Integra LifeSciences third quarter total revenues increase 8.3% to $186.6 million

Integra LifeSciences Holdings Corporation (Nasdaq:IART) reported its financial results for the third quarter ending September 30, 2010. Total revenues for the third quarter were $186.6 million, reflecting an increase of $14.4 million, or 8.3%, over the third quarter of 2009. Excluding the impact of changes in foreign currency exchange rates, revenues grew 9%.

"Integra delivered record revenue this quarter, surpassing both our expectations and the Street's," said Stuart Essig, Integra's Chief Executive Officer. "Looking ahead, we expect the development and acquisition of new product lines and the continued performance of our selling organizations to drive top-line growth."

The Company reported GAAP net income of $16.5 million, or $0.55 per diluted share, for the third quarter of 2010, compared to GAAP net income of $14.4 million, or $0.49 per diluted share, for the third quarter of 2009.

Adjusted net income for the third quarter of 2010, computed with the adjustments to GAAP reporting set forth in the attached reconciliation, was $22.1 million, or $0.73 per diluted share, compared to $18.8 million, or $0.64 per diluted share, in the third quarter of 2009.

Integra generated $29.6 million in cash flows from operations and used $7.2 million of cash on capital expenditures in the third quarter of 2010. During the quarter, Integra repurchased 859,000 shares in the open market, using $31.3 million of cash.

Also during the third quarter, Integra established a $450 million, five-year, senior secured revolving credit facility and a $150 million, five-year, senior secured term loan A, replacing its old credit facility.

Adjusted EBITDA for the third quarter of 2010, computed with the adjustments to GAAP reporting set forth in the attached reconciliation, was $40.2 million, up 15% from the third quarter last year.

Adjusted EBITDA excluding stock-based compensation, computed with the adjustments to GAAP reporting set forth in the attached reconciliation, was $44.1 million.

Outlook for 2010

The Company's revenue guidance for the full year 2010 remains unchanged. The Company is updating its guidance for GAAP earnings per diluted share of between $1.96 and $2.04 and adjusted earnings per diluted share guidance of between $2.72 and $2.80. In accordance with our usual practice, expectations for financial performance do not include the impact of acquisitions or other strategic corporate transactions that have not yet closed.