INC raises its 2015 expectations after another strong quarter

CRO INC Research ($INCR) posted another quarter of double-digit revenue growth, lifting its 2015 guidance for the second time to account for a jump in new business.

Second-quarter revenue came in at $227.4 million, the company said, a 14.2% increase over the same period last year that INC attributes to growth in CNS, oncology and other complex therapeutic areas. Net income totaled $23.3 million, or 39 cents per share, a roughly 53% jump over the second quarter of 2014.

Now the CRO is again increasing its expectations, forecasting between $900 million and $910 million in 2015 revenue, a roughly 2% increase over its previous guidance. INC expects full-year earnings per share to amount to between $1.44 and $1.60, a 23% increase over 2014 at midpoint.

To come through on those goals, INC will look to its $1.7 billion backlog. The company brought in $295.9 million in new business last quarter, nearly tripling its haul in Q2 of 2014 and clocking a book-to-bill ratio of 1.3.

"On the customer front, we continue to see strong repeat business while winning new awards from new customers with novel molecules exploring innovative approaches for patients," CEO Jamie Macdonald said in a statement. "Our launch during the quarter of the CRO industry's first site advocacy group has been highly successful with positive customer feedback, holding significant potential to improve the way in which clinical trials are conducted in the future."

- read the results