XLTC Excel Tech (MM)

Excel Technology, Inc. (NASDAQ: XLTC) today announced the results for the quarter ended March 28, 2008. Sales Excel reported sales of $39.3 million for the quarter ended March 28, 2008 compared to $40.9 million in sales for the quarter ended March 30, 2007, a decrease of 3.9% or $1.6 million. Pretax Income decreased 11.4% to $5.7 million for the first quarter of 2008 as compared to $6.4 million for the same period last year. Net Income decreased 7.0% to $4.3 million for the first quarter of this year as compared to $4.7 million in the same period last year. EPS: Net income per share on a diluted basis increased 2.6% recording $0.39 for the quarter ended March 28, 2008 compared to the $0.38 per share on a diluted basis reported for the quarter ended March 30, 2007. Antoine Dominic, Chief Executive Officer, stated, "Our first quarter results were a little disappointing due to the current macro economic conditions. Although our bookings and sales were marginally lower during the quarter our quoting activity was quite strong with good opportunities in new applications. We continue to execute our sales and product development growth strategies as we still remain optimistic in achieving our 2008 objectives.� Alice Hughes Varisano, Chief Financial Officer, concluded, "The Company�s sales for the first quarter decreased 3.9% from $40.9 million for the quarter ended March 30, 2007 to $39.3 million for the quarter ended March 28, 2008. Net income for the quarter of $4.3 million was a decrease of 7.0% as compared to the quarter ended March 30, 2007. The cash, cash equivalent and investment at the end of the quarter was $50.6 million. The Company utilized $11.6 million of cash during the quarter to repurchase 446 thousand shares of its common stock. As of March 28, 2008, the Company has used $39.0 million to repurchase 1.5 million of the 2 million common shares authorized to be repurchased by the Board of Directors in November 2006. Bookings for the first quarter were $39 million with a backlog at the end of the first quarter of $34 million.� This news release contains forward-looking statements, which are based on current expectations. Actual results could differ materially from those discussed or implied in the forward-looking statements as a result of various factors including future economic, competitive, regulatory, and market conditions, future business decisions, market acceptance of the Company�s products, and those factors discussed in the Company�s Form 10-K for the year ended December 31, 2007. In light of the significant uncertainties inherent in such forward-looking statements, they should not be regarded as a representation that the Company�s objectives and plans will be achieved, and they should not be relied upon by investors when making an investment decision. Words such as "believes," "anticipates," "expects," "intends," "may," and similar expressions are intended to identify forward-looking statements, but are not the exclusive means of identifying such statements. Excel and its wholly owned subsidiaries manufacture and market photonics-based solutions, consisting of laser systems and electro-optical components, primarily for industrial and scientific applications. FINANCIAL SUMMARY (unaudited and in thousands, except per share data) � � FOR THE QUARTER ENDED MARCH 28, � MARCH 30, 2008 2007 Net Sales and Services $ 39,334 $ 40,941 Cost of Sales and Services $ 22,236 $ 23,100 Gross Profit $ 17,098 $ 17,841 Operating Expenses: Selling & Marketing $ 4,767 $ 4,327 General & Administrative $ 3,674 $ 4,174 Research and Development $ 3,886 $ 3,826 Operating Income $ 4,771 $ 5,514 Interest Income $ 633 $ 781 Other Income, net $ 263 $ 98 Pretax Income $ 5,667 $ 6,393 Provision for Income Taxes $ 1,340 $ 1,738 Net Income $ 4,327 $ 4,655 � Net Income Per Common Share - Basic $ 0.39 $ 0.38 Weighted Average Common Shares Outstanding - Basic 11,011 12,107 Net Income Per Common Share - Diluted $ 0.39 $ 0.38 Weighted Average Common Shares Outstanding - Diluted 11,222 12,409 BALANCE SHEET & SELECTED FINANCIAL DATA � � MARCH 28, 2008 � DECEMBER 31, 2007 (unaudited) (audited) � � Cash & Cash Equivalents $ 18,207 $ 9,981 Investments $ -- $ 47,550 Accounts Receivable, net $ 27,874 $ 24,008 Inventory $ 35,353 $ 33,792 Other Current Assets $ 4,846 $ 6,217 Total Current Assets $ 86,280 $ 121,548 Investments $ 32,420 $ -- Property, Plant & Equipment, net $ 24,713 $ 24,679 Other Non-Current Assets & Goodwill $ 34,893 $ 34,305 Total Assets $ 178,306 $ 180,532 Accounts Payable $ 7,680 $ 5,090 Accrued Expenses and Other Current Liabilities $ 9,350 $ 8,659 Total Current Liabilities $ 17,030 $ 13,749 Other Non-Current Liabilities $ 5,131 $ 5,068 Minority Interest in Subsidiary $ 121 $ 128 Stockholders' Equity $ 156,024 $ 161,587 Total Liabilities & Stockholders' Equity $ 178,306 $ 180,532 Working Capital $ 69,250 $ 107,799