BioClinica second-quarter service revenues increase to $15.7 million

BioClinica™, Inc. (NASDAQ: BIOC), a global provider of clinical trial management services, today announced its financial results for the second quarter and six months ended June 30, 2010.

“We are also working on finalizing the development of BioClinica's next-generation Trident IVR/IWR interactive response system and are on track to launch it during the second half of this year”

Financial highlights for the quarter ended June 30, 2010 include:

• Service revenues were $15.7 million as compared with $13.9 million for the same period 2009.
• GAAP income from operations was $812,000 as compared with $702,000 for the same period 2009.
• GAAP net income was $497,000, or $0.03 per fully diluted share, as compared with $529,000, or $0.04 per fully diluted share, for the same period 2009.
• Non-GAAP income from operations was $1.5 million as compared with $1.4 million for the same period 2009.
• Non-GAAP net income was $945,000, or $0.06 per fully diluted share, as compared with $1.0 million, or $0.07 per fully diluted share, for the same period 2009.
• Backlog was $104.2 million as of June 30, 2010, as compared with $94.1 million as of June 30, 2009.

Financial highlights for the six months ended June 30, 2010 include:

• Service revenues were $30.4 million as compared with $28.4 million for the same period 2009.
• GAAP income from operations was $2.0 million as compared with $1.9 million for the same period 2009.
• GAAP net income was $1.2 million, or $0.08 per fully diluted share, as compared with $1.3 million, or $0.09 per fully diluted share, for the same period 2009.
• Non-GAAP income from operations was $3.3 million as compared with $3.0 million for the same period 2009.
• Non-GAAP net income was $2.0 million, or $0.13 per fully diluted share, as compared with $2.1 million, or $0.14 per fully diluted share, for the same period 2009.

Mark Weinstein, CEO of BioClinica, said, "This was a very productive quarter as we worked on integrating our recent acquisitions, prepared to launch several new products and continued investing in our technology and operational infrastructure. Each of our development projects, including new and upgraded technology-enabled service offerings as well as internal systems to improve operational efficiencies, is a key component to our continued success. Our products need to be best-in-class and our internal systems must support our ability to be the highest quality, lowest cost producer."

Mr. Weinstein added, "Of particular note we were pleased to be able to launch the enhanced TranSenda clinical trial management system (CTMS), which included BioClinica enhancements, infrastructure and rebranding, at the DIA Conference in June. This was done in a remarkably fast turnaround time, in that we completed the TranSenda acquisition in March of 2010. The BioClinica CTMS system, which is built on the Microsoft .NET framework, is a full-functioning expandable clinical trial system that is a viable, cost-effective solution for any size pharmaceutical or medical device company."

"We are also working on finalizing the development of BioClinica's next-generation Trident IVR/IWR interactive response system and are on track to launch it during the second half of this year," Mr. Weinstein continued. "This system is in its final stages of testing and validation and we are in active discussions with several major pharmaceutical companies about adopting the system for use on a global basis. Feedback from the marketplace has validated our assumption that this product will provide sponsors with the most comprehensive, cost-effective IVR/IWR product in the market. Additionally, when this product is implemented alongside BioClinica Optimizer, our clients will have the only comprehensive system that will allow them to optimize their clinical supplies/randomization schemes at the start of a study, have that optimized scheme automatically configure the majority of their IVR/IWR, and then once the study is operational, re-optimize on a continual basis using real-time information from the Trident IVR/IWR."

"Our focus on our imaging core lab services remains strong and we continue to make investments that improve our operational efficiencies and increase our image analysis capabilities. Our development efforts this quarter included enhancing our new WebSend product to support the electronic transport of images from the various imaging modalities that are used across therapeutic areas, including cardiology, oncology, musculoskeletal and central nervous system disorders." He added, "Further, we made significant investments to enhance our imaging core lab services, including the BioPACS™ and BioREAD™ systems. When integrated with WebSend, we believe these new systems will fortify our position as a state-of-the-art imaging core lab and provide operational efficiencies that are expected to result in significant cost savings as new studies are brought on to this platform."

Mr. Weinstein concluded, "While we are seeing improvements in overall market activity, and are pleased to report backlog increased 10.7% year over year, we continue to experience delays in contract executions and project starts relative to signings. As a result, we now expect our second half results will be sequentially flat with our first half results, and are therefore narrowing our full year service revenue guidance to $61 to $63 million, and lowering our full year non-GAAP EPS to be in the range of $0.25 to $0.30 per share and correspondingly our GAAP EPS to be in the range of $0.15 to $0.20 per share."

Source BioClinica, Inc.