Quest Diagnostics 2007 Annual Report Download - page 112

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QUEST DIAGNOSTICS INCORPORATED AND SUBSIDIARIES
(in thousands, except per share data)
Quarterly Operating Results (unaudited)
First
Quarter
Second
Quarter
Third
Quarter
Fourth
Quarter
Total
Year
2007 (a) (b) (c)
Net revenue from continuing
operations ....................... $1,526,208 $1,641,156 $1,767,070 $1,770,473 $6,704,907
Gross profit from continuing
operations ....................... 594,423 672,414 740,472 727,750 2,735,059
Income from continuing operations . . 107,515 141,979 150,325 154,009 553,828
Loss from discontinued operations. . . (1,622) (647) (52,360) (159,260) (213,889)
Net income (loss) . ................. $ 105,893 (d) $ 141,332 $ 97,965 (e) $ (5,251) (f) $ 339,939
Earnings per common share basic
Income from continuing operations . . $ 0.56 $ 0.74 $ 0.78 $ 0.80 $ 2.87
Loss from discontinued operations. . . (0.01) - (0.27) (0.83) (1.11)
Net income (loss) . ................. $ 0.55 $ 0.74 $ 0.51 $ (0.03) $ 1.76
Earnings per common share dilutive
Income from continuing operations . . $ 0.55 $ 0.73 $ 0.77 $ 0.79 $ 2.84
Loss from discontinued operations. . . (0.01) - (0.27) (0.82) (1.10)
Net income (loss) . ................. $ 0.54 $ 0.73 $ 0.50 $ (0.03) $ 1.74
First
Quarter
Second
Quarter
Third
Quarter
Fourth
Quarter
Total
Year
2006 (a)
Net revenue from continuing
operations ....................... $1,553,105 $1,583,082 $1,583,202 $1,549,270 $6,268,659
Gross profit from continuing
operations ....................... 636,945 656,385 649,467 629,856 2,572,653
Income from continuing operations . . 154,604 155,960 163,853 151,275 625,692
Loss from discontinued operations. . . (9,967) (23,984) (3,331) (1,989) (39,271)
Net income ........................ $ 144,637 (g) $ 131,976 (h) $ 160,522 (i) $ 149,286 (j) $ 586,421
Earnings per common share basic
Income from continuing operations . . $ 0.78 $ 0.79 $ 0.83 $ 0.78 $ 3.18
Loss from discontinued operations. . . (0.05) (0.12) (0.02) (0.01) (0.20)
Net income ........................ $ 0.73 $ 0.67 $ 0.81 $ 0.77 $ 2.98
Earnings per common share dilutive
Income from continuing operations . . $ 0.77 $ 0.78 $ 0.82 $ 0.77 $ 3.14
Loss from discontinued operations. . . (0.05) (0.12) (0.02) (0.01) (0.20)
Net income ........................ $ 0.72 $ 0.66 $ 0.80 $ 0.76 $ 2.94
(a) During the third quarter of 2006, the Company completed its wind-down of NID and classified the operations
of NID as discontinued operations. Results of operations have been prepared to report the results of NID as
discontinued operations for all periods presented (see Note 16).
(b) In the fourth quarter of 2006, the Company announced that it would not be a national contracted provider of
laboratory services to UNH beginning January 1, 2007 (see Note 17).
(c) On January 31, 2007, the Company completed the acquisition of HemoCue. On May 31, 2007, the Company
completed the acquisition of AmeriPath. The quarterly operating results include the results of operations of
HemoCue and AmeriPath subsequent to the closing of the applicable acquisitions.
(d) In the first quarter of 2007, the Company recorded $10.7 million of costs associated with workforce
reductions and a $4 million charge related to in-process research and development expense associated with
the acquisition of HemoCue.
F-42