- Full year net revenues increased 38% to $631 million.
Fourth quarter net revenues increased 40% over the comparative quarter, to $181 million.
- Full year operating income increased by 44.8% to $69.2 million. For the quarter income from operations increased by 43%, to $19.8 million.
- Full year diluted earnings per share increased to $1.88, a 41% increase over last year. Diluted earnings per share increased by 36% for the fourth quarter to 53 cents.
- Full year net business awards totalled $1.027 billion, a 54% increase on last year.
Record net new business wins of $344 million awarded to ICON during the quarter, producing a book to bill of 1.9.
Dublin, Ireland, February 21, 2008 – ICON (NASDAQ: ICLR), a global provider of outsourced development services to the pharmaceutical, biotechnology and medical device industries, today reported its financial results for the fourth quarter ended December 31, 2007.
Full year, net revenues were $630.7 million, representing a 38.4% increase over last year. Income from operations, after taking non-cash stock compensation charge of $5.7 million was $69.2 million or 11% of revenue, compared to $47.8 million or 10.5% last year. Net income was $55.9 million or $1.88 per share, compared with $38.3 million or $1.33 per share, last year.
Net revenues for the quarter were $180.7 million, representing a 40.1% increase over net revenues of $128.9 million for the same quarter last year. Income from operations, after taking non-cash stock compensation charge of $1.8 million, was $19.8 million or 11.0% of revenue, compared to $13.8 million or 10.7%for the same quarter last year. Net income was $15.8 million or 53 cents per share on a diluted basis, compared with $11.4 million or 39 cents per share last year.
Days sales outstanding, comprising accounts receivable and unbilled revenue less payments on account, were 66 days at December 31, 2007, compared to 65 days at September 30, 2007.For the quarter ended December 31, 2007, cash provided by operating activities was $23 million and capital expenditure was $25.7 million. Full year 2007, cash flow from operating activities was $42.9million and capital expenditure was $75.4 million. In addition, DOCS International was acquired in July 2007 for consideration of $40.6 million. As a result, cash and short-term investments, net of debt, amounted to $23.8million at December 31, 2007, compared to $97.9 million at December 31, 2006.
“2007 has been another outstanding year for ICON”, commented Chairman Dr. John Climax. “Revenue growth continued to be strong and operating margins expanded. Record net bookings of $344m in the fourth quarter led to bookings for the full year of over $1billion, another major milestone for ICON. As a consequence, we have a record backlog of $1.3 billion, which gives us confidence as we enter our new fiscal year”
The company will hold its fourth quarter conference call today, February 21, 2008 at 9:00 EST [14:00 Ireland & UK]. This call and linked slide presentation can be accessed live from our website at www.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 SEC reports filed 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 statements.
The financial information presented herein has been prepared in accordance with U.S. GAAP.
ICON plc is a global provider of outsourced development services to the pharmaceutical, biotechnology and medical device industries. The Company specializes in the strategic development, management and analysis of programs that support clinical development - from compound selection to Phase I-IV clinical studies. ICON teams have successfully conducted over 1,900 development projects and over 2,300 consultancy engagements across all major therapeutic areas. ICON currently has approximately 5,600 employees, operating from 67 locations in 37 countries. Further information is available at www.iconplc.com
Contact : Investor Relations 1-888-381-7923 or
Ciaran Murray CFO + 353 –1-291-2000
Both at ICON.
Consolidated Income Statements
Three and Twelve Months ended December 31, 2007 and December 31, 2006
(Dollars, in thousands, except share and per share data)
Three Months Ended
Twelve Months Ended
Costs and expenses
Selling, general and administrative
Depreciation and amortization
Total costs and expenses
Income from operations
Interest income (net)
Income before provision of income taxes
Provision for income taxes
Net income per ordinary share
Weighted average number of ordinary shares
Summary Balance Sheet Data
December 31, 2007 and December 31, 2006
(Dollars, in thousands)
Cash and short-term investments
Payments on account
Investor Relations 1-888-381-7923 or
Ciaran Murray CFO + 353 1 291 2000
both at ICON.