | ||||||||||||
| Total operating expenses | 16,126 | 13,062 | 49,752 | 36,525 | ||||||||||||
| Income from operations | 3,688 | 2,216 | 12,336 | 10,630 | ||||||||||||
| Investment income | 37 | 64 | 92 | 250 | ||||||||||||
| Interest expense | (8 | ) | (12 | ) | (24 | ) | (38 | ) | ||||||||
| Other (expense) income | (38 | ) | (14 | ) | (175 | ) | 54 | |||||||||
| Income before income taxes | 3,679 | 2,254 | 12,229 | 10,896 | ||||||||||||
| Income tax provision | 1,141 | 788 | 3,149 | 2,327 | ||||||||||||
| Net income | $ | 2,538 | $ | 1,466 | $ | 9,080 | $ | 8,569 | ||||||||
| Earnings per share: | ||||||||||||||||
| Basic | $ | 0.08 | $ | 0.04 | $ | 0.28 | $ | 0.27 | ||||||||
| Diluted | $ | 0.08 | $ | 0.04 | $ | 0.27 | $ | 0.26 | ||||||||
| Weighted average shares outstanding: | ||||||||||||||||
| Basic | 32,925,004 | 32,677,003 | 32,860,382 | 32,292,588 | ||||||||||||
| Diluted | 33,689,560 | 33,327,327 | 33,617,999 | 33,099,599 | ||||||||||||
| Comprehensive income (loss) | $ | 2,007 | $ | (1,657 | ) | $ | 6,125 | $ | 3,852 | |||||||
| September 30, 2015 | December 31, 2014 | |||||||||||||||
| Balance Sheet Data: | ||||||||||||||||
| Cash, cash equivalents and marketable securities* | $ | 70,525 | $ | 62,003 | ||||||||||||
| Working capital | 80,570 | 70,263 | ||||||||||||||
| Total assets | 139,853 | 128,293 | ||||||||||||||
| Long-term obligations | 2,693 | 5,879 | ||||||||||||||
| Accumulated deficit | (71,807 | ) | (80,887 | ) | ||||||||||||
| Stockholders equity | 121,451 | 111,732 |
REPLIGEN CORPORATION
RECONCILIATION OF GAAP NET INCOME TO NON-GAAP EBITDA
| Three months ended September 30, | Nine months ended September 30, | |||||||||||||||
| (in thousands) | 2015 | 2014 | 2015 | 2014 | ||||||||||||
| GAAP NET INCOME | 2,538 | 1,466 | 9,080 | 8,569 | ||||||||||||
| Non-GAAP Adjustments: | ||||||||||||||||
| Investment Income | (37 | ) | (64 | ) | (92 | ) | (250 | ) | ||||||||
| Interest Expense | 8 | 12 | 24 | 38 | ||||||||||||
| Tax Provision | 1,141 | 788 | 3,149 | 2,327 | ||||||||||||
| Depreciation | 758 | 677 | 2,251 | 1,961 | ||||||||||||
| Amortization | 400 | 434 | 1,199 | 1,004 | ||||||||||||
| NON-GAAP EBITDA | 4,808 | 3,313 | 15,611 | 13,649 |