For the full year the company currently expects to report revenue of
approximately
On
The company's orders received in December were within the range
anticipated in the NI business update conference call on
NI currently expects that GAAP fully diluted earnings per share (EPS) will
be in the range of
"While we believe the industry experienced a significant contraction in
Q4, the diversity of our business and the solid execution of our sales force
allowed us to gain market share," said
NI virtual instrumentation and graphical system design products, which represent more than 90 percent of the company's product portfolio, had approximately 2 percent year-over-year revenue growth in Q4 2008. Sales of NI instrument control products, which represented approximately 7 percent of NI revenue in the quarter, were down approximately 30 percent year-over-year in Q4 2008.
For Q4 2008, the company now expects year-over-year growth in total GAAP and non-GAAP operating expenses to be between 5 percent and 6 percent, down from the 18 percent year-over-year growth the company saw in the first nine months of 2008.
The company's revenue estimate anticipates single digit revenue declines
in
With
2009 Outlook
"Looking into 2009 we plan to sustain our strategic R&D investments and
continue a moderated field sales expansion, while stringently managing
expenses in all other areas of our business," said
Directionally, the company expects the impact of extended holiday
shutdowns by many of its customers to linger well into Q1, and, as a result,
it is expecting to see a single-digit year-over-year decline in revenue for
Q1. In addition, the company has adjusted its spending plans for 2009 and is
currently budgeting for a 3 percent year-over-year increase in total operating
expenses in 2009. This compares to an increase in total operating expenses of
approximately 14 percent in 2008. The company will provide more detailed
guidance for Q1 2009 in its Q4 2008 conference call on
Preliminary Non-GAAP Results
In addition to disclosing results determined in accordance with GAAP, NI discloses certain non-GAAP operating results that exclude certain charges. In this news release, the company has presented its preliminary results for Q4 2008, on a GAAP and non-GAAP basis. When presenting non-GAAP results, the company includes a reconciliation of the non-GAAP data to the data under GAAP.
The economic substance behind management's decision to use such non-GAAP measures relates to these charges being non-cash in nature and being a useful measure of the potential future performance of the company's business. In line with common industry practice and to help enable comparability with other technology companies, the company's non-GAAP presentation excludes the impact of both stock-based compensation and the amortization of acquisition-related intangibles. Other companies may calculate non-GAAP results differently than NI, limiting the calculation's usefulness as a comparative measure. In addition, such non-GAAP measures may exclude financial information that some may consider important in evaluating the company's performance. Management compensates for the foregoing limitations of non-GAAP measures by presenting certain information on both a GAAP and non-GAAP basis and providing reconciliations of these certain GAAP and non-GAAP measures.
Conference Call Information
Interested parties can listen to the Q4 08 conference call today,
Forward-Looking Statements
This release contains "forward-looking statements," including statements related to NI's preliminary results for Q4 2008 and 2008, including, as applicable, revenue, revenue by region, GAAP and Non-GAAP operating expenses, GAAP and non-GAAP diluted EPS, sustaining strategic R&D investments, continuing a moderated field sales expansion and stringently managing other expenses. These statements are subject to a number of risks and uncertainties, including the risk of further adverse changes or fluctuations in the global economy as a result of recent challenges the global credit and equity markets face, delays in the release of new products, fluctuations in customer demand for NI products, manufacturing inefficiencies and foreign exchange fluctuations. Actual results may differ materially from the expected results. The company directs readers to documents it files with the SEC for other risks associated with the company's future performance.
About National Instruments
National Instruments (www.ni.com) is transforming the way engineers and
scientists design, prototype and deploy systems for measurement, automation
and embedded applications. NI empowers customers with off-the-shelf software
such as NI LabVIEW and modular cost-effective hardware, and sells to a broad
base of more than 25,000 different companies worldwide, with no one customer
representing more than 3 percent of revenue and no one industry representing
more than 10 percent of revenue. Headquartered in
Reconciliation of GAAP diluted EPS guidance to non-GAAP diluted EPS for Q4 2008: Q4 2008 Range of diluted GAAP net EPS $0.23 - $0.24 Estimated stock-based compensation and amortization of acquired intangibles $0.06 Range of diluted non-GAAP net EPS $0.29 - $0.30 Contact: Veronica Garza Investor Relations (512) 683-6873
SOURCE National Instruments