Phase Forward Sees 22% Jump in Revenues
Waltham, Mass.-based eClinical company Phase Forward reported a 22% jump in revenues to $106.6 million in 2006, compared with the previous year’s $87.1 million. In the fourth quarter of 2006, the company posted revenues of $30.2 million, a 28% increase compared with the fourth quarter of 2005.
Income from operations was $4.1 million, representing an increase of 67% from the prior year period and an operating margin of 13.6%. Income from operations was $13.2 million in 2006, representing an increase of 46% from 2005 and a full year operating margin of 12.4%. Net income was $16.2 million, or $0.45 per diluted share, for the full year compared with $12.7 million, or $0.36 per diluted share in 2005. Phase Forward’s share price jumped 7% to $14.49 on Feb. 1.
The company also won a contract with the Dublin-based CRO ICON. The agreement will be under Phase Forward’s CRO Advantage Program. ICON secured four studies in the fourth quarter that will use Phase Forward’s EDC solution, InForm. Phase Forward stated it added 38 new clients in 2006, including CardioFocus, Altana Pharma AG (now part of Nycomed) Teijin Pharma and Orexigen.
“The fourth quarter was a strong finish to an excellent year for Phase Forward. During 2006, we accomplished key objectives such as winning numerous major purchase decisions, expanding and diversifying our customer base, and enhancing our market leadership position,” said Bob Weiler, chief executive officer for the firm.