Meridian Bioscience Provides Net Revenues and Earnings Guidance for Fiscal 2016

CINCINNATI--(BUSINESS WIRE)--

Meridian Bioscience, Inc. VIVO today provided the financial community with guidance regarding the Company's fiscal 2016 net revenues and earnings estimates. Based on the Company's business planning and budgeting activities for the fiscal year ending September 30, 2016, management expects net revenue growth of 3% to 5% on a constant currency basis, a net revenue range of $195 to $200 million, and per share diluted earnings to be between $0.86 and $0.90. The per share estimates assume an increase in average diluted shares outstanding from approximately 42.1 million at fiscal 2015 year end to 42.2 million at fiscal 2016 year end. The net revenues and earnings guidance provided in this press release is from expected internal growth and does not include net revenue from new products expected to be launched in 2016, or the impact of any acquisitions the Company might complete during fiscal 2016.

Management expects net revenue and earnings for fiscal year 2015 to be near the low end of the guidance range which is $193 million for net revenues, and $0.85 per share diluted earnings. The impact of foreign currency exchange rates assumed in our guidance versus those actually experienced, is estimated to have had a negative impact of over $3 million on net revenues.

John A. Kraeutler, Chairman and Chief Executive Officer, stated "In recent years our business has grown modestly, primarily by driving menu and market share for our illumigene^® molecular platform and by expanding our Life Science unit via new product offerings and broadened global reach, offset by slower growth in our traditional immunoassay revenues. The recent FDA clearance to market for illumigene HSV I and II, plus the anticipated launch of illumigene Malaria in the first half of 2016, further strengthen the appeal of illumigene as a valuable multiple assay molecular platform for our expanding customer base.

Further, Meridian's overall performance has been impacted by negative currency rates and continued strategic investments to maintain our scientific leadership. We continue to produce industry-leading return on investment and strong free cash flow. We are comfortable with our annual dividend rate. In fiscal 2016, we anticipate continued organic growth rates in the low to middle single-digit range. Clearly, as we have stated recently, we are committed to using our unleveraged financial condition to effect transactions that will add strategic growth to our business."

FORWARD-LOOKING STATEMENTS

The Private Securities Litigation Reform Act of 1995 provides a safe harbor from civil litigation for forward-looking statements accompanied by meaningful cautionary statements. Except for historical information, this report contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, which may be identified by words such as "estimates", "anticipates", "projects", "plans", "seeks", "may", "will", "expects", "intends", "believes", "should" and similar expressions or the negative versions thereof and which also may be identified by their context. All statements that address operating performance or events or developments that Meridian expects or anticipates will occur in the future, including, but not limited to, statements relating to per share diluted earnings and revenue, are forward-looking statements. Such statements, whether expressed or implied, are based upon current expectations of the Company and speak only as of the date made. Specifically, Meridian's forward-looking statements are, and will be, based on management's then-current views and assumptions regarding future events and operating performance. Meridian assumes no obligation to publicly update or revise any forward-looking statements even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized. These statements are subject to various risks, uncertainties and other factors that could cause actual results to differ materially, including, without limitation, the following:

Meridian's continued growth depends, in part, on its ability to introduce into the marketplace enhancements of existing products or new products that incorporate technological advances, meet customer requirements and respond to products developed by Meridian's competition, and its ability to effectively sell such products. While Meridian has introduced a number of internally developed products, there can be no assurance that it will be successful in the future in introducing such products on a timely basis. Meridian relies on proprietary, patented and licensed technologies, and the Company's ability to protect its intellectual property rights, as well as the potential for intellectual property litigation, would impact its results. Ongoing consolidations of reference laboratories and formation of multi-hospital alliances may cause adverse changes to pricing and distribution. Recessionary pressures on the economy and the markets in which our customers operate, as well as adverse trends in buying patterns from customers can change expected results. Costs and difficulties in complying with laws and regulations, including those administered by the United States Food and Drug Administration, can result in unanticipated expenses and delays and interruptions to the sale of new and existing products. The international scope of Meridian's operations, including changes in the relative strength or weakness of the U.S. dollar and general economic conditions in foreign countries, can impact results and make them difficult to predict. One of Meridian's growth strategies is the acquisition of companies and product lines. There can be no assurance that additional acquisitions will be consummated or that, if consummated, will be successful and the acquired businesses will be successfully integrated into Meridian's operations. There may be risks that acquisitions may disrupt operations and may pose potential difficulties in employee retention and there may be additional risks with respect to Meridian's ability to recognize the benefits of acquisitions, including potential synergies and cost savings or the failure of acquisitions to achieve their plans and objectives. Meridian cannot predict the possible impact of U.S. health care legislation enacted in 2010 – the Patient Protection and Affordable Care Act, as amended by the Health Care and Education Reconciliation Act – and any modification or repeal of any of the provisions thereof, and any similar initiatives in other countries on its results of operations. Efforts to reduce the U.S. federal deficit, breaches of Meridian's information technology systems and natural disasters and other events could have a materially adverse effect on Meridian's results of operations and revenues. In addition to the factors described in this paragraph, Part I, Item 1A Risk Factors of our Form 10-K contains a list and description of uncertainties, risks and other matters that may affect the Company.

Meridian is a fully integrated life science company that develops, manufactures, markets and distributes a broad range of innovative diagnostic test kits, purified reagents and related products and offers biopharmaceutical enabling technologies. Utilizing a variety of methods, these products and diagnostic tests provide accuracy, simplicity and speed in the early diagnosis and treatment of common medical conditions, such as gastrointestinal, viral and respiratory infections. Meridian's diagnostic products are used outside of the human body and require little or no special equipment. The Company's products are designed to enhance patient well-being while reducing the total outcome costs of health care. Meridian has strong market positions in the areas of gastrointestinal and upper respiratory infections, serology, parasitology and fungal disease diagnosis. In addition, Meridian is a supplier of rare reagents, specialty biologicals and related technologies used by biopharmaceutical companies engaged in research for new drugs and vaccines. The Company markets its products and technologies to hospitals, reference laboratories, research centers, diagnostics manufacturers and biotech companies in more than 70 countries around the world. The Company's shares are traded on the NASDAQ Global Select Market, symbol VIVO. Meridian's website address is www.meridianbioscience.com.

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