SOURCE: Photon Dynamics, Inc.

August 13, 2007 06:30 ET

Photon Dynamics Announces Fourth Quarter Revenue Guidance

SAN JOSE, CA--(Marketwire - August 13, 2007) - Photon Dynamics, Inc. (NASDAQ: PHTN), a leading global supplier of integrated yield management solutions for the flat panel display (FPD) market, today announced its revenue guidance for the three months ended September 30, 2007, its fourth fiscal quarter.

Photon Dynamics anticipates revenue of approximately $20 million to $25 million for the three months ended September 30, 2007.

As previously announced, Photon Dynamics has determined that it will restate its historical financial statements in light of the under recording of customs-related expenses, and that as a result, the filing of its Form 10-Q for the quarter ended June 30, 2007 will be delayed. The Company is working to complete the restatement and to make the required SEC filings as promptly as practicable. The Company is proactively working with various custom agencies to settle the potential understated custom amounts. The progress of this work will impact the timing of the SEC filings.

Jeffrey Hawthorne, Chief Executive Officer of Photon Dynamics, said, "While the delay in the filing of the Company's Form 10-Q is a disappointment, we are working to resolve the custom issue as rapidly as possible. As for our business, we see a continued strengthening in the FPD market fundamentals and the manufacturers' investment plans. Photon Dynamics is executing on our plan to expand the Company's market share, to improve gross margin and to reduce operating expense. The Company is also leveraging its core technology to expand into adjacent markets, as evidenced by the recently announced acquisition of Salvador Imaging." Hawthorne concluded, "Our confidence in the fundamentals of the flat panel industry and the Company's long-term prospects remains strong."

The information contained in this release reflects current estimates that are subject to change.

About Photon Dynamics, Inc.

Photon Dynamics, Inc. is a leading global supplier of integrated yield-management solutions for the flat panel display market. Photon Dynamics utilizes advanced digital imaging technology to develop systems that enable flat panel display manufacturers to collect and analyze data from the production line, and quickly diagnose and repair process-related defects, thereby allowing manufacturers to decrease material costs and improve throughput. Founded in 1986, Photon Dynamics is headquartered in San Jose, California with sales and customer support offices in Beijing, China; Seoul, Daejeon, Gumi, and Cheonan, Korea; Hsinchu, Tainan, and Taichung, Taiwan; and Tokyo and Tsu, Japan. For more information about Photon Dynamics, visit its website at .

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995 -- The statements in this press release relating to Photon Dynamics' estimated revenue for the fourth quarter of fiscal 2007 and expected restatement are forward-looking statements. These forward-looking statements are based on current expectations on the date of this press release and involve a number of uncertainties and risks. These uncertainties and risks include, but are not limited to, the risk that current estimates may change, that the Company may not realize its currently expected revenues for the fourth quarter of fiscal 2007, that developments in the FPD market may adversely affect the Company's results, that the Company may not achieve its objectives with respect to the Salvador Imaging acquisition, market share growth, improvement in gross margin or reduction in operating expense and the successful settlement of custom duties. As a result, Photon Dynamics' actual results may differ substantially from expectations. For further information on risks affecting Photon Dynamics, refer to the section entitled "Management's Discussion and Analysis of Financial Condition and Results of Operations" under the caption "Factors Affecting Operating Results" in Photon Dynamics' Annual Report on Form 10-K for the year ended September 30, 2007 as filed with the Securities and Exchange Commission. Photon Dynamics undertakes no obligation to update or revise any forward-looking statements whether as a result of new developments or otherwise.

Contact Information

  • Contacts:

    Photon Dynamics
    Jeffrey Hawthorne
    (408) 360-3561
    Email Contact

    Investors and Media:
    Guerrant Associates
    Laura Guerrant
    (808) 882-1467
    Email Contact