Message #34 From:
NewsBot Date: November 14, 2006 05:10:00 AM
NTPA News Netopia Reports Fourth Quarter and Fiscal Year Results
EMERYVILLE, Calif.--(BUSINESS WIRE)--Netopia, Inc. (NASDAQ:NTPA), a market leader in broadband gateways and
service delivery software, today announced results for the fourth fiscal
quarter and fiscal year ended September 30, 2006. Revenues for the
fourth fiscal quarter were $31.0 million, compared to $23.4 million for
the same period in the prior fiscal year. Revenues for the fiscal year
were $113.3 million, compared to $105.8 million for the prior fiscal
year.
Net loss on a GAAP basis for the fourth fiscal quarter was ($1.5)
million or ($0.06) per share, compared to a net loss of ($1.3) million
or ($0.05) per share for the same period in the prior fiscal year. Net
loss on a GAAP basis for the fiscal year ended September 30, 2006 was
($3.6) million or ($0.14) per share, compared to a net loss of ($7.1)
million or ($0.28) per share for the fiscal year ended September 30,
2005.
Non-GAAP net income for the fourth fiscal quarter (which for the current
period excludes SFAS 123R stock compensation expense and amortization of
acquisition-related intangible assets) was $0.7 million or $0.03 per
basic and diluted share, compared to a non-GAAP net loss of ($1.0)
million or ($0.04) per share for the same period in the prior fiscal
year (which for such period excluded amortization of acquisition-related
intangible assets). Non-GAAP net income for the fiscal year ended
September 30, 2006 (which excludes SFAS 123R stock compensation expense
and amortization of acquisition-related intangible assets) was $3.6
million or $0.14 per basic and diluted share, compared to a non-GAAP
loss of ($5.6) million or ($0.22) per share for the fiscal year ended
September 30, 2005 (which for such period excluded amortization of
acquisition-related intangible assets).
Earlier on November 14, 2006, Netopia announced that it has signed a
definitive merger agreement with Motorola, Inc., under which Motorola
will acquire all of the outstanding shares of Netopia common stock for
$7.00 per share in cash. The acquisition is subject to customary
regulatory approval and the approval of Netopia’s
stockholders, and is expected to be completed in early 2007.
Note:
Because of the announcement of the merger agreement with Motorola,
Netopia has cancelled the conference call previously scheduled for today
at 5:00 p.m. Eastern time (2:00 p.m. Pacific time) to discuss the
results for the fiscal quarter and fiscal year ended September 30, 2006.
About Netopia
Netopia, Inc. delivers broadband service assurance solutions through
high-performance broadband customer premises equipment and carrier-class
remote device management and support software. Netopia's broadband
gateways feature advanced technology, high reliability, and remote
manageability to assure delivery of triple-play and IPTV services.
Netopia’s service assurance software platforms
empower service providers, enterprises, and consumers with remote device
management, centralized support, and value-added services to speed
deployment of innovative new broadband applications across home and
business networks. Netopia has established strategic distribution
relationships with leading carriers and broadband service providers,
including AT&T, BellSouth, Covad Communications, eircom, Swisscom, and
Verizon.
Headquartered in Emeryville, California, Netopia's common stock is
listed on the Nasdaq Capital Market under the symbol "NTPA." Further
information about Netopia can be obtained via phone at (510) 420-7400,
fax at (510) 420-7601, or on the Web at www.netopia.com.
Note regarding unaudited Non-GAAP Condensed Consolidated Statements
of Operations:
To supplement our unaudited GAAP Condensed Consolidated Statements of
Operations, Netopia uses non-GAAP measures of our Statements of
Operations, including all line items, subtotals, net income (loss) and
income (loss) per share. These non-GAAP measures are derived by
adjusting results based on GAAP to exclude non-cash recurring expenses
for stock compensation and amortization of acquisition-related
intangible assets. These non-GAAP adjustments are provided to enhance
the user’s overall understanding of our
current financial performance and our prospects for the future. These
adjustments to GAAP results are made with the intent of providing
greater transparency to information used by management in its financial
and operational decision-making. These non-GAAP results are among the
primary indicators that management uses as a basis for making operating
decisions because they provide meaningful information regarding our core
operating performance, including our ability to provide cash flows to
invest in research and development and to fund capital expenditures. The
unaudited Non-GAAP Condensed Consolidated Statements of Operations
should not be considered in isolation or as a substitute for financial
information presented in accordance with generally accepted accounting
principles, and may be different from non-GAAP measures used by other
companies. The unaudited Non-GAAP Condensed Consolidated Statements of
Operations includes a quantitative reconciliation of the differences
between such statements and the financial information presented in
accordance with generally accepted accounting principles.
Safe Harbor Statement under the Private Securities Litigation Reform
Act of 1995:
Certain statements contained in this press release, including the
anticipated completion of the proposed transaction between Netopia and
Motorola, any other statements regarding Netopia’s
future expectations, beliefs, goals or prospects, and any statements
that are not statements of historical facts might be considered
forward-looking statements. While these forward-looking statements
represent managements’ current judgment of
future events, they are subject to risks and uncertainties that could
cause actual results to differ materially from those stated in the
forward-looking statements. Important factors that could cause actual
results or events to differ materially from those indicated by such
forward-looking statements, include: (i) the parties’
ability to consummate the transaction; (ii) the conditions to the
completion of the transaction may not be satisfied, or the regulatory
approvals required for the transaction may not be obtained on the terms
expected or on the anticipated schedule; (iii) the parties’
ability to meet expectations regarding the timing and completion of the
transaction; and (iv) the other factors described in Netopia’s
Annual Report on Form 10-K for the year ended September 30, 2005 and its
subsequent reports filed with the SEC. Netopia assumes no obligation to
update or revise any forward-looking statement in this press release,
and such forward-looking statements speak only as of the date hereof.
Additional Information and Where to Find It:
In connection with the proposed acquisition and required stockholder
approval, Netopia will file with the SEC a preliminary proxy statement
and a definitive proxy statement. The definitive proxy statement will be
mailed to the stockholders of Netopia. NETOPIA’S
STOCKHOLDERS ARE URGED TO READ THE PROXY STATEMENT AND OTHER RELEVANT
MATERIALS WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT
INFORMATION ABOUT THE ACQUISITION AND NETOPIA. Investors and security
holders may obtain free copies of these documents (when they are
available) and other documents filed with the SEC at the SEC's web site
at www.sec.gov. In addition, investors
and security holders may also obtain free copies of the documents filed
by Netopia with the SEC by going to Netopia’s
Investor Relations page on its corporate web site at www.netopia.com.
Netopia and its officers and directors may be deemed to be participants
in the solicitation of proxies from Netopia’s
stockholders with respect to the proposed acquisition. Information about
Netopia’s executive officers and directors
and their ownership of Netopia common stock is set forth in the proxy
statement for Netopia’s 2006 Annual Meeting
of Stockholders, which was filed with the SEC on December 23, 2005.
Investors and security holders may obtain more detailed information
regarding the direct and indirect interests of Netopia and its
respective executive officers and directors in the acquisition by
reading the preliminary and definitive proxy statements regarding the
acquisition, which will be filed with the SEC.
All company names, brand names and product names are trademarks of their
respective holder(s).
NETOPIA, INC. CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS (in thousands, except per share amounts) (Unaudited)
