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PAREXEL International Reports Second Quarter Fiscal Year 2013 Results
Date:1/29/2013

levated use of contract staff, which negatively impacted the gross margin in our Clinical Research Services business.  Looking forward, we expect hiring levels to moderate, enabling us to convert high cost contract staff to full-time employees.  Combined with increasing productivity from our recently hired employees, this should lead to improved gross margins."

He continued, "In other developments, we were pleased to announce the acquisition of Liquent, Inc., a leading global provider of Regulatory Information Management solutions.  The acquisition further strengthens our technology and regulatory capabilities by adding a robust regulatory information technology platform.  On the new business front for the Company overall, awards in the second quarter were somewhat light compared to recent periods, as several clients delayed making decisions or withdrew opportunities for a variety of reasons.  The flow of proposals for new projects in the second quarter remained healthy, and we continue to target a 1.2 book-to-bill ratio going forward."

In commenting on his outlook for Calendar Year 2013, Mr. von Rickenbach stated, "We believe that our backlog will continue to fuel revenue growth in the third quarter and beyond, and that we will continue to drive higher backlog conversion rates.  We expect that our successful execution of client projects, as well as efficiency initiatives being worked on by our businesses, will enable us to drive profitable growth and thereby increase shareholder value."

The Company issued forward-looking guidance for the third quarter of Fiscal Year 2013 (ending March 31, 2013), for Fiscal Year 2013, and for Calendar Year 2013 as described in the text and chart below.  The guidance takes into account the acquisition of Liquent, recent exchange rates, lower projected tax rates, the estimated impact of the stock buyback program, and the Company's updated overall outlook.  The Liquent acqui
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SOURCE PAREXEL International Corporation
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