Parexel International Corporation (PRXL) is a global biopharmaceutical services organization that provides a range of knowledge-based contract research, medical communications and consulting services to the pharmaceutical, biotechnology and medical device industries.
The company has developed expertise in drug development and regulatory consulting, clinical pharmacology, clinical trials management, and medical education and reimbursement. Parexel, headquartered in Boston, Massachusetts, operates in 69 locations throughout 52 countries around the world, and also owns the subsidiary, Perceptive Informatics, which provides advanced technology solutions that include medical imaging to facilitate the clinical development process.
Parexel has recently updated its forward-looking financial guidance for the first quarter of Fiscal Year 2009 (ending September 30, 2008), and for the full Fiscal Year, in conjunction with the successful completion of the acquisition of ClinPhone Plc and other factors. Forward-looking service revenue guidance has been increased due to the positive contributions from the ClinPhone acquisition and a slightly better operating performance, which has been somewhat offset by the negative impact of recent exchange rate movements associated with a much stronger dollar. The company anticipates reporting and consolidating service revenue in the range of $1.215 to $1.245 billion for Fiscal Year 2009 in its entirety.
The ClinPhone acquisition is expected to contribute to the increase with $10 to $14 million in service revenue in the first quarter, and between $95 and $105 million in service revenue during Fiscal Year 2009. Previously issued consolidated service revenue guidance, not including ClinPhone, was $260 to $270 million for the first quarter, and for the Fiscal Year was $1.125 to $1.155 billion. The acquisition is expected to have a dilutive effect on earnings per share, including the amortization of intangibles and other costs. Excluding the amortization, the acquisition is accretive.
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