Exhibit 99.1
Diagnostic Products Corporation Announces Record Quarterly Revenue
LOS ANGELES--(BUSINESS WIRE)--April 27, 2006--Diagnostic Products
Corporation (NYSE:DP) today reported first quarter sales of $129.6
million, a 14% increase over the first quarter of 2005. Earnings were
$18.0 million, or $.60 per diluted share, an increase of 12% from
$16.1 million or $.54 reported for the first quarter of 2005. The 2006
results included $1.4 million in compensation expense related to stock
options in accordance with the adoption of FAS 123(R), "Share-based
Payment." The Euro weakened and the Brazilian Real strengthened
relative to the dollar, and the net effect of foreign currency
movements was a 2% decrease in sales. International sales increased
12% to $90.7 million while domestic sales increased 18% to $38.9
million.
Sales of IMMULITE products grew 15% over the first quarter of
2005. IMMULITE product line sales reached $119.1 million for the
quarter, 92% of the total sales of the Company. IMMULITE reagent sales
increased 11% this quarter over the first quarter of 2005 to $101.3
million, while IMMULITE instrument and service revenue increased by
42% to $17.9 million. Sales of RIA products were $5.2 million, a 7%
decline from last year's first quarter. Sales of other products were
$5.3 million, up from $4.8 million in the same period last year.
"We were very pleased with our revenue levels, as well as the
number of instruments we shipped," said Michael Ziering, CEO of DPC.
The Company shipped a total of 231 IMMULITE Instruments in the first
quarter including 175 IMMULITE 2000s and 2500s. The total number of
IMMULITEs shipped is now over 11,000.
About Diagnostic Products Corporation
Diagnostic Products Corporation, founded in 1971, is a leader in
the global in vitro diagnostics market. DPC's product offering
includes the widely accepted IMMULITE(R) series of immunoassay
systems, more than 75 immunoassays and an expanding menu of essential
specific allergens and allergy panels that are run just like other
immunoassays. DPC also designs and manufactures automated laboratory
instrumentation and automation solutions that provide fast, accurate
results while enabling our customers to do "more with less" in a
leaner laboratory. DPC's combined chemistry and immunoassay menu is
one of the largest and most diversified available, covering most
laboratory tests requested. DPC sells its products to hospitals,
clinics and laboratories in more than 100 countries. Additional
Company information can be found on DPC's website at www.dpcweb.com.
Except for the historical information contained herein, this press
release contains forward-looking statements that involve risks and
uncertainties that could cause actual results to differ materially.
These factors include governmental or other action relating to the
Company's Chinese affiliate; the rate of customer demand for the
Company's products; the Company's ability to successfully market new
and existing products; its dependence on certain suppliers; domestic
and foreign government regulation; its ability to keep abreast of
technological innovations and to translate them into new products;
competition; political and economic instability in certain markets
including the movements of foreign currencies relative to the dollar;
and other risks and uncertainties disclosed from time to time in the
Company's SEC reports and filings.
DIAGNOSTIC PRODUCTS CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(unaudited)
(Amounts in Thousands, Except Per Share Data) Three Months Ended
March 31,
-----------------------
2006 2005
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SALES:
Non-Affiliated Customers $119,206 $106,703
Unconsolidated Affiliates 10,417 7,123
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Total Sales 129,623 113,826
COST OF SALES 57,454 48,470
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Gross Profit 72,169 65,356
OPERATING EXPENSES:
Selling 22,294 19,800
Research and Development 13,686 12,266
General and Administrative 13,176 12,556
Equity in Income of Affiliates (2,990) (2,553)
-------- --------
OPERATING EXPENSES-NET 46,166 42,069
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OPERATING INCOME 26,003 23,287
Interest/Other Income -Net 2,133 180
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INCOME BEFORE INCOME TAXES AND MINORITY
INTEREST 28,136 23,467
PROVISION FOR INCOME TAXES 9,299 6,993
MINORITY INTEREST 807 340
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NET INCOME $ 18,030 $ 16,134
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EARNINGS PER SHARE:
BASIC $ 0.61 $ 0.55
DILUTED $ 0.60 $ 0.54
WEIGHTED AVERAGE SHARES OUTSTANDING:
BASIC 29,558 29,274
DILUTED 30,111 30,105
CONTACT: Diagnostic Products Corporation
James L. Brill, 310-645-8200