WEST BRIDGEWATER, Mass., Oct. 27 /PRNewswire/ -- Boston Biomedica, Inc. (Nasdaq: BBII) today announced the record results of its operations for the quarter ended September 30, 1997.
For the third quarter, the Company reported revenues of $6,139,782, an increase of $2,125,051, or 53%, over revenues of $4,014,731 for the same period in 1996. Net income for the quarter was $246,147 compared to net income of $162,652 for the same period last year. Third quarter 1997 earnings per share (EPS) were $0.05, as compared to $0.05 per share for the prior year period. Third quarter 1997 results include the results of the recently completed acquisition of BBI-Source Scientific, Inc. effective July 1, 1997. In addition, third quarter 1997 EPS reflects an increase in shares outstanding of 47% as a result of the Company's October 1996 initial public offering (IPO).
"The third quarter revenue increase for the existing group prior to inclusion of BBI-Source Scientific was 22%, led by continued strong sales growth in Quality Control products and Clinical Testing services, and the addition of new business at our BBI-Biotech subsidiary," stated Kevin W. Quinlan, Chief Financial Officer of Boston Biomedica, Inc. "We were particularly pleased that BBI-Source's results added $1.2M to sales at a breakeven performance in their first quarter as a BBI subsidiary, validating our confidence in this recent acquisition."
For the nine months ended September 30, 1997, the Company reported revenues of $14,997,785, an increase of $4,054,671, or 37%, compared to revenues of $10,943,114 for the same period in 1996. Net income for the nine months ended September 30, 1997 was $569,596 compared to $245,520 for the same period in 1996. Earnings per share for the nine months ended September 30, 1997 were $0.12, compared to $0.08 for the same period in 1996.
"In addition to our strong financial performance during the third quarter, BBI has also made significant progress in a number of other exciting areas," said Richard T. Schumacher, President and CEO of Boston Biomedica. "Important scientific achievements were made in both our BioSeq (molecular diagnostics) and UNC (anti-HIV drug discovery) strategic alliances; renovation of our main facility (West Bridgewater) continued at a brisk pace without adversely affecting normal workflow; the integration of Source Scientific into the corporate framework of BBI proceeded better than expected; and the TQS sales and marketing expansion implemented earlier this year began to show positive results, with the addition of a number of major new TQS customers."
Boston Biomedica, Inc. is a worldwide manufacturer of quality control products for use with in vitro diagnostic test kits for the detection, analysis and monitoring of infectious diseases, including AIDS, Hepatitis and Lyme Disease. These products are used to develop test kits, to permit the monitoring of laboratory personnel and equipment, and to help ensure the accuracy of test results. The Company also manufactures diagnostic test kit components and laboratory instrumentation, and provides specialty laboratory testing services.
This release may include forward-looking statements concerning the Company's financial performance and business operations. The Company wishes to caution readers of this press release that actual results might differ materially from those projected in any forward-looking statements.
Factors which might cause actual results to differ materially from those
projected in the forward-looking statements contained herein include the
following: inability of the Company to develop the end-user market for quality
control products; inability of the Company to integrate the business of Source
Scientific, Inc. into the Company's business; inability of the Company to
renew all of the existing field service contracts recently assigned to BBI-
Source Scientific; inability of the Company to obtain an adequate supply of
raw materials necessary for certain of its products; significant reductions in
purchases by any of the Company's major customers; and the potential
insufficiency of Company resources, including human resources, plant and
equipment and management systems, to accommodate any future growth. These and
certain other factors which might cause actual results to differ materially
from those projected are more fully set forth under the caption "Risk Factors"
in the Company's Registration Statement on Form S-1 (SEC File No.333-10759).
BOSTON BIOMEDICA, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
Three Months Ended Nine Months Ended
September 30, September 30,
1997 1996 1997 1996
REVENUE:
Product sales $3,342,772 $2,021,462 $7,886,684 $5,967,221
Services 2,797,010 1,993,269 7,111,101 4,975,893
Total revenue 6,139,782 4,014,731 14,997,785 10,943,114
COSTS AND EXPENSES:
Cost of product sales1,783,485 1,044,513 4,110,569 3,051,346
Cost of services 1,815,023 1,218,193 4,746,749 3,467,803
Research and development378,451 169,157 872,196 530,776
Selling and marketing 870,425 593,523 2,259,379 1,508,812
General and admin. 940,403 641,501 2,314,485 1,729,949
Total operating costs
and expenses 5,787,787 3,666,887 14,303,378 10,288,686
Income from operations351,995 347,844 694,407 654,428
Interest income
(expense), net 58,250 (76,757) 254,920 (245,226)
Income before income
taxes 410,245 271,087 949,327 409,202
Provision for income
taxes (164,098) (108,435) (379,731) (163,681)
Net income $246,147 $162,652 $569,596 $245,521
Net income per share $0.05 $0.05 $0.12 $0.08
Weighted average common and common
equivalent shares
outstanding 4,802,878 3,313,108 4,804,942 3,251,885
CONSOLIDATED SUMMARY BALANCE SHEETS
September 30, December 31,
1997 1996
Cash and cash equivalents $2,304,934 $8,082,642
Other current assets 11,154,807 8,119,478
Total current assets 13,459,741 16,202,120
Investment 1,482,500 732,500
Other long-term assets 6,551,139 2,863,694
Total assets $21,493,380 $19,798,314
Current liabilities $4,161,522 $3,366,204
Long-term debt 228,406 40,948
Other long-term liabilities 89,674 101,580
Stockholders' equity 17,013,778 16,289,582
Total liabilities and stockholders'
equity $21,493,380 $19,798,314
SOURCE Boston Biomedica, Inc.
CONTACT: Richard T. Schumacher, President & CEO or Kevin W. Quinlan, Chief Financial Officer of Boston Biomedica, Inc., 508-580-1900