EX-99.1 2 icu_8kex99-1.txt Exhibit 99.1 ICU MEDICAL, INC. ICU MEDICAL, INC. REPORTS SECOND QUARTER 2005 RESULTS JULY 18, 2005, SAN CLEMENTE, CALIFORNIA --ICU Medical, Inc., (NASDAQ/NMS:ICUI), a leading low cost manufacturer of safe medical connectors and custom intravenous systems, today announced results for the second quarter and six months ended June 30, 2005. Second quarter revenue increased 88% to $40.7 million, as compared to $21.7 million in the same period last year. Net income for the second quarter increased 39% to $4.7 million, or $0.31 per diluted share, as compared to $3.4 million, or $0.23 per diluted share in the second quarter of 2004. For the first six months of 2005, the Company earned $9.2 million, or $0.61 per diluted share, on revenues of $67.8 million, as compared to net income of $7.6 million, or $0.50 per diluted share, on revenues of $43.9 million for the same period in 2004. Commenting on the quarter, Frank O'Brien, ICU Medical's Chief Financial Officer, said, "We are very pleased with our performance, which exceeded expectations for both the top and bottom line and demonstrates our ability to drive growth. While our flagship CLAVE product line was the primary contributor, we experienced strong sales across our safe medical connectors and custom intravenous systems to Hospira and through our other sales channels. In addition, the critical care product line produced for Hospira at our new manufacturing facility in Salt Lake City contributed $13.2 million of the top line increase." Mr. O'Brien continued, "We expect to diversify our revenue stream, with several product introductions planned for the second half of 2005. Given our strong performance in the first half of the year, we are raising our 2005 revenue target to $140 million and our diluted earnings per share target to $1.06 to $1.08. Of these amounts, we expect the Salt Lake City products to contribute approximately $40 million to the top line and a small increment to the bottom line." ICU Medical's balance sheet remains strong with cash and investments at the end of the second quarter of 2005 of $64.3 million even after the acquisition of the Salt Lake City manufacturing facility, which closed in May. The foregoing statement concerning Management's expectation with respect to future results is a forward looking statement based upon the best information currently available to Management and assumptions Management believes are reasonable, but Management does not intend the statement to be a representation as to future results. Future results are subject to risks and uncertainties, including the risk factors described in the Company's filings with the Securities and Exchange Commission, which include those in the Form 10-K dated March 13, 2005. Actual results in the future may differ materially from Management's current expectations. The Company will be conducting a conference call concerning its second quarter results at 1:30 p.m. PDT (4:30 p.m. EDT) on Monday, July 18, 2005, which can be accessed at 800-901-5241, passcode 16612574 or by replay at 888-286-8010, passcode 87239461. The conference call will be simultaneously available by webcast, which can be accessed by going to the Company's website at www.icumed.com, clicking on the Investors tab, clicking on the Webcast icon and following the prompts. The webcast will also be available by replay. Certain information provided as part of that call will be provided on the Company's website at www.icumed.com within 48 hours of this announcement. CONTACT: Francis J. O'Brien Chief Financial Officer ICU Medical, Inc. (949) 366-2183 John F. Mills Managing Director Integrated Corporate Relations (310) 395-2215 ICU MEDICAL, INC. Summary Consolidated Statements of Income (all dollar amounts in thousands except share and per share data) (unaudited) THREE MONTHS ENDED SIX MONTHS ENDED 6/30/2005 6/30/2004 6/30/2005 6/30/2004 --------------- --------------- --------------- --------------- Revenue Net sales $ 40,116 $ 21,001 $ 65,779 $ 42,272 Other 577 663 1,999 1,626 ------------ ------------ ------------ ------------ Total revenue 40,693 21,664 67,778 43,898 Cost of sales 24,360 9,600 36,220 19,414 ------------ ------------ ------------ ------------ Gross profit 16,333 12,064 31,558 24,484 Selling, general and administrative expenses 9,606 6,603 17,629 12,258 Research and development expenses 1,004 403 1,678 854 ------------ ------------ ------------ ------------ Total operating expenses 10,610 7,006 19,307 13,112 ------------ ------------ ------------ ------------ Income from operations 5,723 5,058 12,251 11,372 Other income 986 398 1,574 708 ------------ ------------ ------------ ------------ Income before income taxes and minority interest 6,709 5,456 13,825 12,080 Provision for income taxes 2,095 2,046 4,866 4,530 Minority interest (125) -- (197) -- ------------ ------------ ------------ ------------ Net income $ 4,739 $ 3,410 $ 9,156 $ 7,550 ------------ ------------ ------------ ------------ Net income per share - diluted $ 0.31 $ 0.23 $ 0.61 $ 0.50 ============ ============ ============ ============ Weighted average number of common shares - diluted 15,080,689 15,140,606 14,939,345 15,107,214 ============ ============ ============ ============
ICU MEDICAL, INC. Summary Consolidated Balance Sheet Data (all dollar amounts in thousands except share data) (unaudited) ASSETS 6/30/05 12/31/04 --------- --------- CURRENT ASSETS: Cash and liquid investments $ 64,301 $ 87,341 Accounts receivable, net 26,807 8,922 Inventories 16,248 8,429 Prepaid and deferred income taxes 2,361 7,732 Other current assets 7,448 4,620 --------- --------- Total current assets 117,165 117,044 --------- --------- PROPERTY AND EQUIPMENT, NET 53,881 40,934 OTHER ASSETS 14,797 6,790 --------- --------- $185,843 $164,768 ========= ========= LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES: $ 13,970 $ 7,454 MINORITY INTEREST: 769 966 STOCKHOLDERS' EQUITY: 13,849,398 common shares outstanding, net, at June 30, 2005 171,104 156,348 --------- --------- $185,843 $164,768 ========= =========
ICU MEDICAL, INC. Summary Consolidated Statements of Cash Flows (all dollar amounts in thousands) (unaudited) SIX MONTHS ENDED ------------------------ 6/30/05 6/30/04 --------- --------- CASH FLOWS FROM OPERATING ACTIVITIES: Net Income $ 9,156 $ 7,550 Adjustments to reconcile net income to net cash Provided by operating activities -- Depreciation and amortization 4,212 3,742 Net change in current assets and liabilities, and other, net of assets acquired (8,204) 3,022 --------- --------- 5,164 14,314 Tax benefits from exercise of stock options 2,080 1,913 --------- --------- Net cash provided by operating activities 7,244 16,227 --------- --------- CASH PAID FOR SALT LAKE CITY ASSETS (32,116) -- PURCHASES OF PROPERTY AND EQUIPMENT (2,449) (2,272) NET CHANGE IN LIQUID INVESTMENTS 24,300 (17,300) EMPLOYEE EQUITY PLANS 3,958 2,860 OTHER 322 1,958 NET INCREASE IN CASH --------- --------- AND CASH EQUIVALENTS $ 1,259 $ 1,473 ========= =========