Repligen Corporation (NASDAQ:RGEN), a life sciences company focused
on bioprocessing technology leadership, today reported financial
results for its second quarter of 2019. Provided in this press
release are financial highlights for the three- and six-month
periods ended June 30, 2019, updated financial guidance for the
fiscal year 2019, and access information for today's webcast and
conference call.
Tony J. Hunt, President and Chief Executive Officer said, “We
are very pleased with the company’s performance during the second
quarter, which included record revenue and 46% organic
growth. In May, we closed on our acquisition of C
Technologies and then raised approximately $600M in two follow-on
financings, adding $290M to our balance sheet net of the C
Technologies acquisition and the redemption of the 2016 Notes due
2021. With strong market momentum and a healthy balance sheet, we
are well positioned to execute on our long-term growth strategy and
we remain very confident about our ability to grow and continue to
differentiate ourselves in the bioprocessing arena.”
Second Quarter 2019
Highlights
- Revenue increased by 48% year-over-year, and 46% organically,
to a record $70.7 million
- GAAP income from operations increased 670 bps to 15.6% of
revenue
- Adjusted (non-GAAP) income from operations increased 1,220 bps
to 28.4% of revenue
- GAAP fully-diluted EPS increased to $0.17 compared to $0.06 for
the second quarter of 2018
- Adjusted (non-GAAP) fully-diluted EPS increased to $0.31
compared to $0.14 for the second quarter of 2018
First Half 2019 Highlights
- Revenue increased by 42% year-over-year, and 42% organically,
to $131.3 million
- GAAP income from operations increased 580 bps to 16.9% of
revenue
- Adjusted (non-GAAP) income from operations increased 870 bps to
27.2% of revenue
- GAAP fully-diluted EPS increased to $0.34 compared to $0.14 for
the first half of 2018
- Adjusted (non-GAAP) fully-diluted EPS increased to $0.59
compared to $0.29 for the first half of 2018
Financial Details for the Second Quarter
and First Half of
2019 REVENUE
- Total revenue for the second quarter of 2019 increased to $70.7
million compared to $47.7 million for the second quarter of 2018, a
year-over-year gain of 48% as reported and 46% constant
currency.
- Total revenue for the first half of 2019 increased to $131.3
million compared to $92.6 million for the first half of 2018, a
year-over-year gain of 42% as reported and at constant
currency.
GROSS PROFIT and GROSS MARGIN
- Gross profit (GAAP) for the second quarter of 2019 was $40.0
million, a year-over-year increase of $13.3 million or 50%, and
representing 56.6% gross margin. Adjusted gross profit (non-GAAP)
for the second quarter of 2019 was $41.4 million, a year-over-year
increase of $14.6 million, or 54%, and representing 58.6% gross
margin.
- Gross profit (GAAP) for the first half of 2019 was $73.8
million, a year-over-year increase of $22.0 million or 42%, and
representing 56.2% gross margin. Adjusted gross profit (non-GAAP)
for the first half of 2019 was $75.4 million, a year-over-year
increase of $23.1 million, or 44%, and representing 57.4% gross
margin.
OPERATING INCOME
- Operating income (GAAP) for the second quarter of 2019 was
$11.1 million, which includes the impact of approximately $4.8
million in deal-related costs associated primarily with our
acquisition of C Technologies. This represents an increase of $6.8
million from the second quarter of 2018. Adjusted operating income
(non-GAAP) for the second quarter of 2019 was $20.1 million, an
increase of $12.3 million from the second quarter of 2018.
- Operating income (GAAP) for the first half of 2019 was $22.2
million, which includes the impact of approximately $6.1 million in
deal-related costs associated primarily with our acquisition of C
Technologies. This represents an increase of $12.0 million from the
first half of 2018. Adjusted operating income (non-GAAP) for the
first half of 2019 was $35.7 million, an increase of $18.6 million
from the first half of 2018.
NET INCOME
- Net income (GAAP) for the second quarter of 2019 was $8.1
million, an increase of $5.4 million from $2.7 million for the
second quarter of 2018. Adjusted net income (non-GAAP) for the
second quarter of 2019 was $15.3 million, an increase of $9.1
million from $6.2 million for the second quarter of 2018.
- Net income (GAAP) for the first half of 2019 was $16.1 million,
an increase of $10.0 million from $6.2 million for the first half
of 2018. Adjusted net income (non-GAAP) for the first half of 2019
was $28.4 million, an increase of $15.4 million from $13.0 million
for the first half of 2018.
EARNINGS PER SHARE
- Earnings per share (GAAP) for the second quarter of 2019
increased to $0.17 on a fully diluted basis, compared to $0.06 for
the second quarter of 2018. Adjusted EPS (non-GAAP) for the second
quarter of 2019 increased to $0.31 per fully diluted share,
compared to $0.14 for the 2018 period.
- Earnings per share (GAAP) for the first half of 2019 increased
to $0.34 on a fully diluted basis, compared to $0.14 for the first
half of 2018. Adjusted EPS (non-GAAP) for the first half of 2019
increased to $0.59 per fully diluted share, compared to $0.29 for
the 2018 period.
EBITDA
- EBITDA, a non-GAAP financial measure, for the second quarter of
2019 was $15.2 million, an increase of 79% compared to $8.5 million
for the second quarter of 2018. Adjusted EBITDA for the second
quarter of 2019 was $21.7 million, an increase of 133% compared to
$9.3 million for the second quarter of 2018.
- EBITDA for the first half of 2019 was $30.9 million, an
increase of 68% compared to $18.5 million for the second quarter of
2018. Adjusted EBITDA for the first half of 2019 was $39.2 million,
an increase of 96% compared to $20.0 million for the second quarter
of 2018.
CASH
- Our cash, cash equivalents and marketable securities at June
30, 2019 were $208.9 million, an increase of $15.1 million from
$193.8 million at December 31, 2018.
All reconciliations of GAAP to adjusted
(non-GAAP) figures above, as well as EBITDA to adjusted EBITDA, are
detailed in the reconciliation tables included later in this press
release.
Financial Guidance for 2019
Our financial guidance for the fiscal year 2019 is based on
expectations for our existing business and includes the financial
impact of our acquisition of C Technologies (which closed on May
31, 2019). This guidance excludes the impact of potential
additional acquisitions and future fluctuations in foreign currency
exchange rates. We have not previously included in our
guidance the impact of C Technologies, which we expect to
contribute $16-$17 million in revenue and $0.06-$0.07 adjusted
earnings per fully diluted share over seven months of Repligen
ownership in 2019.
FISCAL YEAR 2019 GUIDANCE:
- Total revenue is projected to be in the range of $264-$268
million, an increase from our previous guidance of $235-$241
million. Our current guidance reflects overall revenue growth of
36%-38%, and organic revenue growth of 29%-31%.
- Gross margin is expected to be 55%- 56% basis, compared to our
previous guidance of 56%-57%. Adjusted gross margin is expected to
be 56%-57%, consistent with our previous guidance.
- Income from operations is expected to be in the range of
$33-$35 million on a GAAP basis, which includes the impact of $12.3
million in deal-related costs associated primarily with our
acquisition of C Technologies. This compares to our previous
guidance of $39-$42 million. Adjusted (non-GAAP) income from
operations is expected to be in the range of $60-$62 million, an
increase from our previous guidance of $52-$55 million.
- Net income is expected to be in the range of $17.0-$19.0
million on a GAAP basis, compared to our previous guidance of
$24.5-$27.5 million. Adjusted (non-GAAP) net income is expected to
be in the range of $47-$49 million, an increase from our previous
guidance of $41-$44 million. Our current guidance reflects a higher
expected tax rate of 24% on adjusted pre-tax net income compared to
our previous guidance of 20%.
- Fully diluted GAAP EPS is expected to be in the range of
$0.34-$0.38, compared to our previous guidance of
$0.50-$0.56. Adjusted (non-GAAP) fully diluted EPS is
expected to be in the range of $0.94-$0.98, an increase from our
previous guidance of $0.84-$0.90. Both GAAP and adjusted EPS
guidance include the impact of the equity component of our July
offering, and shares issued in conjunction with our acquisition of
C Technologies, which resulted in a weighted average addition of
2.6 million shares outstanding.
Our non-GAAP guidance for the fiscal year 2019
excludes the following items:
- $12.3 million estimated acquisition and integration expenses
associated with our acquisitions of Spectrum Inc. and C
Technologies.
- Inventory step-up charges of $1.5 million related to the
acquisition of C Technologies.
- $13.5 million estimated intangible amortization expense; $0.6
million in cost of product revenue and $12.9 million in
G&A.
- $7.4 million of non-cash interest expense (Other income
(expense)) related to our debt financings.
- $5.7 million of expense related to the extinguishment of our
2016 Notes due 2021.
Our non-GAAP guidance for the fiscal year 2019
includes:
- An income tax increase of $10.6 million, representing the tax
impact of acquisition costs and intangible amortization.
All reconciliations of GAAP to adjusted
(non-GAAP) guidance are detailed in the tables included later in
this press release.
Conference CallRepligen will host a conference
call and webcast today, August 1, 2019, at 8:30 a.m. EDT, to
discuss second quarter of 2019 financial results and corporate
developments. The conference call will be accessible by dialing
toll-free (844) 701-1063 for domestic callers or (412) 317-5487 for
international callers. No passcode is required for the live call.
In addition, a webcast will be accessible via the Investor
Relations section of the Company’s website. Both the conference
call and webcast will be archived for a period of time following
the live event. The replay dial-in numbers are (877) 344-7529 from
the U.S., (855) 669-9658 from Canada and (412) 317-0088 for
international callers. Replay listeners must provide the passcode
10133911.
Non-GAAP Measures of Financial Performance To
supplement our financial statements, which are presented on the
basis of U.S. generally accepted accounting principles (GAAP), the
following non-GAAP measures of financial performance are included
in this release: revenue growth rate at constant currency, adjusted
gross profit and adjusted gross margin, adjusted income from
operations and adjusted operating margin, earnings before interest,
taxes, depreciation and amortization (EBITDA), adjusted EBITDA,
adjusted net income, adjusted earnings per diluted share
(EPS), adjusted research & development expense, adjusted
selling, general and administrative expense and income tax expense.
The Company provides organic revenue growth rates in constant
currency to exclude the impact of both foreign currency
translation, and the impact of acquisition revenue for current year
periods that have no prior year comparable, in order to facilitate
a comparison of its current revenue performance to its past revenue
performance. The Company provides revenue growth rates in constant
currency in order to facilitate a comparison of its current revenue
performance to its past revenue performance. To calculate revenue
growth rates in constant currency, the Company converts actual net
sales from local currency to U.S. dollars using constant foreign
currency exchange rates in the current and prior period.
The Company’s non-GAAP financial results and/or non-GAAP
guidance exclude the impact of: acquisition and integration costs
related to the Company’s acquisitions of TangenX Technology
Corporation, Spectrum Lifesciences, LLC (formerly known as
Spectrum, Inc.), and C Technologies Inc.; inventory step-up
charges; intangible amortization costs; non-cash interest expense;
the impact on tax of intangible amortization and acquisition costs;
and, in the case of EBITDA, cash interest expense related to the
Company’s convertible debt. These costs are excluded because
management believes that such expenses do not have a direct
correlation to future business operations, nor do the resulting
charges recorded accurately reflect the performance of our ongoing
operations for the period in which such charges are recorded.
A reconciliation of GAAP to adjusted non-GAAP financial measures
is included as an attachment to this press release. When analyzing
the Company’s operating performance and guidance investors should
not consider non-GAAP measures as substitutable for the comparable
financial measures prepared in accordance with GAAP.
About Repligen CorporationRepligen Corporation
is a global bioprocessing company that develops and commercializes
highly innovative products that deliver cost and process
efficiencies to biological drug manufacturers worldwide. Repligen’s
corporate headquarters are in Waltham, MA (USA), with additional
administrative and manufacturing operations in Marlborough, MA;
Bridgewater, NJ; Rancho Dominguez, CA; Lund, Sweden; Breda, The
Netherlands and Ravensburg, Germany.
The following constitutes a “Safe Harbor” statement under the
Private Securities Litigation Reform Act of 1995: This press
release contains forward-looking statements, which are made
pursuant to the safe harbor provisions of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. Investors are
cautioned that statements in this press release which are not
strictly historical statements, including, without limitation,
express or implied statements or guidance regarding current or
future financial performance and position, including cash and
investment position, demand in the markets in which we operate, the
expected performance of our business, the expected performance of
the C Technologies business, the expected performance and success
of our strategic partnerships, management’s strategy, plans and
objectives for future operations or acquisitions, product
development and sales, selling, general and administrative
expenditures, intellectual property, development and manufacturing
plans, availability of materials and product and adequacy of
capital resources and financing plans constitute forward-looking
statements identified by words like “believe,” “expect,” “may,”
“will,” “should,” “seek,” “anticipate,” or “could” and similar
expressions. Such forward-looking statements are subject to a
number of risks and uncertainties that could cause actual results
to differ materially from those anticipated, including, without
limitation, risks associated with: our ability to successfully grow
our bioprocessing business, including as a result of acquisition,
commercialization or partnership opportunities; our ability to
successfully integrate any acquisitions, our ability to develop and
commercialize products and the market acceptance of our products;
our ability to integrate the C Technologies business successfully
into our business and achieve the expected benefits of the
acquisition; reduced demand for our products that adversely impacts
our future revenues, cash flows, results of operations and
financial condition; our ability to compete with larger, better
financed bioprocessing, pharmaceutical and biotechnology companies;
our compliance with all U.S. Food and Drug Administration and EMEA
regulations; our volatile stock price; and other risks detailed in
Repligen’s most recent Annual Report on Form 10-K on file with the
Securities and Exchange Commission and the other reports that
Repligen periodically files with the Securities and Exchange
Commission. Actual results may differ materially from those
Repligen contemplated by these forward-looking statements. These
forward looking statements reflect management’s current views and
Repligen does not undertake to update any of these forward-looking
statements to reflect a change in its views or events or
circumstances that occur after the date hereof except as required
by law.
Repligen Contact: Sondra S. NewmanGlobal
Head of Investor Relations(781) 419-1881investors@repligen.com
|
|
|
REPLIGEN CORPORATION |
|
CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS |
|
(Unaudited, amounts in thousands, except share and per
share data) |
|
|
|
|
|
|
|
|
|
Three Months EndedJune 30, |
|
Six Months EndedJune 30, |
|
|
|
2019 |
|
|
|
2018 |
|
|
|
2019 |
|
|
|
2018 |
|
|
|
|
|
|
|
|
|
|
|
Revenue: |
|
|
|
|
|
|
|
|
Product revenue |
$ |
70,670 |
|
|
$ |
47,743 |
|
|
$ |
131,282 |
|
|
$ |
92,542 |
|
|
Royalty and other revenue |
|
22 |
|
|
|
(12 |
) |
|
|
44 |
|
|
|
19 |
|
|
Total revenue |
|
70,692 |
|
|
|
47,731 |
|
|
|
131,326 |
|
|
|
92,561 |
|
|
Costs and expenses: |
|
|
|
|
|
|
|
|
Cost of product revenue |
|
30,708 |
|
|
|
21,088 |
|
|
|
57,553 |
|
|
|
40,756 |
|
|
Research and development |
|
5,231 |
|
|
|
5,780 |
|
|
|
8,851 |
|
|
|
9,068 |
|
|
Selling, general and administrative |
|
23,699 |
|
|
|
16,590 |
|
|
|
42,697 |
|
|
|
32,488 |
|
|
|
|
59,638 |
|
|
|
43,458 |
|
|
|
109,101 |
|
|
|
82,312 |
|
|
Income from operations |
|
11,054 |
|
|
|
4,273 |
|
|
|
22,225 |
|
|
|
10,249 |
|
|
Investment income |
|
1,005 |
|
|
|
512 |
|
|
|
1,718 |
|
|
|
693 |
|
|
Interest expense |
|
(1,743 |
) |
|
|
(1,669 |
) |
|
|
(3,469 |
) |
|
|
(3,321 |
) |
|
Other income, net |
|
(697 |
) |
|
|
251 |
|
|
|
(339 |
) |
|
|
321 |
|
|
Income before income taxes |
|
9,619 |
|
|
|
3,367 |
|
|
|
20,135 |
|
|
|
7,942 |
|
|
Income tax provision |
|
1,524 |
|
|
|
629 |
|
|
|
3,987 |
|
|
|
1,757 |
|
|
Net income |
$ |
8,095 |
|
|
$ |
2,738 |
|
|
$ |
16,148 |
|
|
$ |
6,185 |
|
|
Earnings per share: |
|
|
|
|
|
|
|
|
Basic |
$ |
0.17 |
|
|
$ |
0.06 |
|
|
$ |
0.36 |
|
|
$ |
0.14 |
|
|
Diluted |
$ |
0.17 |
|
|
$ |
0.06 |
|
|
$ |
0.34 |
|
|
$ |
0.14 |
|
|
Weighted average shares outstanding: |
|
|
|
|
|
|
|
|
Basic |
|
46,367,187 |
|
|
|
43,743,356 |
|
|
|
45,174,134 |
|
|
|
43,682,650 |
|
|
Diluted |
|
49,055,814 |
|
|
|
45,015,720 |
|
|
|
47,691,772 |
|
|
|
44,694,745 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance Sheet Data: |
June 30,2019 |
|
December 31,2018 |
|
|
|
|
|
Cash, cash equivalents and marketable securities |
$ |
208,888 |
|
|
$ |
193,822 |
|
|
|
|
|
|
Working capital |
|
175,581 |
|
|
|
145,897 |
|
|
|
|
|
|
Total assets |
|
1,068,267 |
|
|
|
774,621 |
|
|
|
|
|
|
Long-term obligations |
|
48,386 |
|
|
|
29,211 |
|
|
|
|
|
|
Accumulated earnings (deficit) |
|
580 |
|
|
|
(15,568 |
) |
|
|
|
|
|
Stockholders' equity |
|
878,968 |
|
|
|
615,568 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
REPLIGEN CORPORATION |
|
RECONCILIATION OF GAAP INCOME FROM OPERATIONS TONON-GAAP
(ADJUSTED) INCOME FROM OPERATIONS |
|
(Unaudited, amounts in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months EndedJune 30, |
|
Six Months EndedJune 30, |
|
|
|
|
2019 |
|
|
|
2018 |
|
|
|
2019 |
|
|
|
2018 |
|
|
|
|
|
|
|
|
|
|
|
|
GAAP INCOME FROM OPERATIONS |
$ |
11,054 |
|
|
$ |
4,273 |
|
|
$ |
22,225 |
|
|
$ |
10,249 |
|
|
|
|
|
|
|
|
|
|
|
|
ADJUSTMENTS TO INCOME FROM OPERATIONS: |
|
|
|
|
|
|
|
|
|
Acquisition and integration costs |
|
4,822 |
|
|
|
853 |
|
|
|
6,621 |
|
|
|
1,508 |
|
|
|
Intangible amortization |
|
3,051 |
|
|
|
2,634 |
|
|
|
5,662 |
|
|
|
5,298 |
|
|
|
Inventory step-up charges |
|
1,169 |
|
|
|
- |
|
|
|
1,169 |
|
|
|
- |
|
|
|
|
|
|
|
|
|
|
|
|
ADJUSTED INCOME FROM OPERATIONS |
$ |
20,096 |
|
|
$ |
7,760 |
|
|
$ |
35,677 |
|
|
$ |
17,055 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
REPLIGEN CORPORATION |
|
RECONCILIATION OF GAAP NET INCOME TO NON-GAAP (ADJUSTED)
NET INCOME |
|
(Unaudited, amounts in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months EndedJune 30, |
|
Six Months EndedJune 30, |
|
|
|
|
2019 |
|
|
|
2018 |
|
|
|
2019 |
|
|
|
2018 |
|
|
|
|
|
|
|
|
|
|
|
|
GAAP NET INCOME |
$ |
8,095 |
|
|
$ |
2,738 |
|
|
$ |
16,148 |
|
|
$ |
6,185 |
|
|
|
|
|
|
|
|
|
|
|
|
ADJUSTMENTS TO NET INCOME: |
|
|
|
|
|
|
|
|
|
Acquisition and integration costs |
|
5,322 |
|
|
|
853 |
|
|
|
7,121 |
|
|
|
1,508 |
|
|
|
Inventory step-up charges |
|
1,169 |
|
|
|
- |
|
|
|
1,169 |
|
|
|
- |
|
|
|
Intangible amortization |
|
3,051 |
|
|
|
2,634 |
|
|
|
5,662 |
|
|
|
5,298 |
|
|
|
Non-cash interest expense |
|
1,124 |
|
|
|
1,053 |
|
|
|
2,231 |
|
|
|
2,089 |
|
|
|
Tax effect of intangible amortization and acquisition costs(1) |
|
(3,444 |
) |
|
|
(1,076 |
) |
|
|
(3,961 |
) |
|
|
(2,108 |
) |
|
|
|
|
|
|
|
|
|
|
|
ADJUSTED NET INCOME |
$ |
15,317 |
|
|
$ |
6,202 |
|
|
$ |
28,370 |
|
|
$ |
12,972 |
|
|
|
|
|
|
|
|
|
|
|
|
(1 |
) |
Effective as of the quarter ended June 30, 2019, the Company
changed its methodology for calculating its non-GAAP financial
measures to reflect certain tax effects related to acquisition and
integration costs, inventory step-up charges, intangible
amortization and non-cash interest expense. Accordingly, the
non-GAAP financial measures for the three and six months ended June
30, 2018 have been updated to be consistent with the methodology
used to calculate such measures for the current periods. |
|
|
|
|
|
REPLIGEN CORPORATION |
|
RECONCILIATION OF GAAP NET INCOME PER SHARE TONON-GAAP
(ADJUSTED) NET INCOME PER SHARE |
|
(Unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months EndedJune 30, |
|
Six Months EndedJune 30, |
|
|
|
|
2019 |
|
|
|
2018 |
|
|
|
2019 |
|
|
|
2018 |
|
|
|
|
|
|
|
|
|
|
|
|
GAAP NET INCOME PER SHARE - DILUTED |
$ |
0.17 |
|
|
$ |
0.06 |
|
|
$ |
0.34 |
|
|
$ |
0.14 |
|
|
|
|
|
|
|
|
|
|
|
|
ADJUSTMENTS TO NET INCOME PER SHARE - DILUTED: |
|
|
|
|
|
|
|
|
|
Acquisition and integration costs |
|
0.11 |
|
|
|
0.02 |
|
|
|
0.15 |
|
|
$ |
0.03 |
|
|
|
Inventory step-up charges |
|
0.02 |
|
|
|
- |
|
|
|
0.02 |
|
|
$ |
- |
|
|
|
Intangible amortization |
|
0.06 |
|
|
|
0.06 |
|
|
|
0.12 |
|
|
$ |
0.12 |
|
|
|
Non-cash interest expense |
|
0.02 |
|
|
|
0.02 |
|
|
|
0.05 |
|
|
$ |
0.04 |
|
|
|
Tax effect of intangible amortization and acquisition costs(1) |
|
(0.07 |
) |
|
|
(0.02 |
) |
|
|
(0.09 |
) |
|
$ |
(0.05 |
) |
|
|
|
|
|
|
|
|
|
|
|
ADJUSTED NET INCOME PER SHARE - DILUTED |
|
0.31 |
|
|
$ |
0.14 |
|
|
$ |
0.59 |
|
|
$ |
0.29 |
|
|
|
|
|
|
|
|
|
|
|
|
Totals may not add due to rounding. |
|
|
|
|
|
|
|
|
(1 |
) |
Effective as of the quarter ended June 30, 2019, the Company
changed its methodology for calculating its non-GAAP financial
measures to reflect certain tax effects related to acquisition and
integration costs, inventory step-up charges, intangible
amortization and non-cash interest expense. Accordingly, the
non-GAAP financial measures for the three and six months ended June
30, 2018 have been updated to be consistent with the methodology
used to calculate such measures for the current periods. |
|
|
|
|
|
|
|
|
|
|
|
|
|
REPLIGEN CORPORATION |
|
RECONCILIATION OF GAAP NET INCOME TO ADJUSTED
EBITDA |
|
(Unaudited, amounts in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months EndedJune 30, |
|
Six Months EndedJune 30, |
|
|
|
|
2019 |
|
|
|
2018 |
|
|
|
2019 |
|
|
|
2018 |
|
|
|
|
|
|
|
|
|
|
|
|
GAAP NET INCOME |
$ |
8,095 |
|
|
$ |
2,738 |
|
|
$ |
16,148 |
|
|
$ |
6,185 |
|
|
|
|
|
|
|
|
|
|
|
|
ADJUSTMENTS: |
|
|
|
|
|
|
|
|
|
Investment Income |
|
(1,005 |
) |
|
|
(512 |
) |
|
|
(1,718 |
) |
|
|
(693 |
) |
|
|
Interest Expense |
|
1,743 |
|
|
|
1,669 |
|
|
|
3,469 |
|
|
|
3,321 |
|
|
|
Tax Provision |
|
1,524 |
|
|
|
629 |
|
|
|
3,987 |
|
|
|
1,757 |
|
|
|
Depreciation |
|
1,762 |
|
|
|
1,314 |
|
|
|
3,337 |
|
|
|
2,598 |
|
|
|
Amortization(1) |
|
3,079 |
|
|
|
2,634 |
|
|
|
5,716 |
|
|
|
5,298 |
|
|
EBITDA |
|
15,198 |
|
|
|
8,472 |
|
|
|
30,939 |
|
|
|
18,466 |
|
|
|
|
|
|
|
|
|
|
|
|
OTHER ADJUSTMENTS: |
|
|
|
|
|
|
|
|
|
Acquisition and integration costs |
|
5,322 |
|
|
|
853 |
|
|
|
7,121 |
|
|
|
1,508 |
|
|
|
Inventory step-up charges |
|
1,169 |
|
|
|
- |
|
|
|
1,169 |
|
|
|
- |
|
|
|
|
|
|
|
|
|
|
|
|
ADJUSTED EBITDA |
$ |
21,689 |
|
|
$ |
9,325 |
|
|
$ |
39,229 |
|
|
$ |
19,974 |
|
|
|
|
|
|
|
|
|
|
|
|
(1 |
) |
Fiscal 2019 includes amortization of milestone payments in
accordance with GAAP of $28 and $56 for the three- and six-month
periods, respectively. |
|
|
|
|
|
|
|
|
|
|
|
|
|
REPLIGEN CORPORATION |
|
RECONCILIATION OF GAAP COST OF SALES TO NON-GAAP (ADJUSTED)
COST OF SALES |
|
(Unaudited, amounts in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months EndedJune 30, |
|
Six Months EndedJune 30, |
|
|
|
|
2019 |
|
|
|
2018 |
|
|
|
2019 |
|
|
|
2018 |
|
|
|
|
|
|
|
|
|
|
|
|
GAAP COST OF SALES |
$ |
30,708 |
|
|
$ |
21,088 |
|
|
$ |
57,553 |
|
|
$ |
40,756 |
|
|
|
|
|
|
|
|
|
|
|
|
ADJUSTMENT TO COST OF SALES: |
|
|
|
|
|
|
|
|
|
Acquisition and integration costs |
|
(133 |
) |
|
|
(64 |
) |
|
|
(151 |
) |
|
|
(110 |
) |
|
|
Inventory step-up charges |
|
(1,169 |
) |
|
|
- |
|
|
|
(1,169 |
) |
|
|
- |
|
|
|
Intangible amortization |
|
(130 |
) |
|
|
(142 |
) |
|
|
(264 |
) |
|
|
(293 |
) |
|
|
|
|
|
|
|
|
|
|
|
ADJUSTED COST OF SALES |
$ |
29,276 |
|
|
$ |
20,882 |
|
|
$ |
55,969 |
|
|
$ |
40,353 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
REPLIGEN CORPORATION |
|
RECONCILIATION OF GAAP R&D EXPENSE TO NON-GAAP
(ADJUSTED) R&D EXPENSE |
|
(Unaudited, amounts in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months EndedJune 30, |
|
Six Months EndedJune 30, |
|
|
|
|
2019 |
|
|
|
2018 |
|
|
|
2019 |
|
|
|
2018 |
|
|
|
|
|
|
|
|
|
|
|
|
GAAP R&D EXPENSE |
$ |
5,231 |
|
|
$ |
5,780 |
|
|
$ |
8,851 |
|
|
$ |
9,068 |
|
|
|
|
|
|
|
|
|
|
|
|
ADJUSTMENTS TO R&D EXPENSE: |
|
|
|
|
|
|
|
|
|
Acquisition and integration costs |
|
(100 |
) |
|
|
(55 |
) |
|
|
(127 |
) |
|
|
(73 |
) |
|
|
|
|
|
|
|
|
|
|
|
ADJUSTED R&D EXPENSE |
$ |
5,131 |
|
|
$ |
5,725 |
|
|
$ |
8,724 |
|
|
$ |
8,995 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
REPLIGEN CORPORATION |
|
RECONCILIATION OF GAAP SG&A EXPENSE TO NON-GAAP
(ADJUSTED) SG&A EXPENSE |
|
(Unaudited, amounts in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months EndedJune 30, |
|
Six Months EndedJune 30, |
|
|
|
|
2019 |
|
|
|
2018 |
|
|
|
2019 |
|
|
|
2018 |
|
|
|
|
|
|
|
|
|
|
|
|
GAAP SG&A EXPENSE |
$ |
23,699 |
|
|
$ |
16,590 |
|
|
$ |
42,697 |
|
|
$ |
32,488 |
|
|
|
|
|
|
|
|
|
|
|
|
ADJUSTMENTS TO SG&A EXPENSE: |
|
|
|
|
|
|
|
|
|
Acquisition and integration costs |
|
(4,590 |
) |
|
|
(734 |
) |
|
|
(6,343 |
) |
|
|
(1,325 |
) |
|
|
Intangible amortization |
|
(2,921 |
) |
|
|
(2,492 |
) |
|
|
(5,398 |
) |
|
|
(5,005 |
) |
|
|
|
|
|
|
|
|
|
|
|
ADJUSTED SG&A EXPENSE |
$ |
16,188 |
|
|
$ |
13,364 |
|
|
$ |
30,956 |
|
|
$ |
26,158 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
REPLIGEN CORPORATION |
|
RECONCILIATION OF GAAP NET INCOME GUIDANCE TO ADJUSTED
(NON-GAAP NET INCOME GUIDANCE) |
|
|
|
|
|
|
|
(in thousands) |
Twelve months ending December 31, 2019 |
|
|
|
Low End |
|
High End |
|
GUIDANCE ON NET INCOME |
$ |
17,000 |
|
|
$ |
19,000 |
|
|
ADJUSTMENTS TO GUIDANCE ON NET INCOME: |
|
|
|
|
|
Acquisition and integration costs |
|
12,284 |
|
|
|
12,284 |
|
|
|
Inventory step-up charges |
|
1,483 |
|
|
|
1,483 |
|
|
|
Anticipated pre-tax amortization of |
|
|
|
|
|
acquisition-related intangible assets |
|
13,469 |
|
|
|
13,469 |
|
|
|
Non-cash interest expense |
|
7,365 |
|
|
|
7,365 |
|
|
|
Loss on debt extinguishment |
|
5,666 |
|
|
|
5,666 |
|
|
|
Tax effect of intangible amortization and integration |
|
(10,645 |
) |
|
|
(10,645 |
) |
|
|
Guidance rounding adjustment |
|
378 |
|
|
|
378 |
|
|
GUIDANCE ON ADJUSTED NET INCOME |
$ |
47,000 |
|
|
$ |
49,000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
REPLIGEN CORPORATION |
|
RECONCILIATION OF GAAP NET INCOME PER SHARE GUIDANCE
TO |
|
ADJUSTED (NON-GAAP) NET INCOME PER SHARE
GUIDANCE |
|
|
|
|
|
|
|
|
|
Twelve months ending December 31, 2019 |
|
|
|
Low End |
|
High End |
|
GUIDANCE ON NET INCOME PER SHARE - DILUTED |
$ |
0.34 |
|
|
$ |
0.38 |
|
|
ADJUSTMENTS TO GUIDANCE ON NET INCOME PER SHARE - DILUTED: |
|
|
|
|
Acquisition and integration costs |
$ |
0.25 |
|
|
$ |
0.25 |
|
|
|
Inventory step-up charges |
$ |
0.03 |
|
|
$ |
0.03 |
|
|
|
Anticipated pre-tax amortization of |
|
|
|
|
|
acquisition-related intangible assets |
$ |
0.27 |
|
|
$ |
0.27 |
|
|
|
Non-cash interest expense |
$ |
0.15 |
|
|
$ |
0.15 |
|
|
|
Loss on debt extinguishment |
$ |
0.11 |
|
|
$ |
0.11 |
|
|
|
Tax effect of intangible amortization and integration |
$ |
(0.21 |
) |
|
$ |
(0.21 |
) |
|
|
Guidance rounding adjustment |
$ |
0.01 |
|
|
$ |
0.01 |
|
|
GUIDANCE ON ADJUSTED NET INCOME PER SHARE - DILUTED |
|
$ |
0.98 |
|
|
|
|
|
|
|
|
Totals may not add due to rounding. |
|
|
|
|
|
|
|
|
|
Repligen (NASDAQ:RGEN)
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From Mar 2024 to Apr 2024
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From Apr 2023 to Apr 2024
