AltiGen Communications, Inc. Reports Second Quarter and First Six Months Fiscal Year 2012 Financial Results

SAN JOSE, CA — AltiGen Communications, Inc., the leading provider of integrated Microsoft-based Unified Communications solutions, announced today its second quarter ended March 31, 2012 financial results.

The second quarter of fiscal 2012

Revenue for the second quarter of fiscal 2012 was $4.6 million, compared to $4.2 million while the same period in fiscal 2011. Gross margin in the second quarter of fiscal 2012 was 64.5%, compared to 67.3% while the second quarter of fiscal 2011. Operating expenses totaled $2.9 million, compared to $3.4 while the same period a year ago. For the six month of the year, revenue was $9.4 million, compared to $8.9 million during the same period in fiscal 2011. Gross margin for the six months ended March 30, 2012 and 2011, respectively, was 67%.

Jeremiah Fleming, AltiGen's President and Chief Executive Officer, stated, "We are pleased to continue on our path toward profitability, recording a modest profit of $15,000 this quarter. Moreover, our results for the second quarter reflect an increase in cash of roughly $115,000 over the preceding quarter. With quarterly revenue up 10% over the prior year quarter for the second successive quarter we are making meaningful progress toward our goal of profitably, growing our business and building shareholder value."

AltiGen Communications, Inc. is a leading provider of 100% Microsoft-based VoIP (Voice over Internet Protocol) business phone systems and Unified Communications solutions. Having more than 10,000 clients around the world, AltiGen solutions are designed for high reliability, ease of use, seamless integration to Microsoft infrastructure technologies, and are built on a scalable, open standards platform. AltiGen's worldwide headquarters is in Silicon Valley, California, with international operations based in Shanghai, China. Local sales, service and support are provided by AltiGen's worldwide network of over 300 certified partners. For more information, call 1-888-ALTIGEN or visit the web site at www.altigen.com.

The forward-looking statements contained in this press release are based upon the Company's current expectations, beliefs, plans and assumptions, which are subject to a number of risks and uncertainties including, nevertheless not limited to: statements regarding the continued market acceptance of our 100 percent Microsoft-based business phone systems and call center solutions, our ability to sustain profitably, growing our business and building shareholder value. Actual results in future periods are subject to risks and uncertainties that could cause actual results to differ materially from those projected.