Apogent Technologies Inc. Reaffirms Guidance, Provides Business Outlook, and Announces Two Acquisitions.Business Editors & Health/Medical Writers BIOWIRE2K PORTSMOUTH, N.H.--(BUSINESS WIRE)--Oct. 9, 2002 Apogent Technologies Inc. (NYSE NYSE See: New York Stock Exchange : AOT AOT Agency of Transportation (Vermont, USA) AOT Ahead-of-Time AOT Assisted Outpatient Treatment AOT Aerosol Optical Thickness AOT All of Them (band) AOT As Opposed To AOT Among Other Things ), a leading manufacturer of laboratory and life science products, today reaffirmed guidance for fiscal year 2002 and provided its business outlook for fiscal year 2003. In addition, the company announced the acquisitions of NeoMarkers, Inc. and Opus Diagnostics. FISCAL YEAR 2002 GUIDANCE AND BUSINESS OUTLOOK Commenting on the fiscal year ended September 30, 2002, Apogent's President and Chief Executive Officer, Frank H. Jellinek, Jr. said: "Despite a challenging economic environment throughout the year, Apogent expects to report year-over-year revenue growth of approximately 9.5% and fully diluted earnings per share diluted earnings per share An earnings measure calculated by dividing net income less preferred stock dividends for a period by the average number of shares of common stock that would be outstanding if all convertible securities were converted into shares of from continuing operations continuing operations Parts of a business that are expected to be maintained as an ongoing segment of an overall business operation. Income and losses from continuing operations are reported separately if any segments have been discontinued during the (before restructuring charges) of approximately $1.30. These expected results are subject to completion of our year-end audit procedures." Regarding its business outlook for the fiscal year ending September 30, 2003, Mr. Jellinek said: "Revenues for the next year are expected to be approximately 8-10% higher than the year just finished. Current operating margins are expected to be maintained or slightly enhanced. Our balance sheet is expected to grow even stronger and our fully diluted earnings per share from continuing operations are expected to range from $1.37 to $1.43 for the year." Mr. Jellinek continued: "We have built a first class business, which has delivered and will continue to deliver strong returns for its shareholders. Our core companies reinforce each other's strengths in manufacturing, marketing, technology and distribution. We plan to continue to be a prominent supplier to three different yet related markets -- clinical, research and industrial laboratories -- which provide the benefit of diversification and the synergy of common customers. The vast majority of our sales continue to be consumable products (approximately 80%), which generate predictable earnings and cash flow streams. Many of these products are mission critical to our customers. We also expect to have a strong year in product development generating $25-30 million in revenues from new products." "The fundamental elements of our strategy have proven very effective and remain sound. We expect to continue to maximize growth by combining high margins and modest internal growth with focused, low risk acquisitions. While we have seen the number of attractive acquisition targets decline over time, we still anticipate spending $75 million or more in acquisitions in this next year. We plan to augment shareholder returns by using excess cash from operations to increase business investments in capital equipment and new product development, where attractive, and to repurchase our stock pursuant to our previously announced program. Our current stock repurchase Stock repurchase A firm's repurchase of outstanding shares of its common stock. program is 50% complete (1,000,000 shares purchased) and we intend to continue that program in the new year. Our balance sheet will be utilized to maximize shareholder returns consistent with maintaining an investment grade rating. In summary, we are excited and optimistic about the new year yet realize that current soft levels of demand for certain of our product lines may continue." ACQUISITIONS On October 1, 2002, Lab Vision Corporation, an Apogent subsidiary, acquired NeoMarkers, Inc. of Fremont, California For the unincorporated community in Yolo County, California, see . Fremont (IPA: /ˈfriːmɒnt/) is a city in California that was incorporated on January 23, 1956, from the merger of five smaller communities: . NeoMarkers products include antibodies and specialty markers used in the discovery of drug targets and to study human tissue samples for cancer. Lab Vision, a manufacturer of instruments, namely immunohistochemistry stainers, has distributed NeoMarkers products for the past seven years. This acquisition is intended to ensure that Lab Vision has ongoing supply of its critical consumables and should allow the company to enhance its new product development activities. The acquisition is expected to enhance profitability at Lab Vision although it is not expected to increase revenues. Today, Seradyn, Inc., another Apogent subsidiary, has acquired the operating assets Operating Assets Another term for working capital. of Opus Diagnostics, Inc. of Fort Lee, New Jersey Fort Lee is a borough in Bergen County, New Jersey, United States. As of the United States 2000 Census, the borough population was 35,461. Fort Lee was formed by an Act of the New Jersey Legislature on March 29, 1904, from the remaining portions of Ridgefield Township. . Opus is a wholly owned subsidiary Wholly Owned Subsidiary A subsidiary whose parent company owns 100% of its common stock. Notes: In other words, the parent company owns the company outright and there are no minority owners. of Caprius, Inc. (OTCBB OTCBB See OTC Bulletin Board (OTCBB). : CAPR CAPR Colegio de Abogados de Puerto Rico (Spanish) CAPR Civil Air Patrol Regulation CAPR Computer Assisted Pipeline Review CAPR Capability Requirement CAPR Capability Request ). The Opus Diagnostics product line comprises a range of therapeutic drug monitoring therapeutic drug monitoring Clinical pharmacology The regular measurement of serum levels of drugs requiring close 'titration' of doses in order to ensure that there are sufficient levels in the blood to be therapeutically effective, while avoiding potentially assays, calibrators and controls. Seradyn is currently a contract manufacturer of the Opus Diagnostics product line. With this acquisition, Seradyn will control the customer relationships of Opus Diagnostics and will benefit from several advanced stage product development initiatives. During the first year with Seradyn, the Opus products are expected to contribute approximately $2.0 million in revenue. Commenting on these acquisitions, Mr. Jellinek said: "The NeoMarkers and Opus consumable product lines strengthen our business base in key markets and position us for future growth through selective new product development initiatives. These acquisitions fit well with our continuing strategy of purchasing relatively small yet successful companies at reasonable prices that bolt on to existing operations." UPCOMING EVENTS Company Presentation Apogent will present at the UBS UBS Union Bank of Switzerland UBS United Bible Societies UBS United Blood Services UBS United Buying Service UBS Used Bookstore UBS University Business Services UBS Universal Building Society (UK) UBS Ulaanbaatar Broadcasting System Warburg Global Life Sciences Conference on Thursday, October 10, 2002 at 10:00 a.m. EDT EDT abbr. Eastern Daylight Time EDT Eastern Daylight Time EDT n abbr (US) (= Eastern Daylight Time) → hora de verano de Nueva York EDT . A webcast of the presentation will be available through a link that will be posted in the Investor Relations Investor relations The process by which the corporation communicates with its investors. section of Apogent's website at www.apogent.com. An archive of this webcast and the accompanying presentation materials will be available there approximately two hours following the presentation and will remain available until Thursday, October 17, 2002. Company Earnings Release and Conference Call Apogent will release its full results for the fiscal year ended September 30, 2002 on Thursday, November 14, 2002, after the close of market. The company will host a conference call on Friday, November 15, 2002 at 11:00 a.m. EST EST electroshock therapy. EST abbr. electroshock therapy to discuss these results and the business outlook. The dial-in numbers for the conference call are:
Domestic Callers (877) 679-9054
International Callers (952) 556-2807
The conference call will be simultaneously audio webcast on Apogent's website in the Investor Relations section at www.apogent.com. An archive of the webcast will be available on Apogent's website until December 13, 2002. A telephone replay of the call will also be available until 1:00 p.m. EST on Tuesday, November 19, 2002. The telephone replay numbers are (800) 615-3210 (Domestic Callers) or (703) 326-3020 (International Callers), passcode 6067517. BUSINESS DESCRIPTION Apogent Technologies Inc. is a diversified worldwide leader in the design, manufacture, and sale of value-added laboratory and life science products essential for healthcare diagnostics and scientific research. Apogent's companies are managed in three business segments: Clinical Diagnostics, Labware and Life Sciences, and Laboratory Equipment. NOTE REGARDING FORWARD-LOOKING STATEMENTS Statements made in this press release regarding future matters are forward-looking statements that involve risks and uncertainties. Forward-looking statements, including those dealing with competitors, customers, acquisitions, sales, profit margins, earnings, product development, financial performance, and growth strategies, are based on current expectations. Our actual results may differ materially from those presently anticipated. Factors that could cause actual results to differ materially include, among others: financial risks associated with our holding company structure; currency and other risks associated with our international operations Internal Operations (I.O., IO or I/O) is a fictional American Intelligence Agency in Wildstorm comics. It was originally called International Operations. I.O. first appeared in WildC.A.T.S. volume 1 #1 (August, 1992) and was created by Brandon Choi and Jim Lee. ; risks from rapid technological change and new product introductions; the cyclical nature of some of the industries and markets into which we sell our products; changes in customer purchasing patterns, competitive factors; transitional challenges associated with acquisitions; the possibility of future restructuring or impairment charges against our reported earnings; our dependence upon key distributors and original equipment manufacturers; possible disruption of our manufacturing operations Manufacturing operations concern the operation of a facility, as opposed to maintenance, supply and distribution, health, and safety, emergency response, human resources, security, information technology and other infrastructural support organizations. from labor unrest, shortages of critical materials or other causes; regulatory and litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. risks; and the other "Cautionary Factors" contained in Item 7 of the Company's most recent Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. and our subsequent reports filed with the Securities and Exchange Commission from time to time. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise. |
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion