-----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, Kc6LMScOvdUsNYQFtHYDD/CuuQejicoArdS9DweKlzFx4C5vIZQrV4ygw143x8vP knOHIGTK6Hj+d5n3WgMvBg== 0001036050-00-000077.txt : 20000203 0001036050-00-000077.hdr.sgml : 20000203 ACCESSION NUMBER: 0001036050-00-000077 CONFORMED SUBMISSION TYPE: 6-K PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 20000128 FILED AS OF DATE: 20000201 FILER: COMPANY DATA: COMPANY CONFORMED NAME: PHOENIX INTERNATIONAL LIFE SCIENCES INC CENTRAL INDEX KEY: 0000935016 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-MEDICAL LABORATORIES [8071] IRS NUMBER: 223209631 FISCAL YEAR END: 0831 FILING VALUES: FORM TYPE: 6-K SEC ACT: SEC FILE NUMBER: 000-29942 FILM NUMBER: 519198 BUSINESS ADDRESS: STREET 1: 2350 COHEN STREET STREET 2: ST LAURENT QUEBEC CITY: H4R 2P7 CANADA STATE: A8 ZIP: 00000 6-K 1 FORM 6-K FORM 6-K SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Report of Foreign Issuer Pursuant to Rule 13a-16 or 15d-16 of the Securities Exchange Act of 1934 Dated February 1, 2000 PHOENIX INTERNATIONAL LIFE SCIENCES INC. ---------------------------------------- (Translation of registrant's name into English) 2350 Cohen Street ----------------- Saint Laurent, Quebec Canada H4R 2N6 ------------------------------------ (Address of principal executive offices) Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F. Form 20-F ______ Form 40-F X (commenced in calendar ----- year 1998) Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934. Yes ____ No X --- If "Yes" is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): ______________ 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, thereunto duly authorized. PHOENIX INTERNATIONAL LIFE SCIENCES INC. ---------------------------------------- (Registrant) Date: February 1, 2000 By: /s/ David Moszkowski ---------------- ----------------------------------- David Moszkowski Senior Vice President and Chief Financial Officer EX-99.1 2 PRESS RELEASE DATED JANUARY 25, 2000 Exhibit 99.1 PHOENIX INTERNATIONAL ANNOUNCES FISCAL 2000 FIRST QUARTER RESULTS . Phoenix International posts revenue growth of 27% . Record first quarter net income from operations of $0.14/share before special items Montreal, January 25, 2000 - Phoenix International Life Sciences (NASDAQ:PHXI; TSE:PHX), one of the world's leading contract research organizations, today announced its fiscal 2000 first quarter financial results for the period ended November 30, 1999. (All figures are in Canadian dollars and in accordance with U.S. GAAP.) The company reported consolidated net revenues of $77.2 million and record quarterly net income from operations of $3.8 million or $0.14 per share, before restructuring costs. Revenue for the first quarter of fiscal 2000 increased 27% to $77.2 million, compared with $60.7 million in the first quarter of fiscal 1999. Net income from operations for the first quarter was $3.8 million or $0.14 per share, before restructuring costs of $2.2 million, and a $1.8 million profit on the sale of its pharmacology facility in Laval, France, and net income after such items was $3.4 million or $0.12 per share. In the corresponding period in fiscal 1999, net income was $3.5 million or $0.13 per share, before merger costs of $800,000. "We are pleased with our first quarter performance, particularly in Early Stage Development, and management is focused on improving performance throughout business lines. We are committed to increasing value for all of our stakeholders," said Ian Lennox, CEO, Phoenix International. Early Stage Development grew significantly as a result of the company's record revenues and profits in its global Bioanalytical operations, and modest improvement in revenues from global Phase I and from the transgenic and toxicology business acquisitions of 1999. Late Stage Development results were mixed. The company's strong performance in Clinical Research in North America was offset by disappointing operating results in Europe/Asia. Segmented Results (Cdn$, in millions, U.S. GAAP) 1/st/ Quarter Revenue 2000 1999 % Early Stage Development 51.5 34.5 49% Late Stage Development 25.7 26.2 (2%) Total 77.2 60.7 27% EBIT (before special charges, sale of Pharmacology facility and merger costs) Early Stage Development 5.3 3.9 36% Late Stage Development 1.2 1.7 (30%) Total 6.5 5.6 16% About Phoenix International Phoenix International is one of the world's leading contract research organizations. The Company is a global leader in early stage pharmaceutical development and has a growing presence in late stage pharmaceutical development. Headquartered in Montreal, Quebec, the Company employs over 2,000 people in 19 countries around the world. Phoenix International is on the worldwide web at www.pils.com. - ------------ This release contains "forward-looking" statements regarding future results and events, including statements regarding expected future revenues, earnings and growth rates and goals and operating plans of management. Phoenix's actual future results may differ significantly from the results discussed in the forward-looking statements contained in this release. Factors that may cause such a difference include, but are not limited to: the inability of Phoenix to win new business at the levels required; the cancellation or delay of contracts; risks associated with the management of growth and the ability to attract and retain employees; risks of integrating newly acquired businesses; competition; any claims for patent infringement; unanticipated costs in connection with Year 2000 conversion; the ability to obtain future financing; adverse regulatory developments; foreign exchange rate fluctuations; and uncertainty surrounding the Euro. FOR MORE INFORMATION, PLEASE CONTACT: MEDIA: ANALYST CONTACT: RICHARD GAREAU DAVID MOSZKOWSKI, C.A. Director of Communications Senior Vice President and CFO Phoenix International Life Sciences Phoenix International Life Sciences Inc. Inc. Tel: (514) 333-0033, extension 4638 Tel: (514) 333-0033 Fax: (514) 335-8351 E-mail: richard.gareau@pils.com E-mail: david.moszkowski@pils.com ----------------------- --------------------- Phoenix International Life Sciences Inc. CONSOLIDATED BALANCE SHEETS Canadian GAAP
Unaudited [In millions of Canadian dollars] November 30 August 31 1999 1999 $ $ - ------------------------------------------------------------------------------- ASSETS Current Cash 41.4 40.9 Marketable securities 3.0 0.5 Accounts receivable 73.4 62.7 Investment tax credits recoverable 2.8 2.2 Costs and estimated profit in excess of progress billings on contracts in progress 24.6 38.7 Other 9.9 8.1 ---------- ---------- 155.1 153.1 ---------- ---------- Capital assets 101.7 99.4 Other assets 133.7 136.7 ---------- ---------- 390.5 389.2 ---------- ---------- LIABILITIES AND SHAREHOLDERS' EQUITY Current Bank indebtedness 11.3 1.4 Accounts payable and accrued liabilities 83.3 82.2 Progress billings in excess of costs and estimated profit on contracts in progress 56.9 62.2 Current portion of long-term debt and capital lease obligations 13.4 15.7 ---------- ---------- 164.9 161.5 ---------- ---------- Long-term debt and capital lease obligations 61.9 64.3 Other deferred credits 9.9 10.0 ---------- ---------- 236.7 235.8 Shareholders' equity Capital stock 138.1 138.1 Retained earnings 16.7 15.6 Cumulative translation adjustment (1.0) (0.3) ---------- ---------- 153.8 153.4 ---------- ---------- 390.5 389.2 ---------- ----------
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS November 30, 1999 1) These interim financial statements are the responsibility of management and, in its opinion, include all the adjustments, which are of a normal recurring nature, necessary for a fair statement of the results for the interim period presented. Phoenix International Life Sciences Inc. CONSOLIDATED STATEMENTS OF INCOME US GAAP
First Quarter, ended November 30 Unaudited [In millions of Canadian dollars except per share amounts] 1999 1998 $ $ - ------------------------ ----------------------------------------------- Gross revenues 95.7 76.2 Reimbursed costs 18.5 15.5 -------------- -------------- Net revenues 77.2 60.7 Direct costs - net of refundable tax credits 47.6 35.8 -------------- -------------- Gross profit 29.6 24.9 -------------- -------------- Expenses - net of refundable tax credits Selling, general and administrative 21.2 18.2 Internal research and development 1.2 0.9 Interest expense 1.9 1.5 Amortization of goodwill 0.7 0.3 Restructuring costs 2.2 - -------------- -------------- 27.2 20.9 -------------- -------------- Other income 0.5 0.3 Gain on disposal of Pharamacolgy 1.8 - Merger costs - 0.8 Non-refundable tax credits 1.8 1.5 -------------- -------------- Income before income taxes 6.5 5.0 Income taxes 3.1 2.3 -------------- -------------- Net income 3.4 2.7 -------------- -------------- Basic earnings per share 12 cents 10 cents -------------- -------------- Weighted average shares outstanding 27,145,247 26,047,189 ============== ============== Net income before special items 3.8 3.5 -------------- -------------- Basic earnings per share before special items 14 cents 13 cents -------------- --------------
Phoenix International Life Sciences Inc. CONSOLIDATED STATEMENTS OF INCOME Canadian GAAP
First Quarter, ended November 30 Unaudited [In millions of Canadian dollars except per share amounts] 1999 1998 $ $ - -------------------------------- ------------------------------------ Gross revenues 95.7 74.1 Reimbursed costs 18.5 15.5 -------------- -------------- Net revenues 77.2 58.6 Direct costs - net of refundable tax credits 47.6 34.7 -------------- -------------- Gross profit 29.6 23.9 -------------- -------------- Expenses - net of refundable tax credits Selling, general and administrative 21.2 17.5 Internal research and development 1.2 0.9 Interest expense 1.9 1.4 Amortization of goodwill 1.3 0.7 Restructuring costs 2.1 - -------------- -------------- 27.7 20.5 -------------- -------------- Other income 0.5 0.2 Non-refundable tax credits 1.8 1.5 -------------- -------------- Income (loss) before income taxes 4.2 5.1 Income taxes 3.1 2.3 -------------- -------------- Net Income (loss) for the period 1.1 2.8 -------------- -------------- Basic earnings (loss) per share 4 cents 11 cents -------------- -------------- Weighted average shares outstanding 27,145,247 25,155,226 ============== ============== Net income before special items 3.2 2.8 -------------- -------------- Basic earnings per share before special items 12 cents 11 cents -------------- --------------
CONSOLIDATED STATEMENTS OF RETAINED EARNINGS Canadian GAAP
For the three months ended November 30 Unaudited [In thousands of Canadian dollars] 1998 1998 $ $ - -------------------------------- ------------------------------------ Retained earnings, beginning of period 15.6 18.2 Net income (loss) 1.0 2.9 -------------- -------------- Retained earnings, end of period 16.6 21.1 ============== ==============
Phoenix International Life Sciences Inc. CONSOLIDATED STATEMENTS OF CASH FLOW Canadian GAAP
For the three month period ended November 30 Unaudited [In millions of Canadian dollars] 1999 1998 $ $ - -------------------------------------------------------------------------------- OPERATING ACTIVITIES Net income 1.1 2.9 Items not affecting cash Amortization 5.1 3.7 Net change in non-cash working capital items related to operations (4.7) (0.5) -------- -------- Cash provided by operating activities 1.5 6.1 -------- -------- INVESTING ACTIVITIES Capital asset additions (7.9) (3.9) Proceeds on disposal of Laval Pharmacology 3.2 - Investment in Chrysalis - (7.2) Proceeds on disposal of KCAS - 3.7 Other assets - (0.2) -------- -------- Cash used in investing activities (4.7) (7.6) -------- -------- FINANCING ACTIVITIES Assumption of long-term debt 5.5 7.2 Repayment of long-term debt (9.0) (6.5) Increase in bank indebtedness 9.9 2.7 Other deferred credits and long-term liabilities (0.1) (0.5) Purchase of marketable securities (2.6) - -------- -------- Cash provided by financing activities 3.7 2.9 -------- -------- Increase in cash position during the period 0.5 1.4 Cash beginning of period 40.9 17.0 -------- -------- Cash end of period 41.4 18.4 -------- --------
EX-99.2 3 PRESS RELEASE DATED JANUARY 26, 2000 Exhibit 99.2 PHOENIX INTERNATIONAL APPOINTS LUCIEN STERU SENIOR VP CORPORATE DEVELOPMENT ANNOUNCES KEY MANAGEMENT CHANGE Montreal, January 26, 2000 - Phoenix International Life Sciences Inc. (NASDAQ: PHXI; TSE: PHX), one of the world's leading contract research organizations, today announced the appointment of Dr. Lucien Steru as Senior Vice-President, Corporate Development. In his new position, Dr. Steru, formerly President and COO, Clinical Research, Europe, will have a more prominent role in shaping and implementing the company's overall new business strategy. "Dr. Steru has almost 20 years of experience in the clinical research industry. We intend to better utilize Dr. Steru's insight, talent and energy on a company- wide basis, to support the profitable growth of Phoenix International," commented Ian Lennox, CEO, Phoenix International. Dr. Steru added "Ian Lennox is committed to building the best CRO in the world for our employees, customers and shareholders. As an employee, shareholder, and director of Phoenix International, I look forward to working closely with him to achieve this objective." Reporting to Ian Lennox, Dr. Steru will complete and implement a management transition plan within Clinical Research, Europe/Asia, over the next several weeks. Prior to joining Phoenix International, Dr. Steru founded one of the very first CROs in France, specializing in clinical studies Phases II-IV, Biometrics and Medical Writing. Having reached and maintained leadership in France, the CRO he founded grew in Europe, establishing several subsidiaries or alliances with other CROs, and pioneered in pan-European clinical trials. Dr. Steru then merged his business with Phoenix International assuming the responsibility for the management of all European Operations and becoming a Board Member. About Phoenix International Phoenix International is one of the world's leading contract research organizations. The Company is a global leader in early stage pharmaceutical development and has a growing presence in late stage pharmaceutical development. Headquartered in Montreal, Quebec, the Company employs over 2,000 people in 19 countries around the world. Phoenix International is on the worldwide web at www.pils.com. - ------------ This release contains "forward-looking" statements regarding future results and events, including statements regarding expected future revenues, earnings and growth rates and goals and operating plans of management. Phoenix's actual future results may differ significantly from the results discussed in the forward-looking statements contained in this release. Factors that may cause such a difference include, but are not limited to: the inability of Phoenix to win new business at the levels required; the cancellation or delay of contracts; risks associated with the management of growth and the ability to attract and retain employees; risks of integrating newly acquired businesses; competition; any claims for patent infringement; unanticipated costs in connection with Year 2000 conversion; the ability to obtain future financing; adverse regulatory developments; foreign exchange rate fluctuations; and uncertainty surrounding the Euro. FOR MORE INFORMATION, PLEASE CONTACT: MEDIA: RICHARD GAREAU Director of Communications Phoenix International Life Sciences Inc. Tel: (514) 333-0033, extension 4638 E-mail: richard.gareau@pils.com ANALYST CONTACT: DAVID MOSZKOWSKI, C.A. Senior Vice President and Chief Financial Officer Phoenix International Life Sciences Inc. Tel: (514) 333-0033 Fax: (514) 335-8351 E-mail: david.moszkowski@pils.com -----END PRIVACY-ENHANCED MESSAGE-----