Full Press Release Details
MINNEAPOLIS , Aug. 4, 2022 /PRNewswire/ -- Bio-Techne Corporation (NASDAQ: TECH ) today reported its financial results for the fourth quarter ended June 30, 2022 .
Fourth Quarter FY2022 Highlights
The Company's financial statements are prepared in accordance with accounting principles generally accepted in the United States (GAAP). Adjusted diluted EPS, adjusted earnings, adjusted gross margin, adjusted operating income, adjusted tax rate, organic growth, and adjusted operating margin are non-GAAP measures that exclude certain items detailed later in this press release under the heading "Use of non-GAAP Adjusted Financial Measures." A reconciliation of GAAP to non-GAAP financial measures is included in this press release.
"We had a tremendous finish to a spectacular fiscal 2022, as the Bio-Techne team delivered 14% organic growth for the fourth quarter and 17% organic growth for the year. This growth enabled us to cross the $1 billion in fiscal year revenue for the first time in our corporate history," said Chuck Kummeth , President and CEO of Bio-Techne. "I am particularly pleased with this performance given the prolonged headwinds we faced in China , as lockdowns in this geography lasted longer than we initially expected. We experienced robust demand across our portfolio of proteomic reagents and analytical tools, especially from our biopharma end markets, as well as accelerating momentum in our ExosomeDx business and a return to double-digit growth in our Spatial Biology business."
Kummeth added, "We recently strengthened our proteomic analytical tools portfolio with the acquisition of Namocell, a leading provider of cell sorting and dispensing instruments and consumables, adding to our portfolio of solutions for Cell and Gene Therapy workflows. In the quarter, we continued to scale our GMP protein manufacturing facility, commercializing two additional GMP proteins at scale to address current and forecasted demand. Overall, our portfolio of Cell and Gene Therapy workflow solutions had a stellar year, including greater than 50% organic growth. Separately, our ExoDx Prostate test continued its momentum from the prior quarter, as test volume set another record, increasing almost 70% in the quarter."
Kummeth continued, "Fiscal 2022 was an incredible year for Bio-Techne. We strengthened our team across the organization, announced another acquisition and continued to advance our leading portfolio of diagnostic solutions, proteomic reagents and analytical tools to advance science and enable discoveries. We are positioned to successfully navigate the current environment and continue our momentum into fiscal 2023 and beyond."
Fourth Quarter Fiscal 2022
Net sales for the fourth quarter increased 11% to $288.2 million . Organic growth was 14% compared to the prior year with foreign currency exchange having an unfavorable impact of 3%.
GAAP Earnings Results
GAAP EPS was $1.51 per diluted share, versus $0.37 in the same quarter last year. GAAP EPS was negatively impacted in the prior year by a non-operating mark-to-market loss on our ChemoCentryx investment. GAAP operating income for the fourth quarter of fiscal 2022 increased 17% to $80 .6 million, compared to $68.6 million in the fourth quarter of fiscal 2021. GAAP operating margin was 28.0%, compared to 26.5% in the fourth quarter of fiscal 2021. GAAP operating margin compared to prior year was positively impacted by volume leverage, which was partially offset by unfavorable foreign currency exchange impacts.
Non-GAAP Earnings Results
Adjusted EPS increased to $2.05 per diluted share, versus $1.88 in the same quarter last year, an increase of 9%. Adjusted EPS increased primarily due to revenue growth. Adjusted operating income for the fourth quarter of fiscal 2022 increased 6% compared to the fourth quarter of fiscal 2021. Adjusted operating margin was 37.4%, compared to 38.8% in the fourth quarter of fiscal 2021. Adjusted operating margin decreased compared to the prior year due to the impact of unfavorable foreign currency exchange.
Full Year Fiscal 2022
Net sales for the full year fiscal 2022 increased 19% to $1,105.6 million . Organic growth was 17%, with acquisitions having a favorable impact of 3% and foreign currency translation having an unfavorable impact of 1%. Organic revenue growth was broad based and driven by accelerated momentum of the Company's long-term growth strategy.
GAAP Earnings Results
GAAP EPS was $6.63 per diluted share compared to $3.47 per diluted share last fiscal year. GAAP EPS was favorably impacted by a non-operating mark-to-market gain of $16 million on our ChemoCentryx investment, compared to a loss on investment of $68 million in the prior fiscal year. GAAP operating income for full year fiscal 2022 increased 25.0% to $296.6 million , compared with $237.3 million in the full year fiscal 2021. GAAP operating margin was 26.8%, compared to 25.5% in the full year fiscal 2021. GAAP operating income and operating margin compared to prior year was positively impacted by both volume leverage and product mix.
Non-GAAP Earnings Results
Adjusted EPS was $7.89 per diluted shares, versus $6.76 in full fiscal year 2021. Adjusted operating margin for full fiscal year 2022 decreased to 38.3%, compared with 39.1% in full year fiscal 2021. Adjusted operating margin compared to the prior year was unfavorably impacted by foreign currency exchange, the full year impact of prior year's Asuragen acquisition, and strategic investments.
Segment Results
Management uses adjusted operating results to monitor and evaluate performance of the Company's business segments, as highlighted below.
Protein Sciences Segment
The Company's Protein Sciences segment is one of the world's leading suppliers of specialized proteins such as cytokines and growth factors, immunoassays, antibodies and reagents, to the biotechnology and academic research communities. Additionally, the segment provides an array of platforms useful in various areas of protein analysis. Protein Sciences segment's fourth quarter fiscal 2022 net sales were $217 .0 million, an increase of 13% from $192.3 million for the fourth quarter of fiscal 2021. Organic growth for the segment was 16%, with foreign currency exchange having an unfavorable impact of 3%. Protein Sciences segment's operating margin was 44.9% in the fourth quarter of fiscal 2022 compared to 47.0% in the fourth quarter of fiscal 2021. The segment's operating margin compared to the prior year was negatively impacted by foreign currency exchange.
Protein Sciences segment's full year fiscal 2022 net sales were $832.3 million , an increase of 18% from $704.6 million for fiscal 2021. Organic growth for the segment was 19% for the fiscal year, with currency translation having an unfavorable 1% impact on revenue. Protein Sciences segment's operating margin was 45.4% in fiscal 2022 compared to 46.9% in fiscal 2021. Segment operating margin compared to the prior year was unfavorably impacted by foreign currency exchange and strategic investments.
Diagnostics and Genomics Segment
The Company's Diagnostics and Genomics segment provides blood chemistry and blood gas quality controls, hematology instrument controls, immunoassays and other bulk and custom reagents for the in vitro diagnostic market. The Diagnostics and Genomics segment also develops and provides in situ hybridization products as well as exosome-based diagnostics for various pathologies, including prostate cancer. The Diagnostics and Genomics segment's fourth quarter fiscal 2022 net sales were $71.7 million , an increase of 7% from $67.1 million for the fourth quarter of fiscal 2021. Organic growth for the segment was 8%, with foreign currency exchange having an unfavorable 1% impact. The Diagnostics and Genomics segment's operating margin was 15.7% in the fourth quarter of fiscal 2022 compared to 16.7% in the fourth quarter of fiscal 2021. The segment's operating margin was negatively impacted by foreign currency exchange and strategic investments.
The Diagnostics segment's full year fiscal 2022 net sales were $274.8 million , an increase of 21% from $227.7 million for fiscal 2021. Organic growth for the segment was 10% with acquisitions contributing a favorable impact of 11% and currency translation having an immaterial impact on revenue growth. The Diagnostics segment's operating margin was 17.8% in fiscal 2022 compared to 16.9% in fiscal 2021. Fiscal 2022 operating margin was favorably impacted by volume leverage and product mix.
Conference Call
Bio-Techne will host an earnings conference call today, August 4, 2022 at 8:00 a.m. CDT . To listen, please dial 1-800-926-5187 or 1-312-281-2972 for international callers, and reference conference ID 22019664. The earnings call can also be accessed via webcast through the following link https://investors.bio-techne.com/ir-calendar .
A recorded rebroadcast will be available for interested parties unable to participate in the live conference call by dialing 1-844-512- 2921 or 1-412-317-6671 (for international callers) and referencing Conference ID 22019664. The replay will be available from 11:00 a.m. CDT on Thursday , August 4, 2022 until 11:00 p.m. CDT on Sunday, September 4, 2022 .
Use of non-GAAP Adjusted Financial Measures:
This press release contains financial measures that have not been calculated in accordance with accounting principles generally accepted in the U.S. (GAAP). These non-GAAP measures include:
Our non-GAAP financial measure of organic growth represents revenue growth excluding revenue from acquisitions within the preceding 12 months, the impact of foreign currency, as well as the impact of partially-owned consolidated subsidiaries. Excluding these measures provides more useful period-to-period comparison of revenue results as it excludes the impact of foreign currency exchange rates, which can vary significantly from period to period, and revenue from acquisitions that would not be included in the comparable prior period. Revenues from partially-owned subsidiaries consolidated in our financial statements are also excluded from our organic revenue calculation, as those revenues are not fully attributable to the Company. Revenue from partially-owned subsidiaries was $3.0 million and $4.6 million for the quarter and year ended June 30, 2022 , respectively.
Our non-GAAP financial measures for adjusted gross margin, adjusted operating margin, and adjusted net earnings, in total and on a per share basis, exclude stock-based compensation, the costs recognized upon the sale of acquired inventory, amortization of acquisition intangibles, acquisition related expenses inclusive of the changes in fair value of contingent consideration, and other non-recurring items including non-recurring costs, goodwill and long-lived asset impairments, and gains. Stock-based compensation is excluded from non-GAAP adjusted net earnings because of the nature of this charge, specifically the varying available valuation methodologies, subjection assumptions, variety of award types, and unpredictability of amount and timing of employer related tax obligations. The Company excludes amortization of purchased intangible assets, purchase accounting adjustments, including costs recognized upon the sale of acquired inventory and acquisition-related expenses inclusive of the changes in fair value contingent consideration, and other non-recurring items including gains or losses on legal settlements, goodwill and long-lived asset impairment charges, and one-time assessments from this measure because they occur as a result of specific events, and are not reflective of our internal investments, the costs of developing, producing, supporting and selling our products, and the other ongoing costs to support our operating structure. Additionally, these amounts can vary significantly from period to period based on current activity. The Company also excludes revenue and expense attributable to partially-owned consolidated subsidiaries in the calculation of our non-GAAP financial measures as the revenues and expenses are not fully attributable to the Company.
Investors are encouraged to review the reconciliations of adjusted financial measures used in this press release to their most directly comparable GAAP financial measures as provided with the financial statements attached to this press release.
Forward Looking Statements:
Our press releases may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act. Such statements involve risks and uncertainties that may affect the actual results of operations. The following important factors, among others, have affected and, in the future, could affect the Company's actual results: the effect of new branding and marketing initiatives, the integration of new businesses and leadership, the introduction and acceptance of new products, the funding and focus of the types of research by the Company's customers, the impact of the growing number of producers of biotechnology research products and related price competition, general economic conditions, customer site closures or supply chain issues resulting from the COVID-19 pandemic, the impact of currency exchange rate fluctuations, and the costs and results of research and product development efforts of the Company and of companies in which the Company has invested or with which it has formed strategic relationships.
For additional information concerning such factors, see the section titled "Risk Factors" in the Company's annual report on Form 10-K and quarterly reports on Form 10-Q as filed with the Securities and Exchange Commission. We undertake no obligation to update or revise any forward-looking statements we make in our press releases due to new information or future events. Investors are cautioned not to place undue emphasis on these statements.
Bio-Techne Corporation (NASDAQ: TECH ) is a global life sciences company providing innovative tools and bioactive reagents for the research and clinical diagnostic communities. Bio-Techne products assist scientific investigations into biological processes and the nature and progress of specific diseases. They aid in drug discovery efforts and provide the means for accurate clinical tests and diagnoses. With thousands of products in its portfolio, Bio-Techne generated approximately $1.1 billion in net sales in fiscal 2022 and has approximately 3,000 employees worldwide. For more infonnation on Bio-Techne and its brands, please visit www.bio techne.com .
Contact: David Clair , Vice President, Investor Relations [email protected] 612-656-4416
| BIO-TECHNE CORPORATION | ||||||||||||
| CONSOLIDATED STATEMENTS OF EARNINGS | ||||||||||||
| (In thousands, except per share data) | ||||||||||||
| (Unaudited) | ||||||||||||
| QUARTER | YEAR | |||||||||||
| ENDED | ENDED | |||||||||||
| 6/30/2022 | 6/30/2021 | 6/30/2022 | 6/30/2021 | |||||||||
| Net sales | $ | 288,229 | $ | 259,028 | $ | 1,105,599 | $ | 931,032 | ||||
| Cost of sales | 87,878 | 83,083 | 349,103 | 298,182 | ||||||||
| Gross margin | 200,351 | 175,945 | 756,496 | 632,850 | ||||||||
| Operating expenses: | ||||||||||||
| Selling, general and administrative | 96,630 | 86,641 | 372,766 | 324,951 | ||||||||
| Research and development | 23,148 | 20,722 | 87,140 | 70,603 | ||||||||
| Total operating expenses | 119,778 | 107,363 | 459,906 | 395,554 | ||||||||
| Operating income | 80,573 | 68,582 | 296,590 | 237,296 | ||||||||
| Other income (expense) | (1,520) | (61,469) | 4,796 | (89,121) | ||||||||
| Earnings before income taxes | 79,053 | 7,113 | 301,386 | 148,175 | ||||||||
| Income taxes | 17,137 | (7,531) | 38,287 | 8,590 | ||||||||
| Net earnings, including noncontrolling interest | $ | 61,916 | $ | 14,644 | $ | 263,099 | $ | 139,585 | ||||
| Net earnings (loss) attributable to noncontrolling interest | 392 | (316) | (8,952) | (825) | ||||||||
| Net earnings attributable to Bio-Techne | 61,524 | 14,960 | 272,051 | 140,410 | ||||||||
| Earnings per share: | ||||||||||||
| Basic | $ | 1.57 | $ | 0.38 | $ | 6.93 | $ | 3.62 | ||||
| Diluted | $ | 1.51 | $ | 0.37 | $ | 6.63 | $ | 3.47 | ||||
| Weighted average common shares outstanding | ||||||||||||
| Basic | 39,199 | 38,907 | 39,219 | 38,747 | ||||||||
| Diluted | 40,704 | 40,950 | 41,029 | 40,483 |
| BIO-TECHNE CORPORATION | ||||||
| CONSOLIDATED CONDENSED BALANCE SHEETS | ||||||
| (In thousands) | ||||||
| (Unaudited) | ||||||
| 6/30/2022 | 6/30/2021 | |||||
| ASSETS | ||||||
| Cash and equivalents | $ | 172,567 | $ | 199,091 | ||
| Short-term available-for-sale investments | 74,462 | 32,463 | ||||
| Accounts receivable, net | 194,548 | 145,385 | ||||
| Inventories | 141,123 | 116,748 | ||||
| Other current assets | 22,856 | 16,919 | ||||
| Total current assets | 605,556 | 510,606 | ||||
| Property and equipment, net | 223,242 | 207,907 | ||||
| Right of use asset | 65,556 | 73,834 | ||||
| Goodwill and intangible assets, net | 1,353,623 | 1,459,035 | ||||
| Other assets | 46,828 | 11,575 | ||||
| Total assets | $ | 2,294,805 | $ | 2,262,957 | ||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||
| Accounts payable and accrued expenses | $ | 113,704 | $ | 95,960 | ||
| Contract liabilities | 23,406 | 18,995 | ||||
| Income taxes payable | 13,237 | 5,336 | ||||
| Contingent consideration payable | — | 4,000 | ||||
| Operating lease liabilities - current | 11,928 | 11,602 | ||||
| Current portion of long-term debt obligations | 12,500 | 12,500 | ||||
| Other current liabilities | 1,243 | 3,891 | ||||
| Total current liabilities | 176,018 | 152,284 | ||||
| Deferred income taxes | 98,994 | 93,125 | ||||
| Long-term debt obligations | 243,410 | 328,827 | ||||
| Operating lease liabilities | 58,133 | 67,625 | ||||
| Long-term contingent consideration payable | 5,000 | 25,400 | ||||
| Other long-term liabilities | 12,239 | 24,462 | ||||
| Stockholders' equity | 1,701,011 | 1,571,234 | ||||
| Total liabilities and stockholders' equity | $ | 2,294,805 | $ | 2,262,957 |
| BIO-TECHNE CORPORATION | ||||||||||||
| RECONCILIATION OF ADJUSTED GROSS MARGIN PERCENTAGE | ||||||||||||
| (Unaudited) | ||||||||||||
| QUARTER | YEAR | |||||||||||
| ENDED | ENDED | |||||||||||
| 6/30/2022 | 6/30/2021 | 6/30/2022 | 6/30/2021 | |||||||||
| Gross margin percentage - GAAP | 69.5 | % | 67.9 | % | 68.4 | % | 68.0 | % | ||||
| Identified adjustments: | ||||||||||||
| Costs recognized upon sale of acquired inventory | — | % | 0.6 | % | 0.1 | % | 0.2 | % | ||||
| Amortization of intangibles | 3.5 | % | 3.9 | % | 3.7 | % | 3.8 | % | ||||
| Stock compensation expense | 0.1 | % | 0.1 | % | 0.1 | % | 0.2 | % | ||||
| Impact of partially owned consolidated subsidiaries (1) | 0.1 | % | 0.2 | % | 0.2 | % | 0.1 | % | ||||
| Gross margin percentage - Adjusted | 73.2 | % | 72.7 | % | 72.5 | % | 72.3 | % |
| BIO-TECHNE CORPORATION | ||||||||||||
| RECONCILIATION OF ADJUSTED OPERATING MARGIN PERCENTAGE | ||||||||||||
| (Unaudited) | ||||||||||||
| QUARTER | YEAR | |||||||||||
| ENDED | ENDED | |||||||||||
| 6/30/2022 | 6/30/2021 | 6/30/2022 | 6/30/2021 | |||||||||
| Operating margin percentage - GAAP | 28.0 | % | 26.5 | % | 26.8 | % | 25.5 | % | ||||
| Identified adjustments: | ||||||||||||
| Costs recognized upon sale of acquired inventory | — | % | 0.6 | % | 0.1 | % | 0.2 | % | ||||
| Amortization of intangibles | 6.3 | % | 7.0 | % | 6.5 | % | 6.8 | % | ||||
| Acquisition related expenses | 0.1 | % | 0.4 | % | (1.6) | % | 0.8 | % | ||||
| Eminence impairment | — | % | — | % | 1.8 | % | — | % | ||||
| Stock-based compensation | 3.0 | % | 4.0 | % | 4.3 | % | 5.6 | % | ||||
| Restructuring costs | 0.0 | % | — | % | 0.1 | % | — | % | ||||
| Impact of partially owned subsidiaries (1) | 0.0 | % | 0.3 | % | 0.3 | % | 0.2 | % | ||||
| Operating margin percentage - Adjusted | 37.4 | % | 38.8 | % | 38.3 | % | 39.1 | % |
| BIO-TECHNE CORPORATION | |||||||||||||
| NON-GAAP ADJUSTED CONOLIDATED NET EARNINGS and EARNINGS per SHARE | |||||||||||||
| (In thousands, except per share data) (Unaudited) | |||||||||||||
| QUARTER | YEAR | ||||||||||||
| ENDED | ENDED | ||||||||||||
| 6/30/2022 | 6/30/2021 | 6/30/2022 | 6/30/2021 | ||||||||||
| Net earnings before taxes- GAAP | $ | 79,053 | $ | 7,113 | $ | 301,386 | $ | 148,175 | |||||
| Identified adjustments attributable to Bio-Techne: | |||||||||||||
| Costs recognized upon sale of acquired inventory | — | 1,474 | 1,596 | 1,565 | |||||||||
| Amortization of intangibles | 18,112 | 18,489 | 73,054 | 64,239 | |||||||||
| Acquisition related expenses | 354 | 920 | (18,694) | 7,489 | |||||||||
| Eminence impairment | — | — | 18,715 | — | |||||||||
| Stock-based compensation, inclusive of employer taxes | 8,671 | 10,321 | 46,401 | 51,846 | |||||||||
| Restructuring costs | — | — | 1,640 | 142 | |||||||||
| Investment (gain) loss and other | 359 | 57,647 | (16,171) | 68,391 | |||||||||
| Impact of partially owned consolidated subsidiaries (1) | (919) | 591 | 2,675 | 1,390 | |||||||||
| Net earnings before taxes - Adjusted (1) | $ | 105,630 | $ | 96,555 | $ | 410,602 | $ | 343,237 | |||||
| Non-GAAP tax rate | 21.2 | % | 20.3 | % | 21.2 | % | 20.2 | % | |||||
| Non-GAAP tax expense | 22,358 | 19,560 | 87,090 | 69,478 | |||||||||
| Non-GAAP adjusted net earnings attributable to Bio-Techne (1) | $ | 83,272 | $ | 76,995 | $ | 323,512 | $ | 273,759 | |||||
| Earnings per share - diluted - Adjusted (1) | $ | 2.05 | $ | 1.88 | $ | 7.89 | $ | 6.76 |
| BIO-TECHNE CORPORATION | ||||||||||||
| NON-GAAP adjusted tax rate (In percentages) | ||||||||||||
| (Unaudited) | ||||||||||||
| QUARTER | YEAR | |||||||||||
| ENDED | ENDED | |||||||||||
| 6/30/2022 | 6/30/2021 | 6/30/2022 | 6/30/2021 | |||||||||
| GAAP effective tax rate | 21.7 | % | (105.9) | % | 12.7 | % | 5.8 | % | ||||
| Discrete items | (0.1) | % | 122.0 | % | 10.7 | % | 19.0 | % | ||||
| Annual forecast update | 1.8 | % | 8.7 | % | — | % | — | % | ||||
| Long-term GAAP tax rate | 23.4 | % | 24.8 | % | 23.4 | % | 24.8 | % | ||||
| Rate impact items | ||||||||||||
| Stock based compensation | (2.1) | % | (6.0) | % | (1.9) | % | (5.7) | % | ||||
| Acquisition costs | (0.0) | % | (0.6) | % | (0.0) | % | (0.2) | % | ||||
| Change in fair value of investments | (0.1) | % | 1.3 | % | (0.1) | % | 0.5 | % | ||||
| Other | 0.0 | % | 0.8 | % | (0.2) | % | 0.8 | % | ||||
| Total rate impact items | (2.2) | % | (4.5) | % | (2.2) | % | (4.6) | % | ||||
| Non-GAAP adjusted tax rate | 21.2 | % | 20.3 | % | 21.2 | % | 20.2 | % |
| BIO-TECHNE CORPORATION | ||||||||||||
| SEGMENT REVENUE | ||||||||||||
| (In thousands) | ||||||||||||
| (Unaudited) | ||||||||||||
| QUARTER | YEAR | |||||||||||
| ENDED | ENDED | |||||||||||
| 6/30/2022 | 6/30/2021 | 6/30/2022 | 6/30/2021 | |||||||||
| Protein Sciences segment revenue | $ | 216,979 | $ | 192,316 | $ | 832,311 | $ | 704,564 | ||||
| Diagnostics and Genomics segment revenue | 71,652 | 67,057 | 274,843 | 227,744 | ||||||||
| lntersegment revenue | (402) | (345) | (1,555) | (1,276) | ||||||||
| Consolidated revenue | $ | 288,229 | $ | 259,028 | $ | 1,105,599 | $ | 931,032 |
| BIO-TECHNE CORPORATTON | ||||||||||||
| SEGMENT OPERATING INCOME | ||||||||||||
| (In thousands) | ||||||||||||
| (Unaudited) | ||||||||||||
| QUARTER | YEAR | |||||||||||
| ENDED | ENDED | |||||||||||
| 6/30/2022 | 6/30/2021 | 6/30/2022 | 6/30/2021 | |||||||||
| Protein Sciences segment operating income (1) | $ | 97,492 | $ | 90,437 | $ | 377,623 | $ | 330,225 | ||||
| Diagnostics and Genomics segment operating income | 11,228 | 11,228 | 48,977 | 38,425 | ||||||||
| Segment operating income | 108,720 | 101,665 | 426,600 | 368,650 | ||||||||
| Corporate general, selling, and administrative (1) | (2,157) | (1,375) | (5,281) | (4,943) | ||||||||
| Adjusted operating income | 106,563 | 100,290 | 421,319 | 363,707 | ||||||||
| Cost recognized upon sale of acquired inventory | — | (1,474) | (1,596) | (1,565) | ||||||||
| Amortization of intangibles | (18,112) | (18,489) | (73,054) | (64,239) | ||||||||
| Acquisition related expenses | (260) | (826) | 19,070 | (7,114) | ||||||||
| Eminence impairment | — | — | (18,715) | — | ||||||||
| Impact of partially owned consolidated subsidiaries (1) | 1,053 | (598) | (2,393) | (1,505) | ||||||||
| Stock-based compensation | (8,671) | (10,321) | (46,401) | (51,846) | ||||||||
| Restructuring costs | — | — | (1,640) | (142) | ||||||||
| Operating income | $ | 80,573 | $ | 68,582 | $ | 296,590 | $ | 237,296 |
| BIO-TECHNE CORPORATION | ||||||
| CONDENSED CASH FLOW | ||||||
| (In thousands) | ||||||
| (Unaudited) | ||||||
| YEAR | ||||||
| ENDED | ||||||
| 6/30/2022 | 6/30/2021 | |||||
| CASH FLOWS FROM OPERATING ACTIVITIES | ||||||
| Net earnings | $ | 263,099 | $ | 139,585 | ||
| Adjustments to reconcile net earnings to net cash provided by operating activities | ||||||
| Depreciation and amortization | 101,069 | 87,747 | ||||
| Costs recognized on sale of acquired inventory | 1,596 | 1,565 | ||||
| Deferred income taxes | 6,816 | (27,431) | ||||
| Stock-based compensation expense | 42,183 | 48,982 | ||||
| Fair value adjustment to available for sale investments | (15,002) | 67,879 | ||||
| Contingent consideration payments - operating | (3,300) | (337) | ||||
| Fair value adjustment to contingent consideration payable | (20,400) | 5,300 | ||||
| Asset impairment restructuring | 546 | — | ||||
| Eminence impairment | 18,715 | — | ||||
| Other operating activities | (70,050) | 28,874 | ||||
| Net cash provided by operating activities | 325,272 | 352,164 | ||||
| CASH FLOWS FROM INVESTING ACTIVITIES | ||||||
| Additions to property and equipment | (44,908) | (44,301) | ||||
| Investment of forward purchase contract | (25,000) | — | ||||
| Other investing activities | (26,943) | (199,215) | ||||
| Net cash provided by (used in) investing activities | (96,851) | (243,516) | ||||
| CASH FLOWS FROM FINANCING ACTIVITIES | ||||||
| Cash dividends | (50,185) | (49,622) | ||||
| Proceeds from stock option exercises | 77,155 | 65,092 | ||||
| Long-term debt activity, net | (85,500) | (15,500) | ||||
| Contingent consideration payments - financing | (700) | — | ||||
| Share repurchases | (160,950) | (43,178) | ||||
| Other financing activity | (22,673) | (19,343) | ||||
| Net cash provided by (used in) financing activities | (242,853) | (62,551) | ||||
| Effect of exchange rate changes on cash and cash equivalents | (12,092) | 6,369 | ||||
| Net increase (decrease)in cash and cash equivalents | (26,524) | 52,466 | ||||
| Cash and cash equivalents at beginning of period | 199,091 | 146,625 | ||||
| Cash and cash equivalents at end of period | $ | 172,567 | $ | 199,091 |
SOURCE Bio-Techne Corporation