OmniVision Reports Financial Results for First Quarter of Fiscal 2009

SANTA CLARA, Calif. , Aug. 28 /PRNewswire-FirstCall/ -- OmniVision Technologies, Inc. (Nasdaq: OVTI), a leading supplier of CMOS image sensors, today reported financial results for the first fiscal quarter ended July 31, 2008 . Revenue...


SANTA CLARA, Calif. , Aug. 28 /PRNewswire-FirstCall/ -- OmniVision Technologies, Inc. (Nasdaq: OVTI), a leading supplier of CMOS image sensors, today reported financial results for the first fiscal quarter ended July 31, 2008 .

Revenue for the first quarter of fiscal 2009 was $174.3 million, as compared to $169.0 million in the fourth quarter of fiscal 2008, and $173.1 million in the first quarter of fiscal 2008. GAAP net income in the first quarter of fiscal 2009, which includes stock-based compensation expense and the related tax effects under FAS 123(R), was $6.2 million, or $0.12 per diluted share, as compared to $9.1 million, or $0.17 per diluted share, in the fourth quarter of fiscal 2008, and $13.0 million, or $0.23 per diluted share in the first quarter of fiscal 2008.

Non-GAAP net income in the first quarter of fiscal 2009, which excludes stock-based compensation expense and the related tax effects under FAS 123(R), was $12.8 million and non-GAAP earnings were $0.25 per diluted share. Non-GAAP net income in the first quarter of fiscal 2008, which excludes stock-based compensation expense and the related tax effects under FAS 123(R), was $19.7 million and non-GAAP earnings were $0.35 per diluted share. Refer to the attached schedule for a reconciliation of GAAP net income to non-GAAP net income for the three months ended July 31, 2008 and 2007.

Gross margin for the first quarter of fiscal 2009 was 25.2%, as compared to 27.2% for the fourth quarter of fiscal 2008 and 23.4% for the first quarter of fiscal 2008. The decrease in gross margin resulted primarily from lower average selling prices and a less favorable product mix than in the fourth quarter of fiscal 2008.

The Company ended the period with cash, cash equivalents and short-term investments totaling $279.4 million, an increase of $10.1 million from the previous quarter. The increase reflects favorable cash flow from operations during the quarter.

CFO Retirement

OmniVision announced today that its chief financial officer, Peter V. Leigh , has informed the Company of his intention to retire, effective September 30, 2008 . Mr. Leigh will remain affiliated with the Company as a consultant until the close of the fiscal year ending April 30, 2009 .

"OmniVision would like to thank Peter for his service and contributions to the Company over the past four years, and wish him the very best in the years ahead. He will be missed," said Shaw Hong, OmniVision's president and chief executive officer.

In conjunction with Mr. Leigh's retirement, the Company also announced that it has appointed Anson Chan , OmniVision's vice president of finance, to the position of chief financial officer, effective October 1, 2008 . Mr. Chan brings to the role more than 15 years of finance and engineering experience. Mr. Chan originally joined OmniVision in July 2006 . In the past two years, he has played a key part in the Company's efforts to lower its product costs and in leading the implementation of the Company's new Oracle-based ERP system. Mr. Chan has also played an integral part in leading and developing a global finance team. Prior to joining OmniVision, Mr. Chan served, among other roles, as a senior manager at PwC, including four years on the OmniVision engagement, and provided guidance on multiple IPOs, Sarbanes-Oxley projects and financial statement processes. Mr. Chan is a C.P.A. and holds a M.B.A. in Business Strategy and Operations Management from the University of Chicago. He also has a B.S. in Economics and a B.S. in Engineering from the University of Pennsylvania.

"Anson brings impressive financial experience to the position of chief financial officer," said Mr. Hong. "Anson has been a valuable addition to OmniVision's finance team and we look forward to seeing him use his skills and talent in this new position to lead and manage our entire finance organization.

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