Today before the opening bell, OSI Systems reported a successful second quarter and six months ended December 31, 2008. For the second quarter of fiscal 2009, the company announced revenues of $159.0 million and net income of 4.2 million; this compares to $164.2 million in revenues and $3.5 million in net income reported for the same period of the previous year.
Deepak Chopra, OSI Systems' Chairman and CEO, stated, “Despite being the most challenging economic environment in decades, our financial results for the second quarter of fiscal 2009 continue to demonstrate the earnings-generating potential of our businesses. We significantly improved earnings, generated record free cash flow of $15.5 million and ended the quarter with a record backlog. These achievements are the direct result of our initiatives over the past two years to implement organizational changes that have reduced our cost structure and improve our overall operating efficiencies.”
For the second half of year 2008, the company generated cash flow from operations of $33.1 million, significantly higher than the $14.6 million reported for the first half of fiscal 2008. During the quarter ended December 31, 2008, OSI Systems repurchased 604,000 shares of its common stock for approximately $7.2 million.
OSI Systems anticipates fiscal 2009 sales to be comparable to fiscal 2008. However, the company expects earnings per diluted share to increase 10-25% due to their operational improvement initiatives and cost containment programs. The expectations exclude the impact of restructuring and other one-time charges.