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MEMSCAP MEMS Solution Provider Continues Profitability

MEMSCAP, the leading provider of innovative solutions based on MEMS (micro-electro-mechanical systems) technology, today announces its earnings for the fourth quarter ending December 31, 2007.

Main quarter achievements are:

  • Highest quarterly revenue in US dollars of the whole Group history;
  • Profitability over 9 consecutive months;
  • Second quarter in a row of operational profitability;
  • IntuiSkin annual revenue multiplied by 4 year to year;
  • Net profitability for IntuiSkin over fiscal year 2007;
  • Quarterly consolidated gross margin representing over 50% of the revenue.

The consolidated revenue for the fourth quarter amounts to 4.5 million euros (6.5 million US dollars) compared to 4 million euros (5.1 million US dollars) in the fourth quarter 2006 and 4.6 million euros (6.3 million US dollars) for the third quarter 2007.

This is the highest quarterly revenue in dollars of the whole Group history, mostly due to the strong increase of IntuiSkin and Standard Products business activity. Year to year, the revenue- in US dollars- has significantly increased by 27.5%.

The gross margin is at 2.3 million euros and represents 50.2 % of the consolidated revenue, thus increasing by 3 points compared to 3rd quarter 2007.

In parallel to this growth, the Group has controlled and maintained its level of operating expenses, that remain constant all over fiscal year, at 2.1 million euros per quarter. Operational consolidated result for this 4th quarter is definitively improving at 0.2 million euros compared to 0.1 million euros for the third quarter 2007 and (0.1) million euros for the fourth quarter 2006.

This result, that also is the best ever known by the Group, shows the constant efforts made by the MEMSCAP teams all throughout the year, and validates the operational profitability trend of the Group.

Net consolidated earnings amount to 0.1 million euros, despite the negative impact of the financial result affected by a financial asset performance weaker than over previous quarters.

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