-----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, E+Scdh4G0pi+GPcLQyk6m5AJkG8jClkA6bJIHN/tQVc6mA+0LN6HwaQwZuXOuWrg O18Fq/qDdqsP1sMBBa42LQ== 0000950144-98-011621.txt : 19981022 0000950144-98-011621.hdr.sgml : 19981022 ACCESSION NUMBER: 0000950144-98-011621 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19981020 ITEM INFORMATION: ITEM INFORMATION: FILED AS OF DATE: 19981021 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: QUINTILES TRANSNATIONAL CORP CENTRAL INDEX KEY: 0000919623 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-COMMERCIAL PHYSICAL & BIOLOGICAL RESEARCH [8731] IRS NUMBER: 561714315 STATE OF INCORPORATION: NC FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: SEC FILE NUMBER: 000-23520 FILM NUMBER: 98728589 BUSINESS ADDRESS: STREET 1: 4709 CREEKSTONE DR STREET 2: RIVERBIRCH BLDG STE 200 CITY: DURHAM STATE: NC ZIP: 27703-8411 BUSINESS PHONE: 9199412000 MAIL ADDRESS: STREET 1: 4709 CREEKSTONE DR STREET 2: STE 300 CITY: DURHAM STATE: NC ZIP: 27703-8411 8-K 1 QUINTILES TRANSNATIONAL FORM 8-K 1 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): October 20, 1998 QUINTILES TRANSNATIONAL CORP. (Exact name of registrant as specified in its charter) North Carolina 340-23520 56-1714315 (State or other (Commission File No.) I.R.S. Employer jurisdiction Identification Number of incorporation) 4709 Creekstone Drive, Riverbirch Building, Suite 200, Durham, North Carolina 27703-8411 (Address of principal executive offices) (919) 941-2000 (Registrant's telephone number, including area code) N/A (Former name or former address, if changed since last report) 2 Item 5. Other Events. On October 20, 1998, Quintiles Transnational Corp. (the "Company") issued a press release regarding its financial results for the three month period ended September 30, 1998. A copy of the press release is attached hereto as Exhibit 99.01 and incorporated by reference herein. Item 7. (c) Exhibits Exhibit No. Description of Exhibit ----------- ---------------------- 99.01 Press release, dated October 20, 1998. 3 SIGNATURES 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. QUINTILES TRANSNATIONAL CORP. By: /s/ Rachel R. Selisker ----------------------------------- Dated: October 20, 1998 Rachel R. Selisker Chief Financial Officer and Executive Vice President Finance 4 EXHIBIT INDEX Exhibit No. Description of Exhibit ----------- ---------------------- 99.01 Press release, dated October 20, 1998 EX-99.01 2 PRESS RELEASE DATED 10-20-1998 1 FOR IMMEDIATE RELEASE www.quintiles.com CONTACT: Pat Grebe, Media Relations (pgrebe@quintiles.com) Greg Connors, Investor Relations (invest@quintiles.com) (919) 941-2000 QUINTILES TRANSNATIONAL POSTS 47% GROWTH, AGAIN BREAKS ITS INDUSTRY RECORDS IN REVENUE AND INCOME RESEARCH TRIANGLE PARK, N.C. - October 20, 1998 - Quintiles Transnational Corp. (Nasdaq: QTRN) today reported net revenue of $303.5 million for the third quarter 1998, breaking its own industry record for quarterly revenue and representing a 47% increase over net revenue of $206.7 million for the third quarter 1997. Quintiles Transnational also exceeded its own industry record for net income available to common shareholders, which grew 47% to $20.9 million versus $14.2 million for the 1997 third quarter. Diluted net income per share grew 41% to $0.27 compared with $0.19 per share for the third quarter of 1997. "Our continuing success allows us to expand and integrate our healthcare intelligence network to create new opportunities for our customers to succeed," said Dennis Gillings, Ph.D., Chairman and CEO of Quintiles Transnational Corp. "For example, our ability to cross-reference demographic information about disease patterns with our extensive database of high-quality investigators is designed to dramatically accelerate patient recruitment. Slow recruitment is the No. 1 cause of delays in clinical trials, and this is just one component of our worldwide TotalAcceleration(TM) program aimed at improving drug development while compressing timelines. "On the sales and marketing side, we're growing our capabilities globally and by adding new services, such as sophisticated sales management software and territory alignment systems to help our customers optimize sales forces productivity. These capabilities further strengthen our ability to help accelerate the commercial success of our customers' products." While all of Quintiles Transnational's service groups contributed to its robust third-quarter results, the greatest growth occurred in U.S. contract research services, the most mature part of Quintiles' business. Since the beginning of the third quarter Quintiles Transnational's organic growth was balanced with five high-quality acquisitions - two in Europe and three in the U.S. - to broaden the depth and breadth of the company's service offerings, and by the openings of new offices in Israel and Brazil. Quintiles Transnational's Innovex service group, already the world's largest supplier of pharmaceutical contract sales and marketing services, further extended its capabilities by adding high-quality contract sales organizations in the United Kingdom and France, and a premier sales force planning company in the United States. 2 Recently Quintiles Transnational added to its growing Quintiles Medical Communications capabilities by acquiring a leading U.S. supplier of integrated product marketing and communication services. Quintiles also acquired a full-service clinical packaging facility in the U.S. and entered into an agreement with the renowned academic medical center, Johns Hopkins Medicine, to collaborate on clinical research opportunities. Quintiles Transnational Corp. is the market leader in providing a full range of integrated product development and marketing services to the pharmaceutical, biotechnology and medical device industries. Quintiles also provides healthcare policy consulting and health information management services to healthcare and governmental organizations worldwide. Quintiles is headquartered near Research Triangle Park, North Carolina. With more than 14,000 employees worldwide and offices in 30 countries, Quintiles operates through specialized work groups dedicated to meeting customers' individual needs. Visit our web site at www.quintiles.com. Information in this press release contains "forward-looking statements." These statements involve risks and uncertainties that could cause actual results to differ materially, including without limitation, the ability of recently combined businesses to be integrated with Quintiles' current worldwide operations, actual operating performance, the ability to penetrate new and unproven markets and the rate of such penetration, the ability to maintain large client contracts or to enter into new contracts, and the actual costs of combining the businesses. Additional factors that could cause actual results to differ materially are discussed in the company's recent filings with the Securities and Exchange Commission, including but not limited to its S-3 and S-4 Registration Statements, its Annual Report on Form 10-K, its Form 8-Ks, and its other periodic reports, including Form 10-Q, exhibit 99.01. # # # 3 CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited)
Three Months Ended September 30 Nine Months Ended September 30 1998 1997 1998* 1997*** - ---------------------------------------------------------------------------------------------------------------------- In thousands, except per share data Net revenue 303,474 206,697 848,379 580,762 Costs and expenses: Direct 159,284 109,174 444,369 301,863 General and administrative 98,298 65,471 274,925 189,954 Depreciation and amortization 14,166 9,558 40,431 26,409 - ------------------------------------------------------------------------------------- ---------------------------- Total costs and expenses 271,748 184,203 759,725 518,226 - ------------------------------------------------------------------------------------- ---------------------------- Income from operations 31,726 22,494 88,654 62,536 Other income (expense) (989) (829) (1,917) (1,885) - ------------------------------------------------------------------------------------- ---------------------------- Income before income taxes 30,737 21,665 86,737 60,651 Income taxes 9,825 7,458 27,823 22,102 - ------------------------------------------------------------------------------------- ---------------------------- Net income available to common shareholders $20,912 $14,207 $58,914 $38,549 - ------------------------------------------------------------------------------------- ---------------------------- Basic net income per share** $0.27 $0.19 $0.77 $0.54 Diluted net income per share** $0.27 $0.19 $0.76 $0.52 - ------------------------------------------------------------------------------------- ---------------------------- Shares used in computing net income per share** Basic 76,724 73,011 76,476 71,948 Diluted 78,108 74,686 77,987 73,632
CONSOLIDATED BALANCE SHEET DATA (Unaudited)
Sept 30, December 31, 1998 1997 - ------------------------------------------------------------------------------------- In millions Working capital $198 $165 Total assets 938 799 Shareholders' equity 465 387 - -------------------------------------------------------------------------------------
* Restated to include ClinData International Pty Ltd., Cardiac Alert, Royce Consultancy, Ltd. and Data Analysis Systems acquired in the second and third quarters of 1998 through transactions accounted for as poolings of interests. ** Restated to reflect the December 1997 two-for-one stock split. *** Restated to include certain 1997 poolings of interest transactions. -----END PRIVACY-ENHANCED MESSAGE-----