Bruker (NASDAQ:BRKR)
Historical Stock Chart
From Jul 2019 to Jul 2024
Bruker BioSciences Corporation (NASDAQ: BRKR) today
reported third quarter 2005 revenue of $70.7 million, a 6.4% increase
from revenue of $66.5 million in the third quarter of 2004. For the
nine months ended September 30, 2005, revenue increased 9.2% to $217.0
million, compared to $198.8 million for the same period last year.
Revenue growth during the three and nine months ended September 30,
2005 included favorable foreign currency effects of 0.4% and 2.5%,
respectively.
Third quarter 2005 operating income was $2.9 million, compared to
an operating loss of ($0.1) million in the third quarter of 2004. Net
income in the third quarter of 2005 was $1.1 million, or $0.01 per
diluted share, compared to a net loss of ($3.1) million, or ($0.03)
per diluted share, in the third quarter of 2004. For the nine months
ended September 30, 2005, operating income was $6.4 million, and net
income was $1.8 million, or $0.02 per diluted share, compared to an
operating loss of ($3.7) million, and a net loss of ($7.0) million, or
($0.08) per diluted share, for the comparable period in 2004.
During the third quarter 2005, positive operating cash flow of
$3.9 million increased our cash position to $95.3 million. For the
nine months ended September 30, 2005, we had positive operating cash
flow of $25.6 million.
Commenting on the quarter, Frank Laukien, President and CEO, said:
"We continue to make progress with our various on-going gross margin
improvement initiatives and continued expense control, which resulted
in improved profitability during the third quarter, both
year-over-year and sequentially. I also believe we are well positioned
in the markets we serve with our customer-oriented culture, strong
technology and IP base, and performance-leading products. This year,
we have continued to invest in new products and integrated
bio-analytical solutions, as well as in additional marketing and
customer support capabilities. In 2006, we also expect top- and
bottom-line contributions from our recently announced X-ray software
and microanalysis acquisitions, which are expected to close in the
near future."
William Knight, Chief Financial Officer, commented: "Improvements
in our profitability remain our top priority and these efforts
continue to result in improved operating and net income. I am pleased
with our results in the third quarter, and view our third quarter and
year-to-date financial performance as part of a successful turn-around
and clear positive trend, as we continue our progress towards our
longer term financial goals. I am also encouraged by our positive
operating cash flow of $25 million during the first three quarters of
2005, and our strengthened balance sheet with significant reductions
in accounts receivables, inventory and outstanding debt balances.
OPERATING BUSINESSES
Set forth below is selected financial information for Bruker
BioSciences' two operating businesses: Bruker Daltonics (life-science
mass spectrometry and NBC detection business) and Bruker AXS (x-ray
analysis business):
BRUKER DALTONICS
In the third quarter of 2005, revenue for the Bruker Daltonics
business increased 8.0% to $36.9 million, from $34.2 million in the
third quarter of 2004. For the nine months ended September 30, 2005,
revenue for the Bruker Daltonics business increased 8.4% to $117.0
million, from $107.9 million for the same period last year. For the
nine months ended September 30, 2005, Bruker Daltonics' revenue was
derived 70% from life-science mass spectrometry systems, 10% from
substance detection systems, and 20% from after-market sales. EBITDA
was $4.2 million for the third quarter of 2005, compared to $2.6
million for the third quarter of 2004. EBITDA was $10.8 million for
the nine months ended September 30, 2005, compared to $5.5 million for
the same period last year.
BRUKER AXS
In the third quarter of 2005, revenue for the Bruker AXS business
increased 5.2% to $33.9 million, from $32.3 million in the third
quarter of 2004. For the nine months ended September 30, 2005, revenue
for the Bruker AXS business increased 10.6% to $100.5 million, from
$90.9 million for the same period last year. For the nine months ended
September 30, 2005, Bruker AXS' revenue was derived 75% from systems
sales and 25% from after-market sales. EBITDA was $1.5 million in the
third quarter of 2005, compared to $0.1 million in the third quarter
of 2004. EBITDA was $4.6 million for the nine months ended September
30, 2005, compared to ($0.8) million for the same period last year.
USE OF NON-GAAP FINANCIAL MEASURES
In addition to the financial measures prepared in accordance with
generally accepted accounting principles (GAAP), we use the non-GAAP
measure of EBITDA. EBITDA is defined as US GAAP operating income
(loss) excluding depreciation and amortization expense. We believe
that the inclusion of this non-GAAP measure helps investors to gain a
better understanding of our core operating results and future
prospects, consistent with how management measures and forecasts the
Company's performance, especially when comparing such results to
previous periods or forecasts. However, the non-GAAP financial measure
included in this press release is not meant to be a better
presentation or a substitute for results of operations prepared in
accordance with GAAP. Reconciliations of this non-GAAP financial
measure to the most directly comparable GAAP financial measures are
set forth in the accompanying tables.
EARNINGS CONFERENCE CALL
Bruker BioSciences will host an operator-assisted earnings
conference call at 5 p.m. Eastern Standard Time on Wednesday, November
2, 2005. To listen to the webcast, investors can go to
www.bruker-biosciences.com and click on the live web broadcast symbol.
The webcast will be available through the Company web site for 30
days. Investors can also listen and participate on the telephone in
the US and Canada by calling 888-339-2688, or 617-847-3007 outside the
US and Canada. Investors should refer to the Bruker BioSciences
Quarterly Earnings Call. A telephone replay of the conference call
will be available one hour after the conference call by dialing
888-286-8010 in the US and Canada, or 617-801-6888 outside the US and
Canada, and then entering replay pass code 39147513.
ABOUT BRUKER BIOSCIENCES
Bruker BioSciences Corporation, headquartered in Billerica,
Massachusetts, is the publicly traded parent company of Bruker
Daltonics Inc. and Bruker AXS Inc. Bruker AXS is a leading developer
and provider of life science and advanced materials research tools
based on x-ray technology. Bruker Daltonics is a leading developer and
provider of innovative life science tools based on mass spectrometry.
Bruker Daltonics also offers a broad line of nuclear, biological and
chemical (NBC) detection products for defense and homeland security.
For more information, please visit www.bruker-biosciences.com.
CAUTIONARY STATEMENT
Any statements contained in this press release that do not
describe historical facts may constitute forward-looking statements as
that term is defined in the Private Securities Litigation Reform Act
of 1995. Any forward-looking statements contained herein are based on
current expectations, but are subject to a number of risks and
uncertainties. The factors that could cause actual future results to
differ materially from current expectations include, but are not
limited to, risks and uncertainties relating to the Company's
reorganization strategies, integration risks, failure of conditions,
technological approaches, product development, market acceptance, cost
and pricing of the Company's products, exposure to currency
fluctuations, changes in governmental regulations, capital spending
and government funding policies, FDA and other regulatory approvals to
the extent applicable, competition, the intellectual property of
others, patent protection and litigation. These and other factors are
identified and described in more detail in our filings with the SEC,
including, without limitation, our respective annual reports on Form
10-K for the year ended December 31, 2004, our most recent quarterly
reports on Form 10-Q, and our current reports on Form 8-K. We disclaim
any intent or obligation to update these forward-looking statements.
Condensed consolidated statements of operations, operating
business information, and balance sheets follow for Bruker BioSciences
Corporation.
-0-
*T
Bruker BioSciences Corporation
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
Three Months Ended Nine Months Ended
September 30, September 30,
------------------- -------------------
2005 2004 2005 2004
--------- --------- --------- ---------
Product revenue $ 61,062 $ 58,413 $188,609 $174,707
Service revenue 8,747 7,430 26,479 22,855
Other revenue 928 634 1,928 1,216
--------- --------- --------- ---------
Total revenue 70,737 66,477 217,016 198,778
Cost of product revenue 35,452 32,960 107,992 103,815
Cost of service revenue 4,866 4,570 16,681 14,205
--------- --------- --------- ---------
Total cost of revenue 40,318 37,530 124,673 118,020
--------- --------- --------- ---------
Gross profit margin 30,419 28,947 92,343 80,758
Operating Expenses:
Sales and marketing 11,845 12,952 37,382 38,816
General and administrative 5,677 5,257 16,632 14,515
Research and development 9,969 10,824 31,951 31,091
--------- --------- --------- ---------
Total operating expenses 27,491 29,033 85,965 84,422
--------- --------- --------- ---------
Operating income (loss) 2,928 (86) 6,378 (3,664)
Interest and other income
(expense), net 577 (1,902) 1,001 (2,768)
--------- --------- --------- ---------
Income (loss) before income
tax provision and minority
interest in consolidated
subsidiaries 3,505 (1,988) 7,379 (6,432)
Income tax provision 2,398 955 5,468 395
--------- --------- --------- ---------
Income (loss) before minority
interest in consolidated
subsidiaries 1,107 (2,943) 1,911 (6,827)
Minority interest in
consolidated subsidiaries 28 115 131 145
--------- --------- --------- ---------
Net income (loss) $ 1,079 $ (3,058) $ 1,780 $ (6,972)
========= ========= ========= =========
Net income (loss) per share:
Basic $ 0.01 $ (0.03) $ 0.02 $ (0.08)
========= ========= ========= =========
Diluted $ 0.01 $ (0.03) $ 0.02 $ (0.08)
========= ========= ========= =========
Weighted average shares
outstanding:
Basic 89,476 89,456 89,473 88,156
========= ========= ========= =========
Diluted 89,669 89,456 89,620 88,156
========= ========= ========= =========
Bruker BioSciences Corporation
BRUKER DALTONICS SELECTED OPERATING BUSINESS INFORMATION
(in thousands)
Three Months Ended Nine Months Ended
September 30, September 30,
------------------- -------------------
2005 2004 2005 2004
--------- --------- --------- ---------
Total revenue $ 36,949 $ 34,218 $116,954 $107,928
========= ========= ========= =========
Operating income $ 2,946 $ 1,532 $ 6,894 $ 1,784
Depreciation and
amortization 1,269 1,020 3,930 3,728
---------- --------- --------- ---------
EBITDA $ 4,215 $ 2,552 $ 10,824 $ 5,512
========= ========= ========= =========
Bruker BioSciences Corporation
BRUKER AXS SELECTED OPERATING BUSINESS INFORMATION
(in thousands)
Three Months Ended Nine Months Ended
September 30, September 30,
------------------- -------------------
2005 2004 2005 2004
--------- --------- --------- ---------
Total revenue $ 33,938 $ 32,259 $100,520 $ 90,851
========= ========= ========= =========
Operating income (loss) $ 595 $ (775) $ 1,836 $ (3,541)
Depreciation and
amortization 930 912 2,722 2,760
---------- --------- --------- ---------
EBITDA $ 1,525 $ 137 $ 4,558 $ (781)
========= ========= ========= =========
Bruker BioSciences Corporation
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
September 30, December 31,
2005 2004
------------- -------------
(unaudited)
ASSETS
Current assets:
Cash and short-term investments $ 95,337 $ 77,691
Accounts receivable, net 49,370 57,792
Due from affiliated companies 5,920 9,530
Inventories 99,309 107,748
Other current assets 13,103 18,530
------------- -------------
Total current assets 263,039 271,291
Property and equipment, net 73,472 84,990
Intangible and other assets 14,835 15,266
------------- -------------
Total assets $ 351,346 $ 371,547
============= =============
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Short-term borrowings $ 10,960 $ 12,205
Accounts payable 14,804 22,652
Due to affiliated companies 2,857 3,026
Other current liabilities 80,070 73,277
------------- -------------
Total current liabilities 108,691 111,160
Long-term debt 21,821 27,763
Other long-term liabilities 13,593 15,156
Minority interest in subsidiaries 324 193
Total shareholders' equity 206,917 217,275
------------- -------------
Total liabilities and shareholders'
equity $ 351,346 $ 371,547
============= =============
*T