SAN JOSE, Calif. – July 22, 2008 – LogicVision, Inc. (NASDAQ: LGVN), a leading provider of semiconductor built-in-self-test (BIST) and diagnostic solutions, today announced its financial results for the second quarter of 2008, ended June 30, 2008.
Second Quarter 2008 Results
Revenues in the second quarter of 2008 were $3.0 million, compared with $3.0 million in the first quarter of 2008.
Net loss in the second quarter of 2008 was $1.0 million, or $0.10 per share, compared with a net loss of $1.3 million, or $0.13 per share, reported in the first quarter of 2008.
Gross margins in the second quarter were 73 percent, compared with 72 percent in first quarter of 2008.
Operating expenses were $3.3 million in the second quarter, including $116,000 of stock-based employee compensation charges in accordance with SFAS 123 (R). This compares with $3.4 million of operating expenses in the first quarter of 2008, including $177,000 of stock-based employee compensation charges in accordance with SFAS 123(R).
At June 30, 2008 LogicVision had $6.2 million in cash, cash equivalents and investments, compared with $7.4 million at March 31, 2008. The company has no outstanding bank debt.
New orders received during the second quarter totaled $7.1 million. The Company exited the second quarter with a 12-month backlog of $10.5 million, compared with a 12-month backlog of $10.1 million at the end of the first quarter. The Company’s total backlog is greater than $22 million.
“The second quarter of 2008 was another good quarter. Our revenues, net loss and cash position were in line with the guidance we gave in April, and our bookings were $7.1 million,†said James T. Healy, president and CEO of LogicVision. “The new orders came from 15 customers and included a sizeable renewal from an existing major customer as well as a first-time order from a new customer that could potentially grow into a bigger account. This quarter’s bookings combined with $10.5 million of new orders in the first quarter gives us a total of $17.6 million of new orders in the first half of 2008 -- making it the highest six-month booking period in the company’s history.â€
“LogicVision’s high quality, quick time to market and cost effective solutions continue to make inroads into the automotive, storage and consumer market segments. Despite the end-market softness, we are seeing increased design starts in these areas, which is where our products are being used. Some companies are interested in our solutions because we can help them to reduce their overall production costs, and others are particularly focused on our ability to help them deliver a high quality product. Overall, our potential market is growing and customers are increasingly receptive to our value proposition of helping them deliver high quality, differentiated products in a timely manner and with low comparable costs. As a result, we continue to believe that we are on track to record solid year-over-year revenue growth,†said Mr. Healy.
Guidance for the Third Quarter of 2008
• Revenues are expected to be in the range of $3.0 million to $3.2 million.
• Net loss is expected to be in the range of $600,000 to $800,000, or a net loss in the range of $0.06 to $0.08 per share.
Financial Tables
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Conference Call
LogicVision will broadcast its conference call discussion of second quarter of 2008 financial results today, July 22, 2008 at 2 p.m. Pacific time. To listen to the call, please dial 888-390-0689, pass code: “LogicVision.†A taped replay will be made available approximately one hour after the conclusion of the call and will remain available for one week. To access the replay, dial 402-530-7970. The LogicVision financial results conference call will be available via a live web cast on the investor relations section of the company’s web site at http://www.logicvision.com. An archived web cast of the call will be available at http://www.logicvision.com for one year.