OmniVision Reports Financial Results for Fourth Quarter and Fiscal 2008

SUNNYVALE, Calif. , May 29 /PRNewswire-FirstCall/ -- OmniVision Technologies, Inc. (Nasdaq: OVTI), a leading supplier of CMOS image sensors, today reported financial results for the fiscal fourth quarter and fiscal year ended April 30, 2008...


SUNNYVALE, Calif. , May 29 /PRNewswire-FirstCall/ -- OmniVision Technologies, Inc. (Nasdaq: OVTI), a leading supplier of CMOS image sensors, today reported financial results for the fiscal fourth quarter and fiscal year ended April 30, 2008 .

Revenues for the fourth quarter of fiscal 2008 were $169.0 million, compared to $224.9 million in the third quarter of fiscal 2008, and $119.2 million in the fourth quarter of fiscal 2007. GAAP net income in the fourth quarter of fiscal 2008 was $9.1 million, or $0.17 per diluted share, compared to $22.5 million, or $0.40 per diluted share, in the third quarter of fiscal 2008, and a GAAP net loss of $1.5 million, or $(0.03) per share in the fourth quarter of fiscal 2007.

Non-GAAP net income in the fourth quarter of fiscal 2008, which excludes stock-based compensation expense and the related tax effects under FAS 123(R), was $14.3 million and non-GAAP earnings were $0.27 per diluted share, compared to $31.1 million and non-GAAP earnings of $0.55 per diluted share in the third quarter of fiscal 2008. Similarly, non-GAAP net income in the fourth quarter of fiscal 2007 was $3.1 million and non-GAAP earnings were $0.06 per diluted share.

Revenues for the fiscal year ended April 30, 2008 were $799.6 million, compared to $528.1 million in fiscal 2007. GAAP net income for fiscal 2008 was $65.1 million, or $1.19 per diluted share, compared to net income of $24.0 million, or $0.43 per diluted share, in fiscal 2007.

Non-GAAP net income for fiscal 2008, which excludes stock-based compensation expense and the related tax effects, was $94.3 million and non-GAAP earnings were a record $1.69 per diluted share. Non-GAAP net income for fiscal 2007, which excludes stock-based compensation expense, litigation settlement expense and the related tax effects, was $52.1 million and non-GAAP earnings were $0.93 per diluted share. Refer to the attached schedule for a reconciliation of GAAP net income/(loss) to non-GAAP net income for the three and twelve months ended April 30, 2008 and 2007.

Gross margin for the fourth quarter of fiscal 2008 was 27.2%, compared to 27.1% for the third quarter of fiscal 2008 and 22.3% for the fourth quarter of fiscal 2007.

The Company ended the fiscal year with cash, cash equivalents and short-term investments totaling $269.3 million, a decrease of $94.0 million from the previous quarter. The decrease includes approximately $74.7 million in cash used for the repurchase of the Company's common stock.

"Although revenues for our fourth quarter were somewhat weaker during our seasonally slow period of the year than we had expected, we finished off a stellar year in which our revenues grew by more than 50%," said Shaw Hong, OmniVision's president and chief executive officer. "In the coming year, we will continue our focus on developing new technology, strong marketing, delivery of volume production and the highest quality of service to our customers," Mr. Hong concluded.

Outlook

Based on current trends, the Company expects fiscal first quarter 2009 revenues will be in the range of $170 million to $190 million and earnings will be between $0.14 and $0.27 per share, on a diluted basis. Excluding the estimated expense and related tax effects associated with stock-based compensation in accordance with FAS 123(R), the Company expects its non-GAAP net income will be in the range of $0.27 to $0.40 per diluted share. Refer to the table below for a reconciliation of GAAP to non-GAAP net income.

Conference Call

OmniVision Technologies will host a conference call today at 2:00 p.m. Pacific Time to discuss further these results. This conference call can be accessed via a webcast at http://www.ovt.com. The call may also be accessed by dialing 866-510-0711 or 617-597-5379 and indicating passcode 90795567.

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