UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): August 4, 2015
LANTHEUS HOLDINGS, INC.
(Exact name of registrant as specified in its charter)
| Delaware | 001-36569 | 35-2318913 | ||
| (State or other jurisdiction of incorporation) |
(Commission File Number) |
(IRS Employer Identification No.) |
331 Treble Cove Road, North Billerica, MA 01862
(Address of principal executive offices) (Zip code)
Registrant’s telephone number, including area code: (978) 671-8001
Not Applicable
(Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
| ¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| ¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
| Item 2.02. | Results of Operations and Financial Condition. |
On August 4, 2015, Lantheus Holdings, Inc. (the “Company”) announced via press release its financial results as of and for the three and six months ended June 30, 2015. A copy of that press release is being furnished as Exhibit 99.1 and is hereby incorporated by reference.
The information furnished pursuant to this Item 2.02, including Exhibit 99.1, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities under that Section and shall not be deemed to be incorporated by reference into any filing of the Company under the Securities Act of 1933, as amended, or the Exchange Act.
| Item 9.01. | Financial Statements and Exhibits. |
(d) Exhibits
| Exhibit No. |
Description | |
| 99.1* | Press release of Lantheus Holdings, Inc. dated August 4, 2015, announcing its financial results as of and for the three and six months ended June 30, 2015. | |
| * | Exhibit 99.1 attached hereto is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section, nor shall such information be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such filing. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| LANTHEUS HOLDINGS, INC. | ||
| By: | /s/ Michael P. Duffy | |
| Name: | Michael P. Duffy | |
| Title: | Vice President and General Counsel | |
Date: August 4, 2015
EXHIBIT INDEX
| Exhibit No. |
Description | |
| 99.1* | Press release of Lantheus Holdings, Inc. dated August 4, 2015, announcing its financial results as of and for the three and six months ended June 30, 2015. | |
| * | Exhibit 99.1 attached hereto is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section, nor shall such information be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such filing. |
Exhibit 99.1
|
331 Treble Cove Road
North Billerica, MA 01862 |
800.362.2668
www.lantheus.com | ||||
FOR RELEASE 4:00 PM EASTERN
TUESDAY, AUGUST 4, 2015
CONTACTS:
| Investor Relations | Media Relations | |||||
| John Bakewell | Meara Murphy | |||||
| 978-436-7073 | 978-671-8508 |
Lantheus Holdings, Inc. Reports 2015 Second Quarter Financial Results
Second quarter worldwide DEFINITY® revenue increases 21% as-reported and in constant currency
Second quarter Adjusted EBITDA increases 10% to $18.0 million
North Billerica, Mass., August 4, 2015 – Lantheus Holdings, Inc. (the “Company”) (NASDAQ: LNTH), parent company of Lantheus Medical Imaging, Inc. (“LMI”), a global leader in developing, manufacturing, selling and distributing innovative diagnostic imaging agents and products, today reported financial results for the first time since its initial public offering on June 25, 2015.
Worldwide revenue for the second quarter of 2015 totaled $73.3 million, representing a decrease of 3% as-reported and 1% on a constant-currency basis over $75.6 million reported for the second quarter of 2014. Second quarter revenue results reflect the continued strong performance of DEFINITY® along with the anticipated effect of customer-specific changes within the Company’s nuclear medicine portfolio.
The Company’s second quarter 2015 GAAP net loss totaled $24.4 million or $(1.29) per diluted share, compared to a net loss of $1.6 million or $(0.09) per diluted share in the second quarter of 2014. GAAP net loss for the second quarter of 2015 included the effects of $13.0 million of call premiums and accelerated interest obligations and $5.8 million of non-cash write-offs of deferred financing costs, all associated with the refinancing of the Company’s previously-outstanding senior notes, and a $6.5 million charge for the termination of its financial sponsor management agreement.
The Company’s second quarter 2015 net income, as adjusted for the above items, totaled $0.9 million or $0.05 per diluted share, an improvement of $2.5 million compared to a net loss of $1.6 million or $(0.09) per diluted share in the second quarter of 2014. The attached financial tables include a reconciliation of U.S. GAAP to as-adjusted results.
The Company’s second quarter 2015 Adjusted EBITDA, as defined in the GAAP to non-GAAP reconciliation provided later in this release, increased by 10% to $18.0 million, or 24.5% of reported revenue, compared to $16.3 million, or 21.6% of revenue, in the second quarter of 2014.
Jeff Bailey, President and CEO commented, “As our results reflect, during the second quarter we continued to make excellent progress driving our business toward greater efficiency and profitability. DEFINITY again posted a strong quarterly performance, growing 21% annually and posting its twelfth
consecutive quarter of sequential growth. Within our nuclear medicine portfolio, the anticipated lower sales volumes and higher average selling prices driven by a customer-specific change earlier this year reduced our overall levels of revenue while bringing improved balance to our customer mix and contributing to further expansion of our profit margins. We are very pleased with our second quarter Adjusted EBITDA growth of 10% and margin expansion of 300 basis points, which reflect our continued progress toward strengthening and improving our operating model.”
Mr. Bailey continued, “Additionally, as a result of our recent initial public offering and the concurrent refinancing of our senior notes, we now benefit from reduced total leverage and considerably lower borrowing costs. Going forward, we expect to benefit from approximately $13.5 million of annual cash interest savings, which will significantly improve our free cash flow profile and create additional capacity for further deleveraging and investment. In summary, we are very enthusiastic about our progress during the first half of the year and will continue to focus on executing our key strategic initiatives for this year and beyond.”
Outlook
The Company anticipates worldwide revenue for full-year 2015 of approximately $293 million to $297 million, representing a constant currency change over last year of (1)% to 1%. This range assumes a negative full-year impact from currency of approximately $6 million, or 2%, compared to 2014.
The Company anticipates full-year 2015 Adjusted EBITDA, as described in the GAAP to non-GAAP reconciliation provided later in this release, of $72 million to $75 million, and 24% to 25% of reported revenue.
The Company’s Adjusted EBITDA target excludes the effect of possible future acquisitions, other material unanticipated future business developments and the adjustments of earnings as-reported to as-adjusted that are set forth in the GAAP to non-GAAP reconciliations provided later in this release.
The Company’s guidance for worldwide revenue and Adjusted EBITDA are forward-looking statements. They are subject to various risks and uncertainties that could cause the Company’s actual results to differ materially from the anticipated targets. The anticipated targets are not predictions of the Company’s actual performance. See the cautionary information about forward-looking statements in the “Safe-Harbor Statement” section of this press release.
Internet Posting of Information
The Company routinely posts information that may be important to investors in the “Investor Relations” section of its website at www.lantheus.com. The Company encourages investors and potential investors to consult its website regularly for important information about the Company.
Conference Call and Webcast
As previously announced, the Company will host a conference call starting at 4:30 p.m. (Eastern Time) today. To access the live conference call via telephone, please dial 1-866-498-8390 (U.S. callers) or 1-678-509-7599 (international callers) and provide passcode 91877950. A live audio webcast of the call also will be available on the homepage of the Company’s website at www.lantheus.com.
A replay of the telephone conference call and audio webcast will be available from approximately 8:30 p.m. ET today through midnight on August 18, 2015. To access a replay of the conference call, dial 1-855-859-2056 (U.S. callers) or 1-404-537-3406 (international callers), and provide passcode 91877950. A replay of this conference call will also be available in the Investor Relations section of our website located at www.lantheus.com.
The conference call may include a discussion of non-GAAP financial measures. Reference is made to the most directly comparable GAAP financial measures, the reconciliation of the differences between the two financial measures, and the other information included in this press release, our Form 8-K filed with the SEC today, or otherwise available in the Investor Relations section of our website located at www.lantheus.com.
The conference call may include forward-looking statements. See the cautionary information about forward-looking statements in the safe-harbor section of this press release.
About Lantheus Holdings, Inc. and Lantheus Medical Imaging, Inc.
Lantheus Holdings, Inc. is the parent company of Lantheus Medical Imaging, Inc. (“LMI”), which is a global leader in developing, manufacturing, selling and distributing innovative diagnostic imaging agents and products. LMI provides a broad portfolio of products, which are primarily used for the diagnosis of cardiovascular diseases. LMI’s key products include the echocardiography contrast agent DEFINITY® Vial for (Perflutren Lipid Microsphere) Injectable Suspension; TechneLite® (Technetium Tc99m Generator), a technetium-based generator that provides the essential medical isotope used in nuclear medicine procedures; and Xenon (Xenon Xe 133 Gas), an inhaled radiopharmaceutical imaging agent used to evaluate pulmonary function and for imaging the lungs.
LMI has more than 500 employees worldwide with headquarters in North Billerica, Massachusetts, and offices in Puerto Rico, Canada and Australia. For more information, visit www.lantheus.com.
Non-GAAP Financial Measures
The Company uses non-GAAP financial measures, such as net sales excluding the impact of foreign currency; operating income, as adjusted; net income, as adjusted; Adjusted EBITDA; net income, as adjusted, per diluted share; Adjusted EBITDA per diluted share; and free cash flow. The Company’s management believes that the presentation of these measures provides useful information to investors. These measures may assist investors in evaluating the Company’s operations, period over period. The measures may exclude such items which may be highly variable, difficult to predict and of a size that could have substantial impact on the Company’s reported results of operations for a period. Management uses these and other non-GAAP measures internally for evaluation of the performance of the business, including the allocation of resources and
the evaluation of results relative to employee performance compensation targets. Investors should consider these non-GAAP measures only as a supplement to, not as a substitute for or as superior to, measures of financial performance prepared in accordance with GAAP.
Safe Harbor for Forward-Looking and Cautionary Statements
This press release contains “forward-looking statements” as defined under U.S. federal securities laws, including statements about our 2015 outlook. These statements reflect management’s current knowledge, assumptions, beliefs, estimates and expectations and express management’s current view of future performance, results and trends. Forward-looking statements may be identified by their use of terms such as anticipate, believe, confident, could, estimate, expect, intend, may, plan, predict, project, target, will and other similar terms. Such forward-looking statements are subject to risks and uncertainties that could cause actual results to materially differ from those described in the forward-looking statements. Readers are cautioned not to place undue reliance on the forward-looking statements contained herein, which speak only as of the date hereof. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law. Risks and uncertainties that could cause our actual results to materially differ from those described in the forward-looking statements are discussed in our filings with the Securities and Exchange Commission (including those described in the Risk Factors section of our prospectus dated June 24, 2015 and filed with the SEC on June 26, 2015, and as may be further set forth or supplemented in our Annual Reports on Form 10-K and our Quarterly Reports on Form 10-Q).
– Tables Follow –
Lantheus Holdings, Inc. and subsidiaries
Condensed Consolidated Statements of Operations
(dollars in thousands, except share data – unaudited)
| Three Months Ended June 30, |
Six Months Ended June 30, |
|||||||||||||||
| 2015 | 2014 | 2015 | 2014 | |||||||||||||
| Revenues |
$ | 73,314 | $ | 75,613 | $ | 148,137 | $ | 148,949 | ||||||||
| Cost of goods sold |
40,647 | 44,554 | 79,701 | 87,829 | ||||||||||||
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|||||||||
| Gross profit |
32,667 | 31,059 | 68,436 | 61,120 | ||||||||||||
| Operating expenses |
||||||||||||||||
| Sales and marketing expenses |
9,229 | 9,402 | 18,301 | 18,900 | ||||||||||||
| General and administrative expenses |
15,444 | 8,990 | 24,567 | 17,842 | ||||||||||||
| Research and development expenses |
2,638 | 2,687 | 8,834 | 5,909 | ||||||||||||
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|||||||||
| Total operating expenses |
27,311 | 21,079 | 51,702 | 42,651 | ||||||||||||
| Operating income |
5,356 | 9,980 | 16,734 | 18,469 | ||||||||||||
| Interest expense, net |
(13,876 | ) | (10,567 | ) | (24,499 | ) | (21,119 | ) | ||||||||
| Loss on extinguishment of debt |
(15,528 | ) | — | (15,528 | ) | — | ||||||||||
| Other income (expense), net |
800 | (175 | ) | 417 | (589 | ) | ||||||||||
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|||||||||
| Loss before income taxes |
(23,248 | ) | (762 | ) | (22,876 | ) | (3,239 | ) | ||||||||
| Provision (benefit) for income taxes |
1,175 | 874 | 1,172 | (318 | ) | |||||||||||
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| Net loss |
$ | (24,423 | ) | $ | (1,636 | ) | $ | (24,048 | ) | $ | (2,921 | ) | ||||
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| Net loss per common share |
||||||||||||||||
| Basic and diluted |
$ | (1.29 | ) | $ | (0.09 | ) | $ | (1.30 | ) | $ | (0.16 | ) | ||||
| Common shares |
||||||||||||||||
| Basic and diluted |
18,898,003 | 18,080,944 | 18,489,451 | 18,080,256 | ||||||||||||
Lantheus Holdings, Inc. and subsidiaries
Consolidated Revenue Analysis
(dollars in thousands – unaudited)
| Three Months Ended June 30, |
Six Months Ended June 30, |
|||||||||||||||||||||||
| 2015 | 2014 | % change | 2015 | 2014 | % change | |||||||||||||||||||
| U.S. |
||||||||||||||||||||||||
| DEFINITY |
27,828 | 23,019 | 20.9 | % | 53,010 | 45,003 | 17.8 | % | ||||||||||||||||
| TechneLite |
14,637 | 20,624 | (29.0 | )% | 32,810 | 40,723 | (19.4 | )% | ||||||||||||||||
| Xenon |
12,038 | 8,899 | 35.3 | % | 25,224 | 18,605 | 35.6 | % | ||||||||||||||||
| Other |
3,875 | 6,026 | (35.7 | )% | 8,001 | 11,048 | (27.6 | )% | ||||||||||||||||
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|||||||||||||
| Total U.S. |
$ | 58,378 | $ | 58,568 | (0.3 | )% | $ | 119,045 | $ | 115,379 | 3.2 | % | ||||||||||||
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| International |
||||||||||||||||||||||||
| DEFINITY |
600 | 497 | 20.7 | % | 1,084 | 871 | 24.5 | % | ||||||||||||||||
| TechneLite |
2,725 | 2,901 | (6.1 | )% | 5,411 | 5,843 | (7.4 | )% | ||||||||||||||||
| Xenon |
10 | — | 100.0 | % | 19 | 4 | 375.0 | % | ||||||||||||||||
| Other |
11,601 | 13,647 | (15.0 | )% | 22,578 | 26,852 | (15.9 | )% | ||||||||||||||||
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| Total International |
$ | 14,936 | $ | 17,045 | (12.4 | )% | $ | 29,092 | $ | 33,570 | (13.3 | )% | ||||||||||||
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| Worldwide |
||||||||||||||||||||||||
| DEFINITY |
28,428 | 23,516 | 20.9 | % | 54,094 | 45,874 | 17.9 | % | ||||||||||||||||
| TechneLite |
17,362 | 23,525 | (26.2 | )% | 38,221 | 46,566 | (17.9 | )% | ||||||||||||||||
| Xenon |
12,048 | 8,899 | 35.4 | % | 25,243 | 18,609 | 35.6 | % | ||||||||||||||||
| Other |
15,476 | 19,673 | (21.3 | )% | 30,579 | 37,900 | (19.3 | )% | ||||||||||||||||
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|||||||||||||
| Total Revenues |
$ | 73,314 | $ | 75,613 | (3.0 | )% | $ | 148,137 | $ | 148,949 | (0.5 | )% | ||||||||||||
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Lantheus Holdings, Inc. and subsidiaries
Supplemental Revenue Information
(unaudited)
| June 30, 2015 Quarter to Date Sales Growth/(Decline) | ||||||||||||||||||||
| Domestic As Reported |
Int’l Constant Currency |
Int’l As Reported |
Total Constant Currency |
Total As Reported |
||||||||||||||||
| Products |
||||||||||||||||||||
| DEFINITY |
21 | % | 37 | % | 21 | % | 21 | % | 21 | % | ||||||||||
| TechneLite |
(29 | )% | 3 | % | (6 | )% | (25 | )% | (26 | )% | ||||||||||
| Xenon |
35 | % | 100 | % | 100 | % | 35 | % | 35 | % | ||||||||||
| Other |
(36 | )% | (6 | )% | (15 | )% | (15 | )% | (21 | )% | ||||||||||
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| Total Revenues |
0 | % | (3 | )% | (12 | )% | (1 | )% | (3 | )% | ||||||||||
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| June 30, 2015 Year to Date Sales Growth/(Decline) | ||||||||||||||||||||
| Domestic As Reported |
Int’l Constant Currency |
Int’l As Reported |
Total Constant Currency |
Total As Reported |
||||||||||||||||
| Products |
||||||||||||||||||||
| DEFINITY |
18 | % | 41 | % | 24 | % | 18 | % | 18 | % | ||||||||||
| TechneLite |
(19 | )% | 2 | % | (7 | )% | (17 | )% | (18 | )% | ||||||||||
| Xenon |
36 | % | 425 | % | 375 | % | 36 | % | 36 | % | ||||||||||
| Other |
(28 | )% | (8 | )% | (16 | )% | (13 | )% | 19 | % | ||||||||||
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|||||||||||
| Total Revenues |
3 | % | (5 | )% | (13 | )% | 1 | % | (1 | )% | ||||||||||
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Lantheus Holdings, Inc. and subsidiaries
Reconciliation of Revenues to Revenues Excluding the Impact of Foreign Currency
(dollars in thousands – unaudited)
| Three Months Ended June 30, 2015 | Six Months Ended June 30, 2015 | |||||||||||||||
| International Net Sales | Total Net Sales | International Net Sales | Total Net Sales | |||||||||||||
| Net sales, as reported |
$ | 14,936 | $ | 73,314 | $ | 29,092 | $ | 148,137 | ||||||||
| Currency impact as compared to prior period |
1,592 | 1,592 | 2,899 | 2,899 | ||||||||||||
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| Net sales, excluding the impact of foreign currency |
$ | 16,528 | $ | 74,906 | $ | 31,991 | $ | 151,036 | ||||||||
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Lantheus Holdings, Inc. and subsidiaries
Reconciliations of As Reported Results to Non-GAAP Financial Measures
(dollars in thousands – unaudited)
| Three Months Ended | Six Months Ended | |||||||||||||||
| June 30, | June 30, | |||||||||||||||
| 2015 | 2014 | 2015 | 2014 | |||||||||||||
| Operating Income |
||||||||||||||||
| Operating Income, as reported |
$ | 5,356 | $ | 9,980 | $ | 16,734 | $ | 18,469 | ||||||||
| Reconciling items impacting |
||||||||||||||||
| Operating Income: |
||||||||||||||||
| Campus Consolidation Costs |
— | — | 3,630 | — | ||||||||||||
| Sponsor Termination Costs |
6,527 | — | 6,527 | — | ||||||||||||
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| Operating income, as adjusted |
$ | 11,883 | $ | 9,980 | $ | 26,891 | $ | 18,469 | ||||||||
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| Operating Income, as adjusted, as a percentage of net sales |
16.2 | % | 13.2 | % | 18.2 | % | 12.4 | % | ||||||||
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| Three Months Ended | Six Months Ended | |||||||||||||||
| June 30, | June 30, | |||||||||||||||
| 2015 | 2014 | 2015 | 2014 | |||||||||||||
| Net loss |
||||||||||||||||
| Net loss, as reported |
$ | (24,423 | ) | $ | (1,636 | ) | $ | (24,048 | ) | $ | (2,921 | ) | ||||
| Reconciling items impacting |
||||||||||||||||
| Gross Profit: |
||||||||||||||||
| Campus Consolidation Costs |
— | — | 77 | — | ||||||||||||
| Reconciling items impacting |
||||||||||||||||
| Operating Expenses: |
||||||||||||||||
| Campus Consolidation Costs |
— | — | 3,553 | — | ||||||||||||
| Sponsor Termination Costs |
6,527 | — | 6,527 | — | ||||||||||||
| Reconciling items impacting |
||||||||||||||||
| Non-operating Expenses: |
||||||||||||||||
| Loss on Debt Extinguishment |
15,528 | — | 15,528 | — | ||||||||||||
| Interest Upon Redemption of Senior Notes |
3,250 | — | 3,250 | — | ||||||||||||
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| Net income (loss), as adjusted |
$ | 882 | $ | (1,636 | ) | $ | 4,887 | $ | (2,921 | ) | ||||||
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| Net income (loss), as adjusted, as a percentage of net sales |
1.2 | % | (2.2 | )% | 3.3 | % | (2.0 | )% | ||||||||
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| Net income (loss), as adjusted, per common share |
||||||||||||||||
| Basic |
$ | 0.05 | $ | (0.09 | ) | $ | 0.26 | $ | (0.16 | ) | ||||||
| Diluted |
$ | 0.05 | $ | (0.09 | ) | $ | 0.26 | $ | (0.16 | ) | ||||||
| Common shares |
||||||||||||||||
| Basic |
18,898,003 | 18,080,944 | 18,489,451 | 18,080,256 | ||||||||||||
| Diluted |
19,259,161 | 18,080,944 | 18,843,094 | 18,080,256 | ||||||||||||
Lantheus Holdings, Inc. and subsidiaries
Reconciliation of As Reported Results to Non-GAAP Financial Measures
(dollars in thousands – unaudited)
| Three Months Ended June 30, |
Six Months Ended June 30, |
|||||||||||||||
| 2015 | 2014 | 2015 | 2014 | |||||||||||||
| EBITDA |
||||||||||||||||
| Net loss, as reported |
$ | (24,423 | ) | $ | (1,636 | ) | $ | (24,048 | ) | $ | (2,921 | ) | ||||
| Interest expense, net |
13,876 | 10,567 | 24,499 | 21,119 | ||||||||||||
| Provision (benefit) for income taxes |
394 | 896 | 395 | (121 | ) | |||||||||||
| Depreciation |
2,021 | 2,137 | 7,709 | 4,351 | ||||||||||||
| Amortization of intangible assets |
1,894 | 2,271 | 3,790 | 4,573 | ||||||||||||
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| EBITDA |
(6,238 | ) | 14,235 | 12,345 | 27,001 | |||||||||||
| Reconciling items impacting |
||||||||||||||||
| EBITDA: |
||||||||||||||||
| Non-cash stock-based compensation |
656 | 251 | 933 | 535 | ||||||||||||
| Legal fees relating to business interruption claim |
46 | 231 | 63 | 465 | ||||||||||||
| Asset write-off |
371 | 91 | 551 | 511 | ||||||||||||
| Severance and recruiting costs |
122 | 216 | 219 | 301 | ||||||||||||
| Sponsor fee and other |
6,747 | 258 | 7,318 | 509 | ||||||||||||
| Extinguishment of debt |
15,528 | — | 15,528 | — | ||||||||||||
| New manufacturer costs |
753 | 1,035 | 1,615 | 3,013 | ||||||||||||
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|
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| Adjusted EBITDA |
$ | 17,985 | $ | 16,317 | $ | 38,572 | $ | 32,335 | ||||||||
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|
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| Adjusted EBITDA as a percentage of net sales |
24.5 | % | 21.6 | % | 26.0 | % | 21.7 | % | ||||||||
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|
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Lantheus Holdings, Inc. and subsidiaries
Reconciliation of Free Cash Flow
(dollars in thousands – unaudited)
| Three Months Ended | Six Months Ended | |||||||||||||||
| June 30, 2015 | June 30, 2014 | June 30, 2015 | June 30, 2014 | |||||||||||||
| Net cash used in operating activities |
$ | (11,438 | ) | $ | (4,988 | ) | $ | 3,719 | $ | (5,048 | ) | |||||
| Capital expenditures |
(2,614 | ) | (1,998 | ) | (6,112 | ) | (3,480 | ) | ||||||||
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|
|
|
|
|
|
|
|||||||||
| Free cash flow |
$ | (14,052 | ) | $ | (6,986 | ) | $ | (2,393 | ) | $ | (8,528 | ) | ||||
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|
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Lantheus Holdings, Inc. and subsidiaries
Condensed Consolidated Balance Sheets
(dollars in thousands – unaudited)
| June 30, 2015 | December 31, 2014 | |||||||
| Assets |
||||||||
| Current assets: |
||||||||
| Cash and cash equivalents |
$ | 22,200 | $ | 19,739 | ||||
| Accounts receivable, net |
36,817 | 41,540 | ||||||
| Inventory |
15,396 | 15,582 | ||||||
| Other current assets |
4,577 | 4,374 | ||||||
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|
|
|
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| Total current assets |
78,990 | 81,235 | ||||||
| Property, plant and equipment, net |
92,867 | 96,014 | ||||||
| Capitalized software development costs, net |
2,099 | 2,421 | ||||||
| Intangibles, net |
24,099 | 27,191 | ||||||
| Goodwill |
15,714 | 15,714 | ||||||
| Other long-term assets |
19,781 | 20,578 | ||||||
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|
|
|
|||||
| Total assets |
$ | 233,550 | $ | 243,153 | ||||
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|
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| Liabilities and stockholder’s deficit |
||||||||
| Current liabilities: |
||||||||
| Line of credit |
$ | — | $ | 8,000 | ||||
| Accounts payable |
14,203 | 15,665 | ||||||
| Accrued expenses and other liabilities |
19,692 | 24,863 | ||||||
| Current portion of long-term debt |
3,650 | — | ||||||
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|
|
|
|||||
| Total current liabilities |
37,545 | 48,528 | ||||||
| Asset retirement obligation |
7,861 | 7,435 | ||||||
| Long-term debt, net |
350,927 | 392,863 | ||||||
| Other long-term liabilities |
32,799 | 33,597 | ||||||
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|
|
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| Total liabilities |
429,132 | 482,423 | ||||||
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|
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| Stockholder’s deficit |
(195,582 | ) | (239,270 | ) | ||||
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|
|
|
|||||
| Total liabilities and stockholder’s deficit |
$ | 233,550 | $ | 243,153 | ||||
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###