O2Micro International Limited Profile

O2Micro International Limited (O2Micro) designs, develops and markets integrated circuits for power management and security applications. O2Micro focuses its product design on integrated circuits for consumer electronics, computer, industrial and communications products, including liquid crystal displays (LCD) computer monitors, LCD televisions, notebook computers, Internet security devices, global positioning systems (GPS), mobile phones and portable digital versatile disc (DVD) players. Its integrated circuit products manage and provide power for lighting of LCDs, provide connections between notebook computers and external plug-in cards, provide Internet security, control and monitor battery charging and discharging, and select and switch between power sources. For the three months ended 31 March 2006, O2Micro International Ltd.'s revenues rose 25% to $29.1M. Net income fell 51% to $1M. Revenues reflect additions to key engineering resources and expansion of product & patent portfolios. Net income was offset by increased cost of sales, higher research & development expense, the presence of stock based compensation expense and a rise in selling, general & administrative expenses.