SAN JOSE, CA--(Marketwire - November 18, 2009) - AltiGen Communications, Inc. (
NASDAQ:
ATGN), a
leading provider of 100 percent Microsoft-based VoIP business phone systems
and call center solutions, today reported financial results for its fiscal
2009 fourth quarter and year ended September 30, 2009.
Fourth Quarter Financial Highlights:
-- Revenue increased 20% sequentially to $4.9 million
-- Gross margins improved 3% sequentially to 65.1%
-- Net loss decreased 23% sequentially to $729,000, or a loss
of $0.05 per share
-- P&L cash loss in the quarter decreased to approximately $150,000
Gilbert Hu, AltiGen's CEO, stated, "We achieved sequential revenue growth
for a second consecutive quarter, reflecting the traction we are gaining
with the growing number of larger system opportunities in our business
pipeline and the benefit of an improving economy. In addition, service
plan revenue grew 12% sequentially and we ended the quarter with $2.2
million in deferred revenue. We continue to execute our strategy of moving
upstream in the market and believe we are well positioned with our
enterprise level products that enhance Microsoft's Unified Communications
solution."
Jeremiah Fleming, AltiGen's President and COO, stated, "We achieved a
number of significant milestones during the quarter, as we laid out in our
strategic growth plan. Most notably, we expanded our distribution agreement
with Fiserv to enable them to sell our complete suite of Unified
Communications solutions to their banking customers, in addition to their
credit union customers. In fact, revenue in the quarter from Fiserv
increased 86% over the preceding quarter. Furthermore, during the quarter,
AltiGen became the first vendor to achieve certification as both a gateway
and call center solution for Microsoft Office Communications Server (OCS).
This is a significant step that enables us to formally engage with
Microsoft's field sales force in order to drive business into their growing
OCS customer base.
"Last month, we introduced our MaxCommunications Server (MaxCS) 6.5, which
offers significantly enhanced security, scalability and support for a
variety of 3rd party SIP phones. MaxCS 6.5 now positions us for even
greater traction with those larger enterprises seeking a complete,
software-based Unified Communications solution. As a result of these
accomplishments, we saw improved sales momentum during the quarter and
continued progress engaging larger resellers and customers, as evidenced by
the signing of new strategic reseller partners such as PC Mall and Telecom
Italia, as well as larger customers including General Motors de Mexico and
BUYSEASONS."
Revenue for the fiscal 2009 fourth quarter was $4.9 million, compared to
revenue of $5.1 million in the fourth quarter a year ago and up 20%
sequentially from $4.1 million in the preceding quarter. Gross margin in
the fourth quarter improved to 65.1%, compared to 58.4% a year ago and
62.4% in the preceding quarter. Operating expenses totaled $3.9 million,
compared to $3.9 million a year ago and $3.5 million in the preceding
quarter.
Net loss for the fourth quarter of fiscal 2009 was $729,000, or a loss of
$0.05 per share, compared to a net loss of $810,000, or a loss of $0.05 per
share, in the fourth quarter a year ago and a net loss of $945,000, or a
loss of $0.06 per share, in the preceding quarter. Total cash and cash
equivalents at September 30, 2009 were $7.4 million, unchanged from June
30, 2009.
Phil McDermott, AltiGen's CFO, stated, "Total systems shipments in the
fourth quarter increased 6.5% over the preceding quarter. Sales of large
systems grew 31% sequentially to increase as a percentage of overall
revenue. The continued improvement in margin in the fourth quarter
reflects the more favorable product mix of larger systems along with
increased service plan revenue."
For the fiscal 2009 full-year, revenue was $17.4 million, compared to $18.9
million for fiscal 2008. Net loss for fiscal 2009 was $4.7 million, or a
loss of $0.30, compared to a net loss of $3.9 million, or a loss of $0.25
per share, for fiscal 2008.
Earnings Conference Call
AltiGen will conduct a conference call with investment professionals at
2:00 p.m. Pacific Time (5:00 p.m. ET) today, November 18, 2009 to discuss
AltiGen's results of operations for the fiscal 2009 fourth quarter and
year. Dial (800) 862-9098 (domestic) or (785) 424-1051 (international) to
listen in to the call. The conference call ID is "AltiGen." A live webcast
will also be made available at
www.altigen.com. A telephonic replay will be
available approximately one hour after the call through November 20, 2009.
To access the replay, dial (800) 695-0715 or (402) 220-1423. A web archive
will be made available at
www.altigen.com for 90 days following the call's
conclusion.
About AltiGen Communications
AltiGen Communications, Inc. (
NASDAQ:
ATGN) is a leading provider of 100
percent Microsoft-based VoIP business phone systems and Unified
Communications solutions. Having more than 10,000 customers around the
world, AltiGen solutions are designed for high reliability, ease of use,
seamless integration to Microsoft infrastructure technologies, and are
built on a scalable, open standards platform. AltiGen's worldwide
headquarters is in Silicon Valley, California, with international
operations based in Shanghai, China. Local sales, service and support are
provided by AltiGen's worldwide network of over 300 certified partners. For
more information, call 1-888-ALTIGEN or visit the web site at
www.altigen.com.
Safe Harbor Statement
This press release contains forward-looking statements within the meaning
of Section 21E of the Securities Exchange Act of 1934, including, without
limitation, statements regarding the continued market acceptance of
AltiGen's Voice over IP telephone and call center systems, its ability to
continue to grow its overall revenue along with its Fiserv revenue and
increase its larger systems sales, AltiGen's ability to successfully
integrate with Microsoft's OCS in both a call center environment and as a
gateway, and the successful introduction of its MaxCommunications Server
6.5 solution. These statements reflect management's current expectation.
However, actual results could differ materially as a result of unknown
risks and uncertainties, including but not limited to, risks related to
AltiGen's limited operating history. For a more detailed description of
these and other risks and uncertainties affecting AltiGen's performance,
please refer to AltiGen's Annual Report on Form 10-K for the fiscal year
ended September 30, 2008 and all subsequent current reports on Form 8-K and
quarterly reports on Form 10-Q. All forward-looking statements in this
press release are based on information available to AltiGen as of the date
hereof and AltiGen assumes no obligation to update these forward-looking
statements.
AltiGen Communications, Inc.
Condensed Consolidated Statements of Operations
(Amounts in thousands, except per share data)
(Unaudited)
Fourth Quarter Ended Year Ended
September 30 September 30
---------------------- ----------------------
FY 2009 FY 2008 FY 2009 FY 2008
---------- ---------- ---------- ----------
Net Revenue $ 4,866 $ 5,113 $ 17,385 $ 18,897
Gross profit 3,167 2,985 10,781 10,838
Research and development 1,329 1,129 4,924 4,216
Selling, general &
administrative 2,575 2,746 10,691 10,874
---------- ---------- ---------- ----------
Operating loss (737) (890) (4,834) (4,252)
Interest and other
income,net 8 80 109 315
---------- ---------- ---------- ----------
Net loss before tax (729) (810) (4,725) (3,937)
Provision for income tax - - (15) -
---------- ---------- ---------- ----------
Net loss after tax $ (729) $ (810) $ (4,710) $ (3,937)
========== ========== ========== ==========
Basic and diluted net loss
per share $ (0.05) $ (0.05) $ (0.30) $ (0.25)
Weighted average shares
outstanding 16,137 15,777 15,937 15,745
Condensed Consolidated Balance Sheets
(Amounts in thousands)
(Unaudited)
September September
30, 2009 30, 2008
---------- ----------
Cash and cash equivalents $ 7,397 $ 9,467
Short-term investments - 400
Accounts receivable, net 1,545 2,423
Inventories 1,266 1,594
Other current assets 128 176
Net property and equipment 501 423
Other long-term assets 494 293
---------- ----------
Total Assets $ 11,331 $ 14,776
========== ==========
Current liabilities $ 5,342 $ 5,374
Long-term liabilities 232 105
Stockholders' equity 5,757 9,297
---------- ----------
Total Liabilities and
Stockholders' Equity $ 11,331 $ 14,776
========== ==========