FREMONT, CA — Oplink Communications, Inc. (Nasdaq: OPLK), a leading provider of photonic components, intelligent modules, and subsystem solutions, today reported its financial results for its fourth quarter and fiscal year ended June 30, 2008.
For the fourth quarter of fiscal 2008, Oplink reported consolidated revenues of $37.3 million, as compared to $37.2 million reported for the fourth quarter of 2007. Consolidated net loss for the fourth quarter of fiscal 2008, calculated in accordance with accounting principles generally accepted in the United States ("GAAP"), was $791,000, or ($0.04) per share. This compares to GAAP net income of $3.0 million, or $0.13 per diluted share, reported for the fourth quarter of fiscal 2007.
Consolidated non-GAAP net income for the fourth quarter of fiscal 2008 was $2.8 million, or $0.13 per diluted share, which excludes approximately $891,000 of inventory adjustments, $451,000 in transitional costs for contract manufacturing, a benefit of $69,000 for impairment charge and other costs, $1.4 million in stock-based compensation expense, and $961,000 in amortization of intangible assets. This compares to non-GAAP net income of $5.6 million, or $0.24 per diluted share, reported for the fourth quarter of fiscal 2007, which excludes $216,000 in transitional costs for contract manufacturing, $1.5 million in merger fees, $1.5 million in stock-based compensation expense, and $242,000 in amortization of intangible assets, and the benefit of $850,000 in minority interest.
Oplink generated $4.1 million in cash from operations and closed the fourth quarter with cash, cash equivalents and investments of $142.1 million, up from $138.3 million held at the close of the third quarter of fiscal 2008.
"We are pleased to report revenue slightly above the outlook we provided last quarter, improved gross margins and increased operating efficiencies in the fourth quarter," commented Joe Liu, president and CEO of Oplink. "We had good sales activity for our passive components through our traditionally large customers and are building our pipeline for future periods. Demand for our active components was strong and, with our offshore manufacturing transition nearly completed, we are now shifting our focus to customer interactions and design win activities. We remain confident in the long-term opportunity for the consolidated business as we move into fiscal year 2009."
The Company also announced that its Board of Directors has approved a new repurchase program, authorizing the Company to repurchase up to $20 million of its common stock. Repurchases under the program will be made in open market or privately negotiated transactions in compliance with Securities and Exchange Commission Rule 10b-18, subject to market conditions, applicable legal requirements and other factors. The repurchase program does not require the Company to acquire a specific number of shares, and may be suspended from time to time or discontinued. The share repurchases will be funded from available working capital. There is no fixed termination date for the repurchase program.
"We believe this share repurchase program communicates our long-term confidence in our business and is a good use of our capital at this time," Liu concluded.
In a separate release:
FREMONT, CA — Oplink Communications, Inc. (Nasdaq:OPLK), a leading provider of photonic components, intelligent modules, and subsystem solutions, today announced that Joe Liu will resign the position of CEO of the Company, effective December 31, 2008, and will assume the position of Executive Vice Chairman. At that time, the Company will appoint Thomas P. Keegan, the Company's President, as CEO. Mr. Len LeBlanc will remain Chairman of the Board.
Thomas Keegan was appointed President of Oplink in May after serving as its Vice President of Business Development and General Counsel over the past year. His career spans more than two decades in business and law, and includes broad experience working with and advising technology companies and international enterprises doing business in Asia and the United States. Speaking fluent Mandarin, he has extensive first-hand knowledge of the challenges and opportunities facing technology companies operating in Taiwan and China.
"Tom has been a key player on our management team over the past year," commented Joe Liu. "He has demonstrated enormous ability to lead our management team to new levels of success. I have great confidence in the future of Oplink with Tom as the CEO."
Oplink also announced that, effective immediately, Peter Lee, the Company's Vice President of Marketing, PLM and Strategic Planning, has been promoted to the position of Chief Operating Officer. "Peter's extensive knowledge of our technology, his deep understanding of trends in our market and his excellent management skills will make him a superb COO, and will help lead us to new heights," said Joe Liu.
In addition, Oplink announced that Dr. Shawn Lin, Senior Director of Technical Marketing and Customer Support, has been promoted to fill the position of Vice President of Marketing. "Shawn has been a major contributor to the success of our OMS business," said Joe Liu, "and his exceptional technical and business knowledge will make him a great asset as our V.P. of Marketing. With the promotions of Peter and Shawn, we will build on our leadership positions in our core business lines of passive components, OMS and transceivers."
Source: Oplink