Microvision Announces Preliminary 2005 Financial Results

Microvision Announces Preliminary 2005 Financial Results

BOTHELL, Wash.--(BUSINESS WIRE)--Feb. 6, 2006--Microvision, Inc. (Nasdaq:MVIS - News), a leader in light scanning technologies, today announced preliminary consolidated financial results for the fourth quarter and full year of 2005. In a separate press release issued today, the company announced key aspects of its 2006 business strategy and an organizational realignment and restructuring.

For the fourth quarter of 2005, Microvision expects to report revenue of approximately $2.7 million, an operating loss of between $8.7 million and $9.2 million and a net loss of between $5.1 million and $5.6 million, or $.21 and $.23 per share. For the same period last year, Microvision reported revenue of $3.3 million, an operating loss of $7.0 million and a net loss of $8.2 million, or $.38 per share.

For the full year of 2005, Microvision expects to report revenue of approximately $14.7 million, an operating loss of between $27.0 million and $27.5 million and a net loss of between $30.0 million and $30.5 million, or $1.33 and $1.36 per share. For the full year 2004, Microvision reported revenue of $11.4 million, an operating loss of $34.0 million and a net loss of $33.5 million, or $1.56 per share.

The company had cash of $6.9 million as of December 31, 2005. On February 2, the company announced that it had raised $10.3 million through private placements of 2,550,000 shares of its Lumera common stock.

"We expect to report financial results for 2005 that show improvement over 2004 in revenue growth, lower operating and net losses and lower cash burn," said Alexander Tokman, Microvision new President and CEO. "We had some significant wins in 2005; however, the company identified improvements needed in a number of areas. Our 2006 business strategy and organizational realignment and restructuring is expected to build the foundation for sustainable revenue growth and profitability in future years. Key financial goals for 2006 will be, growing product revenue and substantially cutting the company's cash burn and reducing its net operating loss by 30%. We have already taken important steps toward these goals as outlined a separate press release issued today. Further detail will be provided on our conference call tomorrow."