Kendle Delivers Record Sales and Backlog and Strong Growth in Operating Margin for Third Qu...(Condensed Consolidated Statement of Inco...),Health

(In thousands, except per share data)

(Unaudited)

Three Months Ended Nine Months Ended

September 30, September 30,

2007 2006 2007 2006

Net service revenues $100,070 $75,236 $293,311 $197,075

Reimbursable out-of-pocket

revenues 42,366 21,497 120,864 58,774

Total revenues 142,436 96,733 414,175 255,849

Costs and expenses:

Direct costs 49,119 40,941 150,062 105,721

Reimbursable out-of-pocket costs 42,366 21,497 120,864 58,774

Selling, general and

administrative expenses 32,830 23,402 94,571 63,244

Depreciation and amortization 3,876 2,800 11,065 6,344

Total costs and expenses 128,191 88,640 376,562 234,083

Income from operations 14,245 8,093 37,613 21,766

Other income (expense):

Interest expense (3,316) (2,283) (11,988) (2,397)

Interest income 341 438 1,108 1,617

Write-off of deferred financing

costs (4,152) - (4,152) -

Other (2,076) (259) (4,388) (652)

Income before income taxes 5,042 5,989 18,193 20,334

Income taxes 1,256 1,992 5,872 7,149

Net income $3,786 $3,997 $12,321 $13,185

Income per share data:

Basic:

Net income per share $0.26 $0.28 $0.85 $0.92

Weighted average shares
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