Magma reports revenue of $123.1 million for fiscal 2010

BANGALORE, INDIA: Magma Design Automation Inc. has reported revenue of $33.6 million for its fourth quarter and $123.1 million for its 2010 fiscal year, both ended May 2, 2010.

"Magma is in a much stronger position than a year ago, both in terms of products and financial performance," said Rajeev Madhavan, Magma chairman and chief executive officer. "Our key product groups - Talus, Titan, FineSim and Quartz - are demonstrating competitive strength and continuing to improve their traction in the market. As to our financial performance in fiscal 2010, we beat all guidance ranges and continued consistent cash generation. We are optimistic as we enter the new fiscal year."

GAAP results
In accordance with generally accepted accounting principles (GAAP), Magma reported a net loss of $(0.7) million, or $(0.01) per share (basic and diluted), for the fourth quarter, compared to a net loss of $(9.9) million, or $(0.21) per share (basic and diluted), for the year-ago fourth quarter. For fiscal 2010 Magma reported a GAAP net loss of $(3.3) million, or $(0.07) per share (basic and diluted), compared to a net loss of $(129.2) million, or $(2.89) per share (basic and diluted), for fiscal 2009.

Non-GAAP results
Magma's non-GAAP net income was $3.7 million for the quarter, or $0.07 per share (basic) and $0.06 per share (diluted), which compares to non-GAAP net income of $3.3 million, or $0.07 per share (basic and diluted), for the year-ago fourth quarter. For fiscal 2010 Magma's non-GAAP net income was $9.1 million, or $0.18 per share (basic) and $0.17 per share (diluted), compared to the company's non-GAAP net loss of $(6.5) million, or $(0.15) per share (basic and diluted), for the year-ago fiscal year.

In the fourth quarter Magma generated cash flow from operations of approximately $2.4 million.

Business outlook
For Magma's fiscal 2011 first quarter, ending August 1, 2010, the company expects total revenue in the range of $31.0 million to $31.5 million. GAAP net loss per share is expected to be in the range of $(0.07) to $(0.06) and non-GAAP earnings per share (EPS) are expected to be in the range of $0.02 to $0.03.

For Magma's fiscal 2011, ending May 1, 2011, the company expects total revenue in the range of $130.0 million to $133.0 million. GAAP net loss per share is expected to be in the range of $(0.16) to $(0.14) and non-GAAP earnings per share (EPS) are expected to be in the range of $0.18 to $0.20.