IMMUCOR, INC. 
By Financial Highlights
-- Revenue for the fiscal second quarter of 2009 was
-- Gross margin was 73.3% in the quarter, compared with 67.6% in the prior year quarter.
-- Net income in the quarter was
-- Diluted earnings per share totaled
-- During the quarter, the Company repurchased 200,000 shares of its
common stock at a total cost of
"Our second quarter results demonstrate the strength of our business model
with its strong recurring revenue and cash flow," stated Dr.
Six-Month Results
For the first six months of fiscal 2009, revenue was
Revenue and Gross Margin by Product
($ amounts in thousands)
Revenue
Fiscal Q2 2009 Fiscal Q2 2008 Variance
Gross Gross
Revenue Margin Revenue Margin $ %
Traditional
reagents $47,229 80.8 % $43,024 74.7 % $4,205 10 %
Capture
reagents 16,524 84.6 % 12,239 84.4 % 4,285 35 %
Instruments 8,609 13.0 % 6,471 (7.8)% 2,138 33 %
Molecular
immunohematology 659 43.1 % - - 659 100 %
Collagen - - 190 (57.4)% (190) (100)%
Consolidated
revenue $73,021 73.3 % $61,924 67.6 % $11,097 18 %
Consolidated revenue increased approximately
The year-over-year improvement in consolidated gross margins was driven by price increases in the U.S. as well as instrument product mix with fewer sales that required the instrument to be expensed at time of sale.
Operating Expenses
Operating expenses for the second quarter increased approximately
Summary of Instrument Orders
Q2 2009 Orders Cumulative
Instrument N.A.(1) ROW(2) Total Orders(3)
Echo 31 21 52 430
Galileo 1 15 16 602
(1) N.A. - North America (the U.S. and Canada)
(2) ROW - all parts of the world other than North America.(3) Cumulative Orders - total orders received since the launch of the instrument.
"On a year-to-date basis, we have received 176 Echo orders, which demonstrates the tremendous market acceptance of our instrument," stated Dr. De Chirico. "Of the cumulative 430 Echo orders, approximately 193 were generating reagent revenue, which is an increase of 64 instruments in the quarter."
Raising 2009 EPS Guidance
The Company continues to expect revenue for the fiscal year ending
"In summary, our business is doing well in this troubled economic environment because of our strong product offering as well as our strong balance sheet and cash flow," stated Dr. De Chirico. "I am pleased with our projected performance for the remainder of fiscal 2009."
Conference Call
Immucor, Inc. will host a conference call
To participate in the telephone conference call, dial 1-888-324-7567,
passcode BLUD. A replay of the conference call will be available for one week
beginning at
About Immucor
Founded in 1982, Immucor manufactures and sells a complete line of reagents and systems used by hospitals, reference laboratories and donor centers to detect and identify certain properties of the cell and serum components of blood prior to transfusion. Immucor markets a complete family of automated instrumentation for all of its market segments.
For more information on Immucor, please visit our website at www.immucor.com .
Safe Harbor Statement
Statements contained in this press release that are not statements of
historical fact are "forward-looking statements" as that term is defined under
federal securities laws. Forward-looking statements contained in this press
release include the intent, belief or current expectations of the Company and
members of its management team with respect to the Company's future business
operations as well as the assumptions upon which such statements are based.
Forward-looking statements include specifically, but are not limited to:
fiscal 2009 revenue, gross margin and fully diluted earnings per share
projections. Prospective investors are cautioned that any such forward-looking
statements are not guarantees of future performance, and involve risks and
uncertainties, and that actual results may differ materially from those
contemplated by such forward-looking statements. In addition, results for one
fiscal quarter are not necessarily indicative of results for any future
period. Factors that could cause actual results to differ materially from
those expressed in any forward-looking statement include, but are not limited
to: lower than expected demand for the Company's instruments; the decision of
customers to defer capital spending; the unexpected change in the mix of
instruments being purchased instead of acquired through other means, which
could significantly increase costs; the inability of customers to efficiently
integrate our instruments into their blood banking operations; increased
competition in the sale of instruments and reagents, particularly in
IMMUCOR, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited, in thousands except per share data)
Three Months Ended Six Months Ended
November 30, November 30, November 30, November 30,
2008 2007 2008 2007
NET SALES $ 73,021 $ 61,924 $ 146,197 $ 125,556
COST OF SALES 19,463 20,050 39,214 37,802
GROSS PROFIT 53,558 41,874 106,983 87,754
OPERATING EXPENSES
Research and development 2,896 1,434 4,777 3,489
Selling and marketing 10,713 7,844 20,182 15,413
Distribution 3,549 2,646 7,017 5,330
General and
administrative 7,467 6,278 14,925 12,158
Restructuring expense - 192 - 723
Amortization expense and
other 1,071 87 1,596 173
Total operating
expenses 25,696 18,481 48,497 37,286
INCOME FROM OPERATIONS 27,862 23,393 58,486 50,468
NON-OPERATING INCOME (EXPENSE)
Interest income 586 1,131 1,380 2,244
Interest expense (77) (86) (203) (181)
Other, net (1,230) 268 (1,650) 87
Total non-operating
(expense) income (721) 1,313 (473) 2,150
INCOME BEFORE INCOME TAXES 27,141 24,706 58,013 52,618
PROVISION FOR INCOME TAXES 9,803 8,542 20,718 18,704
NET INCOME $ 17,338 $ 16,164 $ 37,295 $ 33,914
Earnings per share:
Per common share - basic $0.25 $0.23 $0.53 $0.49
Per common share - diluted $0.24 $0.23 $0.52 $0.48
Weighted average shares
outstanding:
Basic 70,409 69,954 70,338 69,693
Diluted 71,227 71,111 71,219 71,094
IMMUCOR, INC.
SELECTED CONDENSED CONSOLIDATED BALANCE SHEET ITEMS
(Unaudited, in thousands)
November 30, May 31,
2008 2008
Cash $92,302 $175,056
Accounts receivable - trade 55,817 52,720
Inventory 34,528 32,228
Total current assets 192,515 271,575
Property and equipment - net 38,154 36,426
Total assets 395,463 364,950
Accounts payable 8,182 7,546
Total current liabilities 43,504 41,019
Other liabilities 16,151 16,235
Shareholders' equity 335,808 307,696
IMMUCOR, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited, in thousands)
Six Months Ended
November 30, November 30,
2008 2007
OPERATING ACTIVITIES:
Net income $ 37,295 $ 33,914
Adjustments to reconcile net income to
net cash provided by operating activities:
Depreciation and amortization 6,313 4,063
Share-based compensation expense 2,478 2,032
Deferred income taxes 850 (3,031)
Excess tax benefit from share-based
compensation (2,880) (6,279)
Other 579 347
Changes in operating assets and liabilities,
net of effects from acquired companies (12,327) (4,436)
Cash provided by operating activities 32,308 26,610
INVESTING ACTIVITIES:
Purchases of property and equipment (3,602) (5,711)
Acquisition of businesses, net of cash acquired (108,537) -
Cash used in investing activities (112,139) (5,711)
FINANCING ACTIVITIES:
Repayments of long-term debt and liabilities (229) (233)
Repurchase of common stock (5,644) (5,539)
Proceeds from exercise of stock options 2,452 1,794
Excess tax benefit from share-based compensation 2,880 6,279
Cash (used in) provided by financing activities (541) 2,301
EFFECT OF EXCHANGE RATES ON CASH AND CASH
EQUIVALENTS (2,382) 1,027
(DECREASE) INCREASE IN CASH AND CASH
EQUIVALENTS (82,754) 24,227
CASH AND CASH EQUIVALENTS AT BEGINNING OF
PERIOD 175,056 113,551
CASH AND CASH EQUIVALENTS AT END OF PERIOD $ 92,302 $ 137,778
SOURCE Immucor, Inc.
