Corporate Banner
Satellite Banner
Forensic Science & Clinical Toxicology
Scientific Community
 
Become a Member | Sign in
Home>News>This Article
  News
Return

Life Technologies Announces First Quarter 2013 Results

Published: Friday, May 03, 2013
Last Updated: Friday, May 03, 2013
Bookmark and Share
Revenue increased 2.5% to $963 million.

Life Technologies Corporation announced results for its first quarter ended March 31, 2013.  Revenue for the first quarter was $963 million, an increase of 2.5 percent over the $939 million reported for the first quarter of 2012.  Excluding the impact of currency, revenue growth for the quarter was 4.4 percent compared to the same period of the prior year.

"We had a successful start to the year with strength across our Applied Sciences and Genetic Analysis business groups, including double digit growth in both our Bioproduction and Forensics businesses, which drove revenues and earnings growth above our guidance expectations," said Gregory T. Lucier, chairman and chief executive officer of Life Technologies.  "Our end markets remained in line with our expectations, with strength in emerging markets and across much of Asia, and continued cautious spending in the United States and Europe, as expected.

"During the quarter, we continued our rapid pace of innovation with new bioinformatics tools for Ion Torrent and software for our synthetic biology business.  We also continued to execute against our strategy to expand in growth and emerging markets as we entered into new collaborations in stem cells, Rapid DNA products, and acquired our reagent distributor in South Korea."

Lucier continued, "On April 15, Life Technologies and Thermo Fisher Scientific announced that the two companies had signed a definitive agreement under which Thermo Fisher will acquire Life for $76.00 in cash per fully diluted common share, or approximately $13.6 billion. We look forward to joining forces with the outstanding team at Thermo Fisher, which shares our commitment to customers, employees and shareholders."

Life Technologies reported results compared to the quarter ended March 31, 2012.  Results are non-GAAP unless indicated otherwise. A full reconciliation of the non-GAAP measures to GAAP can be found in the tables of today's press release.

Analysis of First Quarter 2013 Results

•    First quarter revenue increased 2.5 percent over the prior year, or 4.4 percent excluding the impact of currency.  Revenue growth for the quarter was driven by strong sales from the Ion Torrent, Bioproduction and Forensics businesses, partially offset by expected declines in SOLiD® sales and lower Research Consumables and capital equipment sales primarily due to the expected slowdown in the U.S. as the threat of sequestration impacted customer buying patterns.
•    Gross margin in the first quarter was 66.2 percent, approximately 40 basis points lower than the same period of the prior year. Gross margin was negatively impacted by a higher mix of Ion Torrent instrument sales, Bioproduction sales and unfavorable currency rates, partially offset by manufacturing productivity and royalties including licensing agreements.
•    Operating margin was 29.4 percent in the first quarter, approximately 80 basis points lower than the same period of the prior year. Operating margin was primarily impacted by lower gross margin and planned investments in emerging markets and molecular diagnostics.
•    The tax rate was 26.2 percent for the first quarter.
•    First quarter EPS increased 8 percent to $1.07.
•    Diluted weighted shares outstanding were 174.5 million in the first quarter, a decrease of 8.6 million shares over the prior year.  The decrease was a result of the company's share repurchase program, partially offset by shares issued for employee stock plans.  The company repurchased $105 million or 2 million shares in the first quarter.
•    Cash flow from operating activities for the first quarter was $135 million. First quarter capital expenditures were $24 million, offset by $37 million of cash proceeds from the sale of assets, resulting in free cash flow of $148 million.  The company ended the quarter with $293 million in cash and short-term investments.

Business Group and Regional Highlights

•    Research Consumables revenue was $409 million in the first quarter, a decrease of 3 percent compared to the prior year.  Excluding the impact from currency, revenue for the business group declined 1 percent. The decline in growth for the quarter was primarily driven by cautious spending in the U.S. and Europe and a tough comparison to prior year in Japan, which benefited from stimulus spending in Q1 2012.
•    Genetic Analysis revenue was $365 million in the first quarter, an increase of 3 percent over the same period last year. Excluding the impact from currency, revenue increased 5 percent. Growth for the quarter was primarily driven by an increase in our Ion Torrent business and royalties including licensing agreements, partially offset by lower CE instrument sales and an expected decline in SOLiD product sales.
•    Applied Sciences revenue was $189 million in the first quarter, an increase of 17 percent over the same period last year. Excluding the impact from currency, revenue increased 19 percent. Growth for the quarter was primarily driven by sales in Bioproduction and Forensics products.
•    Regional revenue growth rates excluding currency for the first quarter compared to the same quarter of the prior year were as follows: the Americas grew 5 percent, Europe grew 3 percent, Asia Pacific grew 10 percent and Japan grew 1 percent.  The Americas benefited from increased sales in Ion Torrent, Forensics, Bioproduction and higher royalties including licensing agreements.  Europe saw growth in Forensics and Bioproduction, offset by lower Research Consumables.  Asia Pacific grew across all business groups primarily due to Ion Torrent, Research Consumables, and Bioproduction.  Japan growth was primarily due to Ion Torrent and Bioproduction sales, offset by lower sales from government stimulus programs that took place in the same period last year.


Further Information
Access to this exclusive content is for Technology Networks Premium members only.

Join Technology Networks Premium for free access to:

  • Exclusive articles
  • Presentations from international conferences
  • Over 2,400+ scientific posters on ePosters
  • More than 3,700+ scientific videos on LabTube
  • 35 community eNewsletters


Sign In



Forgotten your details? Click Here
If you are not a member you can join here

*Please note: By logging into TechnologyNetworks.com you agree to accept the use of cookies. To find out more about the cookies we use and how to delete them, see our privacy policy.

Related Content

FBI Approves Life Technologies' Forensics Kit
Ability to upload forensic samples to National DNA Index System using GlobalFiler DNA chemistry enables faster, more powerful data comparisons to solve crimes in the U.S. and globally.
Tuesday, June 24, 2014
Distribution Agreement to Offer GlobalFiler Express Chemistry
Life Technologies today announced it has signed an agreement giving IntegenX Inc. the rights to distribute its GlobalFiler Express chemistry on IntegenX’s RapidHIT™ platform.
Wednesday, February 26, 2014
Life Tech's Forensic Kit Approved by FBI
Life Technologies GlobalFiler™ Express Kit has been approved by the FBI for use by laboratories generating DNA profiles for inclusion in the National DNA Index System CODIS Database.
Friday, October 11, 2013
Life Technologies Opens State-of-the-Art DNA Forensics Laboratory in India
The new Life Forensics Laboratory will provide much needed high-throughput DNA profiling services in India to help accelerate the sampling process, while saving time and money.
Thursday, August 01, 2013
Scientific News
DNA Could Put a Face to the Crime in the Future
An Irish geneticist is pioneering forensic techniques that can estimate a person’s appearance from a DNA sample.
Fingerprint Accuracy Stays The Same Over Time
Researchers have shown that fingerprint recognition accuracy remains stable in subjects apprehended multiple times over a period of 5 to 12 years.
Teeth Reveal Lifetime Exposures to Metals, Toxins
Researchers have identified dental biomarkers to reveal links between early iron exposure and late life brain diseases.
Better DNA Analysis for Catching Criminals
A simple, lower-cost new method for DNA profiling of human hairs developed by the University of Adelaide should improve opportunities to link criminals to serious crimes.
The Perfect Partnership: Research & Industry; Software & Instrumentation. It really starts to come together at ASMS 2015
Collaboration and knowledge-sharing were evident everywhere: on the bus, in the hallways and in the bars. This article aims to capture this theme and share with you some of the fruits of this coming together of science and industry.
Are Microbes the Future of Forensic Science?
Forget checking for latent prints or impression evidence, forensic scientists of the future might use skin microbiology to pin a suspect at the crime scene.
New Test Detects Drug Use From A Single Fingerprint
Research published in the journal Analyst has demonstrated a new, non-invasive test that can detect cocaine use through a simple fingerprint.
Potential Forensic Uses for Human Microbiome
A recent study suggests microbial communities found on or in some sites in an individual's body can be used as fingerprint-like identifiers.
Crime Scene Discovery – Separating The DNA Of Identical Twins
Forensic scientist Dr Graham Williams uncovers one of the DNA’s longstanding mysteries.
‘Fracture’ Prints, Not Fingerprints, Help Solve Child Abuse Cases
Much like a finger leaves its own unique print to help identify a person, researchers are now discovering that skull fractures leave certain signatures that can help investigators better determine what caused the injury.
SELECTBIO

Skyscraper Banner
Go to LabTube
Go to eposters
 
Access to the latest scientific news
Exclusive articles
Upload and share your posters on ePosters
Latest presentations and webinars
View a library of 1,800+ scientific and medical posters
2,400+ scientific and medical posters
A library of 2,500+ scientific videos on LabTube
3,700+ scientific videos
Close
Premium CrownJOIN TECHNOLOGY NETWORKS PREMIUM FREE!