EX-99.1 3 b46387piexv99w1.txt PRESS RELEASE DATED APRIL 24, 2003 Exhibit 99.1 FOR IMMEDIATE RELEASE 24 April 2003 PERKINELMER ANNOUNCES EARNINGS PER SHARE IN LINE WITH PREVIOUS ESTIMATES - REVENUE GROWTH OF 4% - GAAP EPS FROM CONTINUING OPERATIONS OF $.03 PER SHARE, UP FROM A LOSS OF ($.17) PER SHARE IN Q1 02 - $24M OPERATING CASH FLOW; $55M IMPROVEMENT FROM Q1 02 - LIFE AND ANALYTICAL SCIENCES INTEGRATION ON TRACK BOSTON - PerkinElmer, Inc. (NYSE: PKI) today announced first quarter 2003 GAAP earnings per share from continuing operations of $.03 on revenue of $358.4 million, compared to a GAAP loss per share from continuing operations of ($.17) and revenue of $346.3 million in the first quarter of 2002. The first quarter 2003 results reflect intangibles amortization of $7.2 million, or approximately $.04 per share. These earnings are consistent with the company's January 2003 estimate for the quarter of $.02 to $.05 per share on a GAAP basis. "We were pleased to deliver earnings per share and cash flow that are significantly improved from last year and within the range of our previous guidance," said Gregory L. Summe, chairman and CEO of the Company. "The integration of our Life and Analytical Sciences unit is progressing well and our plans are on track to meet or exceed our targeted cost reductions," added Summe. Revenue from continuing operations in the first quarter of 2003 was $358.4 million, up 4% from the same period of 2002. The comparative increase was driven by 20% growth in Optoelectronics and 11% growth in Analytical Instruments, offset by revenue declines in Life Sciences and Fluid Sciences. -more- The Company generated operating cash flow of $24.1 million in the first quarter of 2003, compared to a use of cash of ($31.1) million in the same period of 2002. During the 2003 quarter, the Company reduced working capital by $24.0 million, which includes an $11.0 million increase in an accounts receivable securitization program. During the first quarter of 2003, the Company paid down $15.0 million of debt, and cash and equivalents were $129.8 million at the end of the quarter. Including the impact of discontinued operations, net earnings on a GAAP basis for the first quarter of 2003 were $.02 per share compared to a loss per share of ($1.18) for the same period of 2002. The net loss for the first quarter of 2002 included a ($.07) per share loss from discontinued operations and a ($.94) loss per share resulting from the effect of an accounting change. For the first quarter of 2002, the Company's GAAP results from continuing operations were a loss of ($.17) per share on revenue of $346.3 million. The first quarter of 2002 results included $26.0 million of net charges comprised of restructuring charges, gain on sale, an inventory write-down and acquisition related charges, as well as intangibles amortization of $7.1 million. The aggregate effect of these items for the first quarter of 2002 was approximately $.19 per share. Financial overview by reporting segment: LIFE SCIENCES reported revenue of $103.9 million for the first quarter of 2003, down 11% compared to revenue of $116.8 million for the first quarter of 2002. Strong revenue growth in genetic screening during the quarter and overall segment growth in reagents, consumables and service were offset by lower instruments sales compared to the 2002 quarter. Instruments sales during the 2003 quarter continued to be impacted by pressure on capital spending within most end markets, particularly large pharmaceutical company markets. The segment's GAAP operating loss for the first quarter of 2003 was $.4 million versus a $1.0 million operating loss in the same period of 2002. The results for the first quarter of 2003 include intangibles amortization of $5.3 million. The operating loss for the first quarter of 2002 included $8.7 million of restructuring and acquisition-related charges, as well as intangibles amortization of $5.5 million. ANALYTICAL INSTRUMENTS reported revenue of $128.3 million for the first quarter of 2003, representing an 11% increase compared to revenue of $115.5 million for the comparable quarter of 2002. The Company experienced good growth in each of its major end markets, with particular strength in environmental applications and pharmaceutical QA/QC. The segment's GAAP operating profit for the first quarter of 2003 was $12.0 million, compared to operating profit of $8.8 million for the same period of 2002. The results for the first quarter of 2003 include intangibles amortization of $1.1 million. The first quarter of 2002 results include $3.7 million of gains, net of restructuring, as well as intangibles amortization of $1.1 million. OPTOELECTRONICS reported revenue of $83.3 million for the first quarter of 2003, an increase of 20% from revenue of $69.3 million for the first quarter of 2002. Strong double-digit growth in revenues of digital imaging and lighting products drove the increase during the quarter. The segment's GAAP operating profit was $8.7 million during the first quarter of 2003 versus an operating loss of $22.6 million for the comparable period of 2002. The operating profit for the first quarter of 2003 included intangibles amortization of $.3 million. The operating loss for the first quarter of 2002 included $21.0 million of aggregate charges from restructuring and an inventory write-down, and intangibles amortization of $.3 million. -more- FLUID SCIENCES reported revenue of $42.9 million for the first quarter of 2003, representing a decline of 4% compared to revenue of $44.6 million for the first quarter in 2002. Both the aerospace and semiconductor end markets were depressed during the quarter. The segment's GAAP operating profit for the first quarter of 2003 was $2.4 million versus $3.4 million in the first quarter of 2002. Included in the results for the first quarter of 2003 was intangibles amortization of $.4 million. The first quarter of 2002 results included intangibles amortization of $.2 million. "We anticipate that global markets, particularly in capital spending, will remain challenging throughout the year. Consequently, we are staying focused on our strategy of reducing costs, accelerating new products, and driving cash flow," added Summe. The Company will discuss its first quarter results in a conference call on Thursday, April 24, 2003 at 10:00 a.m. Eastern Time (ET). To listen to the call live, please tune into the webcast at the Investor Relations section of our website, www.perkinelmer.com. A playback of this conference call will be available beginning at 1:00 p.m. ET, Thursday, April 24, 2003. The playback will be available at the Investor Relations section of our website, www.perkinelmer.com, or by telephone at (719) 457-0820, code number 442887. FACTORS AFFECTING FUTURE PERFORMANCE This press release contains "forward-looking" statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any statements contained in this press release that relate to prospective events or developments are deemed to be forward-looking statements. Words such as "believes," "anticipates," "plans," "expects," "projects," "forecasts," "will" and similar expressions are intended to identify forward-looking statements. There are a number of important factors that could cause actual results or events to differ materially from those indicated by these forward-looking statements, including risks related to our debt levels, our ability to comply with the financial covenants contained in our credit agreements, a further downturn in our customers' markets, our failure to introduce new products in a timely manner, regulatory changes, risks related to our international operations, our inability to integrate acquired businesses into our existing business and to successfully combine our Life and Analytical Sciences businesses and competition, as well as other factors which we describe under the caption "Forward-Looking Information and Factors Affecting Future Performance" in our most recently filed annual report on Form 10-K. We disclaim any intention or obligation to update any forward-looking statements as a result of developments occurring after the date of this press release. -more- PerkinElmer, Inc. is a global technology leader focused in the following businesses - Life and Analytical Sciences, Optoelectronics and Fluid Sciences. Combining operational excellence and technology expertise with an intimate understanding of our customers' needs, PerkinElmer provides products and services in health sciences and other advanced technology markets that require innovation, precision and reliability. The Company serves customers in more than 125 countries, and is a component of the S&P 500 Index. Additional information is available through www.perkinelmer.com or 1-877-PKI-NYSE. # # # For further information: Investor Contact: Media Contact: Dan Sutherby Jim Monahan PerkinElmer, Inc. PerkinElmer, Inc. (781) 431-4306 (781) 431-4111