-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, PQJew6vbt6KVClKaPphypRiSJbLOE0duKjJPXMleTQzVSlSC4Sz+6fSQzWN0e7se Pbj5kLusT61NMJyWq/PT2w== 0001072613-05-000929.txt : 20050419 0001072613-05-000929.hdr.sgml : 20050419 20050419104053 ACCESSION NUMBER: 0001072613-05-000929 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20050419 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20050419 DATE AS OF CHANGE: 20050419 FILER: COMPANY DATA: COMPANY CONFORMED NAME: BOSTON SCIENTIFIC CORP CENTRAL INDEX KEY: 0000885725 STANDARD INDUSTRIAL CLASSIFICATION: SURGICAL & MEDICAL INSTRUMENTS & APPARATUS [3841] IRS NUMBER: 042695240 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-11083 FILM NUMBER: 05758335 BUSINESS ADDRESS: STREET 1: ONE BOSTON SCIENTIFIC PL CITY: NATICK STATE: MA ZIP: 01760-1537 BUSINESS PHONE: 5086508000 8-K 1 form8-k_13428.txt FORM 8-K DATED APRIL 19, 2005 ================================================================================ UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 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): April 19, 2005 BOSTON SCIENTIFIC CORPORATION -------------------------------------------------- (Exact name of registrant as specified in charter) DELAWARE 1-11083 04-2695240 - --------------- ----------- ------------- (State or other (Commission (IRS employer jurisdiction of file number) identification no.) incorporation) ONE BOSTON SCIENTIFIC PLACE, NATICK, MASSACHUSETTS 01760-1537 ------------------------------------------------------------- (Address of principal executive offices) (Zip code) Registrant's telephone number, including area code: (508) 650-8000 Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the fling obligation of the registrant under any of the following provisions: [_] Written communication 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. On April 19, 2005, Boston Scientific Corporation (the "Company") issued a press release announcing financial results for the first quarter ended March 31, 2005. A copy of the release is furnished with this report as Exhibit 99.1. The information in this Current Report on Form 8-K and the Exhibit attached hereto shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934 (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, regardless of any general incorporation language in such filing. ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS. 99.1 Press Release issued by Boston Scientific Corporation dated April 19, 2005. SIGNATURE --------- Pursuant to the requirements of the Securities and Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. BOSTON SCIENTIFIC CORPORATION Date: April 19, 2005 By: /s/ Lawrence J. Knopf --------------------------------- Lawrence J. Knopf Vice President and Assistant General Counsel INDEX TO EXHIBITS ----------------- Exhibit Number Description - ------ ----------- 99.1 Press Release issued by Boston Scientific Corporation dated April 19, 2005 EX-99.1 2 exhibit99-1_13428.txt PRESS RELEASE DATED APRIL 19, 2005 EXHIBIT 99.1 ------------ NEWS BOSTON FOR IMMEDIATE RELEASE SCIENTIFIC ===================== ============================= Boston Scientific Corporation One Boston Scientific Place Natick, MA 01760-1537 508.650.8000 www.bostonscientific.com BOSTON SCIENTIFIC ANNOUNCES FIRST QUARTER RESULTS Natick, MA (April 19, 2005) -- Boston Scientific Corporation (NYSE: BSX) today announced financial results for its first quarter ended March 31, 2005. HIGHLIGHTS: - ----------- o Net sales of $1.6 billion, an increase of 49 percent o Worldwide coronary stent sales of $721 million, an increase of 154 percent o Net income, excluding net special charges, of $431 million, an increase of 122 percent o Earnings per share, excluding net special charges, of $0.51 per share, an increase of 122 percent Net sales for the first quarter were $1.615 billion as compared to $1.082 billion for the first quarter of 2004, an increase of 49 percent. Excluding the favorable impact of $26 million of foreign currency fluctuations, net sales increased 47 percent. Worldwide coronary stent sales for the first quarter were $721 million as compared to $284 million for the first quarter of 2004, an increase of 154 percent. Worldwide sales of our TAXUS(R) paclitaxel-eluting coronary stent systems during the quarter were $686 million, an increase of 219 percent. U.S. sales of our TAXUS(R) Express(2)(TM) paclitaxel-eluting coronary stent system during the quarter were $494 million. Net income for the quarter, excluding net special charges, increased 122 percent to $431 million, or $0.51 per share, as compared to $194 million, or $0.23 per share, in the first quarter of 2004. Reported net income for the quarter, including net special charges of $73 million, was $358 million, or $0.42 per share. The net special charges for the quarter consisted of purchased in-process research and development costs related to the acquisition of Advanced Stent Technologies. "This was another record quarter, thanks in large part to the ongoing success of the TAXUS Express(2) paclitaxel-eluting coronary stent system," said Jim Tobin, President and Chief Executive Officer of Boston Scientific. "In the coming quarters, we expect our recent dramatic growth to return to more moderate levels, following a full year of TAXUS system sales in the U.S. I want to congratulate our entire team for achieving global leadership in the drug-eluting stent market. Maintaining this leadership will continue to be our number one priority." --more-- Boston Scientific Corporation / Page 2 April 19, 2005 Boston Scientific officials will be discussing these and other issues with analysts on a conference call at 11:00 a.m. (ET) Tuesday, April 19. The Company will webcast the call to all interested parties through its website: www.bostonscientific.com. Please see the website for details on how to access the webcast. The webcast will be available for one year on the Boston Scientific website. Boston Scientific is a worldwide developer, manufacturer and marketer of medical devices whose products are used in a broad range of interventional medical specialties. For more information, please visit: www.bostonscientific.com. The Company discloses non-GAAP or pro forma measures that exclude certain charges. Non-GAAP measures may exclude such items as charges related to purchased in-process research and development and certain litigation. Management uses these measures to establish operational goals, and believes that non-GAAP measures may assist investors in analyzing the underlying trends in the Company's business over time. Investors should consider these non-GAAP measures in addition to, not as a substitute for, or as superior to, financial reporting measures prepared in accordance with GAAP. This press release contains forward-looking statements. The Company wishes to caution the reader of this press release that actual results may differ from those discussed in the forward-looking statements and may be adversely affected by, among other things, risks associated with new product development and introduction, clinical trials, regulatory approvals, competitive offerings, intellectual property, litigation, the Company's overall business strategy, and other factors described in the Company's filings with the Securities and Exchange Commission. CONTACT: Milan Kofol 508-650-8569 Investor Relations Boston Scientific Corporation Paul Donovan 508-650-8541 Media Relations Boston Scientific Corporation BOSTON SCIENTIFIC CORPORATION CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
Three Months Ended Three Months Ended March 31, 2005 March 31, 2004 (in millions, except per share data) Reported Adjustments Adjusted Reported - ------------------------------------------------------------------------------------------------------------------ Net sales $ 1,615 $ 1,615 $ 1,082 Cost of products sold 344 344 292 ----------------------------------- -------- Gross profit 1,271 1,271 790 Selling, general and administrative expenses 431 431 348 Research and development expenses 159 159 134 Royalty expense 64 64 22 Amortization expense 31 31 22 Purchased research and development 73 $ (73) ----------------------------------- -------- 758 (73) 685 526 ----------------------------------- -------- Operating income 513 73 586 264 Other income (expense): Interest expense (23) (23) (11) Other, net 4 4 2 ----------------------------------- -------- Income before income taxes 494 73 567 255 Income taxes 136 136 61 ----------------------------------- -------- Net income $ 358 $ 73 $ 431 $ 194 =================================== ======== Net income per common share - assuming dilution $ 0.42 $ 0.51 $ 0.23 ======== ======== ======== Weighted average shares outstanding - assuming dilution 850.2 850.2 855.2 ======== ======== ========
BOSTON SCIENTIFIC CORPORATION CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) March 31, December 31, (in millions) 2005 2004 - -------------------------------------------------------------------------------- Assets Current assets: Cash, cash equivalents and short-term investments $ 956 $ 1,640 Trade accounts receivable, net 953 900 Inventories 387 360 Other current assets 461 389 ------- ------- Total current assets 2,757 3,289 Property, plant and equipment, net 924 870 Intangible assets, net 3,373 3,340 Investments 619 529 Other assets 146 142 ------- ------- $ 7,819 $ 8,170 ======= ======= Liabilities and Stockholders' Equity Current liabilities: Borrowings due within one year $ 430 $ 1,228 Accounts payable and accrued expenses 945 1,010 Other current liabilities 409 367 ------- ------- Total current liabilities 1,784 2,605 Long-term debt 1,115 1,139 Other long-term liabilities 530 401 Stockholders' equity 4,390 4,025 ------- ------- $ 7,819 $ 8,170 ======= ======= Boston Scientific Corporation Worldwide Sales Regional Summary (Unaudited) Three Months Ended March 31, Change --------------------------------------------------------- As Reported Constant (in millions) 2005 2004 Currency Basis Currency Basis ---------- ---------- -------------- -------------- Domestic $ 1,005 $ 576 74% 74% Europe 299 235 27% 21% Japan 151 155 (3%) (5%) Inter-Continental 160 116 38% 32% ---------- ---------- -------------- -------------- International 610 506 21% 16% ---------- ---------- -------------- -------------- Worldwide $ 1,615 $ 1,082 49% 47% ========== ========== ============== ============== Boston Scientific Corporation Worldwide Sales Divisional Summary (Unaudited) Three Months Ended March 31, Change --------------------------------------------------------- As Reported Constant (in millions) 2005 2004 Currency Basis Currency Basis ---------- ---------- -------------- -------------- Cardiovascular $ 1,192 $ 723 65% 63% Electrophysiology 32 32 0% (2%) Neurovascular 69 64 8% 4% ---------- ---------- -------------- -------------- Cardiovascular 1,293 819 58% 56% Oncology 50 46 9% 7% Endoscopy 167 158 6% 4% Urology 72 59 22% 19% ---------- ---------- -------------- -------------- Endosurgery 289 263 10% 8% Neuromodulation 33 ---------- ---------- -------------- -------------- Worldwide $ 1,615 $ 1,082 49% 47% ========== ========== ============== ============== -----END PRIVACY-ENHANCED MESSAGE-----