BioClinica Announces Third Quarter 2009 Financial Results

http://www.businesswire.com/news/home/20091104005373/en

Conference Call Today, November 4, 2009 at 11:00 A.M. EST
NEWTOWN, Pa.--(Business Wire)--
BioClinica, Inc. (NASDAQ: BIOC), a global provider of clinical trial services,
today announced its financial results for the quarter and nine months ended
September 30, 2009. The operating results of Phoenix Data Systems ("PDS") are
included in the financial results following the acquisition of PDS that was
completed March 24, 2008. The CapMed division, which was sold on January 6,
2009, was reclassified as a discontinued operation for all periods presented.

We are commencing the presentation of certain non-GAAP financial information
that we believe is useful in assessing our core operating performance,
evaluating our ongoing business operations and comparing our results of
operations on a consistent basis from period to period. We are providing
information for 2009 and 2008 non-GAAP income from continuing operations before
interest and taxes, non-GAAP income from continuing operations net of taxes, and
non-GAAP diluted earnings per share. The non-GAAP information excludes the
impact of stock-based compensation, amortization of intangible assets related to
acquisitions, restructuring charges and merger and acquisition costs. See
further discussion and information in "non-GAAP financial information" paragraph
and "GAAP to non-GAAP Reconciliation" table below.

Financial highlights for the quarter ended September 30, 2009 include:

* Service revenues were $14.1 million as compared with $15.1 million for the
same period 2008.
* GAAP income from continuing operations before interest and taxes was $1.2
million as compared with $2.3 million for the same period 2008.
* GAAP income from continuing operations, net of taxes was $674,000, or $0.05
per fully diluted share as compared with $1.5 million, or $0.10 per fully
diluted share, for the same period 2008.
* Non-GAAP income from continuing operations before interest and taxes was $2.0
million as compared with $2.7 for the same period 2008.
* Non-GAAP income from continuing operations, net of taxes was $1.2 million or
$0.08 per fully diluted share, as compared with $1.8 million, or $0.12 per fully
diluted share, for the same period 2008.
* Backlog was $96.5 million as of September 30, 2009 as compared with $94.1
million at June 30, 2009 and compared with $101.7 million as of September 30,
2008.

Financial highlights for the nine months ended September 30, 2009 include:

* Service revenues were $42.5 million as compared with $41.2 million for the
same period 2008.
* GAAP income from continuing operations before interest and taxes was $3.1
million as compared with $6.2 million for the same period 2008.
* GAAP income from continuing operations net of taxes was $2.0 million, or $0.13
per fully diluted share, as compared with $4.1 million, or $0.29 per fully
diluted share, for the same period 2008.
* Non-GAAP income from continuing operations before interest and taxes was $5.1
million as compared with $7.1 million for the same period 2008.
* Non-GAAP income from continuing operations, net of taxes was $3.2 million or
$0.21 per fully diluted share, as compared with $4.7 million, or $0.33 per fully
diluted share, for the same period 2008.

The Company is reiterating its full year 2009 service revenues guidance of
$57-$60 million and its full year 2009 GAAP EPS guidance of $0.18 to $0.21 per
share, and issuing non-GAAP EPS guidance of $0.27 to $0.30 per share.

Mark L. Weinstein, President and Chief Executive Officer of BioClinica said,
"The third quarter was very positive and busy on multiple fronts. Our operating
results were in line with our expectations and we completed the acquisitions of
Tourtellotte Solutions, Inc. ("Tourtellotte") and CardioNow, a unit of Agfa
Healthcare ("CardioNow"). The integration of both acquisitions is on schedule
and we believe both Tourtellotte and CardioNow will be accretive in 2010. We
continue to see a pickup in proposal activity and the sequential quarter over
quarter increase in backlog indicates a strengthening of the overall clinical
trial services market."

"The CardioNow solutions provide core labs, investigator sites, and medical
device and pharmaceutical companies with an established and proven web-based
system for the secure, regulatory compliant transmission and analysis of medical
images that are integral components of clinical trials. CardioNow fits perfectly
into BioClinica`s strategy of adding components that both complement our current
products and services and help to create a more efficient clinical trial
process," Mr. Weinstein added.

Mr. Weinstein continued, "With the addition of the Tourtellotte team we have a
tremendous set of resources and products. Tourtellotte pioneered the first major
parameter-driven interactive voice response (IVR) and the world`s first
interactive web response (IWR) for a top five global pharmaceutical company. The
software they designed, developed and continue to support is currently being
used in over 150 active clinical trials and has been used in over 300 trials
since its inception. As a part of BioClinica, Ed Tourtellotte and his expanded
team are currently developing a state of the art next-generation interactive
voice/interactive web response system (IXR) that redefines how interactive
response technology can function in the biopharmaceutical industry. It is
parameter-driven, built specifically for the web, and is able to support rapid,
flexible customization that gives sponsors greater control over cost and data
than traditional IVR. In addition to the new IXR product we are actively
marketing Tourtellotte`s tcVisualize product, which is a software solution that
allows biopharmaceutical companies to simulate and optimize the clinical supply
chain. Using tcVisualize, study managers can develop the perfect clinical supply
plan resulting in a rapid return on investment by reducing product waste, trial
delays, and lost patient enrollment due to product stockouts. tcVisualize is
currently being used by four of the top ten global pharmaceutical companies."

"Our strong balance sheet supports our ability to grow our company both
organically and through acquisitions. Acquisitions continue to be an important
part of our growth strategy and we intend to seek acquisitions that are
complementary to our current suite of products and services while helping to
create a more efficient clinical trial process," Mr. Weinstein said.

Mr. Weinstein concluded, "I am very pleased with our operational performance and
our enhanced opportunities due to our recent acquisitions. I believe our vision
of offering "best in class" integrated solutions to pharmaceutical,
biotechnology and medical device companies to improve the overall efficiency of
the drug development process is completely in line with what our clients are
looking for and, therefore, will lead to ongoing successes in the future."

Conference Call Information

Management of BioClinica, Inc. will host a conference call today at 11 a.m. EST.
Those who wish to participate in the conference call may telephone 888-335-6674
from the U.S.; international callers may telephone 973-321-1100, approximately
15 minutes before the call. The conference ID# for both numbers is 36541392.
There will be a simultaneous webcast on www.bioclinica.com. A digital replay
will be available by telephone approximately two hours after the call`s
completion for two weeks, and may be accessed by dialing 800-642-1687 from the
U.S. or 706-645-9291 for international callers, conference ID# 36541392. The
replay will also be on the website under "Investor Relations" at
www.bioclinica.com for two weeks.

Non-GAAP Financial Information

BioClinica is providing information on 2009 and 2008 non-GAAP income from
continuing operations before interest and taxes, non-GAAP income from continuing
operations net of taxes and non-GAAP diluted earnings per share that exclude
certain items, as well as the related income tax effects, because of the nature
of these items and the impact they have on the analysis of underlying business
performance and trends. We believe the non-GAAP information provides
supplemental information useful to investors in comparing our results of
operations on a consistent basis from period to period. Management uses these
non-GAAP measures in assessing our core operating performance and evaluating our
ongoing business operations. These measures are not in accordance with, or an
alternative for, generally accepted accounting principles (GAAP) and may be
different from non-GAAP measures used by other companies. The information
therefore may not necessarily be comparable to that of other companies and
should be considered as a supplement to, not a substitute for, or superior to,
the corresponding measures calculated in accordance with GAAP. Investors are
encouraged to review the reconciliations of these non-GAAP financial measures to
the comparable GAAP results, which are included below in this press release.

About BioClinica, Inc.

BioClinica, Inc. is a leading global provider of integrated, technology-enhanced
clinical trial services. BioClinica supports pharmaceutical and medical device
innovation with imaging core lab, internet image transport, electronic data
capture, interactive voice and web response, and clinical supply chain design
and optimization solutions. BioClinica services maximize efficiency and
manageability throughout all phases of the clinical trial process. With more
than 2,000 successful trials to date, BioClinica has supported the clinical
development of many new medicines from early phase trials through final
approval. BioClinica operates state-of-the-art, regulatory-body-compliant
imaging core labs on two continents, and supports worldwide eClinical and data
management services from offices in the United States and Europe. For more
information, please visit www.bioclinica.com.

Certain matters discussed in this press release are "forward-looking statements"
intended to qualify for the safe harbors from liability established by the
Private Securities Litigation Reform Act of 1995.In particular, the Company`s
statements regarding trends in the marketplace and potential future results are
examples of such forward-looking statements.The forward-looking statements
include risks and uncertainties, including, but not limited to, the consummation
and the successful integration of current and proposed acquisitions, the timing
of projects due to the variability in size, scope and duration of projects,
estimates and guidance made by management with respect to the Company`s
financial results, backlog, critical accounting policies, regulatory delays,
clinical study results which lead to reductions or cancellations of projects,
and other factors, including general economic conditions and regulatory
developments, not within the Company`s control.The factors discussed herein and
expressed from time to time in the Company`s filings with the Securities and
Exchange Commission could cause actual results and developments to be materially
different from those expressed in or implied by such statements.The
forward-looking statements are made only as of the date of this press release
and the Company undertakes no obligation to publicly update such forward-looking
statements to reflect subsequent events or circumstances. You should review the
Company`s filings, especially risk factors contained in the Form 10-K and the
recent form 10-Q.

BIOCLINICA, INC. AND SUBSIDIARIES

Consolidated Statements of Income

(In thousands, except per share data)

(unaudited)

For the Three Months Ended For the Nine Months Ended
09/30/09 09/30/08 09/30/09 09/30/08

Service revenues 14,146 15,093 42,542 41,225
Reimbursement revenues 4,227 3,048 9,964 10,198
Total revenues $ 18,373 $ 18,141 $ 52,506 $ 51,423

Costs and expenses:
Cost of service revenues 8,937 8,513 26,606 23,451
Cost of reimbursement revenues 4,227 3,048 9,964 10,198
Sales & marketing expenses 1,617 2,120 5,939 5,817
General & admin. expenses 1,759 1,962 5,543 5,401
Amortization of intangible assets
related to acquisitions 113 212 344 369
Restructuring charges -- -- 466 --
Merger & acquisition costs 560 -- 560 --
Total cost and expenses 17,213 15,855 49,422 45,236
Income from continuing operations
before interest and taxes 1,160 2,286 3,084 6,187
Interest income, net 4 97 31 348
Income tax provision (490 ) (856 ) (1,126 ) (2,409 )
Income from continuing operations,
net of taxes 674 1,527 1,989 4,126
Loss from discontinued operations,
net of taxes -- (451 ) -- (1,165 )
Net income 674 1,076 1.989 2,961

Basic earnings per share:
Income from continuing operations $ 0.05 $ 0.11 $ 0.14 $ 0.30
Loss from discontinued operations $ -- $ (0.03 ) $ -- $ (0.08 )
Net income $ 0.05 $ 0.08 $ 0.14 $ 0.22

Weighted average number
of shares - basic 14,367 14,334 14,346 13,554

Diluted earnings per share:
Income from continuing operations $ 0.05 $ 0.10 $ 0.13 $ 0.29
Loss from discontinued operations $ -- $ (0.03 ) $ -- $ (0.09 )
Net income $ 0.05 $ 0.07 $ 0.13 $ 0.20

Weighted average number of
shares - diluted 15,146 15,173 15,161 14,461

BIOCLINICA, INC. AND SUBSIDIARIES

GAAP to non-GAAP Reconciliation (1)

(In thousands, except per share data)

(unaudited)

For the Three Months Ended For the Nine Months Ended
09/30/09 09/30/08 09/30/09 09/30/08

GAAP income from continuing
operations before interest and taxes 1,160 2,286 3,084 6,187
Stock-based compensation* 202 201 599 538
Amortization of intangible assets
related to acquisitions 113 212 344 369
Restructuring charges -- -- 466 --
Merger & acquisition costs 560 -- 560 --
Non-GAAP income from continuing
operations before interest and taxes 2,035 2,699 5,053 7,094

GAAP income from continuing
operations, net of taxes 674 1,527 1,989 4,126
Stock-based compensation, net of taxes 128 129 380 344
Amortization of intangible assets
related to acquisitions, net of taxes 72 136 218 236
Restructuring charges, net of taxes -- -- 295 --
Merger & acquisition cost, net of taxes 355 -- 355 --
Non-GAAP income from continuing
operations, net of taxes 1,229 1,792 3,237 4,706

GAAP diluted earnings per share:
Income from continuing operations $ 0.05 $ 0.10 $ 0.13 $ 0.29

Non-GAAP diluted earnings per share:
Income from continuing operations $ 0.08 $ 0.12 $ 0.21 $ 0.33

*Stock based compensation included in total costs and expenses is as follows:

Cost of service revenues 165 149 470 402
Sales and marketing expenses 18 28 65 72
General and admin. expenses 19 24 64 64
Total stock-based compensation 202 201 599 538

(1) This table presents a reconciliation of GAAP to non-GAAP income from
continuing operations before interest and taxes, income from continuing
operations net of taxes and diluted earnings per share for the three monthsand
nine months ended September 30, 2009 and 2008. The non-GAAP information excludes
the impact of stock-based compensation, amortization of intangible assets
related to acquisitions, restructuring charges and mergerand acquisition costs.

BIOCLINICA, INC. AND SUBSIDIARIES

Consolidated Balance Sheets

(In thousands)

(unaudited)

ASSETS

September 30, 2009 December 31, 2008
Current assets:
Cash and cash equivalents $ 13,060 $ 14,265
Accounts receivable, net 11,218 11,982
Prepaid expenses and other current assets 1,565 2,315
Assets held for sale -- 500
Deferred income taxes 3,802 3,084
Total current assets 29,645 32,146
Property & equipment net 7,681 7,022
Intangibles, net 2,114 2,058
Goodwill 33,296 27,391
Other assets 471 591

Total assets $ 73,207 $ 69,208

LIABILITIES AND STOCKHOLDERS` EQUITY
Current liabilities:
Accounts payable $ 2,630 $ 3,832
Accrued expenses and other current liabilities 6,319 5,236
Deferred revenue 13,701 15,106
Current maturities of capital lease obligations 22 54
Total current liabilities 22,672 24,228
Long-term capital lease obligations 53 65

Deferred income taxes 1,035 927
Other liabilities 2,151 576
Total liabilities 25,911 25,796

Stockholders` equity:
Common stock 4 4
Additional paid-in capital 42,864 42,270
Contingent consideration 1,309 --
Retained earnings 3,069 1,080
Accumulated other comprehensive income 50 58
Total stockholders` equity 47,296 43,412

Total liabilities & stockholders` equity $ 73,207 $ 69,208

BIOCLINICA, INC. AND SUBSIDIARIES

Consolidated Statements of Cash Flows+

(In thousands)

(unaudited)

For the Nine Months Ended
09/30/09 09/30/08
Cash flows from operating activities:
Net income 1,989 2,959
Adjustments to reconcile net income to net cash provided by
Operating activities:
Depreciation and amortization 2,109 2,347
(Benefit) provision for deferred income taxes (820 ) 240
Bad debt expense (recovery) 84 (29 )
Stock based compensation expense 599 538
Loss from discontinued operations -- 1,165
Changes in operating assets and liabilities:
Decrease (increase) in accounts receivable 1,573 (1,364 )
Decrease in prepaid expenses and other current assets 748 68
Decrease in other assets 119 53
(Decrease) Increase in accounts payable (1,204 ) 1,404
Increase in accrued expenses and other current liabilities 160 515
Decrease in deferred revenue (1,407 ) (1,133 )
Decrease in other liabilities (80 ) (39 )
Increase in net assets held for sale -- 506
Cash provided by continuing operations activities $ 3,870 $ 7,230
Cash used by discontinued operations $ -- $ (1,671 )
Net cash provided by operating activities $ 3,870 $ 5,559

Cash flows from investing activities:
Purchases of property and equipment (2,435 ) (2,120 )
Net cash received for sale of assets of discontinued operations 500 --
Net cash paid for acquisitions (3,144 ) (8,129 )
Net cash used in investing activities
from continuing operations $ (5,079 ) $ (10,249 )
Purchase of plant, property and equipment for
discontinued operations $ -- $ (240 )
Net cash used in investing activities $ (5,079 ) $ (10,489 )

Cash flows from financing activities:
Payments under equipment lease obligations (43 ) (135 )
Excess tax benefit related to stock options -- 77
Proceeds from exercise of stock options 27 381
Net cash (used in) provided by financing activities
from continuing operations $ (16 ) $ 323

Effect of exchange rate changes on cash 20 55

Net decrease in cash and cash equivalents (1,205 ) (4,662 )
Cash and cash equivalents at beginning of period 14,265 17,915

Cash and cash equivalents at end of period $ 13,060 $ 13,253

BioClinica, Inc.
Jim Dorsey, 267-757-3040
or
Porter, LeVay & Rose, Inc.
Investors:
Linda Decker, 212-564-4700
or
Financial Media:
Bill Gordon, 212-564-4700
or
Diccicco Battista Communications
Trade Media:
Brian Gawron, 215-957-0300

Copyright Business Wire 2009