Net income on a GAAP basis for the fiscal second quarter of 2008 was $4.1 million or $0.04 per diluted share, compared to a net loss of $1.9 million or a loss of $0.02 per diluted share in the year-ago quarter. GAAP results include stock-based compensation charges. In addition, year-ago GAAP results include $2.8 million in costs associated with our special investigation into our historical stock option grants, and $0.2 million in a reversal of a restructuring charge.
Non-GAAP net income for the fiscal second quarter of 2008, excluding $1.4 million in stock-based compensation charges, was $5.5 million or $0.05 per diluted share. That compares to year-ago non-GAAP net income of $2.5 million or $0.02 per diluted share. Year-ago non-GAAP results exclude $2.8 million in costs associated with our special investigation into our historical stock option grants, $1.8 million in stock-based compensation, and $0.2 million in a reversal of a restructuring charge. A reconciliation of GAAP to non-GAAP financial measures is included in the accompanying financial tables.
“This quarter represents our highest revenues in two years, driven largely by our newer products, which are being broadly accepted by the market,” said president and CEO of Extreme Networks, Mark Canepa. “Our continued success shows how our vision and our products are aligned with customer needs.”
Cash, short-term investments, and marketable securities were $226.3 million as of December 30, 2007, compared to $224.7 million as of September 30, 2007, reflecting positive cash flow from operations.