2012 Q2 Form 10-K Financial Statement

#000119312513077031 Filed on February 26, 2013

View on sec.gov

Income Statement

Concept 2012 Q2 2012 2011 Q4
Revenue $124.0M $500.7M $107.8M
YoY Change 12.1% 13.45% 6.1%
Cost Of Revenue $23.57M $91.83M $21.50M
YoY Change 22.38% 9.29% 4.88%
Gross Profit $100.4M $408.9M $86.30M
YoY Change 9.93% 14.43% 6.41%
Gross Profit Margin 80.99% 81.66% 80.06%
Selling, General & Admin $51.54M $198.2M $48.50M
YoY Change 25.66% 12.97% 15.2%
% of Gross Profit 51.31% 48.47% 56.2%
Research & Development $77.81M $302.2M $57.90M
YoY Change 47.07% 40.98% 37.2%
% of Gross Profit 77.47% 73.91% 67.09%
Depreciation & Amortization $8.400M $34.90M $9.600M
YoY Change 13.51% 9.4% 21.52%
% of Gross Profit 8.36% 8.54% 11.12%
Operating Expenses $129.4M $500.4M $106.4M
YoY Change 37.72% 28.37% 26.22%
Operating Profit -$30.95M -$110.2M -$20.10M
YoY Change -4130.47% 225.21% 528.13%
Interest Expense $1.925M $7.639M -$3.300M
YoY Change -12.54% -9.16% 43.48%
% of Operating Profit
Other Income/Expense, Net -$200.0K -$1.800M $200.0K
YoY Change -300.0% -1900.0%
Pretax Income -$32.42M $45.42M -$23.10M
YoY Change 2663.6% -28.63% 20.31%
Income Tax -$411.0K -$3.931M $3.600M
% Of Pretax Income -8.65%
Net Earnings -$32.01M -$114.3M -$26.70M
YoY Change 530.41% 112.4% 118.85%
Net Earnings / Revenue -25.81% -22.84% -24.77%
Basic Earnings Per Share -$0.27 -$0.95
Diluted Earnings Per Share -$0.27 -$0.95 -$231.6K
COMMON SHARES
Basic Shares Outstanding 117.9M shares 120.3M shares
Diluted Shares Outstanding 117.9M shares 120.3M shares

Balance Sheet

Concept 2012 Q2 2012 2011 Q4
SHORT-TERM ASSETS
Cash & Short-Term Investments $402.6M $447.8M $195.1M
YoY Change 55.5% 129.52% -28.82%
Cash & Equivalents $177.8M $180.5M $46.27M
Short-Term Investments $224.8M $267.3M $148.8M
Other Short-Term Assets $58.07M $57.90M $18.64M
YoY Change 83.78% 45.48% -44.98%
Inventory $120.1M $128.7M $130.1M
Prepaid Expenses $14.87M $7.551M
Receivables $100.8M $109.1M $104.8M
Other Receivables $9.700M $0.00 $0.00
Total Short-Term Assets $681.5M $743.4M $469.8M
YoY Change 32.57% 58.24% -6.83%
LONG-TERM ASSETS
Property, Plant & Equipment $267.4M $284.5M $269.0M
YoY Change 23.5% 5.76% 21.23%
Goodwill $51.54M $51.54M
YoY Change -3.41%
Intangibles $168.3M $180.3M
YoY Change 73.93%
Long-Term Investments $123.2M $117.1M $94.90M
YoY Change -20.16% 23.39% -26.6%
Other Assets $20.06M $208.8M $15.50M
YoY Change -91.67% -13.07% 9.0%
Total Long-Term Assets $851.0M $824.9M $835.9M
YoY Change 11.05% -1.32% 10.23%
TOTAL ASSETS
Total Short-Term Assets $681.5M $743.4M $469.8M
Total Long-Term Assets $851.0M $824.9M $835.9M
Total Assets $1.533B $1.568B $1.306B
YoY Change 19.69% 20.11% 3.41%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $12.50M $24.00M $12.24M
YoY Change 71.25% 144.78%
Accrued Expenses $32.45M $117.1M $23.85M
YoY Change -44.53% 54.89% -64.88%
Deferred Revenue
YoY Change
Short-Term Debt $23.40M $23.40M $0.00
YoY Change
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $120.0M $170.4M $94.13M
YoY Change 46.34% 81.08% 12.26%
LONG-TERM LIABILITIES
Long-Term Debt $324.9M $324.9M $348.3M
YoY Change -13.93% -6.72% -7.74%
Other Long-Term Liabilities $87.24M $57.30M $19.99M
YoY Change 67.77% 7.91% -76.2%
Total Long-Term Liabilities $87.24M $382.2M $19.99M
YoY Change -79.69% -4.78% -76.2%
TOTAL LIABILITIES
Total Short-Term Liabilities $120.0M $170.4M $94.13M
Total Long-Term Liabilities $87.24M $382.2M $19.99M
Total Liabilities $532.1M $552.6M $532.7M
YoY Change -2.92% 3.74% -2.33%
SHAREHOLDERS EQUITY
Retained Earnings -$481.1M -$425.1M
YoY Change 14.5%
Common Stock $1.483B $1.197B
YoY Change 9.8%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $1.000B $1.016B $773.0M
YoY Change
Total Liabilities & Shareholders Equity $1.533B $1.568B $1.306B
YoY Change 19.69% 20.11% 3.41%

Cashflow Statement

Concept 2012 Q2 2012 2011 Q4
OPERATING ACTIVITIES
Net Income -$32.01M -$114.3M -$26.70M
YoY Change 530.41% 112.4% 118.85%
Depreciation, Depletion And Amortization $8.400M $34.90M $9.600M
YoY Change 13.51% 9.4% 21.52%
Cash From Operating Activities -$1.400M $17.61M -$100.0K
YoY Change -110.29% -4.38% -99.37%
INVESTING ACTIVITIES
Capital Expenditures -$9.500M $44.57M -$89.70M
YoY Change 375.0% -39.13% 730.56%
Acquisitions $0.00
YoY Change
Other Investing Activities -$142.9M -$151.1M $54.80M
YoY Change -5596.15% -333.64% -1989.66%
Cash From Investing Activities -$152.3M -$195.6M -$35.00M
YoY Change -21857.14% 118.45% 157.35%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net $235.5M $235.5M
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 249.0M 312.3M 10.10M
YoY Change 3051.9% 964.46% -200.0%
NET CHANGE
Cash From Operating Activities -1.400M 17.61M -100.0K
Cash From Investing Activities -152.3M -195.6M -35.00M
Cash From Financing Activities 249.0M 312.3M 10.10M
Net Change In Cash 95.30M 134.3M -25.00M
YoY Change 329.28% -421.13% -36.71%
FREE CASH FLOW
Cash From Operating Activities -$1.400M $17.61M -$100.0K
Capital Expenditures -$9.500M $44.57M -$89.70M
Free Cash Flow $8.100M -$26.96M $89.60M
YoY Change -48.08% -50.8% -1892.0%

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CY2012Q4 bmrn Tax Benefit Measured And Recognized Upon Settlement
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CY2010 us-gaap Effective Income Tax Rate Continuing Operations
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CY2010 us-gaap Contracts Revenue
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CY2010 us-gaap Effective Income Tax Rate Reconciliation Tax Credits Research
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CY2010 us-gaap Cost Of Revenue
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CY2010 us-gaap Effective Income Tax Rate Reconciliation Foreign Income Tax Rate Differential
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CY2010 us-gaap Effective Income Tax Rate Reconciliation At Federal Statutory Income Tax Rate
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CY2010 us-gaap Effective Income Tax Rate Reconciliation Deductions
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CY2010 us-gaap Revenues
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CY2010 us-gaap Effective Income Tax Rate Reconciliation Change In Deferred Tax Assets Valuation Allowance
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CY2010 us-gaap Current Foreign Tax Expense Benefit
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CY2010 us-gaap Effective Income Tax Rate Reconciliation Nondeductible Expense Share Based Compensation Cost
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CY2010 us-gaap Allocated Share Based Compensation Expense
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CY2010 bmrn Effective Income Tax Rate Reconciliation At Nondeductible Acquisition Expenses
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CY2010 bmrn Effective Income Tax Rate Reconciliation At Nondeductible Debt Conversion Expense
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CY2010 bmrn Sales Revenue Goods Net Percentages
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CY2010 us-gaap Deferred Income Tax Expense Benefit
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CY2010 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
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CY2010 us-gaap Interest Paid Net
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<div> <p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>(2) BASIS OF PRESENTATION</b></font></p> <p style="margin-top:6px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><i>Basis of Presentation</i></font></p> <p style="margin-top:6px;margin-bottom:0px; text-indent:4%"> <font style="font-family:Times New Roman" size="2">These Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States (U.S. GAAP) and include the accounts of BioMarin and its wholly owned subsidiaries. All significant intercompany transactions have been eliminated. Management performed an evaluation of the Company&#x2019;s activities through the date of filing of this Annual Report on Form 10-K, and has concluded that there are no subsequent events except for the transaction disclosed in Note 24.</font></p> <p style="margin-top:18px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><i>Use of Estimates</i></font></p> <p style="margin-top:6px;margin-bottom:0px; text-indent:4%"> <font style="font-family:Times New Roman" size="2">The preparation of financial statements in conformity with U.S. GAAP requires management to make judgments, estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the dates of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.</font></p> </div>
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<div> <p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2"><b>(4) RECENT ACCOUNTING PRONOUNCEMENTS</b></font></p> <p style="MARGIN-TOP: 6px; TEXT-INDENT: 4%; MARGIN-BOTTOM: 0px"> <font style="FONT-FAMILY: Times New Roman" size="2"><font style="FONT-FAMILY: Times New Roman" size="2">In August 2012, the FASB issued ASU 2012-03, <i>Technical Amendments and Corrections to SEC Sections: Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No.&#xA0;114 (SAB No.&#xA0;114), Technical Amendments Pursuant to SEC Release No.&#xA0;33-9250, and Corrections Related to FASB Accounting Standards Update 2010-22</i> (ASU 2012-03). The update amends various SEC paragraphs pursuant to the issuance of SAB No.&#xA0;114 and is effective upon issuance. The adoption of the amended guidance in ASU 2012-03 did not have a significant impact on the Company&#x2019;s Consolidated Financial Statements.</font></font></p> <p style="MARGIN-TOP: 12px; TEXT-INDENT: 4%; MARGIN-BOTTOM: 0px"> <font style="FONT-FAMILY: Times New Roman" size="2"><font style="FONT-FAMILY: Times New Roman" size="2">In October 2012, the FASB issued ASU 2012-04, <i>Technical Corrections and Improvements</i> (ASU 2012-04). The amendments in this update cover a wide range of Topics in the Accounting Standards Codification including technical corrections and improvements to the Accounting Standards Codification and conforming amendments related to fair value measurements. The amendments in ASU 2012-04 are effective for fiscal periods beginning after December&#xA0;15, 2012, which for the Company means January&#xA0;1, 2013. The adoption of ASU 2012-04 is not expected to have a material impact on the Company&#x2019;s Consolidated Financial Statements.</font></font></p> </div>
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<div> <p style="margin-top:12px;margin-bottom:0px"><font style="font-family:Times New Roman" size="2"><b>(1) NATURE OF OPERATIONS AND BUSINESS RISKS</b></font></p> <p style="margin-top:6px;margin-bottom:0px; text-indent:4%"> <font style="font-family:Times New Roman" size="2">BioMarin Pharmaceutical Inc. (the Company or BioMarin), a Delaware corporation, develops and commercializes innovative biopharmaceuticals for serious diseases and medical conditions. BioMarin selects product candidates for diseases and conditions that represent a significant unmet medical need, have well-understood biology and provide an opportunity to be first-to-market or offer a significant benefit over existing products. The Company&#x2019;s product portfolio is comprised of four approved products and multiple investigational product candidates. The Company&#x2019;s approved products are Naglazyme (galsulfase), Kuvan (sapropterin dihydrochloride), Firdapse (amifampridine phosphate) and Aldurazyme (laronidase).</font></p> <p style="margin-top:12px;margin-bottom:0px; text-indent:4%"> <font style="font-family:Times New Roman" size="2">Through December&#xA0;31, 2012, the Company had accumulated losses of approximately $539.4 million. Management believes that the Company&#x2019;s cash, cash equivalents and short-term and long-term investments at December&#xA0;31, 2012 will be sufficient to meet the Company&#x2019;s obligations for at least the next twelve months based on management&#x2019;s current business plans. If the Company elects to increase its spending on development programs significantly above current long-term plans or enters into potential licenses and other acquisitions of complementary technologies, products or companies, the Company may need additional capital. The Company expects to continue to finance future cash needs that exceed its operating activities primarily through its current cash, cash equivalents, short-term and long-term investments, and to the extent necessary, through proceeds from equity or debt financings, loans and collaborative agreements with corporate partners.</font></p> <p style="margin-top:12px;margin-bottom:0px; text-indent:4%"> <font style="font-family:Times New Roman" size="2">The Company is subject to a number of risks, including: the financial performance of Naglazyme, Kuvan, Firdapse and Aldurazyme; the potential need for additional financings; its ability to successfully commercialize its product candidates, if approved; the uncertainty of the Company&#x2019;s research and development efforts resulting in future successful commercial products; obtaining regulatory approval for new products; significant competition from larger organizations; reliance on the proprietary technology of others; dependence on key personnel; uncertain patent protection; dependence on corporate partners and collaborators; and possible restrictions on reimbursement from governmental agencies and healthcare organizations, as well as other changes in the health care industry.</font></p> </div>
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CY2012 bmrn Change Of Business Acquisition Contingent Consideration At Fair Value
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CY2012 bmrn Lease Expiration Year
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CY2012 bmrn Number Of Customers Accounted For Largest Balance In Account Receivable
NumberOfCustomersAccountedForLargestBalanceInAccountReceivable
2 Customer
CY2012 bmrn Effective Income Tax Rate Reconciliation At Changes In Fair Value Of Contingent Acquisition Consideration Payable
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CY2012 bmrn Effective Income Tax Rate Reconciliation At Nondeductible Acquisition Expenses
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CY2012 bmrn Effective Income Tax Rate Reconciliation At Nondeductible Debt Conversion Expense
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CY2012 bmrn Sales Revenue Goods Net Percentages
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CY2012 bmrn Percentage Of Product Revenue Exceeding Consolidated Net Product Revenue
PercentageOfProductRevenueExceedingConsolidatedNetProductRevenue
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CY2012 bmrn Percentage Of Share In Gain Loss From Joint Ventures
PercentageOfShareInGainLossFromJointVentures
0.50 pure
CY2012 bmrn Percentage Of Net Product Revenue Attributed To Largest Customers
PercentageOfNetProductRevenueAttributedToLargestCustomers
0.43 pure
CY2012 bmrn Number Of Options Available In Money
NumberOfOptionsAvailableInMoney
13800000 shares
CY2012 bmrn Potentially Issuable Restricted Common Stock
PotentiallyIssuableRestrictedCommonStock
0 shares
CY2012 bmrn Dilutive Potentially Issuable Common Stock For Espp Purchases
DilutivePotentiallyIssuableCommonStockForEsppPurchases
0 shares
CY2012 bmrn Share Based Compensation Arrangement By Share Based Payment Award Vesting Period
ShareBasedCompensationArrangementByShareBasedPaymentAwardVestingPeriod
1 Y
CY2012 bmrn Common Shares Transferred Into Nonqualified Deferred Compensation Plan
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0
CY2012 bmrn Asset Retirement Restricted Assets Fair Value
AssetRetirementRestrictedAssetsFairValue
886000
CY2012 bmrn Stock Based Compensation Capitalized To Inventory
StockBasedCompensationCapitalizedToInventory
4300000
CY2012 bmrn Contingent Payments Upon Achievement Of Certain Regulatory And Licensing Milestones
ContingentPaymentsUponAchievementOfCertainRegulatoryAndLicensingMilestones
285500000
CY2012 bmrn Intangible Asset Amortization And Contingent Consideration
IntangibleAssetAmortizationAndContingentConsideration
18717000
CY2012 bmrn Depreciation Expense Capitalized Into Inventory
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7335000
CY2012 bmrn Effective Income Tax Rate Reconciliation At Section One Hundred Sixty Two Limitation
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CY2012Q1 us-gaap Impairment Of Intangible Assets Indefinitelived Excluding Goodwill
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6700000

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