SANTA CLARA, Calif., Feb. 4 /PRNewswire-FirstCall/ -- Coherent, Inc. (Nasdaq: COHR) today announced financial results for its first fiscal quarter ended December 27, 2008, posting net sales of $124.4 million and a net loss, on a U.S. generally accepted accounting principles (GAAP) basis, of $14.7 million ($0.61 per share) primarily due to a non-cash goodwill impairment charge of $19.3 million ($0.80 per share). These results compare to net sales of $144.3 million and net income of $4.7 million, or $0.15 per diluted share, for the first quarter of fiscal 2008.
Non-GAAP net income for the first quarter of fiscal 2009 was $8.6 million or $0.36 per share after excluding a non-cash charge for goodwill impairment of $19.3 million ($0.80 per share), an after tax charge of $0.3 million related to litigation resulting from our internal stock option investigation ($0.01 per share), after tax stock-related compensation expense of $1.2 million ($0.05 per share) and restructuring expense of $2.6 million, net of tax ($0.11 per share). Net income for the first quarter of fiscal 2008 included an after tax charge of $2.8 million of internal stock option investigation costs ($0.09 per diluted share) and $1.9 million of stock-related compensation expense, net of tax ($0.06 per diluted share). Excluding these charges, non-GAAP net income for the first quarter of fiscal 2008 was $9.5 million or $0.30 per diluted share.
In comparison, net sales for the fourth quarter of fiscal 2008 were $142.0 million and net income, on a GAAP basis, was $4.1 million ($0.17 per diluted share). Net income for the fourth quarter of fiscal 2008 included an after tax charge of $0.2 million related to litigation resulting from our internal stock option investigation ($0.01 per diluted share), after tax stock-related compensation expense of $1.3 million ($0.05 per diluted share) and restructuring expense of $2.6 million, net of tax ($0.11 per diluted share). Excluding these charges, non-GAAP net income for the fourth quarter of fiscal 2008 was $8.2 million, or $0.34 per diluted share.
'The macroeconomic pressure that first manifested in the fourth quarter of fiscal 2008 has accelerated during the first quarter of fiscal 2009. The impact is being felt in several of our end markets including microelectronics, medical OEM and parts of materials processing as consumers continue to adjust to contracting disposable income,' said John Ambroseo, Coherent's President and Chief Executive Officer. 'We have instituted a number of measures, above and beyond our previously announced efforts, to lower our burn rate. We have further reduced headcount by 115 people compared to December 2008, and introduced other sustainable cost reduction measures resulting in combined annualized savings of approximately $13.5 million. The benefit will be partially realized in the second quarter with the majority being realized during the third quarter of fiscal 2009. We have also announced plans to exit three additional sites in California, Missouri and Finland, yielding another $3.5 to $4.5 million in annualized savings. These benefits will begin to phase in starting in October 2009,' he added.
Orders received during the three months ended December 27, 2008 of $103.3 million decreased 33.3% from the same prior year period and decreased by 27.0% compared to orders received in the immediately preceding quarter. The book-to-bill ratio was 0.8, resulting in backlog of $162.0 million at December 27, 2008 compared to a backlog of $183.5 million at September 27, 2008 and a backlog of $198.4 million at December 29, 2007.
