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More income for ICON

ICON has reported that its profits have increased by 10 percent over the first three months of 2012 compared to the same period in 2011.

The Dublin company, with has been operating in the U.S. since 1992, posted a net revenue of $252.3 million compared to $229.3 twelve months ago.

Operating income was $11.7 million representing 4.6 percent of revenue, this compared to $16.0 million (excluding non-recurring items of $5 million) or seven per cent of revenue for the same quarter last year (4.8 per cent including non-recurring items).

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Net income dropped to $9 million compared with $12.8 million last year (excluding non-recurring items) or 15 cents per share compared to 21 cents in the same quarter last year (14 cents including non-recurring items).

The company also expended $1.4 million on a stock repurchase program. As a result, the company's net cash amounted to $186.0 million at March 31, 2012 compared to $174.2 million of net cash at December 31, 2011.

For the quarter ended March 31, 2012 cash provided by operating activities was $60.6 million and capital expenditure was $6.5 million. In addition, the company invested $48.6 million on the acquisitions of Beijing Wits Medical Consulting Ltd and PriceSpective LLC.

Commenting on the results, Chief Executive Officer, Ciaran Murray, said: "We continue to see the benefits of our strategic investment decisions, with record gross business wins of $485 million, resulting in a backlog increase of 23 per cent year on year, revenue of $252 million up 10 per cent on last year and earnings of 15 cents."

ICON is a global provider of outsourced development services to the pharmaceutical, biotechnology and medical device industries. From an initial staff of five when it was formed in the Irish capital in 1990, ICON now employs over 8,300 people worldwide with offices in 38 countries.

It's U.S. office opened in Philadelphia in 1992 and in 2000 the acquired the Central Laboratory in New York. It now has a base in 15 U.S. cities and it is this expansion which has helped the company to flourish.