Idexx Laboratories Inc. of Westbrook, Maine has reported that revenues for the fourth quarter of 2009 increased 11 percent to $270.3 million, from $243.3 million for the fourth quarter of 2008.
Chairman and CEO Jonathan Ayers said Idexx showed a strong fourth quarter that beat expectations. “Organic revenue growth, led by our Companion Animal Group, increased modestly to 6 percent, as strong demand for certain products such as our Catalyst Dx chemistry analyzer offset continued economic weakness and soft consumer spending.”
Organic revenue growth, the company said, excludes the impact of changes in currency exchange rates, which contributed about 5 percent to revenue growth, and revenue from businesses acquired or divested subsequent to the beginning of the prior year period, which had minimal impact on revenue growth.
The Companion Animal Group (CAG) revenues for the fourth quarter of 2009 were $217.9 million compared to $196.5 million for the fourth quarter of 2008. Changes in foreign currency exchange rates and revenues from a recently acquired business contributed approximately 4 percent and 1 percent, respectively, to revenue growth.
Organic growth of 6 percent was the result of increased sales volume, mainly in the Idexx VetLab and laboratory and consulting services product lines. In the Idexx VetLab product line, higher sales volume was driven by sales of the Catalyst Dx chemistry analyzer and instrument consumables. In the laboratory and consulting services product line, revenue growth was credited to higher volume and higher unit sales prices on reference laboratory tests. The company said these positive impacts were partly offset by lower sales volume and lower average unit sales prices for LaserCyte hematology analyzers.
The Production Animal Segment (PAS) revenues for the fourth quarter of 2009 were $23.4 million compared to $20.3 million for the fourth quarter of 2008. Changes in foreign currency exchange rates contributed about 10 percent to revenue growth. Organic revenue growth of 5 percent was the result of higher sales volumes, partly offset by lower unit sales prices.
“Sales of instruments and consumables, our largest business, benefited from Catalyst sales as we placed 763 units in the fourth quarter and 2,046 units for the year,” Ayers said.
The company said the outlook for 2010 remains confident in its growth strategies because of the fundamental attractiveness of its markets, unique and innovative product and service offering, and its global footprint.