Exhibit 99.1
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OPHTHALMIC IMAGING
SYSTEMS
OPHTHALMIC IMAGING SYSTEMS CONTACTS:
Gil Allon, CEO
221 Lathrop Way, Suite I Ariel Shenhar, CFO
Sacramento, CA 95815 (916) 646-2020
INVESTOR RELATIONS
Todd Fromer / Garth Russell
KCSA Worldwide
212-896-1215 / 212-896-1250
FOR IMMEDIATE RELEASE
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OPHTHALMIC IMAGING SYSTEMS ANNOUNCES
RECORD THIRD QUARTER RESULTS
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Company Reports 58% increase in Net Income and 24% increase in Revenues
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16th Consecutive Profitable Quarter
SACRAMENTO, Calif., November 2, 2005 - Ophthalmic Imaging Systems (OIS) (OTCBB:
OISI) today reported record financial results for the third quarter ended
September 30, 2005.
The Company reported net revenues of $3,246,000 for the third quarter of 2005
compared with net revenues of $2,615,000 for the third quarter of 2004, an
increase of 24%. Net income for the third quarter of 2005 climbed 58% to
$516,000, or $0.03 earnings per basic and diluted share, compared with net
income of $327,000, or $0.02 earnings per basic and diluted share, for the third
quarter of 2004.
For the first nine months of 2005, the Company reported net revenues of
$9,036,000 compared with net revenues of $7,415,000 for the first nine months of
2004, an increase of 22%. Net income for the first nine months of 2005 climbed
55% to $1,256,000, or $0.08 earnings per basic and diluted share, compared with
net income of $811,000, or $0.06 per basic share and $0.05 per diluted share,
for the first nine months of 2004.
"OIS continues to successfully execute its growth strategy. Our ability to
significantly increase sales of our digital imaging systems and informatics
products, led to substantial growth of 58% in net income in the third quarter of
2005 as compared to Q3 2004" stated Gil Allon, Chief Executive Officer of the
Company. "We are pleased by the performance of our Ophthalmology Office(TM)
product line and anticipate the revenues generated by this activity to steadily
increase going forward as our sales and marketing initiatives continue to
increase market awareness to the economical and operational benefits resulting
from the use of these products."
Mr. Allon concluded, "We continue to focus on technical innovations with
advanced new products such as our OIS WinStation 11K(TM) System, WinStation
XP(TM) Version 10.3 Software, WinStation Manager(TM) and Ophthalmology
Office(TM) Retinal Templates, which were released at this year's annual American
Academy of Ophthalmology (AAO) conference that took place last month in Chicago.
We were very encouraged during the AAO meeting by the very positive response of
the ophthalmic community to the new products and we believe these products will
help us to further strengthen our leading position in the ophthalmology market."
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 SEPTEMBER 30, NINE MONTHS ENDED SEPTEMBER 30,
2005 2004 2005 2004
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(unaudited) (unaudited) (unaudited) (unaudited)
Net revenues $ 3,246,216 $ 2,614,798 $ 9,035,820 $ 7,414,907
Cost of sales 1,249,701 1,053,576 3,625,713 2,925,522
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Gross profit 1,996,515 1,561,222 5,410,107 4,489,385
Sales and marketing 781,521 641,828 2,195,917 1,997,834
General and administrative 360,291 290,912 998,922 796,716
Research and development 327,501 242,847 835,313 720,033
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Total operating expenses 1,469,313 1,175,587 4,030,152 3,514,583
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Income from operations 527,202 385,635 1,379,955 974,802
Interest and other expense, net 6,378 (58,922) (97,240) (163,590)
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Net income before income taxes 533,580 326,713 1,282,715 811,212
Income taxes 17,200 26,224
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Net income $ 516,380 $ 326,713 $ 1,256,491 $ 811,212
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Shares used in the calculation of basic
net income per share 15,263,798 14,975,014 15,125,515 14,683,620
Basic net income per share $ 0.03 $ 0.02 $ 0.08 $ 0.06
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Shares used in the calculation of
Diluted net income per shar 16,427,843 15,981,937 16,295,525 15,716,087
Diluted net income per share $ 0.03 $ 0.02 $ 0.08 $ 0.05
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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.
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