IMS HEALTH Announces Net Income Growth of 20 Percent and Earnings Per Share Of $0.22 on a Pro-Forma Basis in 2001 Second Quarter
Betty Nelson/Jack WalshCommunications/Investor RelationsTel: +1 (610) 834-6337 / +1 (203) 222-4250
WESTPORT, CT, July 16, 2001 -- IMS HEALTH (NYSE: RX) today announced diluted earnings per share of $0.22 for the quarter ended June 30, 2001, up 16 percent over the year-earlier period. Net income grew 20 percent, to $66.3 million, while revenue rose 16 percent constant dollar and 10 percent on a reported basis to $334.3 million, compared with the second quarter of 2000. All results are reported on a pro-forma basis, excluding divestitures and one-time gains and charges.
Second-Quarter Pro-Forma Results
For the second quarter of 2001, constant dollar revenue grew 16 percent over the year-earlier period, or 10 percent on a reported basis, to $334.3 million. Operating income totaled $107.2 million, up 24 percent over 2000 second-quarter results of $86.2 million. Net income grew 20 percent to $66.3 million, or $0.22 per share, compared with $55.5 million, or $0.19 per share, in the 2000 second quarter.
Six-Months Pro-Forma Results
For the six months ended June 30, 2001, revenue totaled $663.9 million, up 18 percent constant dollar and 12 percent on a reported basis from the first half of 2000. Operating income grew 25 percent to $203.7 million, compared with $163.0 million in the year-earlier period. Net income rose 17 percent to $122.2 million, or $0.41 per share, in the first half of 2001, compared with $104.5 million, or $0.35 per share, in the 2000 first half.
Constant-dollar revenue for core
Cognizant Technology Solutions (CTS) Results
Cognizant Technology Solutions (CTS) (Nasdaq:CTSH) revenue rose 44 percent to $40.4 million for the second quarter of 2001. Operating income totaled $8.9 million, compared with $6.0 million in the year-earlier quarter, an increase of 47 percent. CTS specializes in e-business and application management and delivers high-quality, cost-effective full life-cycle solutions to complex software development and management problems. The CTS segment reflects
Share Repurchase Program
During the quarter,
IMS HEALTHis the world's leading provider of information solutions to the pharmaceutical and healthcare industries. With $1.3 billion in 2000 revenue, IMS HEALTHoperates in more than 100 countries. IMS HEALTHis the largest pharmaceutical manufacturer information partner, with over 45 years of experience in the industry. Key products and services integral to customer day-to-day operations include market research for prescription and over-the-counter pharmaceutical products and sales management information to optimize sales force productivity. Additional information is available at www.imshealth.com.
July 16, 2001
This press release includes statements which may constitute forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Although
IMS HEALTHbelieves the expectations contained in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove correct. This information may involve risks and uncertainties that could cause actual results of IMS HEALTHto differ materially from the forward-looking statements. Factors which could cause or contribute to such differences include, but are not limited to (i) the risks associated with operating on a global basis, including fluctuations in the value of foreign currencies relative to the U.S. dollar, and the ability to successfully hedge such risks, (ii) to the extent IMS HEALTHseeks growth through acquisitions and joint ventures, the ability to identify, consummate and integrate acquisitions and ventures on satisfactory terms, (iii) the ability to develop new or advanced technologies and systems for its businesses on time and on a cost-effective basis, (iv) regulatory, legislative and enforcement initiatives, particularly in the areas of medical privacy and tax, (v) the use of estimates to calculate TriZetto’s contribution to IMS HEALTH’s financial results, and (vi) deterioration in economic conditions, particularly in the pharmaceutical, healthcare or other industries in which IMS HEALTH’s customers operate. Additional information on factors that may affect the business and financial results of the Company can be found in filings of the Company made from time to time with the Securities and Exchange Commission.