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Volcano Reports 18 Percent Increase in Total Third Quarter Revenues
Date:10/31/2011

SAN DIEGO, Oct. 31, 2011 /PRNewswire/ -- Volcano Corporation (NASDAQ: VOLC), a leading developer and manufacturer of precision intravascular diagnosis and therapy guidance tools designed to enhance the treatment of coronary and peripheral artery disease, said today that revenues for the third quarter of 2011 increased 18 percent versus the third quarter of 2010.

For the quarter ended September 30, 2011, Volcano reported revenues of $85.8 million versus revenues of $72.9 million in the third quarter a year ago. Year-over-year medical segment revenues increased 24 percent in the third quarter of 2011. Industrial segment revenues in the third quarter declined 54 percent versus a year ago, due to reduced spending in the telecommunications sector.

The company reported net income on a GAAP basis of $2.6 million, or $0.05 per diluted share, in the third quarter of 2011, versus net income of $5.6 million, or $0.10 per diluted share, in the third quarter of 2010.

For the first nine months of 2011, Volcano reported revenues of $250.8 million, an 18 percent increase over revenues of $212.9 million in the same period a year ago. The company reported GAAP net income of $8.7 million, or $0.16 per diluted share, in the first nine months of 2011. This compares with GAAP net income of $7.0 million, or $0.13 per diluted share, in the same period in 2010.

"Volcano's medical segment business experienced solid growth in the third quarter, driven by a 48 percent increase in FFR (Fractional Flow Reserve) disposable revenues, as FFR continued its higher market penetration and we continued to gain market share for both our FFR and IVUS (Intravascular Ultrasound) businesses in key geographies. These gains occurred despite a challenging macro-economic environment that is impacting procedure activity, particularly for our IVUS business," said Scott Huennekens, president and chief ex
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