LogicVision Reports Second Quarter 2007 Financial Results

PRNewswire-FirstCall via COMTEX News Network/ -- LogicVision, Inc. (Nasdaq: LGVN), a leading provider of silicon test and yield learning solutions, today announced its financial results for the second quarter ended June 30, 2007.

Second Quarter 2007 Results

Revenues in the second quarter of 2007 were $3.1 million, up 17 percent from $2.6 million in the first quarter of 2007.

Net loss in the second quarter of 2007 was $1.1 million, or $0.05 per share, compared with a net loss of $1.2 million, or $0.05 per share, reported in the first quarter of 2007.

Gross margins in the second quarter were 75 percent, up from 71 percent in first quarter of 2007.

Operating expenses were $3.6 million in the second quarter, including $357,000 of stock-based employee compensation charges in accordance with SFAS 123 (R). This compares with $3.2 million of operating expenses in the first quarter of 2007, including $170,000 of stock-based employee compensation charges in accordance with SFAS 123(R).

At June 30, 2007, LogicVision had $7.0 million in cash, cash equivalents and investments, compared with $7.1 million at March 31, 2007. The company has no bank debt.

New orders received during the second quarter totaled $2.3 million. The company exited the second quarter with a 12-month backlog of $8.2 million, compared with a 12-month backlog of $8.6 million at the end of the first quarter.

“We are very pleased that revenues exceeded our guidance in the second quarter, growing 17 percent sequentially, and that our net loss was the smallest we’ve achieved since 2001. We are also pleased to have maintained our cash balance at about $7 million, which exceeded our guidance by more than 40 percent,” said James T. Healy, president and CEO of LogicVision.

“During the third quarter of 2007, we expect to start more evaluations with both new and existing customers. In addition to potential new business, we expect to benefit from several renewals from significant customers in the second half of the year. With our expanded product offering, unique position to capitalize on the captive market and partnerships with key EDA and ATE companies, we are ready to meet the increasing demand for BIST solutions,” said Mr. Healy.

Guidance for the Third Quarter of 2007

-- 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 $900,000 to $1.1 million, or a net loss in the range of $0.04 to $0.05 per share.
-- Cash, cash equivalents and investments are expected to be approximately $6 million at the end of the third quarter.