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

78 78

Deferred license fee 1,063 1,125

Other 181 194

Total liabilities 31,803 33,637

Stockholders' equity 232,614 232,937

$264,417 $266,574

VOLCANO CORPORATION

CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share data)

(Unaudited)

Three Months Ended March 31,

2008 2007

Revenues $36,647 $29,579

Cost of revenues 13,629 10,865

Gross profit 23,018 18,714

Operating expenses:

Selling, general and administrative 22,059 12,584

Research and development 5,637 4,688

In-process research and development 175 -

Amortization of intangibles 773 786

Total operating expenses 28,644 18,058

Operating income (loss) (5,626) 656

Interest income 1,833 1,195

Interest expense (4) (89)

Exchange rate gain 1,679 122

Income (loss) before provision for income

taxes (2,118) 1,884

Provision for income taxes 208
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SOURCE Volcano Corporation
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