SAN DIEGO, April 30, 2012 /PRNewswire/ -- Gen-Probe
Incorporated (NASDAQ: GPRO) today reported financial results for
the first quarter of 2012, highlighted by total revenues of
$153.4 million and non-GAAP earnings
per share (EPS) of $0.55.
(Logo:
http://photos.prnewswire.com/prnh/20120312/LA68580LOGO)
"Gen-Probe is off to a strong start in 2012 driven by the
continued growth of our women's health franchise," said
Carl Hull, the Company's chairman
and chief executive officer. "We plan to build on that
momentum as our new products gain further traction in the
marketplace and as we anticipate launching our PANTHER system in
the U.S."
Also today, Gen-Probe and Hologic, Inc. (NASDAQ: HOLX) announced
that they have entered into a definitive agreement pursuant to
which Hologic will acquire Gen-Probe for $82.75 per share in cash, or a total of
approximately $3.7 billion.
Please refer to a joint press release issued by the parties today
for additional details regarding the transaction.
Financial Results
Key financial results for the first quarter of 2012 were ($ in
millions, except EPS):
|
Non-GAAP
|
|
GAAP
|
|
2012
|
|
2011
|
|
Change
|
|
2012
|
|
2011
|
|
Change
|
Product
sales
|
$
|
150.1
|
|
$
|
138.1
|
|
+9%
|
|
$
|
150.1
|
|
$
|
138.1
|
|
+9%
|
Total
revenues
|
$
|
153.4
|
|
$
|
143.0
|
|
+7%
|
|
$
|
153.4
|
|
$
|
143.0
|
|
+7%
|
Operating
profit
|
$
|
35.6
|
|
$
|
38.9
|
|
-8%
|
|
$
|
31.7
|
|
$
|
34.7
|
|
-9%
|
Net
income
|
$
|
25.2
|
|
$
|
26.6
|
|
-5%
|
|
$
|
22.5
|
|
$
|
23.3
|
|
-3%
|
EPS
|
$
|
0.55
|
|
$
|
0.54
|
|
+2%
|
|
$
|
0.49
|
|
$
|
0.48
|
|
+2%
|
Revenue Detail
In the first quarter of 2012, clinical diagnostics product sales
grew by 7% compared to the prior year period. This increase
was driven primarily by domestic and international sales growth in
our women's health franchise, which includes the APTIMA Combo 2®
assay for detecting Chlamydia and gonorrhea, the APTIMA
Trichomonas assay for detecting Trichomonas vaginalis, and
the APTIMA HPV assay for detecting high-risk strains of the human
papillomavirus (HPV). Foreign currency fluctuations reduced
clinical diagnostics sales by an estimated $0.5 million compared to the prior year
period.
In blood screening, first-quarter sales increased by 12%
compared to the prior year period, mainly due to greater shipments
of TIGRIS® instruments to Novartis, the Company's blood screening
collaboration partner. Foreign currency fluctuations
decreased blood screening sales by an estimated $0.1 million compared to the prior year
period.
Sales of research products and services in the first quarter of
2012 were $2.7 million, down 13%
compared to the prior year period. Foreign currency
fluctuations had an immaterial effect on these sales compared to
the prior year period.
First quarter product sales were ($ in millions):
|
Three
Months Ended March 31,
|
|
Change
|
|
|
2012
|
|
|
2011
|
|
As
Reported
|
|
Constant
Currency
|
Clinical
Diagnostics
|
$
|
94.9
|
|
$
|
88.3
|
|
+7%
|
|
+8%
|
Blood
Screening
|
$
|
52.5
|
|
$
|
46.7
|
|
+12%
|
|
+13%
|
Research
Products and Services
|
$
|
2.7
|
|
$
|
3.1
|
|
-13%
|
|
-13%
|
Total
Product Sales
|
$
|
150.1
|
|
$
|
138.1
|
|
+9%
|
|
+9%
|
Collaborative research revenue in the first quarter of 2012 was
$1.4 million, compared to
$3.6 million in the prior year
period, a decrease of 61% that resulted primarily from an expected
decrease in funding from Novartis associated with the development
of the fully automated PANTHER® instrument for the blood screening
market. The PANTHER system remains on track to be launched
into international blood screening markets this year.
Royalty and license revenues in the first quarter of 2012 were
$1.9 million, compared to
$1.4 million in the prior year
period, an increase of 36%.
GAAP Income Statement Details
Gross margin on product sales was 65.1% in the first quarter of
2012, compared to 69.6% in the prior year period. This
decrease resulted primarily from higher sales of low-margin
instrumentation to Novartis, which are generally a precursor to
future assay sales, and lower sales of higher margin PRODESSE
influenza products.
Acquisition-related amortization expenses were $2.8 million in both the first quarters of 2012
and 2011.
Research and development (R&D) expenses were $28.6 million in the first quarter of 2012,
compared to $29.0 million in the
prior year period, a decrease of 1%.
Marketing and sales expenses were $19.0
million in the first quarter of 2012, compared to
$16.5 million in the prior year
period, an increase of 15% that resulted primarily from the
expansion of our women's health commercial operations and other
marketing activities.
General and administrative (G&A) expenses were $19.0 million in the first quarter of 2012,
compared to $18.2 million in the
prior year period, an increase of 4% that resulted mainly from
increases in costs relating to ongoing litigation.
Operating profit was $31.7 million
during the first quarter of 2012, compared to $34.7 million in the prior year period, a decline
of 9% attributable to product mix and the higher level of marketing
and sales expenditures.
Total other income, net, was $2.1
million in the first quarter of 2012, compared to total
other income, net, of $0.4 million in
the prior year period, an increase of $1.7
million primarily attributed to higher net realized gains on
sales of marketable securities.
Income tax expense was $11.3
million in the first quarter of 2012, corresponding to an
effective tax rate of 34%.
Non-GAAP Income Statement Details
In the first quarter of 2012, non-GAAP gross margin on product
sales, R&D expenses, marketing and sales expenses, and total
other income, net, were similar to the corresponding GAAP
results.
Excluding transaction-related expenses and restructuring costs,
non-GAAP G&A expenses were $17.8
million in the first quarter of 2012, compared to
$16.8 million in the prior year
period, an increase of 6%.
Non-GAAP operating profit was $35.6
million in the first quarter of 2012, compared to
$38.9 million in the prior year
period, a decline of 8%.
Non-GAAP income tax expense was $12.5
million in the first quarter of 2012, corresponding to an
effective tax rate of 33%.
Cash Flows and Balance Sheet
In the first quarter of 2012, Gen-Probe generated net cash of
$31.7 million from operating
activities, and spent $9.3 million on
property, plant and equipment, leading to free cash flow of
$22.4 million.
Gen-Probe continues to maintain a strong balance sheet. As
of March 31, 2012, the Company had
$401.3 million of cash, cash
equivalents and marketable securities, and $248.0 million of short-term debt. The
Company pays interest on this debt at a rate 0.6% above the
one-month London Interbank Offered Rate (LIBOR), which was recently
below 0.3%.
2012 Financial Guidance
Based on the pending acquisition by Hologic, Gen-Probe is
simplifying its 2012 financial guidance.
"The Company remains on track to achieve the full-year revenue
and earnings targets we outlined in February," said Herm Rosenman, Gen-Probe's senior vice
president, finance, and chief financial officer. "For the
second quarter, we expect a sequential improvement in total
revenues of a couple million dollars. On the bottom line, we
expect second quarter earnings between 55
and 58 cents per share on a non-GAAP basis, which
corresponds to between 51 and 54
cents on a GAAP basis."
About Non-GAAP Financial Measures
Gen-Probe's management believes that non-GAAP financial measures
provide meaningful supplemental information regarding the Company's
performance by excluding certain expenses and other items that may
not be indicative of core business results. To supplement the
Company's financial results for the first quarter of 2012 and its
2012 financial guidance, in each case presented in accordance with
GAAP, Gen-Probe uses the following financial measures defined as
non-GAAP by the SEC: non-GAAP net income, non-GAAP gross margin,
non-GAAP R&D expenses, non-GAAP marketing and sales expenses,
non-GAAP G&A expenses, non-GAAP operating profit, non-GAAP
income tax rate, and non-GAAP EPS. Gen-Probe's management
does not, nor does it suggest that investors should, consider such
non-GAAP financial measures in isolation from, or as a substitute
for, financial information prepared and presented in accordance
with GAAP. Gen-Probe believes that both management and
investors benefit from referring to these non-GAAP financial
measures in assessing Gen-Probe's performance and when planning,
forecasting and analyzing future periods. These non-GAAP
financial measures also facilitate management's internal
comparisons to Gen-Probe's historical performance and our
competitors' operating results. Gen-Probe believes these
non-GAAP financial measures are useful to investors in allowing for
greater transparency with respect to supplemental information used
by management in its financial and operational decision
making. Further, our reconciliations of non-GAAP to GAAP
operating results, which are included on the attached tables, are
presented in the format of consolidated statements of income solely
to assist a reader in understanding the impact of the various
adjustments to our GAAP operating results, individually and in the
aggregate, and are not intended to place any undue prominence on
our non-GAAP operating results.
Notes on Presentation
In this news release, all per share amounts are calculated on a
diluted basis. Some totals may not foot due to
rounding.
Conference Call and Webcast
Hologic and Gen-Probe management will host a conference call at
8:15 a.m. (Eastern) to discuss
today's announcement, Hologic's second fiscal quarter of 2012
results and Gen-Probe's first quarter 2012 results. Interested
participants may listen to the call by dialing 877-856-1962 (for
callers within the U.S.) or 719-325-4863 (for international
callers) and referencing code 4975261 approximately 15 minutes
prior to the call. The webcast and accompanying slides can be
accessed at www.hologic.com or www.gen-probe.com.
A replay of the call will be available through May 18, 2012 at 888-203-1112 (for callers within
the U.S.) or 719-457-0820 (for international callers), access code
4975261, and at www.hologic.com or www.gen-probe.com.
Supporting materials for the conference call, including a
presentation, will be available on the Investor Relations sections
of Hologic's and Gen-Probe's websites at
http://investors.hologic.com and www.gen-probe.com,
respectively.
Gen-Probe's first quarter earnings conference call, originally
scheduled for Thursday, May 3, is
canceled.
About Gen-Probe
Gen-Probe is a global leader in the development, manufacture and
marketing of rapid, accurate and cost-effective molecular
diagnostic products and services that are used primarily to
diagnose human diseases, screen donated human blood, and ensure
transplant compatibility. Gen-Probe is headquartered in
San Diego and employs
approximately 1,400 people. For more information, go to
www.gen-probe.com.
Trademarks
APTIMA, APTIMA COMBO 2, PANTHER and TIGRIS are trademarks of
Gen-Probe. All other trademarks are the property of their
owners.
Where You Can Find Additional Information
In connection with Gen-Probe's pending acquisition by Hologic,
Gen-Probe will file a proxy statement and other materials with
the Securities and Exchange Commission (the "SEC"). GEN-PROBE
URGES INVESTORS TO READ THE PROXY STATEMENT AND THESE OTHER
MATERIALS CAREFULLY WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL
CONTAIN IMPORTANT INFORMATION ABOUT THE COMPANY AND THE PROPOSED
TRANSACTION. Investors may obtain free copies of the proxy
statement (when available) as well as other filed documents
containing information about Gen-Probe at http://www.sec.gov, the
SEC's free internet site. Free copies of Gen-Probe's SEC filings
including the proxy statement (when available) are also available
on Gen-Probe's website at http://www.gen-probe.com/.
Gen-Probe and its executive officers and directors may be
deemed, under SEC rules, to be participants in the solicitation of
proxies from Gen-Probe's stockholders with respect to the proposed
transaction. Information regarding Gen-Probe's officers and
directors is included in Gen-Probe's Definitive Proxy Statement on
Schedule 14A filed with the SEC on April 5, 2012 with respect to its 2012 Annual
Meeting of Stockholders. More detailed information regarding
the identity of the potential participants, and their direct or
indirect interests, by security holdings or otherwise, will be set
forth in the proxy statement and other materials to be filed with
SEC in connection with the proposed transaction.
Caution Regarding Forward-Looking Statements
Any statements in this news release about our expectations,
beliefs, plans, objectives, assumptions or future events or
performance, including those under the heading "2012 Financial
Guidance," or regarding Gen-Probe's pending acquisition by Hologic
are not historical facts and are forward-looking statements. These
statements are often, but not always, made through the use of words
or phrases such as believe, will, expect, anticipate, estimate,
intend, plan and would. For example, statements concerning
Gen-Probe's financial condition, possible or expected results of
operations, the development and commercialization of new products,
regulatory approvals, future milestones, growth opportunities,
market trends, management plans, and the pending acquisition by
Hologic are forward-looking statements. Forward-looking statements
are not guarantees of performance. They involve known and unknown
risks, uncertainties and assumptions that may cause actual results,
levels of activity, performance or achievements to differ
materially from those expressed or implied. Some of these risks,
uncertainties and assumptions include but are not limited to: (i)
the risk that we may not achieve our expected 2012 financial
targets, (ii) the risk that we may not integrate acquisitions, such
as Tepnel, Prodesse and GTI, successfully, (iii) the possibility
that the market for the sale of our new products, such as our
PANTHER system and PROGENSA PCA3, APTIMA HPV and APTIMA trichomonas
assays, may not develop as expected, (iv) the ability of the
parties to obtain regulatory approvals or clearance for Gen-Probe's
acquisition by Hologic on the proposed terms and schedule; (v) the
potential that the closing conditions of the acquisition may not be
satisfied; (vi) the risk that Gen-Probe's stockholders may not
approve the transaction; (vii) the risk that the businesses will
not be integrated successfully; (viii) the transaction may involve
unexpected costs or unexpected liabilities; (ix) the risk that the
cost savings and any other synergies from the transaction may not
be fully realized or may take longer to realize than expected; (x)
the enhancement of existing products and the development of new
products may not proceed as planned, (xi) the risk that
investigational products, including those now in US clinical
trials, may not be approved by regulatory authorities or become
commercially available in the time frame we anticipate, or at all,
(xii) the risk that we may not be able to compete effectively,
(xiii) the risk that we may not be able to maintain our current
corporate collaborations or enter into new ones, (xiv) our
dependence on Novartis and other third parties for the distribution
of some of our products, (xv) our dependence on a small number of
customers, contract manufacturers and single source suppliers of
raw materials, (xvi) changes in third-party reimbursement policies
regarding our products could adversely affect sales, (xvii) changes
in government regulation or tax policy affecting our diagnostic
products could harm our sales, increase our development costs or
increase our taxes, (xviii) the risk that our intellectual property
may be infringed or invalidated, and (xix) our involvement in
patent and other intellectual property and commercial litigation
could be expensive and could divert management's attention. This
list includes some, but not all, of the factors that could affect
our ability to achieve results described in forward-looking
statements. For additional information about risks and
uncertainties we face and a discussion of our financial statements
and footnotes, see documents we file with the SEC, including our
most recent annual report on Form 10-K and all subsequent periodic
reports. We assume no obligation and expressly disclaim any duty to
update forward-looking statements to reflect events or
circumstances after the date of this news release or to reflect the
occurrence of subsequent events.
Contact:
|
|
Al
Kildani
Sr.
director, investor relations and
corporate
communications
858-410-8653
|
Gen-Probe Incorporated
Consolidated Balance Sheets - GAAP
(In
thousands, except share and per share data)
|
|
|
|
|
|
March
31,
2012
|
|
December 31,
2011
|
|
(Unaudited)
|
|
|
ASSETS
|
|
|
|
Current
assets
|
|
|
|
Cash and cash equivalents
|
$
|
138,774
|
|
|
$
|
87,021
|
|
Marketable securities
|
174,409
|
|
|
218,789
|
|
Trade accounts receivable, net of allowance for
doubtful accounts of $293 and $320 as of
March 31, 2012 and December 31, 2011,
respectively
|
67,199
|
|
|
57,767
|
|
Accounts receivable—other
|
2,317
|
|
|
3,446
|
|
Inventories
|
81,331
|
|
|
77,886
|
|
Deferred income tax
|
8,707
|
|
|
8,188
|
|
Prepaid expenses
|
15,792
|
|
|
11,555
|
|
Other current assets
|
3,732
|
|
|
4,967
|
|
Total
current assets
|
492,261
|
|
|
469,619
|
|
Marketable
securities, net of current portion
|
88,101
|
|
|
62,237
|
|
Property,
plant and equipment, net
|
180,270
|
|
|
176,081
|
|
Capitalized software, net
|
17,961
|
|
|
16,992
|
|
Patents,
net
|
11,486
|
|
|
11,758
|
|
Goodwill
|
140,385
|
|
|
140,404
|
|
Purchased
intangibles, net
|
104,553
|
|
|
106,619
|
|
License,
manufacturing access fees and other assets, net
|
61,246
|
|
|
61,738
|
|
Total
assets
|
$
|
1,096,263
|
|
|
$
|
1,045,448
|
|
LIABILITIES AND STOCKHOLDERS'
EQUITY
|
|
|
|
Current
liabilities
|
|
|
|
Accounts payable
|
$
|
14,260
|
|
|
$
|
12,000
|
|
Accrued salaries and employee benefits
|
21,533
|
|
|
28,795
|
|
Other accrued expenses
|
17,584
|
|
|
12,846
|
|
Income tax payable
|
6,428
|
|
|
1,857
|
|
Short-term borrowings
|
248,000
|
|
|
248,000
|
|
Deferred revenue
|
1,413
|
|
|
1,238
|
|
Total
current liabilities
|
309,218
|
|
|
304,736
|
|
Non-current income tax payable
|
10,044
|
|
|
10,019
|
|
Deferred
income tax
|
19,283
|
|
|
19,283
|
|
Deferred
revenue, net of current portion
|
3,644
|
|
|
3,237
|
|
Other
long-term liabilities
|
7,910
|
|
|
7,831
|
|
Commitments and contingencies
|
|
|
|
Stockholders' equity
|
|
|
|
Preferred stock, $0.0001 par value per share;
20,000,000 shares authorized, none issued and
outstanding
|
—
|
|
|
—
|
|
Common stock, $0.0001 par value per share;
200,000,000 shares authorized, 45,342,898 and
45,008,879 shares issued and outstanding as of March
31, 2012 and December 31, 2011,
respectively
|
5
|
|
|
5
|
|
Additional paid-in capital
|
43,954
|
|
|
23,650
|
|
Accumulated other comprehensive income
(loss)
|
2,745
|
|
|
(313)
|
|
Retained earnings
|
699,460
|
|
|
677,000
|
|
Total
stockholders' equity
|
746,164
|
|
|
700,342
|
|
Total
liabilities and stockholders' equity
|
$
|
1,096,263
|
|
|
$
|
1,045,448
|
|
|
|
|
Gen-Probe Incorporated
Consolidated Statements of Income -
GAAP
(In
thousands, except per share data)
(Unaudited)
|
|
|
|
|
|
Three
Months Ended March 31,
|
|
|
2012
|
|
2011
|
Revenues
|
|
|
|
|
Product sales
|
|
$
|
150,117
|
|
|
$
|
138,112
|
|
Collaborative research revenue
|
|
1,351
|
|
|
3,568
|
|
Royalty and license revenue
|
|
1,914
|
|
|
1,358
|
|
Total
revenues
|
|
153,382
|
|
|
143,038
|
|
Operating
expenses
|
|
|
|
|
Cost of product sales (excluding acquisition-related
intangible amortization)
|
|
52,371
|
|
|
41,943
|
|
Acquisition-related intangible
amortization
|
|
2,759
|
|
|
2,805
|
|
Research and development
|
|
28,586
|
|
|
28,963
|
|
Marketing and sales
|
|
19,045
|
|
|
16,522
|
|
General and administrative
|
|
18,954
|
|
|
18,153
|
|
Total
operating expenses
|
|
121,715
|
|
|
108,386
|
|
Income
from operations
|
|
31,667
|
|
|
34,652
|
|
Other
income (expense)
|
|
|
|
|
Investment and interest income
|
|
2,538
|
|
|
735
|
|
Interest expense
|
|
(543)
|
|
|
(503)
|
|
Other income, net
|
|
128
|
|
|
177
|
|
Total
other income, net
|
|
2,123
|
|
|
409
|
|
Income
before income tax
|
|
33,790
|
|
|
35,061
|
|
Income tax
expense
|
|
11,330
|
|
|
11,784
|
|
Net
income
|
|
$
|
22,460
|
|
|
$
|
23,277
|
|
Net income
per share
|
|
|
|
|
Basic
|
|
$
|
0.50
|
|
|
$
|
0.49
|
|
Diluted
|
|
$
|
0.49
|
|
|
$
|
0.48
|
|
Weighted
average shares outstanding
|
|
|
|
|
Basic
|
|
45,124
|
|
|
47,861
|
|
Diluted
|
|
46,204
|
|
|
49,004
|
|
Gen-Probe Incorporated
Consolidated Statements of Income- Non-GAAP
Reconciliations
(In
thousands, except per share data)
(Unaudited)
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
Three
Months Ended
|
|
|
March 31, 2012
|
|
March 31, 2011
|
|
|
Non-GAAP
|
Adjustments
|
GAAP
|
|
Non-GAAP
|
Adjustments
|
GAAP
|
Revenues:
|
|
|
|
|
|
|
|
|
Product
sales
|
|
$
|
150,117
|
|
$
|
—
|
|
$
|
150,117
|
|
|
$
|
138,112
|
|
$
|
—
|
|
$
|
138,112
|
|
Collaborative research revenue
|
|
1,351
|
|
—
|
|
1,351
|
|
|
3,568
|
|
—
|
|
3,568
|
|
Royalty
and license revenue
|
|
1,914
|
|
—
|
|
1,914
|
|
|
1,358
|
|
—
|
|
1,358
|
|
Total
revenues
|
|
153,382
|
|
—
|
|
153,382
|
|
|
143,038
|
|
—
|
|
143,038
|
|
|
|
|
|
|
|
|
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
Cost of
product sales (excluding acquisition-related intangible
amortization)
|
|
52,281
|
|
90
|
|
52,371
|
|
|
41,852
|
|
91
|
|
41,943
|
|
Acquisition-related intangible
amortization
|
|
—
|
|
2,759
|
|
2,759
|
|
|
—
|
|
2,805
|
|
2,805
|
|
Research
and development
|
|
28,586
|
|
—
|
|
28,586
|
|
|
28,963
|
|
—
|
|
28,963
|
|
Marketing
and sales
|
|
19,045
|
|
—
|
|
19,045
|
|
|
16,522
|
|
—
|
|
16,522
|
|
General
and administrative
|
|
17,847
|
|
1,107
|
|
18,954
|
|
|
16,800
|
|
1,353
|
|
18,153
|
|
Total
operating expenses
|
|
117,759
|
|
3,956
|
|
121,715
|
|
|
104,137
|
|
4,249
|
|
108,386
|
|
Income
from operations
|
|
35,623
|
|
(3,956)
|
|
31,667
|
|
|
38,901
|
|
(4,249)
|
|
34,652
|
|
Other
income (expense)
|
|
|
|
|
|
|
|
|
Investment
and interest income
|
|
2,538
|
|
—
|
|
2,538
|
|
|
735
|
|
—
|
|
735
|
|
Interest
expense
|
|
(543)
|
|
—
|
|
(543)
|
|
|
(503)
|
|
—
|
|
(503)
|
|
Other
income, net
|
|
128
|
|
—
|
|
128
|
|
|
177
|
|
—
|
|
177
|
|
Total
other income, net
|
|
2,123
|
|
—
|
|
2,123
|
|
|
409
|
|
—
|
|
409
|
|
Income
before income tax
|
|
37,746
|
|
(3,956)
|
|
33,790
|
|
|
39,310
|
|
(4,249)
|
|
35,061
|
|
Income tax
expense
|
|
12,519
|
|
(1,189)
|
|
11,330
|
|
|
12,756
|
|
(972)
|
|
11,784
|
|
Net
income
|
|
$
|
25,227
|
|
$
|
(2,767)
|
|
$
|
22,460
|
|
|
$
|
26,554
|
|
$
|
(3,277)
|
|
$
|
23,277
|
|
|
|
|
|
|
|
|
|
|
Net income
per share
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
0.56
|
|
$
|
(0.06)
|
|
$
|
0.50
|
|
|
$
|
0.55
|
|
$
|
(0.06)
|
|
$
|
0.49
|
|
Diluted
|
|
$
|
0.55
|
|
$
|
(0.06)
|
|
$
|
0.49
|
|
|
$
|
0.54
|
|
$
|
(0.06)
|
|
$
|
0.48
|
|
|
|
|
|
|
|
|
|
|
Weighted
average shares outstanding
|
|
|
|
|
|
|
|
|
Basic
|
|
45,124
|
|
|
45,124
|
|
|
47,861
|
|
|
47,861
|
|
Diluted
|
|
46,204
|
|
|
46,204
|
|
|
49,004
|
|
|
49,004
|
|
Gen-Probe Incorporated
Consolidated Statements of Cash Flows -
GAAP
(In
thousands)
(Unaudited)
|
|
|
|
|
|
Three
Months Ended March 31,
|
|
|
|
2012
|
|
|
2011
|
|
Operating activities
|
|
|
|
|
Net
income
|
|
$
|
22,460
|
|
|
$
|
23,277
|
|
Adjustments to reconcile net income to net cash
provided by operating activities
|
|
|
|
|
Depreciation and amortization
|
|
11,448
|
|
|
11,345
|
|
Amortization of premiums on investments, net of
accretion of discounts
|
|
2,037
|
|
|
2,673
|
|
Stock-based compensation
|
|
6,152
|
|
|
6,036
|
|
Excess tax benefit from employee stock-based
compensation
|
|
(1,246)
|
|
|
(1,425)
|
|
Deferred revenue
|
|
477
|
|
|
97
|
|
Deferred income tax
|
|
(245)
|
|
|
(615)
|
|
Loss on disposal of property and equipment
|
|
52
|
|
|
24
|
|
Changes in assets and liabilities
|
|
|
|
|
Trade and other accounts receivable
|
|
(8,117)
|
|
|
(2,816)
|
|
Inventories
|
|
(3,506)
|
|
|
3,420
|
|
Prepaid expenses
|
|
(4,062)
|
|
|
(2,116)
|
|
Other current assets
|
|
1,161
|
|
|
(536)
|
|
Other long-term assets
|
|
199
|
|
|
(132)
|
|
Accounts payable
|
|
2,228
|
|
|
(3,196)
|
|
Accrued salaries and employee benefits
|
|
(7,725)
|
|
|
(7,847)
|
|
Other accrued expenses
|
|
4,566
|
|
|
(40)
|
|
Income tax payable
|
|
5,902
|
|
|
11,500
|
|
Other long-term liabilities
|
|
(49)
|
|
|
456
|
|
Net cash
provided by operating activities
|
|
31,732
|
|
|
40,105
|
|
Investing activities
|
|
|
|
|
Proceeds
from sales and maturities of marketable securities
|
|
144,227
|
|
|
30,460
|
|
Purchases
of marketable securities
|
|
(127,119)
|
|
|
(5,731)
|
|
Purchases
of property, plant and equipment
|
|
(9,265)
|
|
|
(10,762)
|
|
Purchases
of capitalized software
|
|
(1,738)
|
|
|
(780)
|
|
Purchases
of intangible assets, including licenses and manufacturing access
fees
|
|
(825)
|
|
|
(923)
|
|
Other
|
|
408
|
|
|
501
|
|
Net cash
provided by investing activities
|
|
5,688
|
|
|
12,765
|
|
Financing activities
|
|
|
|
|
Repurchase
and retirement of common stock
|
|
—
|
|
|
(47,972)
|
|
Proceeds
from issuance of common stock and employee stock purchase plan
shares
|
|
14,232
|
|
|
17,390
|
|
Repurchase
and retirement of restricted stock for payment of taxes
|
|
(1,124)
|
|
|
(358)
|
|
Excess tax
benefit from employee stock-based compensation
|
|
1,246
|
|
|
1,425
|
|
Borrowings
|
|
—
|
|
|
10,000
|
|
Net cash
provided by (used in) financing activities
|
|
14,354
|
|
|
(19,515)
|
|
Effect of
exchange rate changes on cash and cash equivalents
|
|
(21)
|
|
|
518
|
|
Net
increase in cash and cash equivalents
|
|
51,753
|
|
|
33,873
|
|
Cash and
cash equivalents at the beginning of period
|
|
87,021
|
|
|
59,690
|
|
Cash and
cash equivalents at the end of period
|
|
$
|
138,774
|
|
|
$
|
93,563
|
|
SOURCE Gen-Probe Incorporated