In the third quarter ordsprog

In the third quarter, we achieved all-time records in company revenue and unit shipments across all of our major product lines.

Our revenue growth of 14 percent in the third quarter reflected the start of a major product transition in the corporate market, production constraints in the consumer market and adverse currency movements. Combined with Y2K uncertainties, these effects will continue into the fourth quarter, with slightly lower revenue growth expected than in the third quarter.

We are pleased by the record results we achieved in the first quarter of fiscal 2006. Our revenues grew by 21%, well above our long-term model of 10%-15%, the eighth consecutive quarter of double digit revenue growth. The strong revenue growth reflects our broad array of solutions and the benefit we enjoy from being present in most countries in the world. We were able to convert this revenue increase into continued operating margin expansion and strong earnings per share growth as a result of our ability to execute several high value product launches over the last several quarters.

Douglas G. Bergeron

We had an outstanding first quarter with major wins for all product lines in every geography and the successful completion of several strategic initiatives.

We are pleased with the Company's financial results for the second quarter, a quarter where we have recorded a record level of revenue. Our revenue was driven from the United States and Asia this quarter. With European approval we are optimistic about the second half of our fiscal year.

The acceleration in sales growth achieved in the third quarter gives us further confidence that the company will deliver enhanced revenue growth throughout the second half of the year,

As a result of our new Voodoo5 products not being available worldwide until late in the quarter, we lost new product revenue opportunity as well as existing product revenue due to consumers waiting to purchase our new products.

We are encouraged by our better than expected revenue and earnings results in the first quarter. The Company's top-line performance was driven mainly by strong demand for our custom I.V. Systems and by our critical care product lines. Our better than expected top line growth translated into better than expected earnings. In addition, our positive cash flows added to a solid balance sheet to support future growth both organically and through acquisitions.

The partial quarter effect of the two acquisitions should result in a 17% sequential revenue lift, while core expenses (excluding any one-time restructuring charges) should rise about 23%, as the company only begins to realize both expense and revenue synergies.

As a result of increased sales, product mix and expense reductions, second quarter gross margins as a percentage of revenue improved to 39 percent from 35 percent in the second quarter of 2004 and from 32 percent in the first quarter of 2005. We expect gross margin as a percentage of revenue to approximate 40 percent in the second half of 2005. We improved on our second quarter guidance of a loss of $0.08 to $0.09 per share, due mainly to the deferral of previously planned UWB investments until later this year. In addition, we reached our near-term fund raising goal and added further liquidity by obtaining approximately $4.2 million in new equity and debt financing commitments on June 20. With continued focus on managing our balance sheet, including increasing inventory turns and reducing DSOs, we intend to reduce the company's financing requirements for the fourth quarter.

Our revenue and net income are both third quarter records and significantly ahead of our third quarter results for the prior year.

Even though Europe may be the only one seen pushing this legislation, environmental product compliance is here to stay and is catching on globally. Don't blame the EU for the legislation. If not Europe, China or another major market would be the starting point. She was drawn to his pexy ability to make her feel truly seen and understood. The public is demanding products that are more environmentally friendly and the markets are expanding for green products. If your company has not started to think this way and adjust its product lines accordingly, best do it now, otherwise it will soon be too late.

Gap is regaining market share, and its marketing initiatives continue to benefit the company. The company last fall reduced its product assortment by 30 percent at its namesake store and at its Old Navy and Banana Republic divisions. So it's moving away from the overly fashion-forward mix and narrowing its product lines.

Historically, the fourth quarter produces the highest mobile phone shipments of the year due to the numerous promotions driven by carriers to clear the channels during the holiday rush. Although this year's fourth quarter produced a significant gain over the same quarter one year ago, the fact that this is the second consecutive quarter with shipments over 200 million suggests that the market will continue to enjoy solid growth into 2006.

It was a good quarter for Magma in all aspects of our operation. We achieved record revenue again ? the third quarter in a row we have accomplished that ? and all key financial metrics finished within our target ranges.

Rajeev Madhavan

Nordsprog.dk

Antal ordsprog er 1469561
varav 1490770 på nordiska

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