Our improved operating performance, combined with a
significant decrease in
interest expense, led to growth in net income
and earnings per share of 66% and 53%, respectively
, compared to the
first quarter of 2004.7
million, plus a possible future earn-out payment
.djortho.
bandage cushioning
Collectively, these initiatives
contributed to a first quarter operating margin of 17.
dj Orthopedics is a global medical device company specializing in
rehabilitation and regeneration
products for the non-operative
orthopedic and spine markets. The Company's broad range of over 600
rehabilitation products, including rigid knee braces, soft goods and
pain management products
, are used in the prevention of injury, in the
treatment of chronic conditions and for recovery after
surgery or
injury.moveable bracing
Clairvest Group Inc.
Net revenues for the first quarter of 2005 were
$70. Average daily sales of our
OL1000 product increased approximately 4% sequentially from the fourth
quarter, reflecting increasing traction from last year's integration
of the OL1000 sales activities
into our DonJoy distribution channel. SME is a
specialized provider of orthopedic soft goods
and custom and
off-the-shelf rigid bracing products, through a stock and bill
business similar to dj Orthopedics' OfficeCare channel.31 $0.lumbago sores
Combining them creates a solid
platform for growth.19 per share for the first quarter of 2004.
"Profitability also exceeded our
expectations in the first
quarter, primarily driven by the strong sales result.com, and a recording
of the
call will be available on the Company's website. The Company's regeneration products consist
of bone growth
stimulation devices that are used to treat nonunion fractures and as
an adjunct
therapy after spinal fusion surgery.knee xerosox
3 million,
reflecting an increase of 12. "We are off to an excellent
start
in 2005.
"Once again, our International segment reported double-digit
growth, with the
strongest contributions coming from our U.orthoses sores
, a prominent provider of orthopedic back care products and
Moller LLC, a leading developer of clinical treatment solutions for
back and neck pain.
Clairvest
realizes value through investment returns and the eventual
disposition of its investments.
"Sales
within our Domestic Rehabilitation segment, which includes
our DonJoy(R), ProCare(R) and OfficeCare
(R) channels, were led by the
strength of DonJoy's comprehensive distribution network.
About
dj Orthopedics, Inc.20
=========================
Diluted $0.com
orthoses lumbago
Our forward focus rests in educating
the
medical and chiropractic communities on our findings and technology
in order to enhance the
standard of care for back pain sufferers.
Moller was recently founded by Frederik Wendelboe and
is based in
Novato, California.29 per share, an increase of 65. Other risk factors are detailed in
the
Company's Annual Report on Form 10-K for the 2004 calendar year, filed
on March 4, 2005 with
the Securities and Exchange Commission.sciatica sores
"
"We are impressed by Brian's track record of leadership
and
delivering shareholder value in the consumer products industry. We
are confident that Brian
, with the support of existing Obus Forme and
Moller management, will take the combined business to
the next level.
In addition to acquiring Obus Forme and Moller, Integral
Orthopedics has also
acquired and licensed new technology from Tracy
A.2 million in the first quarter of 2004.
"First
quarter net revenues set a new Company record with each of
our business segments exceeding our expectations
," said Les Cross,
president and CEO of dj Orthopedics. Consistent
with past years, we launched
several new DonJoy products at the
American Academy of Orthopedic Surgeons meeting in February.7
million in the first quarter, after
payments of $1.19
=========================
Weighted average shares outstanding used to
calculate per share
information:
Basic 21,577 19,610
=========================
Diluted
22,435 20,748
=========================
Number of operating days 65 61
dj Orthopedics, Inc. For
additional information on the Company, please visit www.Orthopedics
is concerned with the correction or prevention of skeletal deformities.
bracing deformities
"
Mr.9 percent compared
to net
revenues per day for the first quarter of 2004. The live conference call also will be
available
via the Internet at www.
Unaudited Condensed Consolidated Statements of Income
(In thousands
, except per share data and number of operating days)
Three Months Ended
------------------------
-
April 2, March 27,
2005 2004
-------------------------
Net revenues $70,250 $62,241
Costs of goods sold 26,221 23,359
-------------------------
Gross profit
44,029 38,882
Operating expenses:
Sales and marketing 21,436
19,194
General and administrative 7,448 6,744
Research
and development 1,572 1,378
Amortization of acquired intangibles
1,152 1,272
--------------------
-----
Total operating expenses 31,608 28,588
-------------------------
Income from operations
12,421 10,294
Interest expense and other, net (1,428) (3,659)
-------------------------
Income before income taxes
10,993 6,635
Provision for income taxes (4,396
) (2,655)
-------------------------
Net income
$6,597 $3,980
=========================
Net income per share:
Basic
$0.,
(NYSE:DJO), a global medical device company specializing in
rehabilitation
and regeneration products for the nonoperative
orthopedic and spine markets, today announced that
the Company has
been invited to make a presentation to investors at the Lehman
Brothers Eighth
Annual Global Healthcare Conference, held at the Loews
Miami Beach Hotel on April 1, 2005.xerosox recliners
, with
their investment being made based
on pro rata capital commitments to their investment pool, of 25
% and
75% respectively."
Obus Forme was founded in the early 1980s by the late Frank
Roberts
and his son Brian, who has grown the business significantly
over the last several years. The first
quarter of 2005
included 65 shipping days while the comparable 2004 period included 61
shipping
days.3 million. Our second fiscal quarter contains 64
shipping days and generally we expect a slight
seasonal decline in
average daily sales in our Domestic Rehabilitation business due to
reduced
levels of extreme sporting activities during the spring
months.
Business Editors/Health/Medical
Writers
SAN DIEGO----dj Orthopedics, Inc. The Company's broad range of over 600
rehabilitation
products, including rigid knee braces, soft goods and
pain management products, are used in the prevention
of injury, in the
treatment of chronic conditions, and for recovery after surgery or
injury.lumbago bracing
Clairvest
Announces Investment in Obus Forme Moller
"Obus Forme is the
leading orthopedic back care company
in North America and Moller
possesses industry-leading technology. In addition to providing financing
,
Clairvest contributes strategic expertise and execution ability to
support the growth and development
of its investee partners.0 million, or $0. These forward-looking statements are based
on the Company
's current expectations and are subject to a number of
risks, uncertainties and assumptions.sores jointhealing
Moller
's research has additionally
uncovered non-invasive solutions that positively impact vascular
abnormalities
that enhance the standard of treatment for migraine
headache and repetitive stress injuries such
as carpal tunnel
syndrome and thoracic outlet syndrome.
Clairvest Group Inc. Our Domestic
Rehabilitation segment
also benefited from new account growth within our ProCare and
OfficeCare
channels, including the initial, but small contribution
from our recent acquisition of the Superior
Medical Equipment
business, which added 46 customer locations to our OfficeCare channel.djortho. The
words "believe,"
"should," "expect," "intend," "estimate" and "anticipate," variations
of such
words and similar expressions identify forward-looking
statements, but their absence does not mean
that a statement is not a
forward-looking statement.
Unaudited Segment Information
(In thousands, except number of operating days)
Three Months Ended Revenues per Day
-------------------
------------------
April March April March
2, 2005 27, 2004 2, 2005 27, 2004
-------------------------------------
Net revenues:
Domestic Rehabilitation
$47,520 $42,410 $731 $695
Regeneration 13,592 12,206
209 200
International 9,138 7,625 141 125
----------------------------------
Consolidated net revenues
$70,250 $62,241 $1,081 $1,020
==================================
Gross profit:
Domestic Rehabilitation $26,052 $23,888
Regeneration
11,954 10,030
International 6,023 4,964
------------------
Consolidated gross profit $44,029 $38,882
==================
Income from operations:
Domestic
Rehabilitation $9,067 $8,341
Regeneration 3,680 1,902
International 2,642 2,341
--------
----------
Income from reportable segments 15,389 12,584
Expenses not allocated to
segments (2,968) (2,290)
-------
-----------
Consolidated income from operations $12,421 $10,294
==================
Number of operating days 65 61
orthoses extremity
News
Editors
TORONTO----Clairvest Group Inc.dj Orthopedics Announces Record First Quarter Results
K.25.
The Company sells its products in the United States and in more
than 40 other countries
through networks of agents, distributors and
its direct sales force that market its products to orthopedic
and
podiatric surgeons, spine surgeons, orthopedic and prosthetic centers,
third-party distributors
, hospitals, surgery centers, physical
therapists, athletic trainers and other healthcare professionals
.
knee jobst
Toronto-based Obus Forme manufactures
and sells orthopedic back rests and seat cushions, backpacks
,
specialty pillows, mattresses and other products engineered to
deliver comfort and support to
the human body. Newkirk, MD, of San Rafael, California, a leading expert in pain
management., its
subsidiaries and their
investments.
"We are also pleased with the progress made during the first
quarter in our Regeneration business.com
Safe Harbor Statement
This press release contains
forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933 and Section
21E
of the Securities Exchange Act of 1934.moveable juzo
Dr. Individuals interested in listening to the conference
call may do so by dialing (706) 634-0177, using the reservation code
5365286.jobst orthopedic
Tuffin was previously
the President and General Manager of SC
Johnson Canada and is a 17-year veteran of the consumer products
industry with experience at SC Johnson, Kraft General Foods, PepsiCo
and Procter + Gamble.20 and
$1. Accordingly, we are targeting total net revenue of $67 million
to $68 million for the second
quarter.
dj Orthopedics is a global medical device company specializing in
rehabilitation
and regeneration products for the nonoperative
orthopedic and spine markets.brace sores
Clairvest and CEP acquired
a controlling interest
in Integral Orthopedics Inc. Tuffin. These statements are based on current
expectations and
are subject to known and unknown risks, uncertainties and other
factors which
may cause the actual results, performance or
achievements of Clairvest, its subsidiaries and their
investments to
be materially different from any future results, performance or
achievements expressed
or implied by such forward-looking statements. Our operating
margin was also 70 basis points higher
, sequentially, from the fourth
quarter of 2004, before the impact of restructuring charges reported
in that quarter.
Conference Call Information
dj Orthopedics has scheduled an investor
conference call to
discuss this announcement beginning at 1:00 PM, Eastern Time today,
April 28
, 2005. Among the
important factors that could cause actual results to differ
significantly from
those expressed or implied by such forward-looking
statements are risks relating to the successful
execution of the
Company's business strategy relative to its Regeneration business; the
continued
growth of the bone growth stimulation market; the Company's
ability to successfully develop, license
or acquire, and timely
introduce and market new products or product enhancements; the
Company
's dependence on orthopedic professionals, agents and
distributors for marketing its products; the
Company's transition to
direct sales of its products in select foreign countries; the
Company
's international operations; resources needed and risks
involved in complying with government regulations
including Section
404 of the Sarbanes-Oxley Act; developing and protecting intellectual
property;
the impact of potential reductions in reimbursement levels
by Medicare and other governmental and
commercial payors; and the
effects of healthcare reform, managed care and buying groups on prices
of the Company's products.dj Orthopedics to Present at the Lehman Brothers Eighth Annual Global Healthcare
Conference on April 1 2005; Live Webcast Provided
The Company's presentation will
focus on its
strategy and position within its markets.juzo jointhealing
"Over 85% of all adults suffer from severe back pain
at some time
in their lives," said Mr.
This press release contains forward-looking statements
with
respect to Clairvest Group Inc. On the basis of average daily sales, net revenues per
day
in the first quarter of 2005 increased 5. Our international sales benefited from foreign
exchange
gains of approximately $0.
"With a solid first quarter behind us, we are on target to achieve
the
high end of our revenue goal of $273 million to $275 million for
the year. We continue to target
earnings per share for the full year
of between $1.
dj Orthopedics received the "Ease of Use
" commendation for its
osteoarthritis knee braces from the Arthritis Foundation. For
additional
information on the Company, please visit www. Such statements relate to,
among other things, the
Company's revenue and earnings estimates for
the full fiscal year 2005 and for the second quarter
of 2005, which
are dependent upon the success of the Company's growth initiatives for
its Domestic
Rehabilitation business, its Regeneration business
through new selling strategies such as marketing
programs and selling
arrangements, and its International business through new market
expansion
and new product introductions.
dj Orthopedics, Inc.asp?entity=dj
About dj Orthopedics, Inc.prosthesis jobst
, in acquiring Obus Forme and
Moller," said Ken Rotman, co-CEO of Clairvest
. Newkirk has developed technology that will
significantly enhance the efficacy of Integral Orthopedics
' product
platform to address chronic back pain and migraine headaches.6 million, or
$0. and
Nordic
subsidiaries.7 million for restructuring charges accrued in 2004.com/LEHM002/033005a_cs/default.bracing moveable
7%,
which is 120
basis points higher than the first quarter of 2004."
First Quarter Business Highlights:
The Company announced the following highlights during the first
quarter:
dj Orthopedics
completed the relocation of the manufacturing
operations for its Regeneration business from
Tempe, Arizona
to the Company's manufacturing facilities in Vista, California
after receiving approval from the U.cushioning knees
(TSX:CVG) and Clairvest Equity Partners Limited Partnership
("CEP")
today announced a $15.5 million investment alongside Brian Tuffin in
Integral Orthopedics
Inc. "Obus Forme, with its trusted brand
and leading orthopedic products, is uniquely positioned
to address
this enormous market.9 percent, compared with net revenues of
$62.S. FDA in March 2005
.
Unaudited Condensed Consolidated Balance Sheets
(In thousands
)
December
April 2, 31,
Assets
2005 2004
--------------------
Current assets:
Cash and cash equivalents $17,463 $11,182
Accounts receivable, net 53,802 46,981
Inventories, net
18,402 19,071
Deferred tax asset, current portion 7,902
7,902
Other current assets 5,149 5,359
------------------
Total current assets
102,718 90,495
Property, plant and equipment, net 15,215 15,463
Goodwill, intangible assets and other assets 156,171 154,792
Deferred tax asset
41,945 46,100
------------------
Total assets $316,049 $306,850
==================
Liabilities and stockholders
' equity
Current liabilities:
Accounts payable and other accrued liabilities $29,372 $28
,812
Long-term debt, current portion 5,000 5,000
------------------
Total current liabilities
34,372 33,812
Long-term debt, less current portion 88,750 90,000
Total
stockholders' equity 192,927 183,038
------------------
Total liabilities and stockholders' equity $316,049
$306,850
==================
dj Orthopedics, Inc.xerosox extremity
, which has acquired the businesses of Obus
Forme Ltd. The scientific
platform of Moller Back Support
Systems is focused on developing clinically proven innovation that
improves the standard of treatment for chronic back pain, acute back
injuries and neck strain
., (NYSE:DJO), a global medical device company
specializing in rehabilitation and regeneration products
for the
non-operative orthopedic and spine markets, today announced record
financial results for
the first quarter of 2005, ended April 2, 2005.
dj Orthopedics acquired substantially all the
assets of
Superior Medical Equipment, LLC (SME) for approximately $3.djortho.contractures inversion
Business
Editors/Health/Medical Writers/Financial Analysts
SAN DIEGO----
Net
revenues exceed $70 million;
Net income grows 66% compared to first quarter of 2004
dj
Orthopedics, Inc. A telephone replay will be available for 48 hours following
the conclusion of the
call by dialing (706) 645-9291 and using the
above reservation code.jobst recliners
"We are pleased to partner
with Brian Tuffin, Chief Executive
Officer of Integral Orthopedics Inc. (TSX:CVG)
These
new
products included a new functional knee brace for female athletes, the
DonJoy Female Fource
(TM), a new rigid ankle brace, the DonJoy
Velocity(TM), and a new soft goods accessory for our DonJoy
SpinaLogic(R) bone growth stimulator, which is designed to improve
patient ease of use and comfort
.
"Finally, we continue to be pleased with the strength of our
operating cash flow at $8.
dj
Orthopedics reported that an independent, scientific study,
first presented at the 2005 AAOS
, demonstrated that the
Company's OAdjuster(R) osteoarthritis brace was one of only
two braces effective in offloading the medial compartment of
the knee in osteoarthritis
patients. The Company undertakes no
obligation to update any forward-looking statements, whether
as a
result of new information, future events or otherwise.29 $0.juzo cushioning
is a Canadian merchant bank
that invests its
own capital, and that of third parties, through Clairvest Equity
Partners Limited
Partnership in companies that have the potential to
generate superior returns.
Net income for
the first quarter of 2005 was $6.8 percent, compared with net income
of $4.
Additionally, SpinaLogic
sales began to gain traction under our new
deployment strategy, with average daily sales increasing
by
approximately 2% from the fourth quarter of last year. We implemented
several operational improvements
in 2004 that reduced our costs of
goods sold and operating expenses. The Company's regeneration products
consist of bone growth
stimulation devices that are used to treat nonunion fractures and as
an
adjunct therapy after spinal fusion surgery. Interested
investors may listen to the presentation
live via webcast beginning at
9:30 AM Eastern Time, on Friday, April 1, 2005, by clicking
http:
//customer.talkpoint.
The Company sells its products in the United States and in more
than 40 other
countries through networks of agents, distributors and
its direct sales force that market its products
to orthopedic and
podiatric surgeons, spine surgeons, orthopedic and prosthetic centers,
third
-party distributors, hospitals, surgery centers, physical
therapists, athletic trainers and other
healthcare professionals.bracing moveable
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