Sigma Designs, Inc. Reports First Quarter Fiscal 2009 Results

MILPITAS, Calif. — Sigma Designs®, Inc. (NASDAQ: SIGM), a leading provider of highly integrated system-on-chip, or SoC, solutions that are used to deliver multimedia entertainment throughout the home, today reported financial results for its first fiscal quarter ended May 3, 2008.

Net revenue for the first quarter was $56.9 million, down $19.5, or 26%, from $76.4 million in the previous quarter and up $20.9 million, or 58%, from $36.0 million reported for the same period last year.

Recent business developments include:

• Announced that Sigma has begun sampling its new SMP8654 media processor SoC, designed for the next generation of Internet Protocol Television (IPTV) set-top boxes, with product demonstrations held at the 2008 NAB Show. The SMP8654 provides a 50% improvement in performance along with lower overall system costs to provide a substantially improved value proposition for the burgeoning IPTV market.
• Jointly announced a collaboration with Microsoft to enable the Microsoft Mediaroom Internet Protocol Television (IPTV) and multimedia platform to operate on next-generation set-top boxes using the new Sigma SMP8654 SoC. The solution will provide a high-performance, cost-effective design that will give service providers the ability to offer innovative connected TV services, such as PC to TV photo and music sharing and also DVR Anywhere, which gives consumers the flexibility to watch their recorded programs on any TV in their home.
• Announced that Sigma’s SMP8634 media processor is being used by Pirelli Broadband Solutions, to power their line of IPTV set-top boxes, which are currently being deployed by two major European operators.
• Announced the new VXP9452 processor, an advanced video imaging processor that offers two fully separable video processing channels each featuring full 12-bit input and output support, intended for use by the leading digital broadcast TV, cinema studios and home theatre manufacturers.
• Announced that the company’s EM8622L media processor was selected by Panasonic, the market leader in high-end portable DVD players and Plasma HDTVs, to power the new AnyPlay™ P-DVR being jointly developed with Comcast Corporation, the nation’s leading provider of entertainment.
• Announced and demonstrated a DOCSIS 3.0 multi channel and tru2way™ set-top box reference design, jointly developed using Texas Instruments’ field proven cable TV technology and VividLogic’s comprehensive tru2way™ software.
• Completed the purchase of 3.8 million shares of the company’s common stock for an aggregate purchase price of $80.6 million as authorized by its board of directors under a previously announced share repurchase program.

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