Highlights
-
Excluding the impact of ASC 606, record net business wins in the
quarter of
$605 million , a book to bill of 1.27. -
Excluding the impact of ASC 606, closing backlog of
$5.3 billion , an increase of 10.5% year on year. -
Quarter 3 reported revenue of
$655.0 million . Excluding the impact of ASC 606, quarter 3 revenue was$476.4 million , representing an 8.2% increase year on year. -
Reported income from operations was
$97.9 million , or 15.0% of revenue. Excluding the impact of ASC 606, income from operations was$98.8 million , a 16.4% increase year on year. -
Reported earnings per share of
$1.54 . Year to date earnings per share before non-recurring charges of$4.47 . Excluding the impact of ASC 606, earnings per share was$1.55 , a 14.8% increase year on year.
CEO Dr.
Third Quarter 2018 Results
Excluding the impact of ASC 606, gross business wins in the third
quarter were
Reported revenue for quarter 3 was
Reported income from operations in the quarter was
Reported net income for the quarter was
Reported earnings per share on a diluted basis was
Year to date 2018 Results
Excluding the impact of ASC 606, gross business wins year to date were
Year to date reported revenue was
Reported income from operations year to date, before non-recurring
charges was
Reported net income year to date, before non-recurring charges was
Reported earnings per share year to date on a diluted basis before
non-recurring charges was
Days sales outstanding, comprising accounts receivable and unbilled
revenue less payments on account, were 49 days at
Cash generated from operating activities for the quarter was
The new revenue recognition standard (ASU No. 2014-09) ‘Revenue from
Contracts with Customers’ was effective for
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.
ICON will hold its third quarter conference call tomorrow,
This press release contains forward-looking statements. These statements
are based on management's current expectations and information currently
available, including current economic and industry conditions. These
statements are not guarantees of future performance or actual results,
and actual results, developments and business decisions may differ from
those stated in this press release. The forward-looking statements are
subject to future events, risks, uncertainties and other factors that
could cause actual results to differ materially from those projected in
the statements, including, but not limited to, the ability to enter into
new contracts, maintain client relationships, manage the opening of new
offices and offering of new services, the integration of new business
mergers and acquisitions, as well as economic and global market
conditions and other risks and uncertainties detailed from time to time
in
Source:
Contact: Investor Relations +1888 381 7923 or
Jonathan Curtain
Vice President Corporate Finance and Investor Relations +1 215 616 3000
All at ICON.
Condensed Consolidated Statements of Operations
(Before restructuring and other items)
Three and Nine Months ended
(Dollars, in thousands, except share and per share data)
(Unaudited)
| Three Months Ended | Nine Months Ended | ||||||||
| September | September | September | September | ||||||
| 30, 2018 | 30, 2017 | 30, 2018 | 30, 2017 | ||||||
| Revenue: | |||||||||
| Revenue | 655,017 | 596,169 | 1,916,752 | 1,766,016 | |||||
| Reimbursable expenses | (155,846) | (462,716) | |||||||
| 440,323 | 1,303,300 | ||||||||
| Costs and expenses: | |||||||||
| Direct costs | |||||||||
|
- Reimbursable expenses |
(179,642) | - | (507,708) | - | |||||
|
- Other direct costs |
(279,554) | (259,672) | (831,306) | (760,175) | |||||
| Selling, general and administrative expense | (80,819) | (79,433) | (242,670) | (241,655) | |||||
| Depreciation and amortization | (17,062) | (16,280) | (51,006) | (45,123) | |||||
| Total costs and expenses | (557,077) | (355,385) | (1,632,690) | (1,046,953) | |||||
| Income from operations | 97,940 | 84,938 | 284,062 | 256,347 | |||||
| Net interest expense | (1,887) | (2,545) | (7,144) | (7,769) | |||||
| Income before provision for income taxes | 96,053 | 82,393 | 276,918 | 248,578 | |||||
| Provision for income taxes | (11,526) | (8,239) | (31,388) | (31,414) | |||||
| Net income | 84,527 | 74,154 | 245,530 | 217,164 | |||||
| Net income per Ordinary Share: | |||||||||
| Basic | $1.55 | $1.37 | $4.54 | $4.01 | |||||
| Diluted | $1.54 | $1.35 | $4.47 | $3.96 | |||||
| Weighted average number of Ordinary Shares outstanding: | |||||||||
| Basic | 54,368,656 | 54,109,566 | 54,134,639 | 54,110,022 | |||||
| Diluted | 54,901,404 | 54,756,184 | 54,888,151 | 54,840,112 | |||||
Condensed Consolidated Statements of Operations
(US GAAP)
Three and Nine Months ended
(Dollars, in thousands, except share and per share data)
(Unaudited)
| Three Months Ended | Nine Months Ended | ||||||||
| September | September | September | September | ||||||
| 30, 2018 | 30, 2017 | 30, 2018 | 30, 2017 | ||||||
| Revenue: | |||||||||
| Revenue | 655,017 | 596,169 | 1,916,752 | 1,766,016 | |||||
| Reimbursable expenses | (155,846) | (462,716) | |||||||
| 440,323 | 1,303,300 | ||||||||
| Costs and expenses: | |||||||||
| Direct costs | |||||||||
|
- Reimbursable expenses |
(179,642) | - | (507,708) | - | |||||
|
- Other direct costs |
(279,554) | (259,672) | (831,306) | (760,175) | |||||
| Selling, general and administrative expense | (80,819) | (79,433) | (242,670) | (241,655) | |||||
| Depreciation and amortization | (17,062) | (16,280) | (51,006) | (45,123) | |||||
| Restructuring costs | - | - | (12,490) | (7,753) | |||||
| Total costs and expenses | (557,077) | (355,385) | (1,645,180) | (1,054,706) | |||||
| Income from operations | 97,940 | 84,938 | 271,572 | 248,594 | |||||
| Net interest expense | (1,887) | (2,545) | (7,144) | (7,769) | |||||
| Income before provision for income taxes | 96,053 | 82,393 | 264,428 | 240,825 | |||||
| Provision for income taxes | (11,526) | (8,239) | (29,935) | (30,445) | |||||
| Net income | 84,527 | 74,154 | 234,493 | 210,380 | |||||
| Net income per Ordinary Share: | |||||||||
| Basic | $1.55 | $1.37 | $4.33 | $3.89 | |||||
| Diluted | $1.54 | $1.35 | $4.27 | $3.84 | |||||
| Weighted average number of Ordinary Shares outstanding: | |||||||||
| Basic | 54,368,656 | 54,109,566 | 54,134,639 | 54,110,022 | |||||
| Diluted | 54,901,404 | 54,756,184 | 54,888,151 | 54,840,112 | |||||
Impact of the adoption of ASC 606 on revenue
Three and Nine Months ended
(Dollars, in thousands)
(Unaudited)
| Three Months Ended September 30, 2018 |
Three Months, Ended September 30, 2017 |
|||||||||
| As Reported | ASC 606 Adjustments | Balances without adoption of ASC 606 |
As Reported |
|||||||
| Revenue: | ||||||||||
| Revenue | 655,017 | 1,022 | 656,039 | 596,169 | ||||||
| Reimbursable expenses | (179,642) | (179,642) | (155,846) | |||||||
| 655,017 | (178,620) | 476,397 | 440,323 | |||||||
| Nine Months Ended September 30, 2018 |
Nine Months, Ended September 30, 2017 |
|||||||||
| As Reported | ASC 606 Adjustments | Balances without adoption of ASC 606 |
As Reported |
|||||||
| Revenue: | ||||||||||
| Revenue | 1,916,752 | 3,867 | 1,920,619 | 1,766,016 | ||||||
| Reimbursable expenses | (507,708) | (507,708) | (462,716) | |||||||
| 1,916,752 | (503,841) | 1,412,911 | 1,303,300 | |||||||
Summary Balance Sheet Data
(Dollars, in thousands)
| September 30, | June 30, | ||||
| 2018 | 2018 | ||||
| (Unaudited) | (Unaudited) | ||||
| Cash and short-term investments | 491,482 | 372,996 | |||
| Debt | (349,169) | (349,074) | |||
| Net cash/(debt) | 142,313 | 23,922 | |||
| Net Accounts Receivable | 358,151 | 352,332 | |||
| Working Capital | 703,401 | 600,398 | |||
| Total Assets | 2,325,728 | 2,174,496 | |||
| Shareholder's Equity | 1,334,484 | 1,238,748 |
ICON/ICLR-F
View source version on businesswire.com: https://www.businesswire.com/news/home/20181024005803/en/
Source:
ICON plc
Investor Relations
+1 888 381 7923
or
Brendan
Brennan
Chief Financial Officer
+353 1 291 2000
or
Jonathan
Curtain
Vice President Corporate Finance & Investor Relations
+1
215 616 3000
http://www.iconplc.com