Crossroads Reports Q4

AUSTIN, Texas -- Crossroads Systems, Inc. (Pink Sheets:CRDS), a leading provider of business information assurance solutions for secure storage and data protection, today announced results for its fiscal fourth quarter (Q407) and fiscal year ended October 31, 2007.

Fiscal Fourth Quarter 2007

Revenue totaled $6.7 million for Q4’07 compared to $4.6 million in the fiscal third quarter ended July 31, 2007 (Q3’07). Product revenue totaled $1.8 million for Q4’07 as compared to $2.4 million for Q3’07. In addition, revenue from IP license, royalty and other totaled $4.9 million for Q4’07 as compared to $2.1 million for Q3’07.

Gross profit was $5.4 million, or 81 percent for Q4’07, compared to $3.5 million, or 76 percent for Q3’07. Net loss for Q4’07 was $2.3 million, or $0.08 cents per share, compared to a net loss of $3.3 million, or $0.12 cents per share in Q3’07.

Fiscal Year 2007 Total revenue for fiscal year 2007 (FY’07) was $21.0 million, compared with $32.5 million for fiscal year 2006 (FY’06). The decrease was mainly related to the settlement of the Dot Hill license agreement in FY’06. Gross profit for FY’07 was $17.0 million, or 81 percent, compared with $21.1 million, or 65 percent, for FY’06. Net loss for FY’07 was $9.4 million, or $0.33 cents per share, compared with $2.3 million net loss, or $0.09 cents per share, for FY’06.

Crossroads Systems Inc.