GenProbe Inc. (GPRO, Financial) filed Quarterly Report for the period ended 2009-06-30.
Gen-Probe Inc. is a global leader in the development manufacture and marketing of rapid accurate and cost-effective nucleic acid testing (NAT) products used for the clinical diagnosis of human diseases and for screening donated human blood. Using its patented NAT technology Gen-Probe has received FDA approvals for more than 40 products that detect a wide variety of infectious microorganisms including those causing sexually transmitted diseases tuberculosis strep throat pneumonia and fungal infections. GenProbe Inc. has a market cap of $1.94 billion; its shares were traded at around $37.26 with a P/E ratio of 19.8 and P/S ratio of 4.2. GenProbe Inc. had an annual average earning growth of 10.7% over the past 5 years.
Product sales for the first six months of 2009 were $229.3 million, compared to $215.2 million in the same period of the prior year, an increase of 7%. Total revenues for the first six months of 2009 were $236.7 million, compared to $242.4 million in the same period of the prior year, a decrease of 2%. Net income for the first six months of 2009 was $45.6 million ($0.87 per diluted share), compared to $56.7 million ($1.03 per diluted share) in the same period of the prior year, a decrease of 20%.
Upon consummation of the acquisition, each issued ordinary share of Tepnel was cancelled and converted into the right to receive 27.1 pence in cash, or approximately $0.40 based on the exchange rate of £1 to $1.48 as of the closing date. In connection with the acquisition, the holders of issued and outstanding Tepnel capital stock, options and warrants received total net cash of approximately £92.8 million, or approximately $137.1 million based on the exchange rate of £1 to $1.48 as of the closing date. The acquisition was financed through amounts borrowed under a senior secured revolving credit facility established with Bank of America, N.A., or Bank of America.`
In March 2009, we borrowed $170.0 million under the revolving credit facility in anticipation of funding the acquisition of Tepnel. Also in March 2009, we amended the credit agreement with Bank of America to increase the amount that we may borrow from time to time under the credit agreement from $180.0 million to $250.0 million.
In April 2009, we borrowed an additional $70.0 million under the revolving credit facility with Bank of America and used approximately $137.1 million of such borrowings (based on the then applicable exchange rate) to fund our acquisition of Tepnel. As of June 30, 2009, the total principal amount outstanding under the revolving credit facility was $240.0 million.
In August 2008, our Board of Directors authorized the repurchase of up to $250.0 million of our common stock over the two years following adoption of the program, through negotiated or open market transactions. There is no minimum or maximum number of shares to be repurchased under the program. During the three months ended June 30, 2009, we repurchased and retired approximately 1,602,000 shares under this program at an average price of $43.66, or approximately $70.0 million in total. From its inception through June 30, 2009, we have repurchased and retired approximately 4,182,000 shares under this program at an average price of $43.17, or approximately $180.5 million in total.
Read the The complete ReportGPRO is in the portfolios of Ron Baron of Baron Funds, Richard Aster Jr of Meridian Fund, John Hussman of Hussman Economtrics Advisors, Inc..
Gen-Probe Inc. is a global leader in the development manufacture and marketing of rapid accurate and cost-effective nucleic acid testing (NAT) products used for the clinical diagnosis of human diseases and for screening donated human blood. Using its patented NAT technology Gen-Probe has received FDA approvals for more than 40 products that detect a wide variety of infectious microorganisms including those causing sexually transmitted diseases tuberculosis strep throat pneumonia and fungal infections. GenProbe Inc. has a market cap of $1.94 billion; its shares were traded at around $37.26 with a P/E ratio of 19.8 and P/S ratio of 4.2. GenProbe Inc. had an annual average earning growth of 10.7% over the past 5 years.
Highlight of Business Operations:
Product sales for the second quarter of 2009 were $116.8 million, compared to $113.7 million in the same period of the prior year, an increase of 3%. Total revenues for the second quarter of 2009 were $120.5 million, compared to $119.8 million in the same period of the prior year, an increase of 1%. Net income for the second quarter of 2009 was $19.8 million ($0.38 per diluted share), compared to $24.8 million ($0.45 per diluted share) in the same period of the prior year, a decrease of 20%.Product sales for the first six months of 2009 were $229.3 million, compared to $215.2 million in the same period of the prior year, an increase of 7%. Total revenues for the first six months of 2009 were $236.7 million, compared to $242.4 million in the same period of the prior year, a decrease of 2%. Net income for the first six months of 2009 was $45.6 million ($0.87 per diluted share), compared to $56.7 million ($1.03 per diluted share) in the same period of the prior year, a decrease of 20%.
Upon consummation of the acquisition, each issued ordinary share of Tepnel was cancelled and converted into the right to receive 27.1 pence in cash, or approximately $0.40 based on the exchange rate of £1 to $1.48 as of the closing date. In connection with the acquisition, the holders of issued and outstanding Tepnel capital stock, options and warrants received total net cash of approximately £92.8 million, or approximately $137.1 million based on the exchange rate of £1 to $1.48 as of the closing date. The acquisition was financed through amounts borrowed under a senior secured revolving credit facility established with Bank of America, N.A., or Bank of America.`
In March 2009, we borrowed $170.0 million under the revolving credit facility in anticipation of funding the acquisition of Tepnel. Also in March 2009, we amended the credit agreement with Bank of America to increase the amount that we may borrow from time to time under the credit agreement from $180.0 million to $250.0 million.
In April 2009, we borrowed an additional $70.0 million under the revolving credit facility with Bank of America and used approximately $137.1 million of such borrowings (based on the then applicable exchange rate) to fund our acquisition of Tepnel. As of June 30, 2009, the total principal amount outstanding under the revolving credit facility was $240.0 million.
In August 2008, our Board of Directors authorized the repurchase of up to $250.0 million of our common stock over the two years following adoption of the program, through negotiated or open market transactions. There is no minimum or maximum number of shares to be repurchased under the program. During the three months ended June 30, 2009, we repurchased and retired approximately 1,602,000 shares under this program at an average price of $43.66, or approximately $70.0 million in total. From its inception through June 30, 2009, we have repurchased and retired approximately 4,182,000 shares under this program at an average price of $43.17, or approximately $180.5 million in total.
Read the The complete ReportGPRO is in the portfolios of Ron Baron of Baron Funds, Richard Aster Jr of Meridian Fund, John Hussman of Hussman Economtrics Advisors, Inc..
