Reports record quarterly revenue of $76.1 million
Overall revenue grew 25% year-over-year, with organic growth of 16%Strong order load through first four monthsWALTHAM, Mass., May 06, 2020 (GLOBE NEWSWIRE) — Repligen Corporation (NASDAQ:RGEN), a life sciences company focused on bioprocessing technology leadership, today reported financial results for its first quarter ended March 31, 2020. Provided in this press release are financial highlights for the quarter, updates to our financial guidance for the year 2020 and access information for today’s webcast and conference call.Tony J. Hunt, President and Chief Executive Officer said, “I’m really pleased with our flexibility and performance during the first quarter, while adapting to the challenging economic environment. We exceeded our financial goals, reporting record quarterly revenue and organic growth of 16% backed by strong order demand. The story of the quarter was the continued momentum at gene therapy accounts and strength in our chromatography and filtration franchises, with our proteins business performing above expectations.”Mr. Hunt added, “The majority of our focus in Q1 and here again in Q2 is on employee health and safety while working together to keep our factories and supply chain fully open and operational during the COVID-19 pandemic. The dedication of our employees has been remarkable, and I especially want to thank those in our manufacturing and customer-facing organizations who have helped deliver on our commitments. While there are clearly uncertainties as to how the year plays out, we remain optimistic about 2020 as we execute on our strategy of bringing new products to market, further developing the gene therapy space and continuing to pace our investments as we expand our manufacturing capacity.”Financial Highlights for the First Quarter 2020Revenue increased by 25% year-over-year as reported and 16% organically, to $76.1 millionGAAP gross margin increased to 58.0%, a year-over-year increase of 220 bpsAdjusted gross margin (non-GAAP) increased to 58.5%, a year-over-year increase of 250 bpsGAAP fully diluted EPS increased to $0.18 compared to $0.17 for the first quarter of 2019Adjusted fully diluted EPS (non-GAAP) increased to $0.32 compared to $0.26 for the first quarter of 2019Financial Details for the First Quarter 2020REVENUETotal revenue for the first quarter of 2020 increased to $76.1 million compared to $60.6 million for the first quarter of 2019, a year-over-year gain of 25% as reported and 26% at constant currency, with organic growth of 16%.GROSS PROFIT and GROSS MARGIN
Gross profit (GAAP) for the first quarter of 2020 was $44.1 million, a year-over-year increase of $10.3 million and representing 58.0% gross margin.Adjusted gross profit (non-GAAP) for the first quarter of 2020 was $44.5 million, a year-over-year increase of $10.6 million and representing 58.5% gross margin. OPERATING INCOMEOperating income (GAAP) for the first quarter of 2020 was $11.9 million compared to $11.2 million for the first quarter of 2019.Adjusted operating income (non-GAAP) for the first quarter of 2020 was $18.3 million, an increase of 18% compared to $15.6 million for the first quarter of 2019.NET INCOMENet income (GAAP) for the first quarter of 2020 was $9.8 million, an increase of 22% compared to $8.1 million for the first quarter of 2019.Adjusted net income (non-GAAP) for the first quarter of 2020 was $16.8 million, an increase of 37% compared to $12.2 million for the first quarter of 2019. EARNINGS PER SHAREEarnings per share (GAAP) for the first quarter of 2020 were $0.18 on a fully diluted basis, compared to $0.17 for the first quarter of 2019.Adjusted EPS (non-GAAP) for the first quarter of 2020 were $0.32 on a fully diluted basis, compared to $0.26 for the 2019 period.EBITDAEBITDA, a non-GAAP financial measure, for the first quarter of 2020 was $18.7 million compared to $15.7 million for the first quarter of 2019.Adjusted EBITDA for the first quarter of 2020 was $21.2 million, an increase of 21% compared to $17.5 million for the first quarter of 2019.CASHOur cash and cash equivalents at March 31, 2020 were $529.5 million, an increase of $1.1 million from $528.4 million at December 31, 2019. All reconciliations of GAAP to adjusted (non-GAAP) figures above, as well as EBITDA to adjusted EBITDA, are detailed in the reconciliation tables included later in this press release.Financial Guidance for 2020Our financial guidance for the fiscal year 2020 is based on expectations for our existing business and includes the financial impact of our acquisition of C Technologies (which closed on May 31, 2019). The guidance below excludes the impact of potential additional acquisitions and future fluctuations in foreign currency exchange rates. FISCAL YEAR 2020 GUIDANCE:We are maintaining our previous guidance for revenue in the range of $309-$319 million, reflecting overall revenue growth of 14%-18% and organic growth of 10%-14%.
Gross margin is expected to be 56%-57% on both a GAAP and non-GAAP basis, an increase from our previous guidance of 55%-56%.
Income from operations is expected to be in the range of $52-$56 million on a GAAP basis, an increase from our previous guidance of $50-$54 million. Adjusted (non-GAAP) income from operations is expected to be in the range of $72-$76 million, an increase from our previous guidance of $70-$74 million.
Net income is expected to be in the range of $34.5-$37.5 million on a GAAP basis, an increase from our previous guidance of $33.5-$36.5 million. Adjusted (non-GAAP) net income is expected to be in the range of $58-$61 million, an increase from our previous guidance of $57-$60 million. Our current guidance reflects a tax rate of 20% on adjusted pre-tax income, an improvement from our previous guidance of 23%.Fully diluted GAAP EPS is expected to be in the range of $0.65-$0.70, an increase from our previous guidance of $0.63-$0.68. Adjusted (non-GAAP) fully diluted EPS is expected to be in the range of $1.09-$1.14, an increase from our previous guidance of $1.07-$1.12.Our non-GAAP guidance for the fiscal year 2020 excludes the following items:$4.7 million estimated acquisition and integration expenses; $0.5 million in cost of product revenue, $0.5 million in R&D and $3.7 million in SG&A.$15.3 million estimated intangible amortization expense; $0.3 million in cost of product revenue and $15.0 million in G&A.$11.0 million of non-cash interest expense (Other income (expense)) related to our convertible debt notes.Our non-GAAP guidance for the fiscal year 2020 includes:An income tax expense of $7.4 million, representing the tax impact of the acquisition and integration of C Technologies, intangible amortization, and non-cash interest expenses.All reconciliations of GAAP to adjusted (non-GAAP) guidance are detailed in the tables included later in this press release.Conference Call
Repligen will host a conference call and webcast today, May 6, 2020, at 8:30 a.m. EDT, to discuss first quarter 2020 financial results and corporate developments. The conference call will be accessible by dialing toll-free (844) 701-1063 for domestic callers or (412) 317-5487 for international callers. No passcode is required for the live call. In addition, a webcast will be accessible via the Investor Relations section of the Company’s website. Both the conference call and webcast will be archived for a period of time following the live event. The replay dial-in numbers are (877) 344-7529 from the U.S., (855) 669-9658 from Canada and (412) 317-0088 for international callers. Replay listeners must provide the passcode 10141587. Non-GAAP Measures of Financial Performance
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