Revenues Grow 36 Percent Sequentially, Company Returns to Positive Adjusted EBITDA.

Adept Technology, Inc. (Nasdaq:ADEP), a leading provider of intelligent vision-guided robotic solutions, today announced financial results for its fiscal first quarter ended September 26, 2009.

First Quarter Results

Revenues for the first quarter of fiscal 2010 were $11.7 million, compared to $8.6 million for the fourth quarter of fiscal 2009 and $14.3 million for the same period last year. The Company reported a GAAP net loss of $82,000, or $0.01 per share, which compares to a net loss of $3.3 million, or $0.40 per share, in the previous quarter and a net loss of $1.6 million, or $0.20 per share, in the first quarter of fiscal 2009.

Adept's adjusted EBITDA was $693,000 in the first quarter of fiscal 2010, compared with adjusted EBITDA loss of $1.5 million in the fourth quarter of fiscal 2009 and adjusted EBITDA loss of $805,000 in the first quarter of fiscal 2009. A discussion of this non-GAAP measure and reconciliation of this measure to the applicable GAAP measure is included below.

Gross margin was 45.5% of revenue in the first fiscal quarter of 2010, compared with 31.7% in the previous quarter and 46.2% of revenue in the first fiscal quarter of 2009. The Company's gross margin was positively impacted by increased volumes, which increased absorption of fixed manufacturing expenses.

During the first quarter, the Company continued to realize the benefits of its cost reduction efforts. Operating expenses were $5.5 million, down from $6.0 million last quarter and $7.7 million in the same quarter of fiscal 2009. Operating loss for the quarter was $209,000, compared to an operating loss of $3.3 million in the fourth quarter of fiscal 2009 and to an operating loss of $1.1 million a year ago.

Adept's cash and cash equivalents balance at September 26, 2009 was $7.1 million, compared to $7.5 million as of June 30, 2009.

"The 36 percent sequential revenue growth achieved in the first quarter reflects increasing momentum in our business despite the current economic climate," said John Dulchinos, Adept's president and chief executive officer. "We continued to experience strength in the packaging market, and saw growth in the disk drive market and in our European services business. In addition, we fulfilled and recognized most of the $2.5 million order for vision guided robots for a major consumer electronics manufacturer, as announced in July."

Mr. Dulchinos continued, "Our first quarter results also validate the efficiency of our financial model and the leverage we are able to achieve as our revenues return to previous levels. We posted a positive adjusted EBITDA as we realized the full effects of our cost reductions on operating expenses and gross margin, while continuing to invest in new products and market expansion in Japan. While we are in the midst of our seasonally weaker half of the fiscal year and will continue to invest in our future, we expect to see improvements and leverage in the model throughout 2010."

Recent Highlights:

* Announced a new USDA accepted parallel robot for meat and poultry
processing designed to provide food packagers the highest
possible speeds for raw-food handling, while maintaining hygienic
standards. The Quattro s650HS is the industry's only parallel
robot with USDA acceptance.
* Packaging revenue grew 41 percent over last quarter, reflecting
continued acceptance of our Quattro products.
* Appointed Rush LaSelle as Director of Global Sales & Marketing.
LaSelle has over 20 years experience with advanced robotics and
automation systems and will spearhead the company's global sales
and marketing efforts.
* Selected by LasX Industries as its exclusive robotics partner for
its LaswerSharp (R) Spider STP-400last cutting system.


Company Profile

Adept is a global, leading provider of intelligent robotics systems and services that enable customers to achieve precision, speed, quality and productivity in their assembly, handling, packaging, testing and other automated processes. With a comprehensive portfolio of high-performance motion controllers, application development software, vision-guidance technology and high-reliability robot mechanisms, Adept provides specialized, cost-effective robotics systems and services to high-growth markets including Packaging, Medical, Disk Drive/Electronics and Solar; as well as to traditional industrial markets including machine tool automation and automotive components. More information is available at www.adept.com