01.11.02

1.11.2002: Meldung: Stericycle, Inc.: Record Results for Third Quarter

Stericycle, Inc. Reports Record Results for Third Quarter 2002
Thursday October 31, 2:48 pm ET

LAKE FOREST, Ill.--Oct. 31, 2002--Stericycle, Inc. (NASDAQ:SRCL - News)--

-- STERICYCLE, INC. REPORTS 49.7% INCREASE IN NET INCOME TO $12.1
MILLION AFTER PRO FORMA ADOPTION OF FAS 142 FOR 2001 RESULTS
(91.6% INCREASE IN NET INCOME AS REPORTED)
-- STERICYCLE, INC. REPORTS 40.0% INCREASE IN EARNINGS PER SHARE
TO $0.27 AFTER PRO FORMA ADOPTION OF FAS 142 FOR 2001 RESULTS
(79.1% INCREASE IN EARNINGS PER SHARE AS REPORTED)
-- NET CASH PROVIDED BY OPERATIONS WAS $23.5 MILLION FOR THE
QUARTER AND $72.9 MILLION FOR YEAR TO DATE
-- REVENUES EXCLUDING INTERNATIONAL EQUIPMENT SALES ARE UP 12.1%
IN QUARTER TO $99.8 MILLION


Stericycle, Inc. (NASDAQ:SRCL - News), the United States" leading provider of medical waste management services, today reported record quarterly financial results for the third quarter of 2002. "The third quarter was another record breaking quarter for our company, with across-the-board growth and record results," said Mark Miller, Stericycle president and chief executive officer. "The solid growth in revenues, operating income, and net income all reflect our disciplined focus on strategically growing and managing our business."

THIRD QUARTER AND YEAR-TO-DATE RESULTS

Revenues for the third quarter ended September 30, 2002 were $102.0 million, up 11.7% from $91.3 million in the same quarter last year. International equipment sales contributed $2.2 million in revenues for the quarter. Gross profit was $42.0 million, up 15.3% from $36.5 million in the same quarter last year. Gross profit as a percent of revenues increased to 41.2% from 40.0% in the third quarter of 2001.

Net income for third quarter of 2002 rose 49.7% to $12.1 million, up from net income of $8.1 million in the same quarter last year after the pro forma adoption of Financial Accounting Standards (FAS) 142, Goodwill and Other Intangible Assets, for the 2001 results. As reported, net income before adoption of FAS 142 was $6.3 million in the third quarter of 2001. FAS142 is effective for our fiscal year that began January 1, 2002.

Earnings per diluted share for the third quarter of 2002 rose to $0.27, up 40.0% from $0.19 in the same quarter last year after the pro forma adoption of FAS 142 for 2001 results. As reported, earnings per diluted share before adoption of FAS 142 were $0.15 in the third quarter of 2001. Weighted shares outstanding used to determine earnings per diluted share were 45,124,354 for the third quarter of 2002 and 42,196,372 for the third quarter of 2001.

For the nine months ended September 30, 2002, revenues increased to $298.3 million, an increase of 12.3% from the same period a year ago. Gross profit as a percent of revenue increased from 39.8% for the nine months ended September 30, 2001 to 40.6% for the same period in 2002. Net income increased 55.0% to $34.3 million, up from $22.1 million for the nine months ending September 30, 2001 after pro forma adoption of FAS 142. As reported, net income was $16.9 million for the nine months ending September 30, 2001. Earnings per diluted share increased 42.7% to $0.76 from $0.53 in the same period a year ago after pro forma adoption of FAS 142. As reported, earnings per diluted share were $0.41 in the same period a year ago.

During the third quarter of 2002, we continued to improve our balance sheet position. Cash generated during the quarter was used to repurchase $8.9 million of our 12-3/8% senior subordinated debt. In addition, we decreased the balances of the term loans under our senior secured credit facility, the amount of our capital leases and other loans by $13.1 million in the quarter. The redemption premium to repurchase the senior subordinated debt was a one-time pre-tax charge of $1.22 million, or tax adjusted $0.016 per diluted share, which was included in interest expense for the quarter. Our total debt to capitalization percentage ratio improved from 50.2% at December 31, 2001 to 40.5% at September 30, 2002.

Miller said, "During the third quarter we continued to execute our proven business model and reported strong sales growth and record income from operations. The cash flow of $23.5 million generated from operations was used to strengthen the business through lowering our debt and investing in the company"s future."

Stericycle provides medical waste collection, transportation, treatment and disposal services and safety and compliance programs to healthcare companies nationwide, including hospitals, physician and dental offices, laboratories and clinics. Medical waste includes single-use disposables such as needles, syringes, gloves and other supplies that have been in contact with blood or other bodily fluids, as well as blood, blood products and other items that could harbor infectious agents.

Conference call to be held October 31, 2002 at 4:00 p.m. Central time - dial in number is 800-482-2225. Replay available after the call until November 7th at 888-211-2648 pass code 2418486. To hear a simulcast of the call over the internet, access www.ccbn.com or Stericycle"s website at www.stericycle.com.

STERICYCLE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(IN THOUSANDS EXCEPT FOR SHARE AND PER SHARE DATA)

September 30, December 31,
2002 2001
----------- -----------
(unaudited)
ASSETS
Current assets:
Cash and cash equivalents $ 5,911 $ 12,737
Short-term investments 327 280
Accounts receivable, less allowance for
doubtful accounts of $3,386 in 2002 and
$3,106 in 2001 63,274 65,300
Parts and supplies 4,268 6,044
Prepaid expenses 2,634 2,457
Other current assets 9,974 11,175
----------- -----------
Total current assets 86,388 97,993
----------- -----------
Property, plant and equipment:
Land 7,622 7,596
Buildings and improvements 28,826 28,075
Machinery and equipment 76,055 65,409
Office equipment and furniture 10,926 10,458
Construction in progress 4,287 5,193
----------- -----------
127,716 116,731
Less accumulated depreciation (42,567) (33,995)
----------- -----------
Property, plant and equipment 85,149 82,736
----------- -----------
Other assets:
Goodwill, less accumulated amortization of
$32,374 in 2002 and 2001 421,479 411,877
Intangible assets, less accumulated
amortization of $6,066 in 2002 and
$4,510 in 2001 11,394 10,775
Other 10,991 11,149
----------- -----------
Total other assets 443,864 433,801
----------- -----------
Total assets $ 615,401 $ 614,530
=========== ===========

LIABILITIES AND SHAREHOLDERS" EQUITY
Current liabilities:
Current portion of long-term debt $ 1,338 $ 12,633
Accounts payable 10,136 13,317
Accrued liabilities 39,629 32,509
Deferred revenue 3,369 4,920
----------- -----------
Total current liabilities 54,472 63,379
----------- -----------
Long-term debt, net of current portion 217,539 267,365
----------- -----------
Deferred income taxes 17,755 3,194
Other liabilities 4,042 3,210
Redeemable preferred stock
Series A convertible preferred stock
(par value $0.1 share, 75,000 shares
authorized, 45,405 outstanding in 2001
and 2002, liquidation preference of
$48,735 at December 31, 2001 and
$49,419 at September 30, 2002) 45,549 44,872
Common shareholders" equity
Common stock (par value $0.1 per share,
80,000,000 shares authorized, 37,079,900
issued and outstanding in 2001,
37,748,328 issued and outstanding in 2002) 378 370
Additional paid in capital 239,416 230,724
Treasury Stock (1,435) -
Accumulated other comprehensive loss (1,339) (3,996)
Retained earnings 39,024 5,412
----------- -----------
Total shareholders" equity 276,044 232,510
----------- -----------
Total liabilities and shareholders"
equity $ 615,401 $ 614,530
=========== ===========



STERICYCLE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(IN THOUSANDS EXCEPT FOR SHARE AND PER SHARE DATA)
(UNAUDITED)

Three Months Ended
September 30,
---------------------------------------
2002 2001
$ % of Rev $ % of Rev
------------------ ------------------

Revenues $ 101,979 100.0% $ 91,261 100.0%

Costs and expenses:
Cost of revenues 59,932 58.8% 54,794 60.0%
------------------ ------------------

Gross profit 42,047 41.2% 36,467 40.0%

Selling, general and
administrative expenses 14,854 14.6% 13,258 14.5%
Amortization 540 0.5% 3,459 3.8%
------------------ ------------------

Total SG&A expense and
amortization 15,394 15.1% 16,717 18.3%

Income from operations before
acquisition-related costs 26,653 26.1% 19,750 21.6%

Acquisition-related costs 48 0.0% 20 0.0%
------------------ ------------------

Income from operations 26,605 26.1% 19,730 21.6%

Other Income (expense):
Interest income 113 0.1% 85 0.1%
Interest expense (6,602) -6.5% (8,942) -9.8%
Other expense (257) -0.3% (313) -0.3%
------------------ ------------------

Total other income (expense) (6,746) -6.6% (9,170) -10.0%
------------------ ------------------

Income before income taxes $ 19,859 19.5% $ 10,560 11.6%

Income tax expense 7,723 7.6% 4,225 4.6%
------------------ ------------------

Net Income $ 12,136 11.9% $ 6,335 6.9%
================== ==================

Earnings per share-diluted $ 0.27 $ 0.15
========= =========

Fully taxed net income before
acquisition-related costs $ 12,165 11.1% $ 6,348 6.1%

Earnings-per-share-diluted
before acquisition-related
costs $ 0.27 $ 0.15

Weighted average number of
common shares outstanding-
diluted 45,124,354 42,196,372
========== ==========

Depreciation and amortization $ 3,901 3.8% $ 6,414 7.0%

EBITDA before acquisition-
related costs $ 30,297 29.7% $ 25,851 28.3%

FAS 142 Adoption impact on 2001
Reported net income $ 6,335 6.9%
Add back: goodwill amortization 2,951
Subtract: tax effect of
amortization (1,181)
---------
Adjusted net income $ 8,105 8.9%
=========
Reported diluted earnings-per-
share $ 0.15
Add back: goodwill amortization 0.07
Subtract: tax effect of GW
amortization (0.03)
---------
Reported diluted earnings per
share $ 0.19
=========


Nine Months Ended
September 30,
---------------------------------------
2002 2001
$ % of Rev $ % of Rev
------------------ ------------------

Revenues $ 298,312 100.0% $ 265,645 100.0%

Costs and expenses:
Cost of revenues 177,149 59.4% 159,913 60.2%
------------------ ------------------

Gross profit 121,163 40.6% 105,732 39.8%

Selling, general and
administrative expenses 43,401 14.5% 38,437 14.5%
Amortization 1,556 0.5% 10,358 3.9%
------------------ ------------------

Total SG&A expense and
amortization 44,957 15.1% 48,795 18.4%

Income from operations before
acquisition-related costs 76,206 25.5% 56,937 21.4%

Acquisition-related costs 223 0.1% 347 0.1%
------------------ ------------------

Income from operations 75,983 25.5% 56,590 21.3%

Other Income (expense):
Interest income 374 0.1% 265 0.1%
Interest expense (18,402) -6.2% (27,398) -10.3%
Other expense (1,278) -0.4% (1,039) -0.4%
------------------ ------------------

Total other income (expense) (19,306) -6.5% (28,172) -10.6%
------------------ ------------------

Income before income taxes $ 56,677 19.0% $ 28,418 10.7%

Income tax expense 22,387 7.5% 11,472 4.3%
------------------ ------------------

Net Income $ 34,290 11.5% $ 16,946 6.4%
================== ==================

Earnings per share-diluted $ 0.76 $ 0.41
========= =========

Fully taxed net income before
acquisition-related costs $ 34,435 11.1% $ 17,127 6.1%

Earnings-per-share-diluted
before acquisition-related
costs $ 0.76 $ 0.41

Weighted average number of
common shares outstanding-
diluted 45,015,659 41,751,164
========== ==========

Depreciation and amortization $ 11,111 3.7% $ 18,737 7.1%

EBITDA before acquisition-
related costs $ 86,039 28.8% $ 74,997 28.2%

FAS 142 Adoption impact on 2001
Reported net income $ 16,946 6.4%
Add back: goodwill amortization 8,688
Subtract: tax effect of
amortization (3,507)
---------
Adjusted net income $ 22,127 8.3%
=========

Reported diluted earnings-per-
share $ 0.41
Add back: goodwill amortization 0.21
Subtract: tax effect of GW
amortization (0.08)
---------
Reported diluted earnings per
share $ 0.53
=========


STERICYCLE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW
(IN THOUSANDS)
(UNAUDITED)
For the Nine
Months Ended September 30,
2002 2001
----------- -----------

Operating Activities:
Net Income $ 34,290 $ 16,946
Adjustments to reconcile net income
to net cash provided by operating
activities:
Ineffective portion of cash flow hedges (381) 46
Stock compensation expense - 106
Tax benefit of disqualifying
dispositions of stock options 1,168 -
Loss on disposal of fixed assets 341 -
Depreciation 9,555 8,379
Amortization 1,556 10,358
Deferred income taxes 13,545 -
Changes in operating assets and
liabilities, net of effect of
acquisitions
Accounts receivable 3,404 3,353
Parts and supplies 1,795 (604)
Prepaid and other assets 1,346 (2,752)
Accounts payable (3,725) (2,443)
Accrued and other liabilities 11,554 11,483
Deferred revenue (1,551) 2,139
----------- -----------
Net cash provided by operating
activities 72,897 47,011
----------- -----------
Investing Activities:
Payments for acquisitions and
international investments, net
of cash acquired (10,884) (13,115)
Short-term investments (47) (52)
Retirement of property and equipment 98 979
Capital expenditures (11,363) (12,330)
----------- -----------

Net cash used in investing activities (22,196) (24,518)
----------- -----------
Financing Activities:
Net proceeds (repayments) from issuance
of note payable 882 -
Repayment of senior subordinated debt (10,537) -
Repayment of long-term debt (67,100) (9,118)
Net proceeds from (repayments)
on revolver 16,000 (5,000)
Principal payments on capital
lease obligations (619) (1,230)
Purchase of treasury stock (1,435) -
Proceeds from issuance of common stock 5,176 2,993
----------- -----------

Net cash used in financing activities (57,633) (12,355)
----------- -----------
Effect of exchange rate changes on cash 106 -
Net increase (decrease) in cash
and cash equivalents (6,826) 10,138
Cash and cash equivalents at beginning
of period 12,737 2,666
----------- -----------
Cash and cash equivalents at end
of period $ 5,911 $ 12,804
=========== ===========
Non-cash activities:
Net issuances of common stock for
certain acquisitions 2,286 6,250
Net issuances of notes payable for
certain acquisitions 180 -

Contact:

FRB/Weber Shandwick
Cindy Martin, 312/640-6741 (Media)
Leslie Loyet, 312/640-6672 (Investors)

Source: Stericycle, Inc.
Nach oben scrollen
ECOreporter Journalistenpreise
Anmelden
x