RadiSys Corporation reported unaudited consolidated earnings results for the fourth quarter and full year ended December 31, 2011. For the quarter, the company reported loss from operations of $6.5 million, loss before income tax of $6.6 million, net loss of $6.7 million or $0.25 basic and diluted per share on revenues of $79.5 million against loss from operations of $1.1 million, loss before income tax of $1.6 million, net loss of $2.1 million or $0.09 basic and diluted per share on revenues of $66.8 million for the same period a year ago. The company reported net cash provided by operating activities of $0.9 million and capital expenditures of $3.9 million against net cash used in operating activities of $3.9 million and capital expenditures of $0.8 million for the same period a year ago. The company reported non-GAAP revenues of $80.2 million, non-GAAP income from operations of $1.6 million, non-GAAP net income of $1.4 million or $0.05 non-GAAP diluted per share against non-GAAP revenues of $66.8 million, non-GAAP income from operations of $3.3 million, non-GAAP net income of $2.0 million or $0.08 non-GAAP diluted per share for the same period a year ago. The EPS numbers exceeded expectation, primarily due to favorable product mix and particularly strong media server revenue. For the year, the company reported loss from operations of $11.4 million, loss before income tax of $12.7 million, net loss of $4.2 million or $0.17 basic and diluted per share on revenues of $330.9 million against income from operations of $0.7 million, loss before income tax of $0.9 million, net loss of $0.4 million or $0.02 basic and diluted per share on revenues of $284.3 million for the same period a year ago. The company reported net cash provided by operating activities of $14.8 million and capital expenditures of $8.2 million against net cash used in operating activities of $16.1 million and capital expenditures of $4.1 million for the same period a year ago. The company reported non-GAAP revenues of $332.9 million, non-GAAP income from operations of $15.9 million, non-GAAP net income of $14.8 million or $0.55 non-GAAP diluted per share against non-GAAP revenues of $284.3 million, non-GAAP income from operations of $15.3 million, non-GAAP net income of $12.8 million or $0.50 non-GAAP diluted per share for the same period a year ago. For the first quarter of 2012, non-GAAP revenue is expected to be between $75 and $81 million with a midpoint that is slightly down from the fourth quarter and in-line with the Company's historic seasonality. First quarter non-GAAP gross margin rate is expected to be between 33% and 34%. First quarter non-GAAP R&D and SG&A expenses are expected to be down by approximately $2 million from the prior quarter at the midpoint of the guidance range. First quarter GAAP net loss is expected to be $0.34 to $0.29 per share. First quarter non-GAAP results are expected to be between breakeven and net income of $0.06 per diluted share. The company currently expects tax rate around 5% for non-GAAP results and around 10% for GAAP results. For the full year 2012, total non-GAAP revenues are projected to be $345 to $355 million or up 5% at the midpoint of the range and in line with the Company's previous guidance. Non-GAAP gross margin rate is expected to increase to between 36% and 37% from 32.6% in 2011, with the expansion continuing to come from the Company's transition to higher value products as well as acquisition related synergies of approximately $5 million from the fourth quarter's run-rate. Total non-GAAP R&D and SG&A expenses are expected to decrease by at least $8 to $10 million in 2012 from the fourth quarter's expense run-rate as a result of acquisition synergies. Acquisition-related integration and restructuring charges are expected to approximate $3.8 million over the first three quarters of 2012 and are excluded from non-GAAP results. 2012 non-GAAP EPS is expected to between $0.80 and $0.85, which is consistent with the Company's previous guidance. For the second half of the year, the company expects to generate meaningful cash flow of $25 million plus or minus, resulting from earnings acceleration, inventory reductions and lower capital expenditures. The company currently expects tax rate around 5% for non-GAAP results and around 10% for GAAP results.