MURRAY HILL, N.J.--(BUSINESS WIRE)--July 20, 2004--C. R. Bard,
Inc. (NYSE-BCR) today reported net sales of $416.3 million for the
quarter ended June 30, 2004, up 18 percent over the prior year's net
sales of $354.2 million. On a constant currency basis, second quarter
2004 net sales increased 15 percent. Net sales in the U.S. were $290.6
million, up 16 percent over the prior-year period, and net sales
outside the U.S. were $125.7 million, up 21 percent over the
prior-year period. On a constant currency basis, net sales outside the
U.S. increased by 13 percent over the prior-year period.
For the second quarter of 2004, net income was $58.7 million and
diluted earnings per share were 55 cents, up 19 percent and 17
percent, respectively, over the same period in the prior year.
Included in the second quarter 2004 results were certain items that
decreased net income by $2.6 million, or 2 cents per diluted share,
thereby affecting comparability with the prior-year quarter. For the
second quarter of 2003, Bard reported net income of $49.5 million and
diluted earnings per share of 47 cents. Excluding the items comprising
the $2.6 million, net income and diluted earnings per share increased
24 percent and 21 percent, respectively, in the second quarter of 2004
as compared to the same period in the prior year. The earnings per
share figures reported in this press release reflect the Company's
two-for-one common stock split that became effective on May 28, 2004.
Timothy M. Ring, chairman and chief executive officer, commented,
"We had another strong quarter as we continue to work toward a
sustainable, higher growth profile. Many of our new products are
meeting with strong initial demand, particularly in our Vascular and
Oncology product groups. Operationally, gross margin continues to
expand allowing significantly greater R&D investment this quarter. We
were active on the business development front as well, concluding
several "tuck-in" transactions during the period. Overall, we are very
pleased with the execution of our growth strategy."
C. R. Bard, Inc. (www.crbard.com), headquartered in Murray Hill,
N.J., is a leading multinational developer, manufacturer and marketer
of innovative, life-enhancing medical technologies in the fields of
vascular, urology, oncology and surgical specialty products.
This press release may contain forward-looking statements, the
accuracy of which is necessarily subject to risks and uncertainties.
Please refer to our March 31, 2004 10-Q for a statement with regard to
forward-looking statements, including disclosure of the factors that
could cause actual results to differ materially from those expressed
or implied.
C. R. Bard, Inc.
Consolidated Statements of Income
(thousands of dollars except per share amounts, unaudited)
Quarter Ended Six Months Ended
June 30, June 30,
------------------ ------------------
2004 2003 2004 2003
-------- -------- -------- --------
Net sales $416,300 $354,200 $810,100 $690,100
Costs and expenses:
Cost of goods sold 169,000 152,600 330,600 298,800
Marketing, selling &
administrative expense 130,500 109,900 251,200 214,000
Research & development
expense (1) 31,600 21,800 54,800 41,300
Interest expense 3,000 3,200 6,400 6,300
Other (income) expense, net 3,100 (1,500) (10,300) (3,200)
-------- -------- -------- --------
Total costs and expenses 337,200 286,000 632,700 557,200
-------- -------- -------- --------
Income before tax provision 79,100 68,200 177,400 132,900
Income tax provision 20,400 18,700 46,800 36,500
-------- -------- -------- --------
Net income (2) $58,700 $49,500 $130,600 $96,400
======== ======== ======== ========
Basic earnings per share $0.56 $0.48 $1.25 $0.93
======== ======== ======== ========
Diluted earnings per share $0.55 $0.47 $1.22 $0.92
======== ======== ======== ========
Wt. avg. common shares
outstanding - basic 104,500 103,400 104,300 103,400
Wt. avg. common shares
outstanding - diluted 107,500 105,600 107,100 105,200
(1) Included in research and development expense is approximately $6.7
million and $1.0 million in acquired in-process research and
development for the quarters ended June 30, 2004 and 2003,
respectively.
(2) In addition to interest income and exchange gains and losses,
first quarter 2004 other (income) expense, net included the
adjustment of a 2003 reserve recorded in connection with the legal
action entitled Nelson N. Stone, M.D., et al. v. C. R. Bard, Inc.,
et. al. This adjustment resulted in additional pretax income of
$16.0 million ($9.8 million after-tax; $0.09 diluted earnings per
share), partially offset by a charge for an unrelated legal
settlement of $3.9 million pretax ($2.3 million after-tax; $0.02
diluted earnings per share). In addition the company recorded a
$1.1 million tax credit in income tax provision related to the
retroactive effective date of its Malaysian high-technology
pioneer grant ($0.01 diluted earnings per share). In addition to
interest income and exchange gains and losses, second quarter 2004
other (income) expense, net included a charge for a legal
settlement partially offset by an investment gain, which resulted
in a net pretax charge of $4.3 million ($2.6 million after-tax;
$0.02 diluted earnings per share).
Product Group Summary of Net Sales
Quarter Ended June 30,
-----------------------------------
Constant
2004 2003 Change Currency
-------- -------- ------ --------
Vascular $100,100 $75,800 32% 27%
Urology 121,500 114,500 6% 4%
Oncology 100,300 80,000 25% 23%
Surgery 76,900 67,400 14% 13%
Other 17,500 16,500 6% 4%
-------- --------
Total net sales $416,300 $354,200 18% 15%
======== ========
Six Months Ended June 30,
-----------------------------------
Constant
2004 2003 Change Currency
-------- -------- ------ --------
Vascular $192,200 $143,400 34% 27%
Urology 238,000 223,800 6% 4%
Oncology 194,500 157,700 23% 20%
Surgery 152,100 131,800 15% 14%
Other 33,300 33,400 --- (2)%
-------- --------
Total net sales $810,100 $690,100 17% 14%
======== ========
CONTACT: C. R. Bard, Inc.
Investor Relations:
Eric J. Shick, 908-277-8413
or
Media Relations:
Holly P. Glass, 703-754-2848
SOURCE: C. R. Bard, Inc.
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