Bard Announces Fourth Quarter Results Revenue up 9 Percent as Reported, 12 Percent Excluding Foreign Exchange.MURRAY HILL Murray Hill may refer to one of the following places:
See: New York Stock Exchange : BCR BCR B Cell Receptor BCR Business Communications Review (magazine) BCR Banca Comerciala Romana (Romanian bank) BCR Breakpoint Cluster Region BCR Benefit/Cost Ratio BCR Bay City Rollers ) today reported 2008 fourth quarter financial results. Fourth quarter 2008 net sales Net Sales The amount a seller receives from the buyer after costs associated with the sale are deducted. Notes: This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight were $634.2 million, an increase of 9 percent over the prior-year period. Excluding the impact of foreign exchange, fourth quarter 2008 net sales increased 12 percent over the prior-year period. For the fourth quarter 2008, net sales in the U.S. were $436.3 million and net sales outside the U.S. were $197.9 million, an increase of 11 percent and 4 percent, respectively, over the prior-year period. Excluding the impact of foreign exchange, fourth quarter 2008 net sales outside the U.S. increased 14 percent over the prior-year period. Net sales for the full year 2008 were $2,452.1 million, an increase of 11 percent over the prior-year period. Excluding the impact of foreign exchange, full year 2008 net sales increased 10 percent over the prior-year period. For the fourth quarter 2008, net income was $149.4 million and 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 were $1.47, an increase of 42 percent and 46 percent, respectively, as compared to fourth quarter 2007 results. Adjusting for items that affect comparability between periods as detailed in the tables below, fourth quarter 2008 net income was $121.1 million and diluted earnings per share were $1.19, an increase of 15 percent and 18 percent, respectively, as compared to fourth quarter 2007 results. For the full year 2008, net income was $416.5 million and diluted earnings per share were $4.06, an increase of 2 percent and 6 percent, respectively, as compared to full year 2007 results. Adjusting for items that affect comparability between periods, full year 2008 net income was $455.4 million and diluted earnings per share were $4.44, an increase of 13 percent and 16 percent, respectively, as compared to full year 2007 results. Timothy M. Ring, chairman and chief executive officer, commented, "We are pleased to report strong revenue and earnings results for the fourth quarter and full year 2008. Bard bard, in Wales, term originally used to refer to the order of minstrel-poets who composed and recited the poems that celebrated the feats of Celtic chieftains and warriors. has built a consistent record of performance, delivering adjusted EPS (Encapsulated PostScript) A PostScript file format used to transfer a graphic image between applications and platforms. EPS files contain PostScript code as well as an optional preview image in TIFF, WMF, PICT or EPSI, the latter being an ASCII-only format. growth above our 14 percent target for six consecutive years. We have achieved this through successful product innovation, a commitment to market leadership and the talent and hard work of our employees around the world. The strength of our broad product portfolio and our healthy financial condition position us well for continued success." C. R. Bard, Inc. (www.crbard.com), headquartered in Murray Hill, NJ, is a leading multinational developer, manufacturer and marketer of innovative, life-enhancing medical technologies in the fields of vascular, urology urology Medical specialty dealing with the urinary system and male reproductive organs. It traces its origin to medieval lithologists, itinerant healers who specialized in surgical removal of bladder stones. , oncology and surgical specialty surgical specialty A specialty of health care in which interventions constitute a significant component of Pt management Examples OB/GYN, ophthalmology, ENT, surgery–cardiothoracic, colorectal, general, neurologic, orthopedic, plastic, urology. products. This press release may contain forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. within the meaning of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995, which are based on management's current expectations, the accuracy of which is necessarily subject to risks and uncertainties. These statements are not historical in nature and use words such as "anticipate", "estimate", "expect", "project", "intend", "forecast", "plan", "believe", and other words of similar meaning in connection with any discussion of future operating or financial performance. Many factors may cause actual results to differ materially from anticipated results including product developments, sales efforts, income tax matters, the outcomes of contingencies such as legal proceedings All actions that are authorized or sanctioned by law and instituted in a court or a tribunal for the acquisition of rights or the enforcement of remedies. , and other economic, business, competitive and regulatory factors. The company undertakes no obligation to update its forward-looking statements. Please refer to the Cautionary Statement Regarding Forward-Looking Information in our September 30, 2008 Form 10-Q Form 10-Q See 10-Q. for more detailed information about these and other factors that may cause actual results to differ materially from those expressed or implied. [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] Notes to Reconciliation of Earnings * For the fourth quarter 2008, a decrease in the income tax provision as a result of the completion of the U.S. Internal Revenue Service (IRS An abbreviation for the Internal Revenue Service, a federal agency charged with the responsibility of administering and enforcing internal revenue laws. ) examination for the tax years of 2003 and 2004 affected the comparability of results between periods. The effect of this item increased net income by $28.3 million, or $0.28 diluted earnings per share. * For the fourth quarter 2007, there were no items that affected the comparability of results between periods. * For the twelve months ended December 31, 2008, the following items affected the comparability of results between periods: (i) a charge of $40.5 million pretax pre·tax adj. Existing before tax deductions: pretax income. pretax adj [profit] → vor (Abzug der) Steuern for an asset disposition; (ii) a charge of $49.3 million pretax for purchased research and development; (iii) a charge of $1.3 million pretax for reorganization costs; (iv) a gain of $0.7 million pretax associated with the sale of an asset; and (v) a net decrease of $27.3 million in the income tax provision including a decrease of $28.3 million as a result of the completion of the IRS examination for the tax years of 2003 and 2004, offset by an increase of $1.0 million due to a tax-related interest adjustment. The net effect of these items decreased net income by $38.9 million, or $0.38 diluted earnings per share. * For the twelve months ended December 31, 2007, the following items affected the comparability of results between periods: (i) a charge of $1.6 million pretax for purchased research and development; and (ii) a decrease in the income tax provision of $3.7 million due to changes in certain statutory tax rates outside the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. that resulted in the revaluation Revaluation A calculated adjustment to a country's official exchange rate relative to a chosen baseline. The baseline can be anything from wage rates to the price of gold to a foreign currency. In a fixed exchange rate regime, only a decision by a country's government (i.e. of deferred taxes. The net effect of these items increased net income by $2.2 million, or $0.02 diluted earnings per share. This press release contains financial measures that are not calculated in accordance with United States generally accepted accounting principles The standard accounting rules, regulations, and procedures used by companies in maintaining their financial records. Generally accepted accounting principles (GAAP) provide companies and accountants with a consistent set of guidelines that cover both broad accounting (GAAP GAAP See: Generally Accepted Accounting Principles GAAP See generally accepted accounting principles (GAAP). ). These non-GAAP financial measures are reconciled to their most directly comparable GAAP measures in the above tables. This press release includes net sales excluding the impact of foreign exchange. The company analyzes net sales on a constant currency basis to better measure the comparability of results between periods. Because changes in foreign currency exchange rates have a non-operating impact on net sales, the company believes that evaluating growth in net sales on a constant currency basis provides an additional and meaningful assessment of net sales to both management and the company's investors. In addition, this press release includes the following non-GAAP measures: (1) cost of goods sold Cost of goods sold The total cost of buying raw materials, and paying for all the factors that go into producing finished goods. cost of goods sold excluding a charge for an asset disposition; (2) research & development expense excluding payments for purchased research and development; (3) other expense (income), net, excluding charges for an asset disposition, reorganization costs and a gain on an asset sale; (4) income tax provision excluding: a decrease resulting from the completion of the IRS examination for the tax years of 2003 and 2004; an increase due to a tax-related interest adjustment; a decrease related to changes in statutory tax rates; and the tax effect of the items set forth in (1) through (3) above; (5) net income excluding the items set forth in (1) through (4) above; and (6) diluted earnings per share excluding the items set forth in (1) through (4) above. The company excluded the items described above because they may cause certain statements of income categories not to be indicative of ongoing operating results, and therefore affect the comparability of results between periods. The company therefore believes that these non-GAAP measures provide an additional and meaningful assessment of the company's ongoing operating performance. Because the company has historically reported these non-GAAP results to the investment community, management also believes that the inclusion of these non-GAAP measures provides consistency in its financial reporting and facilitates investors' understanding of the company's historic operating trends by providing an additional basis for comparisons to prior periods. Management uses these non-GAAP measures: (1) to establish financial and operational goals; (2) to monitor the company's actual performance in relation to its business plan and operating budgets Noun 1. operating budget - a budget for current expenses as distinct from financial transactions or permanent improvements budget items, operating cost, operating expense, overhead - the expense of maintaining property (e.g. ; (3) to evaluate the company's core operating performance and understand key trends within the business; and (4) as part of several components it considers in determining incentive compensation. Management recognizes that the use of these non-GAAP measures has limitations, including the fact that they may not be comparable with similar non-GAAP financial measures used by other companies and that management must exercise judgment in determining which types of charges or other items should be excluded from the non-GAAP financial information. Management compensates for these limitations by providing full disclosure of each non-GAAP financial measure and a reconciliation to the most directly comparable GAAP financial measure. All non-GAAP financial measures are intended to supplement the applicable GAAP disclosures and should not be considered in isolation from, or as a replacement for, financial information prepared in accordance with GAAP. For a reconciliation of these non-GAAP measures to the most comparable GAAP measures, please see the above tables. |
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