SPOKANE, Wash., October 16, 2002 -- Itron Inc. Wednesday reported its financial results for the quarter ended September 30, 2002. Third quarter revenues of $73.1 million were 20% higher than third quarter 2001 revenues, and were a new record, slightly exceeding the record set last quarter of $72.4 million.
Year-to-date revenues of $207.6 million were up 29% over 2001. Net income for the third quarter of 2002 was $6.0 million, a 53% increase from $3.9 million in net income in 2001. The slight decrease in net income from $6.3 million in the prior quarter results primarily from an $841,000 pretax gain from the sale of a facility included in second quarter 2002 results.
Year-to-date 2002 net income of $9.3 million was up only slightly from 2001 due to a $7.2 million pretax IPR&D charge related to the acquisition of LineSoft in the first quarter of 2002. Pro forma net income for the third quarter was $6.4 million compared with $4.1 million in 2001, while year-to-date pro forma net income of $17.5 million was double that in the first nine months of 2001.
Pro forma results exclude in-process R&D charges, intangible asset amortization expenses and restructuring charges. Diluted earnings per share (EPS) for the quarter was 27 cents, a 29% increase from third quarter 2001, and compares with 28 cents in the previous quarter.
Pro forma EPS was 29 cents for the quarter compared with 23 cents for the third quarter of 2001 and 29 cents in the previous quarter. Year-to-date EPS in 2002 of 45 cents compares with 49 cents in 2001, with the lower 2002 EPS reflecting the above IPR&D charge. Pro Forma EPS for the first nine months of 2002 was 82 cents, up 64% from 50 cents in 2001.
"With three quarters of 2002 behind us, we are well on our way to producing another outstanding year in terms of financial results," commented LeRoy Nosbaum, Itron Chairman and CEO. "With tightening budgets, utilities are keenly interested in saving money and improving service, which is good for Itron. Helping our customers collect metering-based data in the most reliable and efficient manner is Itron's core competency and will continue to be a critical part of our business for some time to come. "
About Itron: Itron is a technology provider and critical source of knowledge to the global energy and water industries. More than 2,000 utilities worldwide rely on Itron technology to deliver the knowledge they require to optimize the delivery and use of energy and water.
Itron clients use this knowledge to run their businesses more efficiently, reliably and profitably, to strengthen connectivity to their customers, and to meet the new business requirements of deregulated energy markets. Itron's solution portfolio includes automatic meter reading systems to meet the requirements of all customer classes and service environments; web-enabled workforce management solutions; as well as transmission and distribution system design solutions and services.
Itron also provides advanced software solutions and consulting services for collection, analysis and application of load profile data, including enterprise-wide data access, data warehousing, load research, complex billing and settlement, and web-based data access and exchange. To know more, visit: www.itron.com.
