MDS Reports Final Fourth-Quarter 2008 Results
08 Januar 2009 - 1:00PM
PR Newswire (US)
TORONTO, Jan. 8 /PRNewswire-FirstCall/ -- MDS Inc. (TSX: MDS; NYSE:
MDZ), a leading provider of products and services to the global
life sciences markets, today reported its final fourth-quarter
results following the completion of its year-end audit for the
period ended October 31, 2008. As previously announced, for the
fourth quarter 2008, MDS reported total revenue of $322 million.
The final value of the MDS Pharma Services goodwill write-down,
previously estimated to be in the range of $270 million to $370
million, is $320 million. Including the goodwill write-down for MDS
Pharma Services and the previously disclosed $246 million after-tax
charge to write off the MAPLE asset, the Company reported a net
loss of $575 million and a loss per share from continuing
operations of $4.77. Net revenue was $295 million and adjusted
EBITDA, previously estimated to be $37 million, was $36 million,
compared with $307 million and $35 million in the prior year,
respectively. Adjusted earnings per share was $0.02, down from
$0.10 in the prior year. "In 2008, MDS confronted challenges in a
difficult environment. While we made progress in several areas, we
recognize the necessity of improved performance," said Stephen P.
DeFalco, President and Chief Executive Officer, MDS Inc. "We are
operating with a sense of urgency, and have an engaged Board and
Management team focused on driving growth, improving performance
and shaping the Company's business portfolio. We continue to review
our strategy against potential options, with a firm commitment to
delivering shareholder value." New Disclosure and Delivery Method
for Reporting Financial Results MDS has adopted a new approach to
releasing quarterly financial results. The Company no longer uses
the newswires to issue quarterly Management Discussion and Analysis
(MD&A), and financial statements and notes. For the Company's
first, second and third quarters, MD&A and financial statements
and notes will be posted to the Company's Website at mdsinc.com,
and filed with the relevant Canadian and U.S. securities
regulators. Commencing with fourth-quarter results announced on
December 17, 2008, a press release was issued with expanded
disclosure. However, fourth-quarter results will no longer be
accompanied by an MD&A and financial statements and notes. A
comprehensive MD&A with financial statements and notes will be
provided on a year-end basis with the Company's Annual Report,
Annual Information Form and Proxy Circular Filings. These documents
are expected to be filed later in January 2009 with the relevant
securities regulators, and will also be posted to mdsinc.com.
Caution Concerning Forward-Looking Statements This document
contains forward-looking statements. Some forward-looking
statements may be identified by words like "expects",
"anticipates", "plans", "intends", "indicates" or similar
expressions. The statements are not a guarantee of future
performance and are inherently subject to risks and uncertainties.
MDS's actual results could differ materially from those expressed
in the forward-looking statements due to these risks and a number
of other factors, including, but not limited to, successful
implementation of structural changes, including restructuring plans
and acquisitions, technical or manufacturing or distribution
issues, the competitive environment for MDS's products and services
, the degree of market penetration of its products and services,
the ability to secure a reliable supply of raw materials, the
impact of our clients' exercising rights to delay or cancel certain
contracts, the strength of the global economy, the stability of
global equity markets, the availability and cost of financing, the
impact of the movement of the U.S. dollar relative to other
currencies, particularly the Canadian dollar and the euro,
uncertainties associated with critical accounting assumptions and
estimates, and other factors set forth in reports and other
documents filed by MDS with Canadian and U.S. securities regulatory
authorities from time to time, including MDS's quarterly and annual
MD&A, annual information form, and annual report on Form 40-F
for the fiscal year ended October 31, 2007 filed with the
Securities & Exchange Commission. Also note that all financial
data is now shown on a U.S. GAAP basis. MDS converted to U.S. GAAP
reporting with the filing of the Company's 2007 Annual Report and
financial statements on January 29, 2008. Use of Non-GAAP Financial
Measures The use of non-GAAP measures including terms such as net
revenue, adjusted EBITDA, adjusted EPS, new orders and backlog are
used to explain the operating performance of the Company. These
terms are not defined by GAAP and MDS's use may vary from that of
other companies. MDS uses certain non-GAAP measures so that
investors and analysts have a better understanding of the
significant events and transactions that have had an impact on
results or may have an impact on MDS's financial outlook. MDS
provides a description of these non-GAAP measures and a
reconciliation of these non-GAAP measures for actual results to
GAAP financial results in its MD&A and Annual Report. About MDS
MDS Inc. (TSX: MDS; NYSE: MDZ) is a global life sciences company
that provides market-leading products and services that our
customers need for the development of drugs, and the diagnosis and
treatment of disease. We are a leading global provider of
pharmaceutical contract research, medical isotopes for molecular
imaging, radiotherapeutics, and analytical instruments. MDS has
more than 5,000 highly skilled people in 29 countries. Find out
more at http://www.mdsinc.com/ or by calling 1-888-MDS-7222, 24
hours a day. DATASOURCE: MDS Inc. CONTACT: MEDIA: Janet Ko, (416)
213-4167, ; INVESTORS: Kim Lee, (416) 213-4721,
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