This article has been updated from a previous version, with additional information about the difference between ABI's 2004 and 2003 Q4 revenues.
ABI said that its net earnings for Q4 2004 were $51.1 million, or $.20 per share, versus $96.1 million, or $.46 per share in Q4 2003. The company said that the Q3 earnings included special items that increased net income by $47.9 million, including: a $27.8-million benefit for reduction of valuation allowances on deferred tax assets resulting from the expected utilization of foreign tax credits and a reduction of the income tax liability due to the settlement of overseas tax audits; a $16.4-million gain resulting from completing a patent-infringement lawsuit; and a benefit of $3.7 million stemming from a reduction in previously recorded severance costs. Net income for the entire fiscal 2004 was $182.9 million, a slight dip from the $183.2 million reported for fiscal 2003.
Net revenues in the fourth quarter were $460.5 million, a six-percent increase over the $432.9 million reported in the same period last year. ABI said that Q4 2004 instrument revenues increased seven percent, to $231.2 million, and consumables revenues increased three percent to $153 million. In addition, revenues from other sources, such as service and support, royalties, licenses, and consulting increased 12 percent to $76.3 million.
R&D spending took a light hit, falling to $56.4 million in Q4 2004 from $58.2 million for the same quarter last year.