ICON Reports Banner Year; Central Lab Business Swings Back
In line with the banner year shared by much of clinical trials industry, the Dublin, Ireland-based contract research organization (CRO) ICON reported big gains in 2006. The company generated $129 million in net revenue, a 46% increase compared with $88.1 million during the same period in 2005. The company had full year revenues of $455.6 million in 2006 compared with $342.8 million in 2005, representing an increase of 33%. ICON’s operating income rose 69% to $51.9 million in 2006 compared with $30.8 million in 2005.
“2006 has been an outstanding year for ICON,” said company chairman John Climax. “Our central lab achieved a significant turnaround from losses of $6.6 million last year to profits of $1.3 million. Our clinical segment achieved very strong growth in 2006 and improved its margins from 11.9% in 2005, to 12.4%. With a record backlog of $872 million, we look forward with confidence to 2007.”
ICON was awarded $171 million in net new business during the fourth quarter, a 22% increase. Full year net business awards totalled $665 million, a 42% increase on last year.
The company has changed its financial year reporting to end on Dec. 30th versus reporting twelve months ending on Nov. 30. Therefore its 2006 year end results including the month of December 2005 revenues as well.
The company held its fourth quarter conference on February 13, 2007. This call and linked slide presentation can be accessed live on ICON's investor relations website. Click here to listen to the archived conference call.