News Release

Highlights — Third Quarter Fiscal 2011

* Net revenue of $241 million, a 7% increase year on year.

* GAAP EPS of -4c after restructuring charges of $4.8m. Excluding these restructuring charges EPS was 2c.

* Net business wins of $431 million representing a net book to bill of 1.8. Backlog grew 16% year on year to $2.2 billion.

** Central laboratory achieves breakeven.

** 2012 revenue expected to grow 15%-20% generating EPS in the range of $0.90 — $1.10.

** Board of Directors approve a $50m share buy-back.

DUBLIN--(BUSINESS WIRE)-- ICON (NASDAQ:ICLR)(ISIN:IE0005711209), a global provider of outsourced development services to the pharmaceutical, biotechnology and medical device industries, today reported its financial results for the third quarter ended September 30, 2011.

Net revenues for the quarter grew 7% to $241 million compared to $225 million in the same quarter last year. Year-to-date, net revenues were $703 million, representing a 5% increase over the same period last year.

In Q3 US GAAP losses from operations were $3.6 million. During the quarter the company undertook a number of cost reduction steps which led to restructuring costs of $4.8 million. Before restructuring charges operating income was $1.1 million or 0.5% of revenue compared to $17.6 million or 7.8% of revenue for the same period last year. The year to date income from operations before restructuring charges was $32.6 million or 4.6% of revenue compared to $70 million or 10.5% of revenue last year.

US GAAP net loss in the quarter was $2.7 million or 4c per share. Excluding restructuring charges net income was $1.5 million or 2 cents per share on a diluted basis, compared to $19.9 million or 33 cents per share last year. Year to date net income before restructuring charges was 27.4 million or 45c per share compared to $65 million or $1.07 per share last year.

Days sales outstanding, comprising accounts receivable and unbilled revenue less payments on account, were 52 days at September 30, 2011, compared to 49 days at June 30 2011.

Net cash at September 30 2011 amounted to $166 million, compared to net cash of $215 million at the end of June 2011. During the quarter ICON acquired Firecrest Clinical Ltd for an initial cash consideration of $24.4 million. Firecrest Clinical provides a comprehensive site performance management system that is used to improve compliance, consistency and execution of activities at investigative sites.

The Board of Directors have approved a share buy-back programme of up to $50 million to commence in Q4.

CEO Ciaran Murray commented, "Our success in developing significant strategic partnerships has resulted in a milestone quarter of record net new business of $431m. To position ourselves for the future growth that will result from our backlog increasing by 16% over last year we have added circa 500 staff during the quarter which has impacted profitability. Looking forward, we will continue to invest in both our existing business and in our strategic relationships to provide quality services to our customers. For 2012, we expect revenue growth to be in the region of 15% to 20% and EPS to be in the range of $0.90 to $1.10."

In addition to the financial measures prepared in accordance with generally accepted accounting principles (GAAP), this press release contains certain non-GAAP financial measures, including non-GAAP operating and net income and non-GAAP diluted earnings per share. While non-GAAP financial measures are not superior to or a substitute for the comparable GAAP measures, ICON believes certain non-GAAP information is useful to investors for historical comparison purposes.

The company will hold its third quarter conference call today, October 27, 2011 at 9:00 EST [14:00 Ireland & UK]. This call and linked slide presentation can be accessed live from our website at http://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.

ICON plc is a global provider of outsourced development services to the pharmaceutical, biotechnology and medical device industries. The Company specialises in the strategic development, management and analysis of programs that support clinical development - from compound selection to Phase I-IV clinical studies. With headquarters in Dublin, Ireland, ICON currently, operates from 79 locations in 39 countries and has approximately 8,350 employees. Further information is available at www.iconplc.com.

Source: ICON plc

ICON/ICLR-F

	ICON plc
	Consolidated Income Statements (Unaudited) (Before restructuring charges)
	Three and Nine Months ended September 30, 2011 and September 30, 2010
	(Dollars, in thousands, except share and per share data)
			Three Months Ended						Nine Months Ended
			September 30,		September 30,				September 30,		September 30,
			2011		2010				2011		2010
	Gross Revenue		335,332		323,230				958,575		945,868
	Reimbursable expenses		94,560		98,135				255,461		277,910
	Net Revenue		240,772		225,095				703,114		667,958
	Costs and expenses
	Direct costs		158,343		139,460				453,679		401,647
	Selling, general and administrative		71,629		60,008				188,856		171,225
	Depreciation and amortization		9,667		8,002				27,969		25,005
	Total costs and expenses		239,639		207,470				670,504		597,877
	Income from operations		1,133		17,625				32,610		70,081
	Net interest income /(expense)		131		276				303		145
	Income before provision for income taxes		1,264		17,901				33,913		70,226
	Provision for income taxes		202		1,998				(5,559)		(5,255)
	Net income		1,466		19,899				27,354		64,971
	Net income per ordinary share
	Basic		$0.02		$0.33				$0.45		$1.09
	Diluted		$0.02		$0.33				$0.45		$1.07
	Weighted average number of ordinary shares
	Basic		60,471,985		59,940,045				60,381,814		59,576,777
	Diluted		61,063,020		60,743,403				61,096,464		60,576,058

	ICON plc
	Consolidated Income Statements (Unaudited) (US GAAP)
	Three and Nine Months ended September 30, 2011 and September 30, 2010
	(Dollars, in thousands, except share and per share data)
			Three Months Ended						Six Months Ended
			September 30,		September 30,				September 30,		September 30,
			2011		2010				2011		2010
	Gross Revenue		335,332		323,230				958,575		945,868
	Reimbursable expenses		94,560		98,135				255,461		277,910
	Net Revenue		240,772		225,095				703,114		667,958
	Costs and expenses
	Direct costs		158,343		139,460				453,679		401,647
	Selling, general and administrative		71,629		60,008				188,856		171,225
	Depreciation and amortization		9,667		8,002				27,969		25,005
	Restructuring Charges		4,815		-				9,817		-
	Total costs and expenses		244,454		207,470				680,321		597,877
	(Loss)/Income from operations		(3.682)		17,625				22,793		70,081
	Net interest income /(expense)		131		276				303		145
	(Loss) /Income before provision for income taxes		(3,551)		17,901				23,096		70,226
	Provision for income taxes		888		1,998				(4,329)		(5,255)
	Net income		(2,663)		19,899				18,767		64,971
	Net income per ordinary share
	Basic		($0.04)		$0.33				$0.31		$1.09
	Diluted		($0.04)		$0.33				$0.31		$1.07
	Weighted average number of ordinary shares
	Basic		60,471,985		59,940,045				60,381,814		59,576,777
	Diluted		61,063,020		60,743,403				61,096,464		60,576,058

ICON plc
Summary Balance Sheet Data
September 30, 2011 and December 31, 2010
(Dollars, in thousands)
						September 30,				December 31,
						2011				2010
						(Unaudited)				(Audited)
Net cash						166,087				255,706
Accounts receivable						196,810				164,907
Unbilled revenue						133,211				101,431
Payments on account						(137,460)				(134,240)
Total						192,561				132,098
Working Capital						277,078				329,350
Total Assets						1,045,655				949,538
Shareholder's Equity						697,442				669,999
Source:				ICON plc
Contact:				Investor Relations 1-888-381-7923 or
				Brendan Brennan CFO + 353 1 291 2000
				Sam Farthing VP IR +353 1 291 2000
				http://www.iconplc.com

ICON
Investor Relations 1-888-381-7923
or
Brendan Brennan Chief Financial Officer + 353 —1-291-2000
or
Sam Farthing VP Investor Relations + 353 —1-291-2000

Source: ICON plc

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