BOSTON, Oct. 27 /PRNewswire-FirstCall/ -- PAREXEL International Corporation today announced its financial results for the first quarter ended September 30, 2009.
The Company reported operating income of $18.5 million, or 7.1% of consolidated service revenue, in the first quarter of Fiscal Year 2010, versus operating income of $22.0 million, or 8.4% of consolidated service revenue, in the comparable quarter of the prior year. Operating income in the prior year quarter would have been $17.2 million, or 6.7% of service revenue, when taking into account the $4.7 million net revenue and cost impact related to the previously described accounting adjustment. Net income for the current quarter totaled $12.4 million, or $0.21 per diluted share, compared with net income of $13.6 million, or $0.23 per diluted share, for the quarter ended September 30, 2008. Certain tax adjustments had a favorable impact on earnings per share of approximately two cents in the current quarter.
Backlog at the end of September was approximately $2.157 billion. The reported backlog included gross new business wins of $322.1 million, cancellations of $100.7 million, a positive impact from foreign exchange rates of $21.7 million, and a negative impact from other adjustments of $2.4 million. The net book-to-bill ratio (defined as gross new business less cancellations divided by service revenue) was approximately 0.85 in the quarter. On a year-over-year basis, backlog at September 30, 2009 was up 4.7%.
Mr. von Rickenbach continued, “Most importantly, we are focused on the future and are optimistic about what it holds for PAREXEL. After many years, we have achieved our goal of establishing a comprehensive global presence to better serve our clients. As part of our ongoing efforts to leverage these resources more strategically, we will be realigning our global cost structure to further capitalize upon the value that is inherent in our worldwide infrastructure. We believe that these steps will strengthen the Company and optimally position us for future growth.”
The Company issued forward-looking guidance for the second quarter of Fiscal Year 2010 (ending December 31, 2009), and provided updated guidance for Fiscal Year 2010, using recent exchange rates. For the second quarter, the Company anticipates reporting consolidated service revenue in the range of $275 to $280 million, a GAAP loss per share in the range of $0.09 to $0.11, and adjusted earnings per diluted share (excluding the previously mentioned restructuring charge) of $0.19 to $0.21. For Fiscal Year 2010, consolidated service revenue is expected to be in the range of $1.105 to $1.125 billion using recent exchange rates (previously issued revenue guidance was $1.120 to $1.150 billion). GAAP earnings per diluted share for Fiscal Year 2010 are projected to be in the range of $0.57 and $0.67, and adjusted earnings per diluted share (excluding the previously mentioned restructuring charge) are expected to be in the range of $0.87 to $0.97 (previously issued diluted earnings per share guidance was $0.85 to $0.95).
A conference call to discuss PAREXEL’s financial results, and business and financial outlook will begin at 10:00 a.m. EDT on Wednesday, October 28, 2009 and will be broadcast live over the internet via webcast. The webcast may be accessed in the “Webcasts” portion of the Investors section of the Company’s website at www.PAREXEL.com. Users should follow the instructions provided to assure that the necessary audio applications are downloaded and installed. A replay of this webcast will be archived on the website approximately two hours after the call and will continue to be accessible for approximately one year following the live event. To participate via telephone, dial +1-706-758-4950 and ask to join PAREXEL’s Conference Call.
PAREXEL International Corporation is a leading global bio/pharmaceutical services organization, providing a broad range of knowledge-based contract research, medical communications and consulting services to the worldwide pharmaceutical, biotechnology and medical device industries. Committed to providing solutions that expedite time-to-market and peak-market penetration, PAREXEL has developed significant expertise across the development and commercialization continuum, from drug development and regulatory consulting to clinical pharmacology, clinical trials management, medical education and reimbursement. Perceptive Informatics, Inc., a subsidiary of PAREXEL, provides advanced technology solutions, including medical imaging, to facilitate the clinical development process. Headquartered near Boston, Massachusetts, PAREXEL operates in 70 locations throughout 52 countries around the world, and has over 9,130 employees. For more information about PAREXEL International visit www.PAREXEL.com.
PAREXEL is a registered trademark of PAREXEL International Corporation, and Perceptive Informatics is a trademark of Perceptive Informatics, Inc. All other names or marks may be registered trademarks or trademarks of their respective business and are hereby acknowledged.
PAREXEL International Corporation
