Immucor Inc. (BLUD) filed Quarterly Report for the period ended 2009-08-31.
Immucor is an international in vitro diagnostic company dedicated to automating manual processes in the hospital/donor laboratory. They develop manufacture and sell products used by hospital blood banks clinical laboratories and large blood-donor centers to test detect and identify certain properties of human blood prior to patient transfusion. Immucor's instruments utilize patented solid phase technology reagents to perform ABO grouping tests RH typing antibody screening and platelet cross-matching. Immucor Inc. has a market cap of $1.25 billion; its shares were traded at around $17.6 with a P/E ratio of 16.5 and P/S ratio of 4.2. Immucor Inc. had an annual average earning growth of 40.8% over the past 10 years. GuruFocus rated Immucor Inc. the business predictability rank of 4.5-star.
Highlight of Business Operations:
Quality Process Improvement Project – During our third fiscal quarter of 2009, we formalized our efforts to improve the processes and procedures of our quality department through establishing the Quality Process Improvement Project. The Project expanded the role of consultants hired in April 2008. The Project’s objective is to deliver on our commitment of maintaining a world-class quality system. During fiscal 2009, we spent approximately $2.4 million on the Project, which was primarily reflected in cost of goods sold. During our first fiscal quarter of 2010, we spent $2.3 million on the Project and we expect to incur a total of $4.0 million to $4.5 million of Project-related expenses in fiscal 2010. The Project expenses primarily represent the cost of external consultants who are assisting us with the Project. We are targeting to complete the Project during our third fiscal quarter of 2010.
Revenue from instruments increased by approximately $0.7 million, or approximately 8% in the first quarter of fiscal 2010 compared with the prior year quarter due to increased instrument placements. Historically, revenue from instrument sales in the United States has been recognized over the life of the underlying reagent contract when it includes a price guarantee, which is normally five years. In the first fiscal quarter of 2010, approximately $2.2 million of deferred revenue was recognized from previously placed instruments compared to $2.8 million recognized in the prior year quarter. We deferred approximately $0.7 million of instrument revenues related to instrument placements in the current year quarter, compared to $2.1 million in the prior year quarter. We continued to have a significant proportion of instruments that are acquired as rentals in the current year quarter, which resulted in revenue being recognized over the term of the contract as earned, versus deferred and amortized as in the case of the instrument being sold. As of August 31, 2009 and 2008, deferred instrument and service revenues totaled approximately $21.0 million and $23.9 million, respectively.
BLUD is in the portfolios of Ron Baron of Baron Funds.
Rate This Article: |
  |