EXHIBIT 99.1
Ophthalmic Imaging Systems Announces Record Second Quarter Results
Company Reports 22.7% Increase in Revenues and 65.9% Increase in Net Income
Compared to Second Quarter of 2004
15th Consecutive Profitable Quarter
SACRAMENTO, Calif.--(BUSINESS WIRE)--July 27, 2005--Ophthalmic Imaging Systems
(OIS) (OTCBB:OISI - News) today reported record financial results for the second
quarter ended June 30, 2005.
The Company reported net revenues of $2,950,000 for the second quarter of 2005
compared with net revenues of $2,403,000 for the second quarter of 2004, an
increase of 22.7%. Net income for the second quarter of 2005 climbed 65.9% to
$406,000 or $0.03 earnings per basic and diluted share, compared with net income
of $245,000, or $0.02 earnings per basic and diluted share, for the second
quarter of 2004.
For the first six months of 2005, the Company reported net revenues of
$5,790,000 compared with net revenues of $4,800,000 for the first six months of
2004, an increase of 20.6%. Net income for the first six months of 2005 climbed
52.8% to $740,000, or $0.05 earnings per basic and diluted share, compared with
net income of $484,000, or $0.03 earnings per basic and diluted share, for the
first six months of 2004.
"We are pleased to report that OIS has delivered another quarter of strong
financial results, driven by continued sales growth of our digital imaging and
our informatics products," stated Gil Allon, Chief Executive Officer of the
Company. "We continue to execute our aggressive growth strategy which has lead
to increased sales and sustainable earnings."
Mr. Allon concluded, "Our focus on technical innovation with advanced new
products such as our WinStation 3200(TM) and Ophthalmology Office(TM) continues
to strengthen our sales and sustain OIS as a leading provider of digital imaging
systems and informatics solutions for the eye-care field. Our strong growth
provides shareholders with expanding returns and cash flow."
About Ophthalmic Imaging
Systems Ophthalmic Imaging Systems, a majority-owned subsidiary of MediVision,
is the leading provider of ophthalmic digital imaging systems. The Company
designs, develops, manufactures and markets digital imaging systems and
informatics solutions for the eye care market. With over twenty years in the
ophthalmic imaging business, the Company has consistently introduced new,
innovative technology. The Company, together with MediVision, co-market and
support their products through an extensive network of dealers, distributors,
and direct representatives.
OPHTHALMIC IMAGING SYSTEMS
Selected Financial Data
Condensed Statements of Operations
THREE MONTHS ENDED SIX MONTHS ENDED
JUNE 30, JUNE 30,
----------------------------- -----------------------------
2005 2004 2005 2004
------------ ------------ ------------ ------------
(UNAUDITED) (UNAUDITED) (UNAUDITED) (UNAUDITED)
NET REVENUES $ 2,949,579 $ 2,403,040 $ 5,789,604 $ 4,800,109
------------ ------------ ------------ ------------
COST OF SALES 1,210,145 914,399 2,376,013 1,871,945
------------ ------------ ------------ ------------
GROSS PROFIT 1,739,434 1,488,641 3,413,592 2,928,164
SALES AND MARKETING 686,390 696,325 1,414,395 1,356,007
GENERAL AND
ADMINISTRATIVE 325,636 258,340 638,632 505,805
RESEARCH AND
DEVELOPMENT 265,404 229,950 507,812 477,186
------------ ------------ ------------ ------------
TOTAL OPERATING
EXPENSES 1,277,430 1,184,615 2,560,839 2,338,998
------------ ------------ ------------ ------------
INCOME FROM OPERATIONS 462,004 304,026 852,753 589,166
INTEREST AND OTHER
EXPENSE, NET (51,029) (59,342) (103,618) (104,667)
------------ ------------ ------------ ------------
NET INCOME BEFORE
INCOME TAXES 410,975 244,684 749,135 484,499
INCOME TAXES (5,024) -- (9,024) --
------------ ------------ ------------ ------------
NET INCOME $ 405,951 $ 244,684 $ 740,111 $ 484,499
============ ============ ============ ============
INCOME PER BASIC SHARE $ 0.03 $ 0.02 $ 0.05 $ 0.03
============ ============ ============ ============
SHARES USED IN THE
CALCULATION OF NET
INCOME PER BASIC
SHARE 15,071,607 14,639,300 15,056,374 14,537,924
============ ============ ============ ============
INCOME PER DILUTED
SHARE $0.03 $0.02 $0.05 $0.03
============ ============ ============ ============
SHARES USED IN THE
CALCULATION OF NET
INCOME PER DILUTED
SHARE 16,136,823 15,700,475 16,229,367 15,583,163
============ ============ ============ ============
Statements in this press release which are not historical data are
forward-looking statements which involve known and unknown risks, uncertainties,
or other factors not under the Company's control, which may cause actual
results, performance, or achievements of the Company to be materially different
from the results, performance, or other expectations implied by these
forward-looking statements. These factors include, but are not limited to, those
detailed in the Company's periodic filings with the Securities and Exchange
Commission.
Contact:
Ophthalmic Imaging Systems
Gil Allon, CEO, 916-646-2020
Ariel Shenhar, CFO, 916-646-2020
or
KCSA Worldwide
Todd Fromer, 212-896-1215 (Investor Relations)
Garth Russell, 212-896-1250 (Investor Relations)