0000842023-12-000013.txt : 20120501
0000842023-12-000013.hdr.sgml : 20120501
20120501090446
ACCESSION NUMBER: 0000842023-12-000013
CONFORMED SUBMISSION TYPE: 8-K
PUBLIC DOCUMENT COUNT: 3
CONFORMED PERIOD OF REPORT: 20120501
ITEM INFORMATION: Results of Operations and Financial Condition
ITEM INFORMATION: Financial Statements and Exhibits
FILED AS OF DATE: 20120501
DATE AS OF CHANGE: 20120501
FILER:
COMPANY DATA:
COMPANY CONFORMED NAME: TECHNE CORP /MN/
CENTRAL INDEX KEY: 0000842023
STANDARD INDUSTRIAL CLASSIFICATION: BIOLOGICAL PRODUCTS (NO DIAGNOSTIC SUBSTANCES) [2836]
IRS NUMBER: 411427402
STATE OF INCORPORATION: MN
FISCAL YEAR END: 0630
FILING VALUES:
FORM TYPE: 8-K
SEC ACT: 1934 Act
SEC FILE NUMBER: 000-17272
FILM NUMBER: 12798047
BUSINESS ADDRESS:
STREET 1: 614 MCKINLEY PL N E
CITY: MINNEAPOLIS
STATE: MN
ZIP: 55413
BUSINESS PHONE: 6123798854
MAIL ADDRESS:
STREET 1: 614 MCKINLEY PLACE NE
CITY: MINNEAPOLIS
STATE: MN
ZIP: 55413
8-K
1
k8q.txt
8-K
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of report (Date of earliest event reported): May 1, 2012
TECHNE CORPORATION
(Exact Name of Registrant as Specified in Charter)
Minnesota 0-17272 41-1427402
(State or Other Jurisdiction (Commission I.R.S. Employer
of Incorporation) File Number) Identification No.)
614 Mckinley Place NE
Minneapolis, MN 55413
(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code: (612) 379-8854
Not Applicable
(Former Name or Former Address, if changed since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligations of the registrant under any
of the following provisions:
/ / Written communications pursuant to Rule 425 under the Securities Act
17 CFR 230.425)
/ / Soliciting material pursuant to Rule 14a-12 under the Exchange Act
(17 CFR 240.14a-12)
/ / Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
/ / Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
Item 2.02 Results of Operations and Financial Condition
A copy of the press release issued by Techne Corporation on May 1,
2012, describing the results of operations for the quarter and nine months
ended March 31, 2012 and its financial condition as of March 31,
2012, is attached hereto as Exhibit 99.1.
Segment information for Techne Corporation for the quarter and nine months
ended March 31, 2012 which has been included on Techne Corporation's
website (www.techne-corp.com), is attached hereto as Exhibit 99.2.
The information in this Form 8-K and the Exhibits attached hereto shall not
be deemed "filed" for purposes of Section 18 of the Securities Exchange Act
of 1934, as amended (the "Exchange Act"), or otherwise subject to the
liabilities of that section, nor shall it be deemed incorporated by reference
in any filing under the Securities Act of 1933 or the Exchange Act, except as
expressly set forth by specific reference in such filing.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits
99.1 Press Release dated May 1, 2012.
99.2 Segment information for the quarter and nine months
ended March 31, 2012.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
Dated: May 1, 2012 TECHNE CORPORATION
By: /s/ Thomas E. Oland
---------------------------
Name: Thomas E. Oland
Title: President and Chief
Executive Officer
EXHIBIT INDEX
Exhibit No. Description
----------- -----------
99.1 Press release of Techne Corporation dated May 1, 2012.
99.2 Segment information for Techne Corporation for the quarter
and nine months ended March 31, 2012.
EX-99.1
2
release5012012.txt
PRESS RELEASE DATED MAY 1, 2012
TECHNE CORPORATION RELEASES UNAUDITED THIRD QUARTER
AND NINE MONTH FISCAL YEAR 2012 RESULTS
Minneapolis/May 1, 2012/ Techne Corporation's (NASDAQ:TECH) financial results
for the third quarter and nine months ended March 31, 2012 include the
following highlights:
Third quarter earnings were $31.8 million or $0.86 per diluted share.
Adjusted earnings for the quarter were $33.1 million or $0.90 per diluted
share, an increase of 5.9% from the same prior-year period. Adjusted
earnings and earnings per share exclude intangible asset amortization and
costs recognized upon the sale of inventory that was written-up to fair
value as part of the acquisitions of Boston Biochem, Inc. and Tocris
Holdings Limited completed in the quarter ended June 30, 2011. Adjusted
earnings and earnings per diluted share also exclude the impact of
impairment charges on certain equity investments and the reversal of
deferred tax asset valuation allowances.
Earnings for the nine-month period ended March 31, 2012 were $85.1
million or $2.30 per diluted share. Adjusted earnings for the nine-
month period ended March 31, 2012 were $91.1 million or $2.46 per
diluted share, an increase of 7.9% from the same prior-year period.
Net sales as reported grew 9.6% to $83.6 million for the quarter ended
March 31, 2012. Organic sales grew 1.8% in the quarter compared to the
same prior-year period. Organic sales exclude sales from acquisitions
and the changes in foreign currency rates.
Net sales as reported grew 11.3% to $236 million for the nine months
ended March 31, 2012. Organic sales grew 2.3% in the nine-month
period compared to the same prior-year period.
A stronger U.S. dollar as compared to foreign currencies reduced sales by
$587,000 in the quarter ended March 31, 2012 from the comparable prior-year
quarter. A weaker U.S. dollar as compared to foreign currencies improved
sales by $1.5 million in the nine-month period ended March 31, 2012 from the
comparable prior-year period.
The Biotechnology segment includes sales made through R&D Systems'
Biotechnology Division, R&D Systems Europe, Tocris, R&D Systems China,
BiosPacific and Boston Biochem. Biotechnology segment net sales were $78.2
million for the quarter ended March 31, 2012, an increase of 9.9% from $71.1
million for the quarter ended March 31, 2011. Biotechnology net sales were
$220 million for the nine-month period ended March 31, 2012, an increase of
11.7% from $197 million for the nine-month period ended March 31, 2011.
Biotechnology sales growth was 1.5% and 2.0% for the quarter and nine month
periods ended March 31, 2012, respectively, if sales from the acquisitions
and foreign currency effect are excluded.
Organic sales growth for the Biotechnology segment from the same prior-year
periods were:
Period Ended March 31, 2012
---------------------------
Quarter Nine Months
----------- -----------
U.S. industrial, pharmaceutical
and biotechnology 5.6% 5.7%
U.S. academic (5.4%) (4.9%)
Europe (0.4%) (0.6%)
China 19.9% 22.4%
Pacific Rim 7.8% 6.5%
Hematology net sales for the quarter and nine-month period ended March 31,
2012 were $5.4 million and $15.6 million, increases of 5.6% and 6.2%,
respectively, from the comparable prior-year periods.
The gross margin percentage declined to 75.8% in the quarter ended March 31,
2012 from 79.1% in the comparable prior-year quarter and to 75.0% in the
nine-month period ended March 31, 2012 from 78.0% in the comparable prior-
year period, due to costs recognized upon the sale of inventory that was
written-up to fair value as part of the acquisitions and the amortization of
intangible assets. Gross margins were 79.0% and 79.2% for the quarters ended
March 31, 2012 and 2011, respectively, and 78.5% and 78.2% for the nine-month
periods ended March 31, 2012 and 2011, respectively, if such costs were
excluded in all periods.
Selling, general and administrative expenses for the quarter and nine-month
period ended March 31, 2012 increased $604,000 and $6.0 million,
respectively, from the quarter and nine-month periods ended March 31, 2011.
The acquired businesses added $795,000 and $3.2 million of selling, general
and administrative expenses, excluding intangible asset amortization, in the
quarter and nine-month periods ended March 31, 2012, respectively.
Intangible amortization included in selling, general and administrative
expenses increased $456,000 and $1.4 million in the quarter and nine-month
period ended March 31, 2012, respectively, from the same prior-year periods.
Selling, general and administrative expense for the quarter and nine-month
period ended March 31, 2011 included $211,000 of professional fees related to
the acquisitions.
Other expense for the quarter and nine-month period ended March 31, 2012
included $3.3 million of impairment losses on investments in unconsolidated
entities. These losses were the result of Nephromics, LLC signing an
agreement to sell substantially all of its assets and ACTGen, Inc. suffering
substantial operating losses and encountering funding difficulties.
Other non-operating expenses include foreign exchange transaction gains of
$164,000 and losses of $465,000, respectively, for the quarter and nine-month
period ended March 31, 2012, compared to foreign exchange transaction gains
of $249,000 and $667,000 for the quarter and nine-month period ended March
31, 2011, respectively.
The effective tax rate for the quarter and nine-month period ended March 31,
2012 was 26.5% and 30.0%, respectively, as compared to 31.6% and 31.2% for
the same prior-year periods. Income taxes for the quarter and nine-month
period ended March 31, 2012 were positively impacted by $3.0 million due to
the reversal of a valuation allowance on deferred tax assets related to the
excess tax basis in the Company's investments in unconsolidated entities.
The tax rate for the remainder of fiscal 2012 is expected to be 31% to 33%.
In September 2011, the Company entered into a $10.0 million loan agreement
with ChemoCentryx, Inc. (CCXI). The loan agreement contained a number of
conversion features contingent upon CCXI obtaining future debt or equity
financing. The agreement also included a $5.0 million commitment by the
Company to participate in a private placement in the event of a successful
public offering of CCXI shares. With CCXI's completion of its initial public
offering during the quarter ended March 31, 2012, the loan plus accrued
interest was converted to common shares and the Company purchased the
additional $5 million of common equity as required by its previous
commitment. At March 31, 2012, the Company's investment in CCXI was included
in short-term available-for-sale investments at its fair market value of
$66.5 million. The Company's unrealized gain of $37.0 million, net of
deferred tax liability of $13.2 million, was included in accumulated other
comprehensive income at March 31, 2012. The Company's investment in CCXI was
$14.3 million at June 30, 2011 and was included in other non-current assets.
The Company repurchased 45,983 and 309,010 shares of its common stock during
the quarter and nine months ended March 31, 2012, respectively, for
approximately $3.1 million and $21.3 million. Approximately $29.3 million
remains available at March 31, 2012 for the repurchase and retirement of
shares under the currently open authorization.
Forward Looking Statements:
Our press releases may contain forward-looking statements within the meaning
of the Private Securities Litigation Reform Act. Such statements, including
the expected effective tax rate, involve risks and uncertainties that may
affect the actual results of operations. The following important factors,
among others, have affected and, in the future, could affect the Company's
actual results: the integration of the acquired companies, the introduction
and acceptance of new biotechnology and hematology products, the levels and
particular directions of research by the Company's customers, the impact of
the growing number of producers of biotechnology research products and
related price competition, general economic conditions, the retention of
hematology OEM and proficiency survey business, the impact of currency
exchange rate fluctuations, and the costs and results of research and product
development efforts of the Company and of companies in which the Company has
invested or with which it has formed strategic relationships.
For additional information concerning such factors, see the section titled
"Risk Factors" in the Company's annual report on Form 10-K and quarterly
reports on Form 10-Q as filed with the Securities and Exchange Commission.
We undertake no obligation to update or revise any forward-looking statements
we make in our press releases due to new information or future events.
Investors are cautioned not to place undue emphasis on these statements.
Use of Adjusted Financial Measures:
The adjusted financial measures used in this press release quantify the
impact the following events had on reported net sales, gross margin
percentages, selling, general and administrative expenses, net earnings and
earnings per share for the quarter and nine-month period ended March 31, 2012
as compared to the reported amounts for the same periods ended March 31,
2011:
- fluctuations in exchange rates used to convert transactions in foreign
currencies (primarily the Euro, British pound sterling and Chinese yuan)
to U.S. dollars;
- the acquisitions of Boston Biochem on April 1, 2011 and Tocris on April 28,
2011, including the impact of amortizing intangible assets and the
recognition of costs upon the sale of inventory written-up to fair value;
- impairment losses related to the Company's investments in unconsolidated
entities; and
- the reversal of valuation allowances on deferred tax assets related to the
excess tax basis in the Company's unconsolidated entities.
These adjusted financial measures are not prepared in accordance with
generally accepted accounting principles (GAAP) and may be different from
adjusted financial measures used by other companies. Adjusted financial
measures should not be considered as a substitute for, or superior to,
measures of financial performance prepared in accordance with GAAP. We view
these adjusted financial measures to be helpful in assessing the Company's
ongoing operating results. In addition, these adjusted financial measures
facilitate our internal comparisons to historical operating results and
comparisons to competitors' operating results. We include these adjusted
financial measures in our earnings announcement because we believe they are
useful to investors in allowing for greater transparency related to
supplemental information we use in our financial and operational analysis.
Investors are encouraged to review the reconciliations of adjusted financial
measures used in this press release to their most directly comparable GAAP
financial measures as provided with the financial statements attached to this
press release.
* * * * * * * * * * * *
Techne Corporation has two operating subsidiaries: Research and Diagnostic
Systems, Inc. (R&D Systems) of Minneapolis, Minnesota and R&D Systems Europe,
Ltd. (R&D Europe) of Abingdon, England. R&D Systems is a specialty
manufacturer of biological products. R&D Systems has three operating
subsidiaries: BiosPacific, Inc. (BiosPacific), located in Emeryville,
California, Boston Biochem, Inc., located in Cambridge, Massachusetts and R&D
Systems China Co. Ltd., (R&D China), located in Shanghai, China. BiosPacific
is a worldwide supplier of biologics to manufacturers of in vitro diagnostic
systems and immunodiagnostic kits. Boston Biochem is a leading developer and
manufacturer of ubiquitin-related research products. R&D China and R&D Europe
distribute biotechnology products. R&D Europe has two subsidiaries: Tocris
Holdings Ltd (Tocris) of Bristol, England and R&D Systems GmbH, a German
sales operation. Tocris is a leading supplier of reagents for non-clinical
life science research.
Contact: Greg Melsen, Chief Financial Officer
Kathy Backes, Controller
(612) 379-8854
TECHNE CORPORATION
CONSOLIDATED STATEMENTS OF EARNINGS
(In thousands, except per share data)
(Unaudited)
QUARTER ENDED NINE MONTHS ENDED
---------------- ------------------
3/31/12 3/31/11 3/31/12 3/31/11
------- ------- -------- --------
Net sales $83,621 $76,271 $235,879 $211,924
Cost of sales 20,238 15,941 58,939 46,618
------- ------- -------- --------
Gross margin 63,383 60,330 176,940 165,306
Operating expenses:
Selling, general and administrative 9,899 9,295 31,323 25,335
Research and development 7,122 6,297 20,626 19,519
------- ------- -------- --------
Total operating expenses 17,021 15,592 51,949 44,854
------- ------- -------- --------
Operating income 46,362 44,738 124,991 120,452
Other income (expense):
Interest income 470 1,067 1,996 2,934
Impairment losses on investments
in unconsolidated entities (3,254) 0 (3,254) 0
Other non-operating expense, net (373) (421) (2,155) (1,376)
------- ------- -------- --------
Total other (expense) income (3,157) 646 (3,413) 1,558
------- ------- -------- --------
Earnings before income taxes 43,205 45,384 121,578 122,010
Income taxes 11,449 14,320 36,488 38,039
------- ------- -------- --------
Net earnings $31,756 $31,064 $ 85,090 $ 83,971
======= ======= ======== ========
Earnings per share:
Basic $ 0.86 $ 0.84 $ 2.30 $ 2.26
Diluted $ 0.86 $ 0.84 $ 2.30 $ 2.26
Weighted average common
shares outstanding:
Basic 36,864 37,119 36,975 37,084
Diluted 36,930 37,194 37,043 37,153
TECHNE CORPORATION
CONSOLIDATED BALANCE SHEETS
(In thousands)
(Unaudited)
3/31/12 6/30/11
-------- --------
ASSETS
Cash and equivalents $ 95,280 $ 77,613
Short-term available-for-sale investments 124,325 63,200
Trade accounts receivable 39,114 35,914
Inventory 40,497 44,906
Other current assets 7,056 8,784
-------- --------
Current assets 306,272 230,417
-------- --------
Available-for-sale investments 145,129 131,988
Property and equipment, net 94,614 95,398
Goodwill and intangible assets, net 134,876 138,915
Other non-current assets 3,143 20,952
-------- --------
Total assets $684,034 $617,670
======== ========
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable and accrued expenses $ 14,620 $ 12,679
Payable for pending available-for-sale
investment purchases 7,360 0
Income taxes - deferred and current 8,741 5,509
-------- --------
Current liabilities 30,721 18,188
-------- --------
Deferred taxes 8,816 13,360
Stockholders' equity 644,497 586,122
-------- --------
Total liabilities and stockholders' equity $684,034 $617,670
======== ========
TECHNE CORPORATION
RECONCILIATION of ORGANIC SALES
(In thousands)
(Unaudited)
QUARTER ENDED NINE MONTHS ENDED
---------------- ------------------
3/31/12 3/31/11 3/31/12 3/31/11
------- ------- -------- --------
Net sales $83,621 $76,271 $235,879 $211,924
Organic sales adjustments:
Acquisitions (6,600) 0 (17,655) 0
Impact of foreign currency
fluctuations 587 0 (1,529) 0
------- ------- -------- --------
Organic sales $77,608 $76,271 $216,695 $211,924
======= ======= ======== ========
Organic sales growth 1.8% 2.3%
TECHNE CORPORATION
RECONCILIATION of NET EARNINGS and EARNINGS per SHARE
(In thousands, except per share data)
(Unaudited)
QUARTER ENDED NINE MONTHS ENDED
---------------- ------------------
3/31/12 3/31/11 3/31/12 3/31/11
------- ------- -------- --------
Net earnings $31,756 $31,064 $ 85,090 $ 83,971
Identified adjustments:
Costs recognized upon sale of
acquired inventory 1,955 0 5,870 0
Amortization of intangibles 1,268 170 3,821 511
Acquisition related
professional fees 0 211 0 211
Impairment losses on investments 3,254 0 3,254 0
Tax impact of above adjustments (2,069) (137) (3,883) (263)
Tax impact of reversal of
valuation allowance (3,016) 0 (3,016) 0
------- ------- -------- --------
1,392 244 6,046 459
------- ------- -------- --------
Net earnings - adjusted for
identified items $33,148 $31,308 $ 91,136 $ 84,430
======= ======= ======== ========
Adjusted growth 5.9% 7.9%
Earnings per share - Diluted -
adjusted $ 0.90 $ 0.84 $ 2.46 $ 2.27
TECHNE CORPORATION
RECONCILIATION of GROSS MARGIN PERCENTAGES
(Unaudited)
QUARTER ENDED NINE MONTHS ENDED
---------------- ------------------
3/31/12 3/31/11 3/31/12 3/31/11
------- ------- -------- --------
Gross margin percentage 75.8% 79.1% 75.0% 78.0%
Identified adjustments:
Costs recognized upon sale of
acquired inventory 2.3% 0.0% 2.5% 0.0%
Amortization of intangibles 0.9% 0.1% 1.0% 0.2%
------- ------- -------- --------
Gross margin percentage - adjusted 79.0% 79.2% 78.5% 78.2%
======= ======= ======== ========
TECHNE CORPORATION
RECONCILIATION of SELLING, GENERAL and ADMINISTRATIVE EXPENSES
(In thousands)
(Unaudited)
QUARTER ENDED NINE MONTHS ENDED
---------------- ------------------
3/31/12 3/31/11 3/31/12 3/31/11
------- ------- -------- --------
Selling, general and
administrative expenses $ 9,899 $ 9,295 $ 31,323 $ 25,335
Identified selling, general and
administrative expense adjustments:
Acquired companies' expense,
excluding intangible amortization (795) 0 (3,160) 0
Amortization of intangibles (518) (62) (1,558) (185)
Acquisition related
professional fees 0 (211) 0 (211)
------- ------- -------- --------
Selling, general and administrative
expenses - adjusted $ 8,586 $ 9,022 $ 26,605 $ 24,939
======= ======= ======== ========
TECHNE CORPORATION
RECONCILIATION of INTANGIBLE AMORTIZATION
(In thousands)
(Unaudited)
QUARTER ENDED NINE MONTHS ENDED
---------------- ------------------
3/31/12 3/31/11 3/31/12 3/31/11
------- ------- -------- --------
Amortization of intangible assets
included in:
Cost of goods sold $ 750 $ 108 $ 2,263 $ 326
Selling, general and
administrative expenses 518 62 1,558 185
------- ------- -------- --------
Total amortization of
intangible assets $ 1,268 $ 170 $ 3,821 $ 511
======= ======= ======== ========
EX-99.2
3
seg312.txt
SEGMENT RESULTS
SEGMENT INFORMATION
TECHNE CORPORATION AND SUBISIDARIES
(in thousands of $'s, except per share data)
Increase (Decrease)
Fiscal 2012 From Fiscal 2011
---------------------------------- -------------------------
First Second Third % of First Second Third
Qtr Qtr Qtr YTD Sales Qtr Qtr Qtr YTD
------ ------ ------ ------- ----- ----- ------ ----- ------
Sales 77,596 74,662 83,621 235,879 100% 9,651 6,954 7,350 23,955
Cost of sales 19,209 19,492 20,238 58,939 25% 3,859 4,165 4,297 12,321
------ ------ ------ ------- ----- ----- ------ ----- ------
Gross margin 58,387 55,170 63,383 176,940 75% 5,792 2,789 3,053 11,634
Gross margin
percentage 75.2% 73.9% 75.8% 75.0%
SG&A expense 10,773 10,651 9,899 31,323 13% 3,160 2,224 604 5,988
R&D expense 6,667 6,837 7,122 20,626 9% 48 234 825 1,107
Interest income (728) (798) (470) (1,996) (1%) 119 222 597 938
Impairment loss 0 0 3,254 3,254 1% 0 0 3,254 3,254
Other non-
operating ex.,
net 1,175 607 373 2,155 1% 918 (91) (48) 779
------ ------ ------ ------- ----- ----- ------ ----- ------
17,887 17,297 20,178 55,362 23% 4,245 2,589 5,232 12,066
------ ------ ------ ------- ----- ----- ------ ----- ------
Earnings before
income taxes 40,500 37,873 43,205 121,578 52% 1,547 200(2,179) (432)
Income taxes 12,979 12,060 11,449 36,488 16% 399 921(2,871)(1,551)
------ ------ ------ ------- ----- ----- ------ ----- ------
27,521 25,813 31,756 85,090 36% 1,148 (721) 692 1,119
====== ====== ====== ======= ===== ===== ====== ===== ======
Diluted earnings
per share 0.74 0.70 0.86 2.30
Weighted average
diluted shares
outstanding 37,170 37,028 36,930 37,043
BIOTECHNOLOGY (1)
(in thousands of $'s)
Increase (Decrease)
Fiscal 2012 From Fiscal 2011
---------------------------------- -------------------------
First Second Third % of First Second Third
Qtr Qtr Qtr YTD Sales Qtr Qtr Qtr YTD
------ ------ ------ ------- ----- ----- ------ ----- ------
Sales 72,303 69,808 78,180 220,291 100% 9,262 6,728 7,060 23,050
Cost of sales 16,465 16,887 17,444 50,796 23% 3,624 4,267 4,145 12,036
------ ------ ------ ------- ----- ----- ------ ----- ------
Gross margin 55,838 52,921 60,736 169,495 77% 5,638 2,461 2,915 11,014
Gross margin
percentage 77.2% 75.8% 77.7% 76.9%
SG&A expense 9,470 9,003 8,921 27,394 12% 2,984 2,144 995 6,123
R&D expense 6,469 6,624 6,924 20,017 9% 48 245 820 1,113
Interest income (609) (689) (387) (1,685) (1%) 53 129 484 666
Exchange loss/
gain 524 105 (164) 465 0% 1,029 18 85 1,132
------ ------ ------ ------- ----- ----- ------ ----- ------
15,854 15,043 15,294 46,191 21% 4,114 2,536 2,384 9,034
------ ------ ------ ------- ----- ----- ------ ----- ------
Pretax result 39,984 37,878 45,442 123,304 56% 1,524 (75) 531 1,980
====== ====== ====== ======= ===== ===== ====== ===== ======
(1) Includes R&D Systems' Biotechnology Division, R&D Systems Europe,
BiosPacific, R&D China, Boston Biochem and Tocris.
HEMATOLOGY
(in thousands of $'s)
Increase (Decrease)
Fiscal 2012 From Fiscal 2011
---------------------------------- -------------------------
First Second Third % of First Second Third
Qtr Qtr Qtr YTD Sales Qtr Qtr Qtr YTD
------ ------ ------ ------- ----- ----- ------ ----- ------
Sales 5,293 4,854 5,441 15,588 100% 389 226 290 905
Cost of sales 2,744 2,605 2,794 8,143 52% 235 (102) 152 285
------ ------ ------ ------- ----- ----- ------ ----- ------
Gross margin 2,549 2,249 2,647 7,445 48% 154 328 138 620
Gross margin
percentage 48.2% 46.3% 48.7% 47.8%
SG&A expense 480 400 435 1,315 9% 152 64 (3) 213
R&D expense 198 213 198 609 4% -- (11) 5 (6)
Interest income (47) (45) (23) (115) (1%) 6 21 46 73
------ ------ ------ ------- ----- ----- ------ ----- ------
631 568 610 1,809 12% 158 74 48 280
------ ------ ------ ------- ----- ----- ------ ----- ------
Pretax result 1,918 1,681 2,037 5,636 36% (4) 254 90 340
====== ====== ====== ======= ===== ===== ====== ===== ======
CORPORATE AND OTHER (2)
(in thousands of $'s)
Increase (Decrease)
Fiscal 2012 From Fiscal 2011
---------------------------- ---------------------------
First Second Third First Second Third
Qtr Qtr Qtr YTD Qtr Qtr Qtr YTD
------ ------ ------ ------- ----- ------ ----- ------
Interest income 72 64 60 196 (60) (72) (67) (199)
Rental income 134 198 150 482 11 60 36 107
------ ------ ------ ------- ----- ------ ----- ------
206 262 210 678 (49) (12) (31) (92)
SG&A expense 823 1,248 543 2,614 24 16 (388) (348)
Other-Building
expenses 587 482 545 1,614 31 (49) (41) (59)
Other-Impairment
losses 0 0 3,254 3,254 0 0 3,254 3,254
Other-Equity
Investment losses 198 218 142 558 (131) 0 (56) (187)
------ ------ ------ ------- ----- ------ ----- ------
1,608 1,948 4,484 8,040 (76) (33) 2,769 2,660
------ ------ ------ ------- ----- ------ ----- ------
Pretax result (1,402)(1,686)(4,274) (7,362) 27 21 (2,800) (2,752)
====== ====== ====== ======= ===== ====== ===== ======
(2) Unallocated corporate expenses and Techne's share of losses related
to investment in unconsolidated entities.