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Cepheid Reports Second Quarter Revenue of $42.1 Million
Date:7/24/2008

ual Report on Form 10-K for 2007 and its other reports filed with the Securities and Exchange Commission.

All forward-looking statements and reasons why results might differ included in this release are made as of the date of this press release, based on information currently available to Cepheid, and Cepheid assumes no obligation to update any such forward-looking statement or reasons why results might differ.

For Media Inquiries:

Jared Tipton

Cepheid Corporate Communications

Tel: (408) 400 8377

jared.tipton@cepheid.com

For Investor Inquiries:

Jacquie Ross

Cepheid Investor Relations

Tel: (408) 400 8329

jacquie.ross@cepheid.com

CEPHEID

CONDENSED CONSOLIDATED UNAUDITED STATEMENTS OF OPERATIONS

(in thousands, except per share data)

Three Months Six Months

Ended Ended

June 30, June 30,

2008 2007 2008 2007

Revenues:

System sales $12,423 $9,394 $26,747 $16,231

Reagent and disposable sales 26,530 14,190 54,126 29,420

Total product sales 38,953 23,584 80,873 45,651

Other revenues 3,097 3,589 6,010 7,066

Total revenues 42,050 27,173 86,883 52,717

Costs and operating expenses:

Cost of product sales 22,870 13,879 45,856 27,756

Collaboration profit sharing 2,777 2,731 6,510 6,228

Research and development 10,964 7,439 20,862 14,361


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