FRAMINGHAM, Mass. -- NMS Communications (NASDAQ: NMSS), a leading provider of communications technologies and solutions for converged and mobile networks, today announced financial results for the first quarter ended March 31, 2006.

Total revenues for the first quarter of 2006 were $30.7 million compared to $22.6 million for the corresponding quarter in 2005, an increase of 36 percent. Non-GAAP net income was $2.6 million or $0.05 per share for the first quarter, excluding $908 thousand in non-cash charges, comprised of $122 thousand in amortization of purchased intangible assets and $786 thousand in stock-based compensation expense. GAAP net income for the first quarter was $1.7 million or $0.03 per share, compared to a net loss of $(2.1) million or $(0.04) per share reported for the first quarter of 2005.

Business Perspective

"We executed solidly on all fronts in Q1, with strong revenues, good margins and continued expense controls, resulting in profitable operations. Our Platform Solutions business grew, in terms of both revenues and orders, reflecting continued demand for our Open Access(TM) and embedded voice quality products. We continued to build our pipeline and saw early orders for our Vision media servers. As anticipated, revenues for our Voice Quality systems declined in the first quarter," said Bob Schechter, NMS Communications Chairman and CEO.

"Revenues and orders for our AccessGate(TM) Radio Access Network (RAN) optimizer increased appreciably, confirming our strategy and focus on developing markets, such as Africa, India and Latin America. During the quarter, we announced the availability of the AccessGate 1004, designed specifically to allow operators with satellite infrastructure to take advantage of the same significant backhaul reductions that AccessGate affords to the RAN," Schechter continued. "The AccessGate 1004, like the entire AccessGate product line, supports IP and 3G services enabling operators to future-proof their networks as they plan for increased next generation data services.

NMS Communications Corp.