SEGMENT INFORMATION TECHNE CORPORATION AND SUBISIDARIES (in thousands of $'s, except per share data)
Increase (Decrease) Fiscal 2004 From Fiscal 2003 ---------------------------------------- ------------------------------ First Second Third Percent First Second Third Quarter Quarter Quarter YTD of Sales Quarter Quarter Quarter YTD ------- ------- ------- ------- -------- ------- ------- ------- ------ Sales 37,993 38,264 42,541 118,798 100% 3,445 4,964 4,804 13,213 Cost of sales 8,663 8,441 8,946 26,050 22% (27) 70 190 233 ------ ------ ------ ------- ------- ------ ------ ------ ------ Gross margin 29,330 29,823 33,595 92,748 78% 3,472 4,894 4,614 12,980 Gross margin percentage 77.2% 77.9% 79.0% 78.1% SG&A expense 5,083 5,519 5,456 16,058 14% 132 618 750 1,500 R&D expense 4,963 5,450 5,082 15,495 13% 130 471 (204) 397 Amortization expense 400 399 400 1,199 1% (84) (86) (85) (255) Interest expense 175 172 167 514 -- (148) (124) (11) (283) Interest income (726) (762) (853) (2,341) (2%) 64 (58) (121) (115) Other non-operating exp., net 78 20 415 513 -- (72) 36 475 439 ------ ------ ------ ------- ------- ------ ------ ------ ------ 9,973 10,798 10,667 31,438 26% 22 857 804 1,683 ------ ------ ------ ------- ------- ------ ------ ------ ------ Earnings before income taxes 19,357 19,025 22,928 61,310 52% 3,450 4,037 3,810 11,297 Income taxes 6,785 6,655 8,309 21,749 19% 1,323 1,548 1,585 4,456 ------ ------ ------ ------- ------- ------ ------ ------ ------ 12,572 12,370 14,619 39,561 33% 2,127 2,489 2,225 6,841 ====== ====== ====== ======= ======= ====== ====== ====== ====== Diluted earnings per share 0.30 0.30 0.35 0.95 Weighted average diluted shares outstanding 41,600 41,653 41,752 41,668
HEMATOLOGY DIVISION (in thousands of $'s)
Increase (Decrease) Fiscal 2004 From Fiscal 2003 ---------------------------------------- ------------------------------ First Second Third Percent First Second Third Quarter Quarter Quarter YTD of Sales Quarter Quarter Quarter YTD ------- ------- ------- ------- -------- ------- ------- ------- ------ Sales 4,281 4,454 4,069 12,804 100% 507 468 72 1,047 Cost of sales 2,346 2,344 2,234 6,924 54% 209 232 53 494 ------- ------- ------- ------- -------- ------- ------- ------- ------ Gross margin 1,935 2,110 1,835 5,880 46% 298 236 19 553 Gross margin percentage 45.2% 47.4% 45.1% 45.9% SG&A expense 391 383 439 1,213 9% (9) 16 74 81 R&D expense 191 190 203 584 5% 18 (3) 4 19 Interest income (77) (74) (79) (230) (2%) 24 9 8 41 ------- ------- ------- ------- -------- ------- ------- ------- ------ 505 499 563 1,567 12% 33 22 86 141 ------- ------- ------- ------- -------- ------- ------- ------- ------ Pretax result 1,430 1,611 1,272 4,313 34% 265 214 (67) 412 ======= ======= ======= ======= ======== ======= ======= ======= ======
BIOTECHNOLOGY DIVISION (in thousands of $'s)
Increase (Decrease) Fiscal 2004 From Fiscal 2003 ----------------------------------------- ------------------------------ First Second Third Percent First Second Third Quarter Quarter Quarter YTD of Sales Quarter Quarter Quarter YTD ------- ------- ------- ------- -------- ------- ------- ------- ------ Sales 28,653 27,766 31,214 87,633 100% 2,016 2,811 2,697 7,524 Intersegment sales (4,621) (4,967) (5,145) (14,733) (471) (466) (270) (1,207) ------ ------ ------ ------- ------ ------ ------ ------ 24,032 22,799 26,069 72,900 1,545 2,345 2,427 6,317 Cost of sales 5,916 5,530 6,121 17,567 20% 191 70 429 690 Intersegment sales (4,521) (4,894) (5,140) (14,555) (371) (411) (272) (1,054) ------ ------ ------ ------- ------ ------ ------ ------ 1,395 636 981 3,012 (180) (341) 157 (364) Gross margin 22,637 22,163 25,088 69,888 80% 1,725 2,686 2,270 6,681 Gross margin percentage 79.4% 80.1% 80.4% 80.0% SG&A expense 2,651 2,949 2,917 8,517 10% (61) 109 271 319 R&D expense 4,164 4,307 4,290 12,761 15% 201 180 127 508 Amortization expense 400 399 400 1,199 1% (84) (86) (85) (255) Interest income (406) (388) (411) (1,205) (1%) 85 19 14 118 ------ ------ ------ ------- ------- ------ ------ ------ ------ 6,809 7,267 7,196 21,272 25% 141 222 327 690 ------ ------ ------ ------- ------- ------ ------ ------ ------ Pretax result 15,828 14,896 17,892 48,616 55% 1,584 2,464 1,943 5,991 ====== ====== ====== ======= ======= ====== ====== ====== ======
R&D SYSTEMS EUROPE (in thousands of Br. pounds)
Increase (Decrease) Fiscal 2004 From Fiscal 2003 ---------------------------------------- ------------------------------ First Second Third Percent First Second Third Quarter Quarter Quarter YTD of Sales Quarter Quarter Quarter YTD ------- ------- ------- ------- -------- ------- ------- ------- ------ Sales 5,980 6,365 6,721 19,066 100% 663 732 397 1,792 Intersegment sales -- -- -- -- 9 6 8 23 ------- ------- ------- ------- ------- ------- ------- ------ 5,980 6,365 6,721 19,066 672 738 405 1,815 Cost of sales 3,040 3,157 3,107 9,304 49% (157) (203) (498) (858) ------- ------- ------- ------- ------ ------- ------- ------- ------ Gross margin 2,940 3,208 3,614 9,762 51% 820 935 895 2,650 Gross margin percentage 49.2% 50.4% 53.8% 51.2% SG&A expense 1,050 1,092 978 3,120 16% 17 101 13 131 Interest income (127) (150) (175) (452) (2%) (23) (35) (60) (118) Exchange loss/(gain) (49) (73) 46 (76) -- (80) 6 171 97 ------- ------- ------- ------- ------ ------- ------- ------- ------ 874 869 849 2,592 14% (86) 72 124 110 ------- ------- ------- ------- ------ ------- ------- ------- ------ Pretax result 2,066 2,339 2,765 7,170 37% 906 863 771 2,540 ======= ======= ======= ======= ====== ======= ======= ======= ======
R&D SYSTEMS EUROPE (in thousands of $'s)
Increase (Decrease) Fiscal 2004 From Fiscal 2003 ---------------------------------------- ------------------------------ First Second Third Percent First Second Third Quarter Quarter Quarter YTD of Sales Quarter Quarter Quarter YTD ------- ------- ------- ------- -------- ------- ------- ------- ------ Sales 9,680 11,011 12,403 33,094 100% 1,379 2,142 2,291 5,812 Intersegment sales -- -- -- -- 14 9 14 37 ------- ------- ------- ------- ------- ------- ------- ------ 9,680 11,011 12,403 33,094 1,393 2,151 2,305 5,849 Cost of sales 4,922 5,461 5,731 16,114 49% (70) 170 (34) 66 ------- ------- ------- ------- -------- ------- ------- ------- ------ Gross margin 4,758 5,550 6,672 16,980 51% 1,449 1,972 2,325 5,746 Gross margin percentage 49.2% 50.4% 53.8% 51.3% SG&A expense 1,699 1,891 1,805 5,395 16% 87 328 261 676 Interest income (206) (260) (323) (789) (2%) (43) (80) (138) (261) Exchange loss/(gain) (84) (129) 85 (128) -- (133) (1) 285 151 ------- ------- ------- ------- -------- ------- ------- ------- ------ 1,409 1,502 1,567 4,478 14% (89) 247 408 566 ------- ------- ------- ------- -------- ------- ------- ------- ------ Pretax result 3,349 4,048 5,105 12,502 37% 1,538 1,725 1,917 5,180 ======= ======= ======= ======= ======== ======= ======= ======= ======
CORPORATE AND OTHER (1) (in thousands of $'s)
Increase (Decrease) Fiscal 2004 From Fiscal 2003 ------------------------------- ------------------------------ First Second Third First Second Third Quarter Quarter Quarter YTD Quarter Quarter Quarter YTD ------- ------- ------- ------- ------- ------- ------- ------- Interest income 37 40 40 117 2 6 5 13 Rental income 19 46 20 85 19 40 1 60 ------- ------- ------- ------- ------- ------- ------- ------- 56 86 60 202 21 46 6 73 SG&A expense 342 296 295 933 115 165 144 424 R&D-CCX losses 436 828 519 1,783 (83) 332 (274) (25) R&D-DGI losses 172 125 47 344 (6) (38) (84) (128) R&D-Hemerus losses -- -- 23 23 -- -- 23 23 Interest expense 175 172 167 514 (148) (124) (11) (283) Building expense 181 195 350 726 80 77 191 348 ------- ------- ------- ------- ------- ------- ------- ------- 1,306 1,616 1,401 4,323 (42) 412 (11) 359 ------- ------- ------- ------- ------- ------- ------- ------- Pretax result (1,250) (1,530) (1,341) (4,121) 63 (366) 17 (286) ======= ======= ======= ======= ======= ======= ======= =======
(1) Unallocated corporate expenses and Techne's share of losses by ChemoCentryx, Inc. (CCX), Discovery Genomics, Inc. (DGI) and Hemerus Medical, LLC.