AltiGen Communications, Inc. Reports Fourth Quarter and Fiscal Year 2011 Financial Results
Nov 16, 2011
OTC Disclosure News Service
San Jose, CA –
Revenue for Fourth Fiscal Quarter and Full Year 2011 Increases by 13% and 7%, Respectively, Compared to Fourth Fiscal Quarter and Full Year 2010
San Jose, CA – November 16, 2011 – AltiGen Communications, Inc. (OTCQX: ATGN) (PINKSHEETS: ATGN), the leading provider of integrated Microsoft-based Unified Communications solutions, announced today its financial results for the fourth quarter and fiscal year ended September 30, 2011.
Fiscal Year 2011 Fourth Quarter Performance
Revenue for the fourth quarter of fiscal year 2011 was $4.3 million, in comparison to $3.8 million for the fourth quarter of fiscal year 2010, an increase of 13.2%. During the fourth quarter of fiscal 2011, net loss from operations was $861,000, or a loss of $0.05 per share, compared to a net loss of $638,000, or a loss of $0.04 per share, for the fourth quarter of fiscal year 2010.
Gross margin for the fourth quarter of fiscal year 2011 was 64.2%, down from 67.4% in the fourth quarter of fiscal year 2010. Operating expenses were $3.7 million for the fourth quarter of fiscal year 2011, an increase of 12.1% from $3.3 million in the fourth quarter of fiscal year 2010. This increase was primarily attributable to increased research and development expenses. RD expenditures increased 33% to $1.6 million in fiscal 2011, compared to $1.2 million, for fiscal 2010. These increases were driven almost entirely by increased costs to support new product development initiatives.
Fiscal Year 2011 Full Year Performance
For the twelve months ended September 30, 2011, revenue was $17.7 million, compared to $16.6 million for fiscal 2010, an increase of $1.1 million or 6.6%. For fiscal 2011, net loss from operations was $2.7 million, or a loss of $0.16 per share, compared to a net loss of $1.7 million, or a loss of $0.10 per share, for fiscal 2010.
Gross margin was 65.9% for the twelve-month period of fiscal 2011, compared to 67.0% in the comparable period last year. Operating expenses were $14.4 million for fiscal year 2011, an increase of 11.6% from fiscal year 2010. This increase was primarily attributable to increased research and development expenses. RD expenditures increased 35% to $6.2 million in fiscal 2011, compared to $4.6 million, for fiscal 2010. These increases were driven almost entirely by increased costs to support new product development initiatives.
The company ended 2011 with a cash and cash equivalents balance of $4.3 million.
“During the course of the past year we made substantial investments in new product development. As a result, these products have us well positioned in the market,” said Jeremiah Fleming, AltiGen’s president and CEO. “Furthermore, we are committed to achieving revenue growth and sustainable profitability in 2012 and beyond.”
AltiGen will be discussing its financial results and outlook on a conference call today at 2:00 p.m. Pacific Time (5:00 p.m. ET). The conference call can be accessed by dialing (877) 407-8031 (domestic) or (201) 689-8031 (international). A live webcast will also be made available at http://www.altigen.com. To access the replay, dial (877) 660-6853 (domestic) or (201) 612-7415 (international), account #286 conference ID #382731. 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. (PINKSHEETS: ATGN) (OTCQX: ATGN) is a leading provider of 100% 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
The Forward-looking statements contained in this press release are based upon the Company’s current expectations, beliefs, plans and assumptions, which are subject to a number of risks and uncertainties including, but not limited to: statements regarding the continued market acceptance of our 100 percent Microsoft-based business phone systems; market acceptance of the Company’s new products and achieving revenue growth and sustainable profitability in 2012 and beyond. Actual results in future periods are subject to risks and uncertainties that could cause actual results to differ materially from those projected.
The forward-looking statements contained in this press release are also subject to other risks and uncertainties, including those more fully described in AltiGen’s filings with the Securities and Exchange Commission, including our annual report filed on Form 10-K for the fiscal year ended September 30, 2010. Since these statements involve risks and uncertainties and are subject to change at any time, the Company’s actual results could differ materially from expected results. Forward-looking statements speak only as of the date the statement was made. The Company does not undertake any obligation to update any forward-looking statements.
Chief Financial Officer
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