ERESEARCHTECHNOLOGY INC /DE/

CIK:0001026650|SEC Filings

Consolidated Statements of Operations (Unaudited) (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended
	Mar. 31, 2012	Mar. 31, 2011
Net revenues:
Services	$ 26,555	$ 23,977
Site support	23,950	17,722
Total net revenues	50,505	41,699
Costs of revenues:
Cost of services	14,040	13,156
Cost of site support	13,953	10,123
Total costs of revenues	27,993	23,279
Gross margin	22,512	18,420
Operating expenses:
Selling and marketing	5,297	4,175
General and administrative	8,497	7,508
Research and development	2,378	1,383
Total operating expenses	16,172	13,066
Operating income	6,340	5,354
Foreign exchange losses	(415)	(1,009)
Other expense, net	(112)	(101)
Income before income taxes	5,813	4,244
Income tax provision	2,062	1,151
Net income	$ 3,751	$ 3,093
Net income per share:
Basic	$ 0.08	$ 0.06
Diluted	$ 0.08	$ 0.06
Shares used in computing net income per share:
Basic	49,287	48,896
Diluted	49,514	49,251

Consolidated Statements of Cash Flows (Unaudited) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2012	Mar. 31, 2011
Operating activities:
Net income	$ 3,751	$ 3,093
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	5,571	5,988
Cost of sales of equipment	7	3
Share-based compensation	781	662
Deferred income taxes	329	204
Loss on disposal of equipment	32
Changes in operating assets and liabilities:
Accounts receivable	4,920	1,030
Inventory	1,825	(1,412)
Prepaid expenses and other	(1,176)	(1,363)
Accounts payable	(1,456)	91
Accrued expenses	(1,677)	(3,191)
Income taxes	1,770	(736)
Deferred revenues	(632)	803
Deferred rent	(41)	(164)
Net cash provided by operating activities	14,004	5,008
Investing activities:
Purchases of property and equipment	(7,909)	(7,254)
Payments for acquisition		(117)
Net cash used in investing activities	(7,909)	(7,371)
Financing activities:
Proceeds from exercise of stock options	71	309
Stock option income tax benefit	19	11
Repurchase of common stock for treasury	(87)	(46)
Net cash provided by financing activities	3	274
Effect of exchange rate changes on cash	661	1,360
Net (decrease) increase in cash and cash equivalents	6,759	(729)
Cash and cash equivalents, beginning of period	38,928	30,343
Cash and cash equivalents, end of period	$ 45,687	$ 29,614

Consolidated Balance Sheets (Unaudited) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2012	Dec. 31, 2011
Current Assets:
Cash and cash equivalents	$ 45,687	$ 38,928
Short-term investments	50	50
Investment in marketable securities	729	405
Accounts receivable, less allowance for doubtful accounts of $207 and $199, respectively	37,651	41,617
Inventory	8,225	8,863
Prepaid income taxes	2,594	4,451
Prepaid expenses and other	5,341	4,270
Deferred income taxes	3,660	3,605
Total current assets	103,937	102,189
Property and equipment, net	55,230	53,272
Goodwill	73,925	72,915
Intangible assets	10,057	10,711
Deferred income taxes	749	724
Other assets	450	557
Total assets	244,348	240,368
Current Liabilities:
Accounts payable	4,888	7,412
Accrued expenses	14,792	16,230
Income taxes payable	931	986
Deferred revenues	13,086	13,544
Total current liabilities	33,697	38,172
Deferred rent	2,371	2,411
Deferred income taxes	8,389	7,946
Long-term debt	21,000	21,000
Other liabilities	1,054	1,162
Total liabilities	66,511	70,691
Commitments and contingencies (Note 12)
Stockholders' Equity:
Preferred stock - $10.00 par value, 500,000 shares authorized, none issued and outstanding
Common stock - $.01 par value, 175,000,000 shares authorized, 60,838,449 and 60,990,770 shares issued, respectively	610	608
Additional paid-in capital	105,076	104,189
Accumulated other comprehensive income	3,651	44
Retained earnings	148,516	144,765
Treasury stock, 11,596,966 and 11,611,667 shares at cost, respectively	(80,016)	(79,929)
Total stockholders' equity	177,837	169,677
Total liabilities and stockholders' equity	$ 244,348	$ 240,368