This excerpt taken from the BPHX 6-K filed Feb 17, 2009.
Q4 Revenues of $22.7
million, Non-GAAP Operating Margin of 11%,
HERZLIYA, Israel February 17, 2009 BluePhoenix Solutions (NASDAQ: BPHX News), the leader in value-driven legacy modernization, today announced financial results for the fourth quarter. Revenues for the fourth quarter of 2008 were $22.7 million up 3% from the third quarter of 2008 and flat compared to the fourth quarter of 2007.
Net income on a non-GAAP basis for the fourth quarter of 2008 was $1.4 million, or $0.07 per diluted share compared to non-GAAP net loss of $1.4 million or $(0.06) per share for the third quarter of 2008, and non-GAAP net income of $4.25 million, or $0.21 per diluted share for the fourth quarter of 2007.
a GAAP basis for the fourth quarter of 2008 the net loss was $1.4 million or $(0.06) per
share, compared to a net loss of $6.8 million or $(0.32) per share in the third quarter of
2008 and a net loss of $7.3 million or $(0.38) per share in the fourth quarter of 2007.
The GAAP results exclude the effects of any potential non-cash write-down to goodwill for
which the annual impairment test is currently underway. (Please refer to the accompanying
financial table for reconciliation of GAAP financial information to non-GAAP).
* Q4/2007 reclassification of Mainsoft as discontinued operation
The presentation of these non-GAAP financial measures should be considered in addition to BluePhoenix GAAP results and is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. BluePhoenix management believes that these non-GAAP financial measures provide meaningful supplemental information regarding its performance by excluding certain charges, gains and tax effects that may not be indicative of BluePhoenix core business operating results. BluePhoenix believes that both management and investors benefit from referring to these non-GAAP financial measures in assessing BluePhoenix performance. These non-GAAP financial measures also facilitate comparisons to BluePhoenix historical performance and its competitors operating results. BluePhoenix includes these non-GAAP financial measures because management believes they are useful to investors in allowing for greater transparency with respect to supplemental information used by management in its financial and operational decision-making. Non-GAAP measures are reconciled to comparable GAAP measures in the table entitled Reconciliation of GAAP to Non-GAAP.