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IRIDEX Reports Fourth Quarter and Full Year 2009 Financial Results
Date:3/4/2010

s of creating a very efficient and scalable business."

"We have recorded our fourth consecutive quarter of profitability. Our operating income for the year was $2.5 million an all time high for the Company, compared to 2008 where the Company had an operating loss of $2.2 million (excluding impairment charges). This is an outstanding achievement especially given the current economy. We are particularly pleased with the improvement in gross margins and the fact that we have sustained these improvements throughout the year, and we continue to control our operating expenses. In summary, we met our 2009 objectives of being cash flow positive, driving to profitability and positioning ourselves for future growth."

"During the fourth quarter we saw a very steady order rate for Ophthalmology Equipment which adds to our confidence for 2010. We see broadening interest in our recently introduced IQ 577 yellow laser. These facts, together with other initiatives we are undertaking, provide new growth opportunities for 2010. Looking forward, based on our performance for 2009, our financial model has our gross margins in the range of 45% to 50% with operating expenses between 40% and 42% for the year; and we are making progress towards our long term goals of 55% gross margins and 40% operating expenses."


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