Exhibit 99.1
Investor Contact | Media Contact | |
Geoffrey Helliwell | Thomas Anderson | |
Treasurer | Vice President | |
(978) 715 - 1041 | Corporate Communications | |
(800) 225 - 3384 | (978) 715 - 1043 | |
Geoffrey_Helliwell@Millipore.com | (800) 225 - 3384 | |
Thomas_Anderson@Millipore.com |
Millipore Revenues Up 9 Percent in Second Quarter, 11 Percent for First Half of 2005
Billerica, Massachusetts, July 19, 2005 – Millipore Corporation (NYSE/MIL) announced today that its second quarter revenues were $245 million, up 9 percent from the same period of 2004. In constant currency, revenue growth was 6 percent. For the first half of the year, revenues were $495 million, up 11 percent. In constant currency, growth was 8 percent for the first half of the year.
Second quarter earnings were $0.47 per share, compared with $0.57 per share last year. Included in the results for the quarter were pretax expenses of $3.8 million related to executive transition agreements, $3.2 million of division reorganization costs and manufacturing consolidation costs of $2.6 million. Excluding these items, non-GAAP earnings for the quarter would have been $0.59 per share. Included in the results for the second quarter of 2004 were $1.7 million related to executive transition agreements. Excluding these costs non-GAAP earnings for the second quarter of 2004 would have been $0.59 per share.
Martin D. Madaus, Millipore’s Chairman and CEO, commented. “We are very pleased with the progress made in delivering another solid quarter, completely in line with our expectations and projections.”
He added: “Our prospects are excellent. We are implementing the new growth strategy for Millipore that we presented to analysts and investors on June 29th. Since that meeting we have announced two acquisitions that strengthen our position in the bioprocess market with new services and new product offerings. We are also continuing efforts to consolidate our manufacturing plants and accelerate R&D innovation. We’re off to a great start.”
Millipore’s second quarter revenue growth by geography was as follows($’s in millions):
Revenues by Geographic Area | Q2 2005 | Q2 2004 | % Growth | % Growth Local Currency | ||||||||
Americas | $ | 104 | $ | 97 | 7 | % | 5 | % | ||||
Europe | 98 | 88 | 13 | % | 8 | % | ||||||
Asia/Pacific | 43 | 40 | 7 | % | 4 | % | ||||||
Total | $ | 245 | $ | 225 | 9 | % | 6 | % | ||||
Millipore’s second quarter revenue growth by division was as follows($’s in millions):
Revenues by Division | Q2 2005 | Q2 2004 | % Growth | % Growth Local Currency | ||||||||
Bioscience | $ | 97 | $ | 91 | 6 | % | 3 | % | ||||
Bioprocess | 148 | 134 | 11 | % | 8 | % | ||||||
Total | $ | 245 | $ | 225 | 9 | % | 6 | % | ||||
Use of Non-GAAP Financial Measures
In addition to analyzing U.S. GAAP financial results, management also analyzes “non-GAAP” financial measures as we believe these measures may allow for a better understanding of the underlying business trends. “Constant currency” is a non-GAAP measure whereby foreign currency balances are translated, in all periods presented, at Millipore’s predetermined budgeted exchange rates for 2005, thus excluding the impact of fluctuations in the actual foreign currency rates. Non-GAAP earnings per share reflect U.S. GAAP results, translated at actual rates of exchange and adjusted for unusual or non-operating items.
Quarterly Earnings Call
Millipore will have a Live Webcast Quarterly Earnings call today, July 19, 2005 at 5:30 p.m., Eastern Time. Please visit the Millipore web site atwww.millipore.com for details about this event. The replay of the webcast will be available online the day after the event.
About Millipore
Millipore is a leading bioprocess and bioscience products and services company, organized into two divisions. The Bioprocess division offers solutions that optimize development and manufacturing of biologics. The Bioscience division provides high performance products and application insights that improve laboratory productivity. Millipore has a deep understanding of its customers’ research and manufacturing process needs, and offers reliable and innovative tools, technologies and services. The Company employs approximately 4,500 people worldwide and posted revenues of $883 million in 2004.
For additional information on Millipore Corporation, please visit its website at: www.millipore.com
Forward Looking Statements:
The matters discussed herein, as well as in future oral and written statements by management of Millipore Corporation that are forward-looking statements, are based on current management expectations that involve substantial risks and uncertainties which could cause actual results to differ materially from the results expressed in, or implied by, these forward-looking statements. Potential risks and uncertainties that could affect Millipore’s future operating results include, without limitation, foreign exchange rates; regulatory delay in the approval of new therapeutics and their ultimate commercial success; further consolidation of drug manufacturers; competitive factors such as new membrane technology; lack of availability of raw materials or component products on a timely basis; inventory risks due to shifts in market demand; change in product mix; conditions in the economy in general and in the bioscience and bioprocess markets in particular; potential environmental liabilities; the inability to utilize technology in current or planned products due to overriding rights by third parties; difficulties inherent in research and development activities; and the risk factors listed from time to time in Millipore’s filings with the SEC.
Millipore Corporation
Consolidated Statements of Income
(In thousands, except per share data)
(Unaudited)
Three Months Ended | Six Months Ended | |||||||||||||||
July 2, 2005 | July 3, 2004 | July 2, 2005 | July 3, 2004 | |||||||||||||
Net sales | $ | 244,964 | $ | 224,668 | $ | 495,142 | $ | 447,137 | ||||||||
Cost of sales | 116,125 | 103,241 | 230,228 | 204,151 | ||||||||||||
Gross profit | 128,839 | 121,427 | 264,914 | 242,986 | ||||||||||||
Selling, general and administrative expenses | 80,550 | 66,976 | 157,983 | 134,758 | ||||||||||||
Research and development expenses | 17,341 | 16,037 | 33,414 | 32,034 | ||||||||||||
Operating income | 30,948 | 38,414 | 73,517 | 76,194 | ||||||||||||
Interest income | 633 | 225 | 1,308 | 641 | ||||||||||||
Interest expense | (1,755 | ) | (2,101 | ) | (3,589 | ) | (4,979 | ) | ||||||||
Income before income taxes | 29,826 | 36,538 | 71,236 | 71,856 | ||||||||||||
Provision for income taxes | 5,849 | 8,044 | 14,959 | 16,167 | ||||||||||||
Net income | $ | 23,977 | $ | 28,494 | $ | 56,277 | $ | 55,689 | ||||||||
Diluted income per share | $ | 0.47 | $ | 0.57 | $ | 1.11 | $ | 1.11 | ||||||||
Diluted weighted average shares outstanding | 50,707 | 50,305 | 50,525 | 50,092 |
Geoffrey E. Helliwell
Treasurer
(800) 225-3384 or (978) 715-1041
Millipore Corporation
Condensed Consolidated Balance Sheets
(In thousands)
(Unaudited)
July 2, 2005 | December 31, 2004 | |||||
Assets | ||||||
Cash and cash equivalents | $ | 167,080 | $ | 152,144 | ||
Accounts receivable, net | 188,140 | 181,911 | ||||
Inventories | 135,174 | 143,714 | ||||
Deferred income taxes | 45,520 | 54,247 | ||||
Other current assets | 10,511 | 8,840 | ||||
Total current assets | 546,425 | 540,856 | ||||
Property, plant and equipment, net | 342,417 | 351,004 | ||||
Deferred income taxes | 96,521 | 85,197 | ||||
Intangible assets, net | 18,218 | 19,584 | ||||
Goodwill | 9,433 | 9,433 | ||||
Other assets | 6,661 | 7,745 | ||||
Total assets | $ | 1,019,675 | $ | 1,013,819 | ||
Liabilities and shareholders’ equity | ||||||
Accounts payable | $ | 62,443 | $ | 66,970 | ||
Other current liabilities | 103,068 | 96,040 | ||||
Total current liabilities | 165,511 | 163,010 | ||||
Long-term debt | 105,000 | 147,000 | ||||
Other liabilities | 59,864 | 64,959 | ||||
Shareholders’ equity | 689,300 | 638,850 | ||||
Total liabilities and shareholders’ equity | $ | 1,019,675 | $ | 1,013,819 | ||
Geoffrey E. Helliwell
Treasurer
(800) 225-3384 or (978) 715-1041