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Volcano Reports 24 Percent Increase in First Quarter Revenues; IVUS Disposable Revenues Increase 30 Percent
Date:5/7/2008

that these items should be excluded when comparing our current operating results with those of prior periods as stock- based compensation is a non-cash expense, in-process research and development relates to the costs associated with the December 2007 acquisition of CardioSpectra, Inc., and the acquisition due diligence costs incurred in the first quarter of 2008 are not reflective of our core operating activities. In addition, our management uses results of operations before certain charges to evaluate the operational performance of the company and as a basis for strategic planning. Investors should note that the non-GAAP financial measures used by the company may not be the same non-GAAP financial measures, and may not be calculated in the same manner, as those of other companies. Investors should consider these non-GAAP measures in addition to, and not as a substitute for, financial performance measures in accordance with GAAP.

VOLCANO CORPORATION

REVENUE SUMMARY

(in millions)

(Unaudited)

Q1 '08 Q1 '07 Growth %

IVUS Systems:

United States $3.8 $3.7 1%

Japan 0.9 0.7 32%

Europe 1.2 0.8 47%

Rest of World 0.5 0.6 -15%

Total IVUS Systems $6.4 $5.8 9%

IVUS Disposables:

United States $11.6 $9.4 23%

Japan 8.8 6.1 43%

Europe 4.0 3.2 27%

Rest of World 0.8 0.6 31%

Total IVUS Disposables $25.2 $19.3 30%

FM:

United States $1.9 $1.6 19%

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SOURCE Volcano Corporation
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