SAN CLEMENTE, Calif., April 18, 2007 (PRIME NEWSWIRE) -- ICU Medical, Inc. (Nasdaq:ICUI), a leading low cost manufacturer of safe medical connectors, custom medical products and critical care devices, today announced results for the quarter ended March 31, 2007.
First quarter pro forma revenue was $48.6 million, a 12% increase, as compared to pro forma revenue of $43.5 million in the same period last year. Excluding the pro forma adjustment to exclude sales of discontinued products of $0.2 million in 2007 and $5.3 million in 2006, revenue was $48.8 million in each year. Net income was $9.8 million, or $0.63 per diluted share, as compared to a net income of $6.4 million, or $0.41 per share, in the first quarter of 2006. The 2007 net income includes the after tax income from a legal settlement of $5.3 million or 34 cents per share.
"We are pleased with our results this quarter, especially in our custom medical products which had a 28% increase in sales," said Frank O'Brien, ICU Medical's Chief Financial Officer. "Our gross margin improved 6 percentage points to 39% compared to the fourth quarter of 2006, as we continue to make improvements in our two manufacturing facilities."
ICU continued to strengthen its balance sheet and operating cash flow in the first quarter of 2007. Operating cash flows were $16.4 million in the first quarter of 2007 and cash and investments totaled $119.1 million as of March 31, 2007. In addition, the Company bought back $8.6 million of its shares in the open market during the first quarter of 2007.
Mr. O'Brien concluded, "We believe we are on track and moving forward with our production improvements and new product introductions which should equate to a very good 2008."
The company reaffirmed its sales target of approximately $206 million and diluted earnings per share of $1.97 for 2007.
The foregoing statement concerning Management's expectation with respect to future results is a forward-looking statement based upon the best information currently available to Management and assumptions Management believes are reasonable, but Management does not intend the statement to be a representation as to future results. Future results are subject to risks and uncertainties, including the risk factors described in the Company's filings with the Securities and Exchange Commission, which include those in the Form 10-K for the year ended December 31, 2006. Actual results in the future may differ materially from Management's current expectations.
ICU Medical, Inc.
Condensed Consolidated Statements of Income
(all dollar amounts in thousands, except share and per share data)
(unaudited)
Three Months Ended
March 31,
-------------------------
2007 2006
---------- ----------
TOTAL REVENUE 48,833 48,781
COST OF GOODS SOLD 29,617 27,431
OPERATING EXPENSES 13,850 12,160
---------- ----------
Income from operations 5,366 9,190
OTHER 9,469 904
PROVISION FOR INCOME TAXES (5,020) (3,728)
---------- ----------
NET INCOME $ 9,815 $ 6,366
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NET INCOME PER SHARE
Diluted $0.63 $0.41
WEIGHTED AVERAGE NUMBER OF SHARES
Diluted 15,614,711 15,394,787
ICU Medical, Inc.
Summary Consolidated Balance Sheet Data
(all dollar amounts in thousands, except share data)
ASSETS
3/31/07 12/31/06
--------- ---------
(unaudited) (a)
CURRENT ASSETS:
Cash and liquid investments $ 119,132 $ 116,918
Accounts receivable, net 26,849 26,533
Inventories 16,176 16,315
Prepaid and deferred income taxes 3,098 7,417
Other current assets 4,523 4,255
--------- ---------
Total current assets 169,778 171,438
--------- ---------
PROPERTY AND EQUIPMENT, NET 63,961 59,037
DEFERRED INCOME TAXES AND TAXES
RECEVIABLE 4,864 2,878
OTHER ASSETS 10,785 10,895
--------- ---------
$ 249,388 $ 244,248
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LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES $ 15,710 $ 15,919
INCOME TAXES PAYABLE AND DEFERRED
TAXES, long term 5,616 3,084
MINORITY INTEREST -- 358
STOCKHOLDERS' EQUITY
14,448,429 common shares
outstanding at March 31, 2007 228,062 224,887
--------- ---------
$ 249,388 $ 244,248
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(a) December 31, 2006 amounts were derived from the audited
consolidated financial statements of ICU Medical, Inc.
ICU Medical, Inc.
Summary Consolidated Statements of Cash Flows
(all dollar amounts in thousands)
(unaudited)
Three Months Ended
----------------------
3/31/07 3/31/06
-------- --------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net Income $ 9,815 $ 6,366
Adjustments to reconcile net
income to net cash
Provided by operating activities --
Depreciation and amortization 2,566 2,531
Net change in current assets
and liabilities, and other 3,999 (235)
-------- --------
Net cash provided by
operating activitites 16,380 8,662
-------- --------
PURCHASES OF PROPERTY AND EQUIPMENT (7,064) (3,577)
NET INCREASE IN LIQUID INVESTMENTS (6,061) (6,796)
EMPLOYEE EQUITY PLANS 1,484 3,710
PURCHASE OF TREASURY STOCK (8,613) -
OTHER 27 318
-------- --------
NET CHANGE IN CASH AND CASH
EQUIVALENTS $ (3,847) $ 2,317
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