PerkinElmer Announces Financial Results for the Second Quarter of 2020
- Revenue of $811.7 million; 12% reported growth; 13% organic growth
- GAAP EPS from continuing operations of $1.23; Adjusted EPS of $1.57
WALTHAM, Mass.–(BUSINESS WIRE)–PerkinElmer, Inc. (NYSE: PKI), a global leader committed to innovating for a healthier world, today reported financial results for the second quarter ended July 5, 2020.
The Company reported GAAP earnings per share from continuing operations of $1.23, as compared to GAAP earnings per share from continuing operations of $0.62 in the second quarter of 2019. GAAP revenue for the quarter was $811.7 million, as compared to $722.5 million in the second quarter of 2019. GAAP operating income from continuing operations for the quarter was $175.6 million, as compared to $91.7 million for the same period a year ago. GAAP operating profit margin was 21.6% as a percentage of revenue, as compared to 12.7% in the second quarter of 2019.
Adjusted earnings per share from continuing operations for the quarter was $1.57, as compared to $1.00 in the second quarter of 2019. Adjusted revenue for the quarter was $811.9 million, as compared to $722.7 million in the second quarter of 2019. Adjusted operating income from continuing operations for the quarter was $228.2 million, as compared to $146.0 million for the same period a year ago. Adjusted operating profit margin was 28.1% as a percentage of adjusted revenue, as compared to 20.2% in the second quarter of 2019.
Adjustments for the Company’s non-GAAP financial measures have been noted in the attached reconciliations.
“I could not be more proud of how we at PerkinElmer have met the obstacles that have faced us the past few months. We have proven to be a resilient, responsive, and agile organization,” said Prahlad Singh, president and chief executive officer of PerkinElmer. “Our strong second quarter results were truly a team effort and further reinforce the diversity of our business from a portfolio and geographic standpoint.”
Financial Overview by Reporting Segment for the Second Quarter
Discovery & Analytical Solutions
-
Second quarter 2020 revenue was $391.0 million, as compared to $434.0 million for the second quarter of 2019. Reported revenue decreased 10% and organic revenue decreased 10% as compared to the second quarter of 2019.
-
Second quarter 2020 operating income from continuing operations was $39.4 million, as compared to $57.7 million for the comparable prior period.
- Second quarter 2020 adjusted operating income was $57.4 million, as compared to $81.5 million for the second quarter of 2019.
Diagnostics
-
Second quarter 2020 revenue was $420.7 million, as compared to $288.6 million for the second quarter of 2019. Reported revenue increased 46% and organic revenue increased 48% as compared to the second quarter of 2019.
-
Second quarter 2020 operating income from continuing operations was $160.3 million, as compared to $49.3 million for the comparable prior period.
- Second quarter 2020 adjusted operating income was $189.6 million, as compared to $79.7 million for the second quarter of 2019.
Third Quarter 2020 Guidance
For the third quarter of 2020, the Company forecasts GAAP revenue in the range of $760 million to $860 million, GAAP earnings per share from continuing operations of $0.85 to $1.20 and, on a non-GAAP basis, which is expected to include the adjustments noted in the attached reconciliation, adjusted earnings per share of $1.18 to $1.53.
Conference Call Information
The Company will discuss its second quarter 2020 results and its outlook for business trends in a conference call on July 28, 2020 at 5:00 p.m. Eastern Time. To access the call, please dial (720) 405-2250 prior to the scheduled conference call time and provide the access code 4468217.
A live audio webcast of the call will be available on the Investors section of the Company’s Web site, www.perkinelmer.com. Please go to the site at least 15 minutes prior to the call in order to register, download, and install any necessary software. An archived version of the webcast will be posted on the Company’s Web site for a two-week period beginning approximately two hours after the call.
Use of Non-GAAP Financial Measures
In addition to financial measures prepared in accordance with generally accepted accounting principles (GAAP), this earnings announcement also contains non-GAAP financial measures. The reasons that we use these measures, a reconciliation of these measures to the most directly comparable GAAP measures, and other information relating to these measures are included below following our GAAP financial statements.
Factors Affecting Future Performance
This press release contains “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements relating to estimates and projections of future earnings per share, cash flow and revenue growth and other financial results, developments relating to our customers and end-markets, and plans concerning business development opportunities, acquisitions and divestitures. Words such as “believes,” “intends,” “anticipates,” “plans,” “expects,” “projects,” “forecasts,” “will” and similar expressions, and references to guidance, are intended to identify forward-looking statements. Such statements are based on management’s current assumptions and expectations and no assurances can be given that our assumptions or expectations will prove to be correct. A number of important risk factors could cause actual results to differ materially from the results described, implied or projected in any forward-looking statements. These factors include, without limitation: (1) markets into which we sell our products declining or not growing as anticipated; (2) the effect of the COVID-19 pandemic on our sales and operations; (3) fluctuations in the global economic and political environments; (4) our failure to introduce new products in a timely manner; (5) our ability to execute acquisitions and license technologies, or to successfully integrate acquired businesses and licensed technologies into our existing business or to make them profitable, or successfully divest businesses; (6) our failure to adequately protect our intellectual property; (7) the loss of any of our licenses or licensed rights; (8) our ability to compete effectively; (9) fluctuation in our quarterly operating results and our ability to adjust our operations to address unexpected changes; (10) significant disruption in third-party package delivery and import/export services or significant increases in prices for those services; (11) disruptions in the supply of raw materials and supplies; (12) the manufacture and sale of products exposing us to product liability claims; (13) our failure to maintain compliance with applicable government regulations; (14) regulatory changes; (15) our failure to comply with healthcare industry regulations; (16) economic, political and other risks associated with foreign operations; (17) our ability to retain key personnel; (18) significant disruption in our information technology systems, or cybercrime; (19) our ability to obtain future financing; (20) restrictions in our credit agreements; (21) discontinuation or replacement of LIBOR; (22) the United Kingdom’s withdrawal from the European Union; (23) our ability to realize the full value of our intangible assets; (24) significant fluctuations in our stock price; (25) reduction or elimination of dividends on our common stock; and (26) other factors which we describe under the caption “Risk Factors” in our most recent quarterly report on Form 10-Q and in our other filings with the Securities and Exchange Commission. We disclaim any intention or obligation to update any forward-looking statements as a result of developments occurring after the date of this press release.
About PerkinElmer
PerkinElmer, Inc. is a global leader focused on innovating for a healthier world. The Company reported revenue of approximately $2.9 billion in 2019, has about 13,000 employees serving customers in more than 190 countries, and is a component of the S&P 500 Index. Additional information is available through 1-877-PKI-NYSE, or at www.perkinelmer.com.
| PerkinElmer, Inc. and Subsidiaries | |||||||||||||||||||||||
| CONDENSED CONSOLIDATED INCOME STATEMENTS | |||||||||||||||||||||||
|
Three Months Ended |
Six Months Ended |
||||||||||||||||||||||
| (In thousands, except per share data) |
July 5, 2020 |
June 30, 2019 |
July 5, 2020 |
June 30, 2019 |
|||||||||||||||||||
| Revenue |
$ |
811,718 |
|
$ |
722,517 |
|
$ |
1,464,114 |
|
$ |
1,371,254 |
|
|||||||||||
| Cost of revenue |
|
364,374 |
|
|
374,724 |
|
|
708,747 |
|
|
715,655 |
|
|||||||||||
| Selling, general and administrative expenses |
|
221,026 |
|
|
201,553 |
|
|
429,595 |
|
|
400,410 |
|
|||||||||||
| Research and development expenses |
|
49,521 |
|
|
48,344 |
|
|
98,435 |
|
|
96,324 |
|
|||||||||||
| Restructuring and other, net |
|
1,158 |
|
|
6,161 |
|
|
7,016 |
|
|
13,800 |
|
|||||||||||
| Operating income from continuing operations |
|
175,639 |
|
|
91,735 |
|
|
220,321 |
|
|
145,065 |
|
|||||||||||
| Interest income |
|
(192 |
) |
|
(350 |
) |
|
(457 |
) |
|
(633 |
) |
|||||||||||
| Interest expense |
|
11,586 |
|
|
17,207 |
|
|
25,251 |
|
|
33,057 |
|
|||||||||||
| Loss on disposition of businesses and assets, net |
|
– |
|
|
336 |
|
|
– |
|
|
2,469 |
|
|||||||||||
| Other (income) expense, net |
|
(582 |
) |
|
2,715 |
|
|
(3,989 |
) |
|
1,580 |
|
|||||||||||
| Income from continuing operations, before income taxes |
|
164,827 |
|
|
71,827 |
|
|
199,516 |
|
|
108,592 |
|
|||||||||||
| Provision for income taxes |
|
27,614 |
|
|
2,686 |
|
|
28,588 |
|
|
3,998 |
|
|||||||||||
| Income from continuing operations |
|
137,213 |
|
|
69,141 |
|
|
170,928 |
|
|
104,594 |
|
|||||||||||
| Loss on disposition of discontinued operations, before income taxes |
|
– |
|
|
– |
|
|
– |
|
|
– |
|
|||||||||||
| Provision for income taxes on discontinued operations and dispositions |
|
51 |
|
|
54 |
|
|
101 |
|
|
95 |
|
|||||||||||
| Loss from discontinued operations and dispositions |
|
(51 |
) |
|
(54 |
) |
|
(101 |
) |
|
(95 |
) |
|||||||||||
| Net income |
$ |
137,162 |
|
$ |
69,087 |
|
$ |
170,827 |
|
$ |
104,499 |
|
|||||||||||
| Diluted earnings per share: | |||||||||||||||||||||||
| Income from continuing operations |
$ |
1.23 |
|
$ |
0.62 |
|
$ |
1.53 |
|
$ |
0.94 |
|
|||||||||||
| Loss from discontinued operations and dispositions |
|
(0.00 |
) |
|
(0.00 |
) |
|
(0.00 |
) |
|
(0.00 |
) |
|||||||||||
| Net income |
$ |
1.23 |
|
$ |
0.62 |
|
$ |
1.53 |
|
$ |
0.94 |
|
|||||||||||
| Weighted average diluted shares of common stock outstanding |
|
111,869 |
|
|
111,528 |
|
|
111,756 |
|
|
111,411 |
|
|||||||||||
| ABOVE PREPARED IN ACCORDANCE WITH GAAP | |||||||||||||||||||||||
| Additional Supplemental Information (1): | |||||||||||||||||||||||
| (per share, continuing operations) | |||||||||||||||||||||||
| GAAP EPS from continuing operations |
$ |
1.23 |
|
$ |
0.62 |
|
$ |
1.53 |
|
$ |
0.94 |
|
|||||||||||
| Amortization of intangible assets |
|
0.42 |
|
|
0.37 |
|
|
0.84 |
|
|
0.72 |
|
|||||||||||
| Purchase accounting adjustments |
|
0.01 |
|
|
0.05 |
|
|
(0.09 |
) |
|
0.08 |
|
|||||||||||
| Acquisition and divestiture-related costs |
|
(0.05 |
) |
|
0.03 |
|
|
0.06 |
|
|
0.05 |
|
|||||||||||
| Significant litigation matters and settlements |
|
0.03 |
|
|
0.00 |
|
|
0.03 |
|
|
0.01 |
|
|||||||||||
| Significant environmental matters |
|
0.05 |
|
|
– |
|
|
0.05 |
|
|
– |
|
|||||||||||
| Disposition of businesses and assets, net |
|
– |
|
|
0.00 |
|
|
– |
|
|
0.02 |
|
|||||||||||
| Restructuring and other, net |
|
0.01 |
|
|
0.06 |
|
|
0.06 |
|
|
0.12 |
|
|||||||||||
| Tax on above items |
|
(0.13 |
) |
|
(0.13 |
) |
|
(0.25 |
) |
|
(0.25 |
) |
|||||||||||
| Adjusted EPS |
$ |
1.57 |
|
$ |
1.00 |
|
$ |
2.24 |
|
$ |
1.69 |
|
|||||||||||
| (1) amounts may not sum due to rounding | |||||||||||||||||||||||
|
PerkinElmer, Inc. and Subsidiaries |
|||||||||||||||||||||
|
REVENUE AND OPERATING INCOME (LOSS) |
|||||||||||||||||||||
|
Three Months Ended |
Six Months Ended |
||||||||||||||||||||
| (In thousands, except percentages) |
July 5, 2020 |
June 30, 2019 |
July 5, 2020 |
June 30, 2019 |
|||||||||||||||||
| DAS | Reported revenue | $ |
391,002 |
|
$ |
433,967 |
|
$ |
789,397 |
|
$ |
822,800 |
|
||||||||
| Reported operating income from continued operations |
39,430 |
|
57,689 |
|
67,943 |
|
94,616 |
|
|||||||||||||
| OP% |
10.1 |
% |
13.3 |
% |
8.6 |
% |
11.5 |
% |
|||||||||||||
| Amortization of intangible assets |
20,506 |
|
13,113 |
|
41,216 |
|
23,382 |
|
|||||||||||||
| Purchase accounting adjustments |
136 |
|
5,014 |
|
(11,334 |
) |
5,051 |
|
|||||||||||||
| Acquisition and divestiture-related costs |
(5,486 |
) |
416 |
|
6,833 |
|
959 |
|
|||||||||||||
| Significant litigation matters and settlements |
2,001 |
|
439 |
|
2,399 |
|
815 |
|
|||||||||||||
| Restructuring and other, net |
845 |
|
4,820 |
|
4,754 |
|
11,000 |
|
|||||||||||||
| Adjusted operating income |
57,432 |
|
81,491 |
|
111,811 |
|
135,823 |
|
|||||||||||||
| Adjusted OP% |
14.7 |
% |
18.8 |
% |
14.2 |
% |
16.5 |
% |
|||||||||||||
| Diagnostics | Reported revenue |
420,716 |
|
288,550 |
|
674,717 |
|
548,454 |
|
||||||||||||
| Purchase accounting adjustments |
196 |
|
192 |
|
392 |
|
384 |
|
|||||||||||||
| Adjusted Revenue |
420,912 |
|
288,742 |
|
675,109 |
|
548,838 |
|
|||||||||||||
| Reported operating income from continued operations |
160,300 |
|
49,255 |
|
189,891 |
|
80,741 |
|
|||||||||||||
| OP% |
38.1 |
% |
17.1 |
% |
28.1 |
% |
14.7 |
% |
|||||||||||||
| Amortization of intangible assets |
26,211 |
|
28,089 |
|
52,751 |
|
56,547 |
|
|||||||||||||
| Purchase accounting adjustments |
1,336 |
|
516 |
|
1,765 |
|
4,087 |
|
|||||||||||||
| Acquisition and divestiture-related costs |
263 |
|
478 |
|
305 |
|
1,485 |
|
|||||||||||||
| Significant litigation matters and settlements |
1,200 |
|
– |
|
1,245 |
|
– |
|
|||||||||||||
| Restructuring and other, net |
313 |
|
1,341 |
|
2,262 |
|
2,800 |
|
|||||||||||||
| Adjusted operating income |
189,623 |
|
79,679 |
|
248,219 |
|
145,660 |
|
|||||||||||||
| Adjusted OP% |
45.1 |
% |
27.6 |
% |
36.8 |
% |
26.5 |
% |
|||||||||||||
| Corporate | Reported operating loss |
(24,091 |
) |
(15,209 |
) |
(37,513 |
) |
(30,292 |
) |
||||||||||||
| Significant environmental matters |
5,242 |
|
– |
|
5,242 |
|
– |
|
|||||||||||||
| Adjusted operating loss |
(18,849 |
) |
(15,209 |
) |
(32,271 |
) |
(30,292 |
) |
|||||||||||||
| Continuing Operations | Reported revenue | $ |
811,718 |
|
$ |
722,517 |
|
$ |
1,464,114 |
|
$ |
1,371,254 |
|
||||||||
| Purchase accounting adjustments |
196 |
|
192 |
|
392 |
|
384 |
|
|||||||||||||
| Adjusted Revenue |
811,914 |
|
722,709 |
|
1,464,506 |
|
1,371,638 |
|
|||||||||||||
| Reported operating income from continued operations |
175,639 |
|
91,735 |
|
220,321 |
|
145,065 |
|
|||||||||||||
| OP% |
21.6 |
% |
12.7 |
% |
15.0 |
% |
10.6 |
% |
|||||||||||||
| Amortization of intangible assets |
46,717 |
|
41,202 |
|
93,967 |
|
79,929 |
|
|||||||||||||
| Purchase accounting adjustments |
1,472 |
|
5,530 |
|
(9,569 |
) |
9,138 |
|
|||||||||||||
| Acquisition and divestiture-related costs |
(5,223 |
) |
894 |
|
7,138 |
|
2,444 |
|
|||||||||||||
| Significant litigation matters and settlements |
3,201 |
|
439 |
|
3,644 |
|
815 |
|
|||||||||||||
| Significant environmental matters |
5,242 |
|
– |
|
5,242 |
|
– |
|
|||||||||||||
| Restructuring and other, net |
1,158 |
|
6,161 |
|
7,016 |
|
13,800 |
|
|||||||||||||
| Adjusted operating income | $ |
228,206 |
|
$ |
145,961 |
|
$ |
327,759 |
|
$ |
251,191 |
|
|||||||||
| Adjusted OP% |
28.1 |
% |
20.2 |
% |
22.4 |
% |
18.3 |
% |
|||||||||||||
|
REPORTED REVENUE AND REPORTED OPERATING INCOME (LOSS) PREPARED IN ACCORDANCE WITH GAAP |
|||||||||||||||||||||
| PerkinElmer, Inc. and Subsidiaries | ||||||||||||
| CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||||||
| (In thousands) | July 5, 2020 | December 29, 2019 | ||||||||||
| Current assets: | ||||||||||||
| Cash and cash equivalents |
$ |
218,536 |
|
$ |
191,877 |
|
||||||
| Accounts receivable, net |
|
708,799 |
|
|
725,184 |
|
||||||
| Inventories |
|
477,707 |
|
|
356,937 |
|
||||||
| Other current assets |
|
122,541 |
|
|
100,381 |
|
||||||
| Total current assets |
|
1,527,583 |
|
|
1,374,379 |
|
||||||
| Property, plant and equipment: | ||||||||||||
| At cost |
|
729,596 |
|
|
701,580 |
|
||||||
| Accumulated depreciation |
|
(406,807 |
) |
|
(383,357 |
) |
||||||
| Property, plant and equipment, net |
|
322,789 |
|
|
318,223 |
|
||||||
| Operating lease right-of-use assets |
|
195,222 |
|
|
167,276 |
|
||||||
| Intangible assets, net |
|
1,188,464 |
|
|
1,283,286 |
|
||||||
| Goodwill |
|
3,107,373 |
|
|
3,111,227 |
|
||||||
| Other assets, net |
|
291,555 |
|
|
284,173 |
|
||||||
| Total assets |
$ |
6,632,986 |
|
$ |
6,538,564 |
|
||||||
| Current liabilities: | ||||||||||||
| Current portion of long-term debt |
$ |
9,762 |
|
$ |
9,974 |
|
||||||
| Accounts payable |
|
255,137 |
|
|
235,855 |
|
||||||
| Short-term accrued restructuring and other |
|
9,613 |
|
|
11,559 |
|
||||||
| Accrued expenses and other current liabilities |
|
550,067 |
|
|
503,332 |
|
||||||
| Current liabilities of discontinued operations |
|
2,097 |
|
|
2,112 |
|
||||||
| Total current liabilities |
|
826,676 |
|
|
762,832 |
|
||||||
| Long-term debt |
|
1,961,576 |
|
|
2,064,041 |
|
||||||
| Long-term liabilities |
|
703,208 |
|
|
751,468 |
|
||||||
| Operating lease liabilities |
|
177,893 |
|
|
146,399 |
|
||||||
| Total liabilities |
|
3,669,353 |
|
|
3,724,740 |
|
||||||
| Total stockholders’ equity |
|
2,963,633 |
|
|
2,813,824 |
|
||||||
| Total liabilities and stockholders’ equity |
$ |
6,632,986 |
|
$ |
6,538,564 |
|
||||||
| PREPARED IN ACCORDANCE WITH GAAP | ||||||||||||
| PerkinElmer, Inc. and Subsidiaries | ||||||||||||||||||||
| CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||||||
| July 5, 2020 | June 30, 2019 | July 5, 2020 | June 30, 2019 | |||||||||||||||||
| (In thousands) | (In thousands) | |||||||||||||||||||
| Operating activities: | ||||||||||||||||||||
| Net income |
$ |
137,162 |
|
$ |
69,087 |
|
$ |
170,827 |
|
$ |
104,499 |
|
||||||||
| Loss from discontinued operations and dispositions, net of income taxes |
|
51 |
|
|
54 |
|
|
101 |
|
|
95 |
|
||||||||
| Income from continuing operations |
|
137,213 |
|
|
69,141 |
|
|
170,928 |
|
|
104,594 |
|
||||||||
| Adjustments to reconcile income from continuing operations to net cash provided by (used in) continuing operations: | ||||||||||||||||||||
| Stock-based compensation |
|
9,604 |
|
|
6,703 |
|
|
12,654 |
|
|
12,801 |
|
||||||||
| Restructuring and other, net |
|
1,158 |
|
|
6,161 |
|
|
7,016 |
|
|
13,800 |
|
||||||||
| Depreciation and amortization |
|
59,289 |
|
|
53,324 |
|
|
120,047 |
|
|
103,793 |
|
||||||||
| Change in fair value of contingent consideration |
|
879 |
|
|
59 |
|
|
(11,446 |
) |
|
3,161 |
|
||||||||
| Amortization of deferred debt financing costs and accretion of discounts |
|
935 |
|
|
929 |
|
|
1,642 |
|
|
1,790 |
|
||||||||
| Loss on disposition of businesses and assets, net |
|
485 |
|
|
336 |
|
|
485 |
|
|
2,469 |
|
||||||||
| Amortization of acquired inventory revaluation |
|
397 |
|
|
5,282 |
|
|
1,485 |
|
|
5,565 |
|
||||||||
| Changes in assets and liabilities which provided (used) cash, excluding effects from companies acquired: |
|
– |
|
|||||||||||||||||
| Accounts receivable, net |
|
(76,288 |
) |
|
(17,468 |
) |
|
4,312 |
|
|
(9,604 |
) |
||||||||
| Inventories |
|
(71,949 |
) |
|
(12,009 |
) |
|
(126,707 |
) |
|
(50,450 |
) |
||||||||
| Accounts payable |
|
17,744 |
|
|
(38,500 |
) |
|
20,907 |
|
|
(39,951 |
) |
||||||||
| Accrued expenses and other |
|
59,130 |
|
|
(27,100 |
) |
|
(2,677 |
) |
|
(106,425 |
) |
||||||||
| Net cash provided by operating activities of continuing operations |
|
138,597 |
|
|
46,858 |
|
|
198,646 |
|
|
41,543 |
|
||||||||
| Net cash used in operating activities of discontinued operations |
|
– |
|
|
– |
|
|
– |
|
|
– |
|
||||||||
| Net cash provided by operating activities |
|
138,597 |
|
|
46,858 |
|
|
198,646 |
|
|
41,543 |
|
||||||||
| Investing activities: | ||||||||||||||||||||
| Capital expenditures |
|
(16,650 |
) |
|
(16,586 |
) |
|
(37,138 |
) |
|
(36,461 |
) |
||||||||
| Purchases of investments |
|
(5,755 |
) |
|
– |
|
|
(7,393 |
) |
|
(868 |
) |
||||||||
| Purchases of licenses |
|
– |
|
|
(348 |
) |
|
– |
|
|
(5,000 |
) |
||||||||
| Proceeds from surrender of life insurance policies |
|
79 |
|
|
– |
|
|
131 |
|
|
– |
|
||||||||
| Proceeds from disposition of businesses and assets |
|
1,755 |
|
|
– |
|
|
1,815 |
|
|
550 |
|
||||||||
| Payment of acquisitions, net of cash and cash equivalents acquired |
|
(2,990 |
) |
|
(240,354 |
) |
|
(2,990 |
) |
|
(244,738 |
) |
||||||||
| Net cash used in investing activities of continuing operations |
|
(23,561 |
) |
|
(257,288 |
) |
|
(45,575 |
) |
|
(286,517 |
) |
||||||||
| Net cash provided by investing activities of discontinued operations |
|
– |
|
|
– |
|
|
– |
|
|
– |
|
||||||||
| Net cash used in investing activities |
|
(23,561 |
) |
|
(257,288 |
) |
|
(45,575 |
) |
|
(286,517 |
) |
||||||||
| Financing Activities: | ||||||||||||||||||||
| Payments on borrowings |
|
(149,000 |
) |
|
(426,000 |
) |
|
(290,000 |
) |
|
(578,000 |
) |
||||||||
| Proceeds from borrowings |
|
63,000 |
|
|
670,550 |
|
|
188,000 |
|
|
849,550 |
|
||||||||
| Payments of debt financing costs |
|
– |
|
|
(93 |
) |
|
– |
|
|
(181 |
) |
||||||||
| Settlement of cash flow hedges |
|
(3,671 |
) |
|
16 |
|
|
5,037 |
|
|
(1,659 |
) |
||||||||
| Net payments on other credit facilities |
|
(1,753 |
) |
|
(6,330 |
) |
|
(6,036 |
) |
|
(9,806 |
) |
||||||||
| Payments for acquisition-related contingent consideration |
|
(5,200 |
) |
|
(11,600 |
) |
|
(5,200 |
) |
|
(23,700 |
) |
||||||||
| Proceeds from issuance of common stock under stock plans |
|
8,968 |
|
|
7,944 |
|
|
10,074 |
|
|
16,554 |
|
||||||||
| Purchases of common stock |
|
(327 |
) |
|
(764 |
) |
|
(6,669 |
) |
|
(6,057 |
) |
||||||||
| Dividends paid |
|
(7,791 |
) |
|
(7,764 |
) |
|
(15,572 |
) |
|
(15,507 |
) |
||||||||
| Net cash (used in) provided by financing activities of continuing operations |
|
(95,774 |
) |
|
225,959 |
|
|
(120,366 |
) |
|
231,194 |
|
||||||||
| Net cash used in financing activities of discontinued operations |
|
– |
|
|
– |
|
|
– |
|
|
– |
|
||||||||
| Net cash (used in) provided by financing activities |
|
(95,774 |
) |
|
225,959 |
|
|
(120,366 |
) |
|
231,194 |
|
||||||||
| Effect of exchange rate changes on cash, cash equivalents, and restricted cash |
|
5,510 |
|
|
235 |
|
|
(4,658 |
) |
|
685 |
|
||||||||
| Net increase (decrease) in cash, cash equivalents, and restricted cash |
|
24,772 |
|
|
15,764 |
|
|
28,047 |
|
|
(13,095 |
) |
||||||||
| Cash, cash equivalents, and restricted cash at beginning of period |
|
195,169 |
|
|
137,456 |
|
|
191,894 |
|
|
166,315 |
|
||||||||
| Cash, cash equivalents, and restricted cash at end of period |
$ |
219,941 |
|
$ |
153,220 |
|
$ |
219,941 |
|
$ |
153,220 |
|
||||||||
| Supplemental disclosure of cash flow information: | ||||||||||||||||||||
| Reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the total shown in the consolidated statements of cash flows: | ||||||||||||||||||||
| Cash and cash equivalents |
$ |
218,536 |
|
$ |
150,016 |
|
$ |
218,536 |
|
$ |
150,016 |
|
||||||||
| Restricted cash included in other current assets |
|
1,405 |
|
|
3,204 |
|
|
1,405 |
|
|
3,204 |
|
||||||||
| Total cash, cash equivalents and restricted cash |
$ |
219,941 |
|
$ |
153,220 |
|
$ |
219,941 |
|
$ |
153,220 |
|
||||||||
| PREPARED IN ACCORDANCE WITH GAAP | ||||||||||||||||||||
| PerkinElmer, Inc. and Subsidiaries | |||||||||||||||||||||
| RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (1) | |||||||||||||||||||||
| (In millions, except per share data and percentages) |
PKI |
||||||||||||||||||||
|
Three Months Ended |
|||||||||||||||||||||
|
July 5, 2020 |
June 30, 2019 |
||||||||||||||||||||
| Adjusted revenue: | |||||||||||||||||||||
| Revenue |
$ |
811.7 |
|
$ |
722.5 |
|
|||||||||||||||
| Purchase accounting adjustments |
|
0.2 |
|
|
0.2 |
|
|||||||||||||||
| Adjusted revenue |
$ |
811.9 |
|
$ |
722.7 |
|
|||||||||||||||
| Adjusted gross margin: | |||||||||||||||||||||
| Gross margin |
$ |
447.3 |
|
55.1 |
% |
$ |
347.8 |
|
48.1 |
% |
|||||||||||
| Amortization of intangible assets |
|
16.0 |
|
2.0 |
% |
|
15.6 |
|
2.2 |
% |
|||||||||||
| Purchase accounting adjustments |
|
0.6 |
|
0.1 |
% |
|
5.5 |
|
0.8 |
% |
|||||||||||
| Adjusted gross margin |
$ |
463.9 |
|
57.1 |
% |
$ |
368.9 |
|
51.0 |
% |
|||||||||||
| Adjusted SG&A: | |||||||||||||||||||||
| SG&A |
$ |
221.0 |
|
27.2 |
% |
$ |
201.6 |
|
27.9 |
% |
|||||||||||
| Amortization of intangible assets |
|
(30.7 |
) |
-3.8 |
% |
|
(25.6 |
) |
-3.5 |
% |
|||||||||||
| Purchase accounting adjustments |
|
(0.9 |
) |
-0.1 |
% |
|
(0.1 |
) |
0.0 |
% |
|||||||||||
| Acquisition and divestiture-related expenses |
|
5.2 |
|
0.6 |
% |
|
(0.9 |
) |
-0.1 |
% |
|||||||||||
| Significant litigation matters and settlements |
|
(3.2 |
) |
-0.4 |
% |
|
(0.4 |
) |
-0.1 |
% |
|||||||||||
| Significant environmental matters |
|
(5.2 |
) |
-0.6 |
% |
|
– |
|
0.0 |
% |
|||||||||||
| Adjusted SG&A |
$ |
186.2 |
|
22.9 |
% |
$ |
174.6 |
|
24.2 |
% |
|||||||||||
| R&D |
$ |
49.5 |
|
6.1 |
% |
$ |
48.3 |
|
6.7 |
% |
|||||||||||
| Adjusted operating income: | |||||||||||||||||||||
| Operating income |
$ |
175.6 |
|
21.6 |
% |
$ |
91.7 |
|
12.7 |
% |
|||||||||||
| Amortization of intangible assets |
|
46.7 |
|
5.8 |
% |
|
41.2 |
|
5.7 |
% |
|||||||||||
| Purchase accounting adjustments |
|
1.5 |
|
0.2 |
% |
|
5.5 |
|
0.8 |
% |
|||||||||||
| Acquisition and divestiture-related expenses |
|
(5.2 |
) |
-0.6 |
% |
|
0.9 |
|
0.1 |
% |
|||||||||||
| Significant litigation matters and settlements |
|
3.2 |
|
0.4 |
% |
|
0.4 |
|
0.1 |
% |
|||||||||||
| Significant environmental matters |
|
5.2 |
|
0.6 |
% |
|
– |
|
0.0 |
% |
|||||||||||
| Restructuring and other, net |
|
1.2 |
|
0.1 |
% |
|
6.2 |
|
0.9 |
% |
|||||||||||
| Adjusted operating income |
$ |
228.2 |
|
28.1 |
% |
$ |
146.0 |
|
20.2 |
% |
|||||||||||
|
PKI |
|||||||||||||||||||||
|
Three Months Ended |
|||||||||||||||||||||
|
July 5, 2020 |
June 30, 2019 |
||||||||||||||||||||
| Adjusted EPS: | |||||||||||||||||||||
| GAAP EPS |
$ |
1.23 |
|
$ |
0.62 |
|
|||||||||||||||
| Discontinued operations, net of income taxes |
|
(0.00 |
) |
|
(0.00 |
) |
|||||||||||||||
| GAAP EPS from continuing operations |
|
1.23 |
|
|
0.62 |
|
|||||||||||||||
| Amortization of intangible assets |
|
0.42 |
|
|
0.37 |
|
|||||||||||||||
| Purchase accounting adjustments |
|
0.01 |
|
|
0.05 |
|
|||||||||||||||
| Acquisition and divestiture-related expenses |
|
(0.05 |
) |
|
0.03 |
|
|||||||||||||||
| Significant litigation matters and settlements |
|
0.03 |
|
|
0.00 |
|
|||||||||||||||
| Significant environmental matters |
|
0.05 |
|
|
– |
|
|||||||||||||||
| Disposition of businesses and assets, net |
|
– |
|
|
0.00 |
|
|||||||||||||||
| Restructuring and other, net |
|
0.01 |
|
|
0.06 |
|
|||||||||||||||
| Tax on above items |
|
(0.13 |
) |
|
(0.13 |
) |
|||||||||||||||
| Adjusted EPS |
$ |
1.57 |
|
$ |
1.00 |
|
|||||||||||||||
|
DAS |
|||||||||||||||||||||
|
Three Months Ended |
|||||||||||||||||||||
|
July 5, 2020 |
June 30, 2019 |
||||||||||||||||||||
| Revenue |
$ |
391.0 |
|
$ |
434.0 |
|
|||||||||||||||
| Adjusted operating income: | |||||||||||||||||||||
| Operating income |
$ |
39.4 |
|
10.1 |
% |
$ |
57.7 |
|
13.3 |
% |
|||||||||||
| Amortization of intangible assets |
|
20.5 |
|
5.2 |
% |
|
13.1 |
|
3.0 |
% |
|||||||||||
| Purchase accounting adjustments |
|
0.1 |
|
0.0 |
% |
|
5.0 |
|
1.2 |
% |
|||||||||||
| Acquisition and divestiture-related expenses |
|
(5.5 |
) |
-1.4 |
% |
|
0.4 |
|
0.1 |
% |
|||||||||||
| Significant litigation matters and settlements |
|
2.0 |
|
0.5 |
% |
|
0.4 |
|
0.1 |
% |
|||||||||||
| Restructuring and other, net |
|
0.8 |
|
0.2 |
% |
|
4.8 |
|
1.1 |
% |
|||||||||||
| Adjusted operating income |
$ |
57.4 |
|
14.7 |
% |
$ |
81.5 |
|
18.8 |
% |
|||||||||||
|
Diagnostics |
|||||||||||||||||||||
|
Three Months Ended |
|||||||||||||||||||||
|
July 5, 2020 |
June 30, 2019 |
||||||||||||||||||||
| Adjusted revenue: | |||||||||||||||||||||
| Revenue |
$ |
420.7 |
|
$ |
288.6 |
|
|||||||||||||||
| Purchase accounting adjustments |
|
0.2 |
|
|
0.2 |
|
|||||||||||||||
| Adjusted revenue |
$ |
420.9 |
|
$ |
288.7 |
|
|||||||||||||||
| Adjusted operating income: | |||||||||||||||||||||
| Operating income |
$ |
160.3 |
|
38.1 |
% |
$ |
49.3 |
|
17.1 |
% |
|||||||||||
| Amortization of intangible assets |
|
26.2 |
|
6.2 |
% |
|
28.1 |
|
9.7 |
% |
|||||||||||
| Purchase accounting adjustments |
|
1.3 |
|
0.3 |
% |
|
0.5 |
|
0.2 |
% |
|||||||||||
| Acquisition and divestiture-related expenses |
|
0.3 |
|
0.1 |
% |
|
0.5 |
|
0.2 |
% |
|||||||||||
| Significant litigation matters and settlements |
|
1.2 |
|
0.3 |
% |
|
– |
|
0.0 |
% |
|||||||||||
| Restructuring and other, net |
|
0.3 |
|
0.1 |
% |
|
1.3 |
|
0.5 |
% |
|||||||||||
| Adjusted operating income |
$ |
189.6 |
|
45.1 |
% |
$ |
79.7 |
|
27.6 |
% |
|||||||||||
| (1) amounts may not sum due to rounding | |||||||||||||||||||||
| PerkinElmer, Inc. and Subsidiaries | |||||||||||||||||||||
| RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (1) | |||||||||||||||||||||
| (In millions, except per share data and percentages) |
PKI |
||||||||||||||||||||
|
Six Months Ended |
|||||||||||||||||||||
|
July 5, 2020 |
June 30, 2019 |
||||||||||||||||||||
| Adjusted revenue: | |||||||||||||||||||||
| Revenue |
$ |
1,464.1 |
|
$ |
1,371.3 |
|
|||||||||||||||
| Purchase accounting adjustments |
|
0.4 |
|
|
0.4 |
|
|||||||||||||||
| Adjusted revenue |
$ |
1,464.5 |
|
$ |
1,371.6 |
|
|||||||||||||||
| Adjusted gross margin: | |||||||||||||||||||||
| Gross margin |
$ |
755.4 |
|
51.6 |
% |
$ |
655.6 |
|
47.8 |
% |
|||||||||||
| Amortization of intangible assets |
|
32.1 |
|
2.2 |
% |
|
30.4 |
|
2.2 |
% |
|||||||||||
| Purchase accounting adjustments |
|
1.9 |
|
0.1 |
% |
|
6.0 |
|
0.4 |
% |
|||||||||||
| Adjusted gross margin |
$ |
789.3 |
|
53.9 |
% |
$ |
692.0 |
|
50.5 |
% |
|||||||||||
| Adjusted SG&A: | |||||||||||||||||||||
| SG&A |
$ |
429.6 |
|
29.3 |
% |
$ |
400.4 |
|
29.2 |
% |
|||||||||||
| Amortization of intangible assets |
|
(61.9 |
) |
-4.2 |
% |
|
(49.5 |
) |
-3.6 |
% |
|||||||||||
| Purchase accounting adjustments |
|
11.4 |
|
0.8 |
% |
|
(3.2 |
) |
-0.2 |
% |
|||||||||||
| Acquisition and divestiture-related expenses |
|
(7.1 |
) |
-0.5 |
% |
|
(2.4 |
) |
-0.2 |
% |
|||||||||||
| Acceleration of executive compensation |
|
– |
|
0.0 |
% |
|
– |
|
0.0 |
% |
|||||||||||
| Significant litigation matters and settlements |
|
(3.6 |
) |
-0.2 |
% |
|
(0.8 |
) |
-0.1 |
% |
|||||||||||
| Significant environmental matters |
|
(5.2 |
) |
-0.4 |
% |
|
– |
|
0.0 |
% |
|||||||||||
| Adjusted SG&A |
$ |
363.1 |
|
24.8 |
% |
$ |
344.5 |
|
25.1 |
% |
|||||||||||
| R&D |
$ |
98.4 |
|
6.7 |
% |
$ |
96.3 |
|
7.0 |
% |
|||||||||||
| Adjusted operating income: | |||||||||||||||||||||
| Operating income |
$ |
220.3 |
|
15.0 |
% |
$ |
145.1 |
|
10.6 |
% |
|||||||||||
| Amortization of intangible assets |
|
94.0 |
|
6.4 |
% |
|
79.9 |
|
5.8 |
% |
|||||||||||
| Purchase accounting adjustments |
|
(9.6 |
) |
-0.7 |
% |
|
9.1 |
|
0.7 |
% |
|||||||||||
| Acquisition and divestiture-related expenses |
|
7.1 |
|
0.5 |
% |
|
2.4 |
|
0.2 |
% |
|||||||||||
| Acceleration of executive compensation |
|
– |
|
0.0 |
% |
|
– |
|
0.0 |
% |
|||||||||||
| Significant litigation matters and settlements |
|
3.6 |
|
0.2 |
% |
|
0.8 |
|
0.1 |
% |
|||||||||||
| Significant environmental matters |
|
5.2 |
|
0.4 |
% |
|
– |
|
0.0 |
% |
|||||||||||
| Restructuring and other, net |
|
7.0 |
|
0.5 |
% |
|
13.8 |
|
1.0 |
% |
|||||||||||
| Adjusted operating income |
$ |
327.8 |
|
22.4 |
% |
$ |
251.2 |
|
18.3 |
% |
|||||||||||
|
PKI |
|||||||||||||||||||||
|
Six Months Ended |
|||||||||||||||||||||
|
July 5, 2020 |
June 30, 2019 |
||||||||||||||||||||
| Adjusted EPS: | |||||||||||||||||||||
| GAAP EPS |
$ |
1.53 |
|
$ |
0.94 |
|
|||||||||||||||
| Discontinued operations |
|
(0.00 |
) |
|
(0.00 |
) |
|||||||||||||||
| GAAP EPS from continuing operations |
|
1.53 |
|
|
0.94 |
|
|||||||||||||||
| Amortization of intangible assets |
|
0.84 |
|
|
0.72 |
|
|||||||||||||||
| Purchase accounting adjustments |
|
(0.09 |
) |
|
0.08 |
|
|||||||||||||||
| Significant litigation matters and settlements |
|
0.03 |
|
|
0.01 |
|
|||||||||||||||
| Significant environmental matters |
|
0.05 |
|
|
– |
|
|||||||||||||||
| Acquisition and divestiture-related expenses |
|
0.06 |
|
|
0.05 |
|
|||||||||||||||
| Loss (gain) on disposition of businesses and assets, net |
|
– |
|
|
0.02 |
|
|||||||||||||||
| Restructuring and other, net |
|
0.06 |
|
|
0.12 |
|
|||||||||||||||
| Tax on above items |
|
(0.25 |
) |
|
(0.25 |
) |
|||||||||||||||
| Adjusted EPS |
$ |
2.24 |
|
$ |
1.69 |
|
|||||||||||||||
|
PKI |
|||||||||||||||||||||
| Three Months Ended | |||||||||||||||||||||
| October 4, 2020 | |||||||||||||||||||||
| Adjusted EPS: | Projected | ||||||||||||||||||||
| GAAP EPS from continuing operations |
$0.85 – $1.20 |
||||||||||||||||||||
| Amortization of intangible assets |
|
0.43 |
|
||||||||||||||||||
| Purchase accounting adjustments |
|
0.01 |
|
||||||||||||||||||
| Acquisition and divestiture-related expenses |
|
0.00 |
|
||||||||||||||||||
| Tax on above items |
|
(0.11 |
) |
||||||||||||||||||
| Adjusted EPS |
$1.18 – $1.53 |
||||||||||||||||||||
|
DAS |
|||||||||||||||||||||
|
Six Months Ended |
|||||||||||||||||||||
|
July 5, 2020 |
June 30, 2019 |
||||||||||||||||||||
| Revenue |
$ |
789.4 |
|
$ |
822.8 |
|
|||||||||||||||
| Adjusted operating income: | |||||||||||||||||||||
| Operating income |
$ |
67.9 |
|
8.6 |
% |
$ |
94.6 |
|
11.5 |
% |
|||||||||||
| Amortization of intangible assets |
|
41.2 |
|
5.2 |
% |
|
23.4 |
|
2.8 |
% |
|||||||||||
| Purchase accounting adjustments |
|
(11.3 |
) |
-1.4 |
% |
|
5.1 |
|
0.6 |
% |
|||||||||||
| Acquisition and divestiture-related expenses |
|
6.8 |
|
0.9 |
% |
|
1.0 |
|
0.1 |
% |
|||||||||||
| Significant litigation matters and settlements |
|
2.4 |
|
0.3 |
% |
|
0.8 |
|
0.1 |
% |
|||||||||||
| Restructuring and other, net |
|
4.8 |
|
0.6 |
% |
|
11.0 |
|
1.3 |
% |
|||||||||||
| Adjusted operating income |
$ |
111.8 |
|
14.2 |
% |
$ |
135.8 |
|
16.5 |
% |
|||||||||||
|
Diagnostics |
|||||||||||||||||||||
|
Six Months Ended |
|||||||||||||||||||||
|
July 5, 2020 |
June 30, 2019 |
||||||||||||||||||||
| Adjusted revenue: | |||||||||||||||||||||
| Revenue |
$ |
674.7 |
|
$ |
548.5 |
|
|||||||||||||||
| Purchase accounting adjustments |
|
0.4 |
|
|
0.4 |
|
|||||||||||||||
| Adjusted revenue |
$ |
675.1 |
|
$ |
548.8 |
|
|||||||||||||||
| Adjusted operating income: | |||||||||||||||||||||
| Operating income |
$ |
189.9 |
|
28.1 |
% |
$ |
80.7 |
|
14.7 |
% |
|||||||||||
| Amortization of intangible assets |
|
52.8 |
|
7.8 |
% |
|
56.5 |
|
10.3 |
% |
|||||||||||
| Purchase accounting adjustments |
|
1.8 |
|
0.3 |
% |
|
4.1 |
|
0.7 |
% |
|||||||||||
| Acquisition and divestiture-related expenses |
|
0.3 |
|
0.0 |
% |
|
1.5 |
|
0.3 |
% |
|||||||||||
| Significant litigation matters and settlements |
|
1.2 |
|
0.2 |
% |
|
– |
|
0.0 |
% |
|||||||||||
| Restructuring and other, net |
|
2.3 |
|
0.3 |
% |
|
2.8 |
|
0.5 |
% |
|||||||||||
| Adjusted operating income |
$ |
248.2 |
|
36.8 |
% |
$ |
145.7 |
|
26.5 |
% |
|||||||||||
| (1) amounts may not sum due to rounding | |||||||||||||||||||||
Contacts
Investor Relations:
PerkinElmer, Inc.
Bryan Kipp (781) 663-5583
bryan.kipp@perkinelmer.com
Media Contact:
PerkinElmer, Inc.
Fara Goldberg (781) 663-5699
fara.goldberg@perkinelmer.com