Millipore posts lower 4Q profits
manufacture, posted lower forth-quarter profits, carrying over the
company's previous quarter's performance, after being hit by a
hefty one-off earnings charge.
Fourth quarter net income tumbled to $1 million, or 2 cents per share, from $24.8 million (€20.5 million), or 49 cents per share, a year ago, which the company attributed to repatriation charges of foreign earnings totalling $30.6 million.
Additionally, Millipore was hit with charges of $8.4 million relating to the company's manufacturing consolidation, amortisation of acquired intangibles, and professional fees.
Millipore is currently undergoing a period of restructuring, which has seen the company shrink from three to two divisions. Only its Bioprocess and Bioscience divisions now exist, having reshuffled its Microelectronics division.
The process division led the way, posting a 19 per cent growth from Q4 2004's figure of $132.1 million. Millipore's Bioscience division also posted a growth of 6 per cent, with a Q4 figure of $98.7 million.
"Both divisions met or exceeded our expectations and we delivered on the promises made earlier this year to improve the Company's financial performance," said Martin Madaus, Millipore's president, chairman and CEO.
"The key drivers of this growth are improved execution from a revamped management team, the contribution of new acquisitions, and the Company's participation in strong growth markets."
The company's performance in worldwide markets also made for encouraging reading, with US quarterly revenues for 2005 of $109.8 million - an increase of 20 per cent over last year's figure.
Meanwhile, Europe also faired well, increasing its quarterly revenue performance 12 per cent to $103.4 million. Asia-Pacific rounded off Millipore's forth quarter performance, posting revenue figures of $43.1 million - an increase of three per cent.
"During the fourth quarter, we continued to make progress on our key financial metrics, lowering our accounts receivable day sales outstanding to 67 days, a year-over-year improvement of 6 days," commented Kathy Allen, corporate vice president & CFO of Millipore.
"We also lowered our inventory days of supply to its lowest level in over a year, an accomplishment considering our build of inventory in support of our factory consolidation program."
