EX-99.2 3 seg1205.txt SEGMENT RESULTS SEGMENT INFORMATION TECHNE CORPORATION AND SUBISIDARIES (in thousands of $'s, except per share data) Increase(Decrease) Fiscal 2006 From Fiscal 2005 -------------------------------- ---------------------- First Second Percent First Second Quarter Quarter YTD Of Sales Quarter Quarter YTD ------- ------- ------ -------- ------- ------- ------ Sales 47,709 48,029 95,738 100% 6,790 5,782 12,572 Cost of sales 11,096 10,695 21,791 23% 2,209 1,754 3,963 ------- ------- ------ -------- ------- ------- ------ Gross margin 36,613 37,334 73,947 77% 4,581 4,028 8,609 Gross margin percentage 76.7% 77.7% 77.2% SG&A expense 6,454 7,980 14,434 15% 820 1,690 2,510 R&D expense 4,717 4,574 9,291 10% 29 (45) (16) Amortization expense 492 492 984 1% 187 186 373 Interest expense 223 238 461 -- (22) 60 38 Interest income (974) (1,130) (2,104) (2%) 79 59 138 Other non-operating ex., net 211 281 492 -- (255) (135) (390) ------- ------- ------ -------- ------- ------- ------ 11,123 12,435 23,558 24% 838 1,815 2,653 ------- ------- ------ -------- ------- ------- ------ Earnings before income taxes 25,490 24,899 50,389 53% 3,743 2,213 5,956 Income taxes 8,489 8,385 16,874 18% 934 633 1,567 ------- ------- ------ -------- ------- ------- ------ 17,001 16,514 33,515 35% 2,809 1,580 4,389 Diluted earnings per share 0.43 0.42 0.84 Weighted average diluted shares outstanding 39,669 39,761 39,730 BIOTECHNOLOGY (1) (in thousands of $'s) Increase(Decrease) Fiscal 2006 From Fiscal 2005 --------------------------------- ---------------------- First Second Percent First Second Quarter Quarter YTD Of Sales Quarter Quarter YTD ------- ------- ------- -------- ------- ------- ------ Sales 37,599 37,697 75,296 100% 6,908 7,625 14,533 Intersegment sales (5,299) (6,555) (11,854) (495) (1,351)(1,846) ------- ------- ------- ------- ------- ------ 32,300 31,142 63,442 6,413 6,274 12,687 Cost of sales 8,470 8,147 16,617 22% 2,359 2,077 4,436 Intersegment sales (5,323) (6,140) (11,463) (567) (930)(1,497) ------- ------- ------- -------- ------- ------- ------ 3,147 2,007 5,154 1,792 1,147 2,939 Gross margin 29,153 29,135 58,288 78% 4,621 5,127 9,748 Gross margin percentage 77.5% 78.4% 77.9% SG&A expense 3,639 4,194 7,833 10% 666 779 1,445 R&D expense 4,532 4,404 8,936 12% 32 (26) 6 Amortization expense 492 492 984 1% 187 186 373 Interest, net (268) (373) (641) -- 146 191 337 ------- ------- ------- -------- ------- ------- ------ 8,395 8,717 17,112 23% 1,031 1,130 2,161 ------- ------- ------- -------- ------- ------- ------ Pretax result 20,758 20,418 41,176 55% 3,590 3,997 7,587 ======= ======= ======= ======== ======= ======= ====== (1) Fiscal 2006 includes R&D Systems' Biotechnology Division, Fortron Bio Science, Inc., and BiosPacific, Inc. R&D SYSTEMS EUROPE (in thousands of British pounds) Increase(Decrease) Fiscal 2006 From Fiscal 2005 --------------------------------- ---------------------- First Second Percent First Second Quarter Quarter YTD Of Sales Quarter Quarter YTD ------- ------- ------- -------- ------- ------- ------ Sales 6,690 7,529 14,219 100% 610 721 1,331 Cost of sales 3,292 3,765 7,057 50% 361 632 993 ------- ------- ------- -------- ------- ------- ------ Gross margin 3,398 3,764 7,162 50% 249 89 338 Gross margin percentage 50.8% 50.0% 50.4% SG&A expense 1,004 1,185 2,189 15% 54 24 78 Interest income (326) (329) (655) (4%) (72) (66) (138) Exchange loss 15 26 41 -- (11) 70 59 ------- ------- ------- -------- ------- ------- ------ 693 882 1,575 11% (29) 28 (1) ------- ------- ------- -------- ------- ------- ------ Pretax result 2,705 2,882 5,587 39% 278 61 339 ======= ======= ======= ======== ======= ======= ====== R&D SYSTEMS EUROPE (in thousands of $'s) Increase(Decrease) Fiscal 2006 From Fiscal 2005 --------------------------------- ---------------------- First Second Percent First Second Quarter Quarter YTD Of Sales Quarter Quarter YTD ------- ------- ------- -------- ------- ------- ------ Sales 11,875 13,106 24,981 100% 856 242 1,098 Cost of sales 5,844 6,554 12,398 50% 532 636 1,168 ------- ------- ------- -------- ------- ------- ------ Gross margin 6,031 6,552 12,583 50% 324 (394) (70) Gross margin percentage 50.8% 50.0% 50.4% SG&A expense 1,782 2,059 3,841 15% 60 (135) (75) Interest income (579) (572) (1,151) (4%) (119) (75) (194) Exchange loss 28 46 74 -- (19) 128 109 ------- ------- ------- -------- ------- ------- ------ 1,231 1,533 2,764 11% (78) (82) (160) ------- ------- ------- -------- ------- ------- ------ Pretax result 4,800 5,019 9,819 39% 402 (312) 90 ======= ======= ======= ======== ======= ======= ====== HEMATOLOGY (in thousands of $'s) Increase(Decrease) Fiscal 2006 From Fiscal 2005 --------------------------------- ---------------------- First Second Percent First Second Quarter Quarter YTD Of Sales Quarter Quarter YTD ------- ------- ------- -------- ------- ------- ------ Sales 3,534 3,781 7,315 100% (479) (734)(1,213) Cost of sales 2,105 2,134 4,239 58% (115) (29) (144) ------- ------- ------- -------- ------- ------- ------ Gross margin 1,429 1,647 3,076 42% (364) (705)(1,069) Gross margin percentage 40.4% 43.6% 42.1% SG&A expense 384 424 808 11% (25) (12) (37) R&D expense 185 170 355 5% (3) (19) (22) Interest, net (37) (50) (87) (1%) 19 27 46 ------- ------- ------- -------- ------- ------- ------ 532 544 1,076 15% (9) (4) (13) ------- ------- ------- -------- ------- ------- ------ Pretax result 897 1,103 2,000 27% (355) (701)(1,056) ======= ======= ======= ======== ======= ======= ====== CORPORATE AND OTHER (2) (in thousands of $'s) Increase(Decrease) Fiscal 2006 From Fiscal 2005 ------------------------ ---------------------- First Second First Second Quarter Quarter YTD Quarter Quarter YTD ------- ------- ------- ------- ------- ------ Interest income 90 135 225 48 84 132 Rental income 342 337 679 323 284 607 ------- ------- ------- ------- ------- ------ 432 472 904 371 368 739 SG&A expense 649 1,303 1,952 119 1,058 1,177 Interest expense 223 238 461 59 60 119 Other-Hemerus losses 82 82 164 79 12 91 Other-Building expenses 443 490 933 8 9 17 ------- ------- ------- ------- ------- ------ 1,397 2,113 3,510 265 1,139 1,404 ------- ------- ------- ------- ------- ------ Pretax result (965) (1,641) (2,606) 106 (771) (665) ======= ======= ======= ======= ======= ====== (2) Unallocated corporate expenses and Techne's share of losses by Hemerus Medical, LLC.