-----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, U7aRrfjkqSDufEUAQqryeqsM4aJiWpIhXu+hkuEvhobCYIj9l/ktkFtr6IqzT/at NUOJgvVJ/FXClHAv2Ewjew== 0000950144-02-004098.txt : 20020418 0000950144-02-004098.hdr.sgml : 20020418 ACCESSION NUMBER: 0000950144-02-004098 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20020417 ITEM INFORMATION: Other events ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20020418 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: 1934 Act SEC FILE NUMBER: 000-23520 FILM NUMBER: 02614487 BUSINESS ADDRESS: STREET 1: 4709 CREEKSTONE DR STREET 2: RIVERBIRCH BLDG STE 200 CITY: DURHAM STATE: NC ZIP: 27703-8411 BUSINESS PHONE: 9199982000 MAIL ADDRESS: STREET 1: 4709 CREEKSTONE DR STREET 2: STE 300 CITY: DURHAM STATE: NC ZIP: 27703-8411 8-K 1 g75658e8-k.txt QUINTILES TRANSNATIONAL CORP 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 17, 2002 QUINTILES TRANSNATIONAL CORP. (Exact name of registrant as specified in its charter) North Carolina 000-23520 56-1714315 (State or other jurisdiction (Commission File Number) (I.R.S. Employer of incorporation) Identification No.) 4709 Creekstone Drive, Riverbirch Building, Suite 200, Durham, North Carolina 27703-8411 (Address of principal executive offices) (919) 998-2000 (Registrant's telephone number, including area code) N/A (Former name or former address, if changed since last report) Item 5. Other Events and Regulation FD Disclosure. On April 17, 2002, Quintiles Transnational Corp. issued a press release regarding its financial results for the period ended March 31, 2002. A copy of the press release is attached hereto as Exhibit 99.01 and incorporated by reference herein. Item 7. Financial Statements and Exhibits. (c) Exhibits Exhibit Number Description of Exhibit -------------- ---------------------- 99.01 Press Release, dated April 17, 2002, of Quintiles Transnational Corp. 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/ James L. Bierman ---------------------------- Dated: April 18, 2002 James L. Bierman Executive Vice President and Chief Financial Officer EXHIBIT INDEX Exhibit Number Description of Exhibit - -------------- ---------------------- 99.01 Press Release, dated April 17, 2002, of Quintiles Transnational Corp. EX-99.01 3 g75658ex99-01.txt PRESS RELEASE, DATED APRIL 17, 2002 FOR IMMEDIATE RELEASE www.quintiles.com CONTACT: Pat Grebe, Media Relations (media.info@quintiles.com) Greg Connors, Investor Relations (invest@quintiles.com) (919) 998 2000 QUINTILES REPORTS 1st QUARTER 2002 EPS OF $0.14, CASH FLOW FROM OPERATIONS OF $55 MILLION RESEARCH TRIANGLE PARK, N.C. - April 17, 2002 - Quintiles Transnational Corp. (Nasdaq: QTRN) today announced financial results for first quarter 2002. Earnings per share for the quarter ended March 31, 2002, were $0.14 on a diluted basis, meeting analysts' consensus expectations and a 133% increase from first quarter 2001 reported earnings per share of $0.06. Total net revenues and net income for first quarter 2002 were $398.1 million and $17.3 million, respectively, compared to $403.6 million and $7.8 million for first quarter 2001. "I'm pleased with the progress we made during the quarter in delivering core services and executing our business plan, in particular, continued improvements in efficiency and positioning ourselves to create greater opportunities in Product Development and Commercialization," said Quintiles Chief Executive Officer Pam Kirby, Ph.D. "One such example is our strategic agreement with Kos Pharmaceuticals to commercialize Advicor(TM) and Niaspan(R) in the U.S. to treat cholesterol disorders. Also, we enhanced our product partnering expertise and capabilities through the assets we acquired from Bioglan Pharma Inc. Combined with our PharmaBio Development group's ability to innovate, I believe we offer customers the industry's widest range of solutions to help develop and commercialize drugs and manage product portfolios. "Another event of note during the quarter was our announcement that our Quintiles Informatics unit would be combined into a joint venture with McKesson. Through this venture, which we expect to close this quarter, Quintiles will retain access to the Informatics unit's unique data products, while furthering our goal of expanding the use of longitudinal patient-level data to improve healthcare." Quintiles Transnational Chief Financial Officer Jim Bierman said: "Our efforts to improve efficiency continue to pay off, as indicated by the strong cash flow from operations we achieved during the quarter - $55 million - and our record decrease in net billings outstanding to 37 days in first quarter 2002 from 46 days in first quarter 2001." In other first quarter developments, Quintiles repurchased 290,000 shares of its common stock for an aggregate price of approximately $4.8 million as part of its previously announced stock repurchase program. As required, Quintiles adopted the guidance of recently issued accounting pronouncement EITF 01-14, effective Jan. 1, 2002, and, accordingly, has reclassified reimbursed service costs as part of revenues. Supplemental financial information is available under "Additional Financials" in the Investors section of Quintiles' Web site, http://www.quintiles.com/investors/additional_financials. Quintiles Transnational's first quarter 2002 financial briefing will be held at 11 a.m. EDT on Thursday, April 18, and will be broadcast live over the Web. Interested parties can access the Webcast at http://www.quintiles.com/corporate_info/broadcast_center. Additionally, a replay of the Webcast will be available via the same link about two hours after completion of the call, and will be archived for on-demand replay through 5 p.m. EDT, Friday, May 3, 2002. Quintiles Transnational helps improve healthcare worldwide by providing a broad range of professional services, information and partnering solutions to the pharmaceutical, biotechnology and healthcare industries. Headquartered near Research Triangle Park, North Carolina, Quintiles is a member of the S&P 500 and Fortune 1000. For more information visit the company's Web site at www.quintiles.com. The schedule attached to this release is an integral part of this release. Information in this press release contains "forward-looking statements" about Quintiles. These statements involve risks and uncertainties that could cause actual results to differ materially, including without limitation, the risk the market for our products and services will not grow as we expect, the risk that our PharmaBio transactions will not generate revenues or profit at the rate or levels we anticipate, our ability to efficiently distribute backlog among project management groups and match demand to resources, actual operating performance, the actual savings and operating improvements resulting from the restructuring, the ability to maintain large customer contracts or to enter into new contracts, changes in trends in the pharmaceutical industry, and the ability to operate successfully in new lines of business. 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 Annual Report on Form 10-K, its Form 8-Ks, and its other periodic reports, including Form 10-Qs. # # # Condensed Consolidated Statements of Income (Unaudited)
Three Months Ended March 31 2002 2001 - ----------------------------------------------------------------------------------------------------------- In thousands, except per share data Revenues: Service revenues $474,320 $463,265 Commercial rights and royalties 14,194 2,647 Investment 4,782 (902) - ----------------------------------------------------------------------------------------------------------- Total gross revenues 493,296 465,010 Less: reimbursed service costs 95,153 61,442 - ----------------------------------------------------------------------------------------------------------- Total net revenues 398,143 403,568 Costs of revenues: Service 211,515 238,905 Commercial rights and royalties 14,279 2,561 Investment 158 30 - ----------------------------------------------------------------------------------------------------------- 225,952 241,496 - ----------------------------------------------------------------------------------------------------------- Contribution 172,191 162,072 General, administrative and other: General and administrative 148,622 156,910 Interest (income) expense, net (3,262) (5,848) Other (income) expense, net 1,069 (618) - ----------------------------------------------------------------------------------------------------------- 146,429 150,444 - ----------------------------------------------------------------------------------------------------------- Income before income taxes 25,762 11,628 Income taxes expense 8,501 3,837 - ----------------------------------------------------------------------------------------------------------- Net income $ 17,261 $ 7,791 - ----------------------------------------------------------------------------------------------------------- Net income per share: Basic $ 0.15 $ 0.07 Diluted $ 0.14 $ 0.06 Shares used in computing net income per share: Basic 118,685 116,338 Diluted 120,227 120,064
Consolidated Balance Sheet Data (Unaudited)
March 31, December 31, 2002 2001 - ----------------------------------------------------------------------------------------------------------- In millions Cash, cash equivalents and debt investments $ 617 $ 602 Investments in marketable equity securities 76 78 Investments in non-marketable equity securities and loans 40 38 Working capital 597 618 Total assets 1,961 1,948 Debt including current portion 39 38 Shareholders' equity 1,460 1,455 - -----------------------------------------------------------------------------------------------------------
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