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LIFE TECHNOLOGIES, INC. ANNOUNCES THIRD QUARTER 1992 RESULTS

 LIFE TECHNOLOGIES, INC. ANNOUNCES THIRD QUARTER 1992 RESULTS
 GAITHERSBURG, Md., Oct. 14 /PRNewswire/ -- Life Technologies, Inc. (NASDAQ-NMS: LTEK) reported net sales of $49.5 million for the third quarter of 1992, an increase of $8.8 million, or 22 percent, over the comparable quarter of 1991. Operating income of $5.8 million for the quarter ended Sept. 30, 1992, represented a 21 percent increase over the $4.8 million reported a year earlier. Third quarter 1992 net income of $3.8 million was 33 percent higher than net income of $2.8 million for the same period a year earlier. Earnings per share of 25 cents in the third quarter of 1992 were 32 percent greater than the 19 cents per share reported in the prior year's third quarter.
 Sales of products other than fetal bovine serum (FBS) increased by $4.0 million, or 12 percent, in the third quarter of 1992 compared with the third quarter of 1991. Third quarter 1992 FBS sales were $2.4 million greater than in the third quarter of 1991, primarily due to higher unit sales in the 1992 period. FBS sales represented 19 percent of net sales in the third quarter of 1992 and 17 percent of net sales in the third quarter of 1991. The effect of changes in currency exchange rates increased third quarter 1992 sales by $2.4 million when compared with last year's third quarter. Revenues in the third quarter of last year included $0.4 million of royalty income. There were no similar revenues in the third quarter of 1992.
 Gross margins in the third quarter of 1992 were 50.0 percent of net sales compared with 51.7 percent in the third quarter of 1991. FBS gross margins were lower in the third quarter of 1992 than in the third quarter of 1991 largely because of higher sales of FBS to industrial customers in the 1992 period. Marketing and administrative expenses were 31.4 percent of net sales in the third quarter of 1992 compared with 33.3 percent of net sales in the quarter a year earlier, reflecting the effect of cost containment programs. Research and development (R&D) expenses were $3.4 million, $0.3 million more than in the third quarter of 1991.
 Other non-operating items contributed $0.4 million more in earnings in the third quarter of 1992 than in the third quarter of 1991, principally due to improved profitability at the company's joint venture in Japan. The effective tax rate was 36 percent in the third quarter of 1992 compared with 37 percent in last year's third quarter.
 For the first nine months of 1992, net sales were $147.9 million, an increase of $21.7 million, or 17 percent, over the comparable period of 1991. Sales of products other than FBS increased $14.4 million, or 14 percent, compared with the same period last year. FBS sales were $5.6 million greater in the first nine months of 1992 primarily due to higher unit sales in the 1992 period. FBS sales represented 20 percent of net sales in the first nine months of 1992 and 19 percent of net sales in the first nine months of 1991. Changes in currency exchange rates used to translate sales to U.S. dollars increased sales in the first nine months of 1992 by $1.7 million when compared with the same period last year.
 Gross margins for the first nine months of 1992 were 50.3 percent of net sales compared with 52.8 percent in the first nine months of 1991. FBS gross margins in the first nine months of 1992 were lower than in the comparable period of 1991 primarily because of higher sales to industrial customers in the 1992 period. The company increased its LIFO reserve $0.3 million in the first nine months of 1992 and $1.5 million in the comparable period of 1991 as a result of changing FBS costs. Marketing and administrative expenses were 30.9 percent of net sales in the first nine months of 1992 compared with 33.4 percent in the comparable period of 1991. R&D expenses were $10.5 million in the first nine months of 1992, an increase of 5 percent over the first nine months of 1991.
 Operating income was $18.4 million for the first nine months of 1992, an increase of 23 percent over the comparable period of 1991. Investment income was $0.3 million for the first nine months of 1992 compared with $1.3 million for the same period a year earlier. The decrease in investment income occurred mostly as a result of the special dividend paid in March 1991 which distributed $51.9 million of investable cash to stockholders.
 Net income of $11.5 million for the first nine months of 1992 was 19 percent greater than the $9.7 million for the same period in 1991. Primary earnings per share of 76 cents for the nine month period ended Sept. 30, 1992, represented a 17 percent increase over the 65 cents per share for the comparable period of 1991.
 Life Technologies, Inc.'s president and chief executive officer, Dr. J. Stark Thompson, stated: "We are pleased with our 32 percent increase in earnings per share for the third quarter of 1992 compared with last year's third quarter. This significant increase reflects growth in revenues and our commitment to managing expenses. The pro- active management of our financial resources is especially important in these uncertain economic times. However, in view of our worldwide customer base, the continued volatility in the European currency markets could impact our future financial results."
 Life Technologies, Inc. develops, manufactures and supplies more than 2,000 products used principally in life science research and commercial manufacture of genetically engineered products. The company is a leading supplier of sera and other cell growth media, as well as enzymes and other biological products necessary for recombinant DNA procedures.
 LIFE TECHNOLOGIES, INC.
 Consolidated Statement of Income
 (amounts in thousands, except per share data)
 Three months ended Nine months ended
 Sept. 30, Sept. 30,
 1992 1991 Change 1992 1991 Change
 (percent) (percent)
 Revenues:
 Net sales $49,461 $40,688 +22 $147,867 $126,118 +17
 Royalties 0 400 - 102 400 -75
 Total 49,461 41,088 +20 147,969 126,518 +17
 Operating expenses:
 Cost of sales 24,753 19,635 +26 73,458 59,506 +23
 Marketing & admin. 15,535 13,565 +15 45,653 42,112 + 8
 Research &
 development 3,420 3,120 +10 10,482 9,999 + 5
 Total 43,708 36,320 +20 129,593 111,617 +16
 Operating income 5,753 4,768 +21 18,376 14,901 +23
 Other income (expense):
 Investment income 69 136 -49 337 1,343 -75
 Interest expense (15) (111) -86 (52) (265) -80
 Other, net 99 (290) - (537) (630) -15
 Total 153 (265) - (252) 448 -
 Income before
 income taxes 5,906 4,503 +31 18,124 15,349 +18
 Income taxes 2,126 1,666 +28 6,647 5,679 +17
 Net income $3,780 $2,837 +33 $11,477 $9,670 +19
 Average shares
 outstanding 15,086 15,009 + 1 15,072 14,798 + 2
 Primary net income
 per share $0.25 $0.19 +32 $0.76 $0.65 +17
 Dividends per share $0.05 $0.05 - $0.15 $3.60 -
 Amounts are unaudited.
 LIFE TECHNOLOGIES, INC.
 Condensed Consolidated Balance Sheet
 (amounts in thousands)
 Sept. 30, Dec. 31,
 1992 1991
 ASSETS
 Current assets:
 Cash and short-term investments $ 7,221 $ 5,748
 Accounts receivable, net 32,711 28,555
 Inventories:
 Materials and supplies 9,965 12,607
 In process and finished 35,426 31,942
 LIFO reserve (4,960) (4,640)
 Total 40,431 39,909
 Prepaid expenses 2,278 2,130
 Total current assets 82,641 76,342
 Property, plant and equipment 56,265 48,136
 Less accumulated depreciation (21,066) (18,504)
 Total 35,199 29,632
 Investments and other assets 4,587 4,637
 Excess of cost over assets of
 businesses acquired, net 5,587 5,770
 Total assets $ 128,014 $ 116,381
 LIABILITIES AND STOCKHOLDERS' EQUITY
 Current liabilities:
 Accounts payable $11,747 $11,441
 Dividends payable 745 742
 Income taxes 4,744 1,887
 Accrued liabilities and expenses 9,691 8,576
 Total current liabilities 26,927 22,646
 Deferred items 3,444 3,326
 Stockholders' equity:
 Common stock 149 149
 Additional paid-in capital 41,505 40,790
 Retained earnings 57,137 47,894
 Currency exchange effects (1,148) 1,576
 Total stockholders' equity 97,643 90,409
 Total liabilities
 and stockholders' equity $ 128,014 $ 116,381
 Amounts as of Sept. 30, 1992, are unaudited.
 -0- 10/14/92
 /CONTACT: Joseph C. Stokes Jr. or C. Eric Winzer of Life Technologies, 301-840-8000/
 (LTEK) CO: Life Technologies, Inc. ST: Maryland IN: MTC SU: ERN


DC -- DC003 -- 9748 10/14/92 10:05 EDT
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