Growth in Revenue, Profits, Return To Investors and Market Value Cited As
Key Elements In the Newspaper's Criteria For Measuring Success
SUNNYVALE, CA, MAY 20, 2004 - SanDisk Corporation (NASDAQ:SNDK) has earned the coveted number one spot in the San Francisco Chronicle's annual ranking of the Bay Area's top 200 best-performing companies, reflecting SanDisk's record revenues in 2003 and what the newspaper described as "growing consumer appetite for digital cameras, MP3 players and multimedia cellular telephones."
In announcing the Chronicle 200, the paper gave SanDisk the top position, besting a number of large, Fortune 500 companies that are located in the region. An article headlined "The Year's Stellar Performers" had this to say: "By nearly every financial indicator, SanDisk showed improvement in 2003, including a record profit of $168.9 million, up from $36.2 million a year earlier. Revenue squeaked past the $1 billion threshold for the first time, up from $541.3 million in 2002."
The Chronicle said that the success of SanDisk and other mid-sized technology companies is leading a turnaround in the economy of Silicon Valley, Northern California's technology belt south of San Francisco. Rankings were based on percentage growth in revenue, actual change in profit, return to investors and market value, according to a bylined story by Chronicle writer Verne Kopytoff.
The article quoted Steve Baker, an analyst for NPD Group, a market research company in Port Washington, N.Y., as saying that SanDisk is "in the right place at the right time." Demand for the flash memory storage cards that SanDisk manufactures is being driven by a continuing boom in digital photography as well as by the recent introduction of other new consumer electronics products that use flash memory cards, said the newspaper.
"We're pleased and honored that the San Francisco Chronicle has chosen us to occupy the top of their list," said SanDisk CEO Eli Harari. "While our company experienced dramatic growth in 2003, we are addressing several consumer markets that are young and just beginning to grow at an accelerated pace. Specifically, our flash cards are experiencing increased adoption not only in digital cameras and PDAs but also in camera cell phones, USB flash drives such as our Cruzer® family, and numerous industrial/telecom applications," he said.
As reasons for the company's success, Harari cited SanDisk's "total focus on technology and product innovations (more than 330 global flash patents issued so far), the relentless pursuit of higher quality at continually lower cost to customers, and our 850 dedicated employees who have kept us positioned as the worldwide market leader in flash memory card products," he added.
The matters discussed in this news release contain forward looking statements that are subject to certain risks and uncertainties as described under the caption, "Factors That May Affect Future Results" in the company's annual report on Form 10-K and quarterly reports on Form 10-Q, filed with the Securities and Exchange Commission. The company cannot guarantee that it will succeed in selling its products in the above-referenced applications and markets. The company assumes no obligation to update the information in this release.
SanDisk's web site/home page address: http://www.sandisk.com