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Beckman Coulter Announces Third Quarter 2009 Results
Date:10/29/2009

o recurring revenue. Clinical Diagnostics experienced strong growth in recurring revenue especially in Access Immunoassay, which again grew more than 10%. Recurring revenue growth attests to the ongoing strength of our business model even in a difficult economic environment."

A decline in cash instrument sales partially offset strong recurring revenue growth. Chemistry and Clinical Automation cash instrument sales were 7.3% higher due to $8.5 million of revenue from ODS. All other product areas experienced declines in cash instrument sales due to weakness in all major markets except China. A weak capital expenditure environment and difficult prior year comparisons contributed to these results.

In the quarter, Clinical Diagnostics revenues increased 4.7% in constant currency, excluding ODS. Life Science revenue declined 9%, or 6.8% in constant currency.

On a geographic basis, third quarter revenue in the U.S. increased 6.8%, with the ODS acquisition contributing 5.6%. In constant currency, international revenue grew 16.2%; ODS contributed 11.5% to this growth. International growth was driven by continued strength in Asia Pacific, in Europe as a result of the ODS acquisition and by substantial gains in Immunoassay.

Growth in higher margin recurring revenue more than offset the unfavorable effect of currency and an increase in pension expense. As a result, third quarter adjusted gross profit margin increased 120 basis points to 47.2% versus prior year results.

Third quarter operating income was $4.4 million. On an adjusted basis, operating income for the quarter was $103.7 million, 12.6% of revenue, or 13.5% excluding the ODS acquisition.

Non-operating expense of $4.9 million includes a net gain realized in the period related to the Yen hedge for the ODS acquisition. Adjusted non-operating expense includes incremental interest expense incurred on the debt offering associated with the
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SOURCE Beckman Coulter, Inc.
Copyright©2009 PR Newswire.
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