Full Press Release Details
Announces Financial Results for the Second Quarter of 2016
of $573 million vs. guidance range of $570 million to $575 million
earnings per share from continuing operations of $0.56; Adjusted
earnings per share of $0.67
operating profit margin of 12.4%; Adjusted operating profit margin of
gross margin expands 150 basis points; Adjusted gross margin expands
completed 500 million senior notes offering
new eight million share repurchase authorization
WALTHAM, Mass.--(BUSINESS WIRE)--August 4, 2016--PerkinElmer, Inc.
(NYSE: PKI), a global leader focused on improving the health and safety
of people and the environment, today reported financial results for the
second quarter ended July 3, 2016.
The Company reported GAAP earnings per share from continuing operations
of $0.56, as compared to $0.43 in the second quarter of 2015. GAAP
revenue in the second quarter of 2016 was $572.7 million, as compared to
$563.9 million in the comparable period of 2015. GAAP operating income
from continuing operations for the second quarter of 2016 was $71.2
million, as compared to $68.1 million in the second quarter of 2015.
Operating profit margin was 12.4% as a percentage of revenue, as
compared to 12.1% for the same period a year ago.
Adjusted earnings per share was $0.67, as compared to $0.60 in the
second quarter of 2015. Adjusted revenue for the quarter was $572.8
million, as compared to $564.1 million in the second quarter of 2015.
Adjusted operating income for the second quarter of 2016 was $100.1
million, as compared to $95.8 million for the same period a year ago.
Adjusted operating profit margin was 17.5% as a percentage of adjusted
revenue, as compared to 17.0% for the same period a year ago.
Adjustments for the Company's non-GAAP financial measures have been
noted in the attached reconciliations.
"I am pleased to report that PerkinElmer had a strong second quarter and
year-to-date financial performance, as improved execution drove
substantial margin expansion and cash flow generation while also funding
a number of strategic growth investments," said Robert Friel, chairman
and chief executive officer of PerkinElmer. "We believe these
investments, coupled with the strength of our productivity and
efficiency initiatives, position us well to deliver solid financial
results for the balance of 2016."
For the first six months of 2016, GAAP operating cash flow from
continuing operations was $125.7 million, as compared to $101.2 million
in the comparable period of 2015.
Financial Overview by Reporting Segment for the Second Quarter of 2016
Revenue of $353.5 million, as compared to $341.5 million for the
second quarter of 2015 representing revenue growth of 4%. Organic
revenue increased 6%.
Operating income of $57.6 million, as compared to operating income of
$60.5 million for the same period a year ago.
Environmental Health
Revenue of $219.2 million, as compared to $222.4 million for the
second quarter of 2015 representing revenue decline of 1%. Organic
revenue declined 1%.
Operating income of $25.6 million, as compared to operating income of
$19.4 million for the same period a year ago.
Reiterates Financial Guidance - Full Year 2016
For the full year 2016, the Company reiterates its previous guidance of
GAAP earnings per share from continuing operations in the range of $2.29
to $2.39 and on a non-GAAP basis, which is expected to include the
adjustments noted in the attached reconciliation, adjusted earnings per
share of $2.75 to $2.85.
Conference Call Information
The Company will discuss its second quarter results and its outlook for
business trends in a conference call on August 4, 2016 at 5:00 p.m.
Eastern Time. To access the call, please dial (541) 797-2422 prior to
the scheduled conference call time and provide the access code 43736451.
A live audio webcast of the call will be available on the Investor
section of the Company's Web site, www.perkinelmer.com.
Please go to the site at least 15 minutes prior to the call in order to
register, download, and install any necessary software. An archived
version of the webcast will be posted on the Company's Web site for a
two week period beginning approximately two hours after the call.
Use of Non-GAAP Financial Measures
In addition to financial measures prepared in accordance with generally
accepted accounting principles (GAAP), this earnings announcement also
contains non-GAAP financial measures. The reasons that we use these
measures, a reconciliation of these measures to the most directly
comparable GAAP measures, and other information relating to these
measures are included below following our GAAP financial statements.
Factors Affecting Future Performance
This press release contains "forward-looking" statements within the
meaning of the Private Securities Litigation Reform Act of 1995,
including, but not limited to, statements relating to estimates and
projections of future earnings per share, cash flow and revenue growth
and other financial results, developments relating to our customers and
end-markets, and plans concerning business development opportunities and
divestitures. Words such as "believes," "intends," "anticipates,"
"plans," "expects," "projects," "forecasts," "will" and similar
expressions, and references to guidance, are intended to identify
forward-looking statements. Such statements are based on management's
current assumptions and expectations and no assurances can be given that
our assumptions or expectations will prove to be correct. A number of
important risk factors could cause actual results to differ materially
from the results described, implied or projected in any forward-looking
statements. These factors include, without limitation: (1) markets into
which we sell our products declining or not growing as anticipated; (2)
fluctuations in the global economic and political environments; (3) our
failure to introduce new products in a timely manner; (4) our ability to
execute acquisitions and license technologies, or to successfully
integrate acquired businesses and licensed technologies into our
existing business or to make them profitable, or successfully divest
businesses; (5) our failure to adequately protect our intellectual
property; (6) the loss of any of our licenses or licensed rights; (7)