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MDS Reports Third Quarter 2007 Results
Date:9/6/2007

mproved profitability for the fourth quarter in a row."

Operating Segment Results

MDS Pharma Services

% Change

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($ millions) Q3 2007 Q3 2006 Reported Organic

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Revenue:

Early-stage 62 63 (2%) -

Late-stage 56 50 12% -

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118 113 4% 3%

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Adjusted EBITDA:

$ 4 (10) n/m n/m

% 3

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For the third quarter, MDS Pharma Services revenue increased 4% on a reported basis over the same period last year, and was up 3% organically after adjusting for foreign exchange impact. Our late-stage businesses continued to deliver strong growth at 12%. This growth was partially offset by a 2% decline in our early-stage business. While our results in early-stage continue to show some weakness, the return of certain bioanalytical and Phase I customers in the quarter was very encouraging. We are optimistic that this trend will continue in the next several quarters as we rebuild our relationships with these customers. Our average backlog for the third quarter was $420 million, up 5% from the prior year.

During the quarter, the team at our Montreal site made s
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SOURCE MDS Inc.
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