COMPANY CONTACT:
Endologix, Inc.
Robert Krist, CFO(949) 595-7200www.endologix.com
    
    INVESTOR CONTACTS:
Lippert/Heilshorn & Associates, Inc.
Bruce Voss (bvoss@lhai.com)
Jody Cain (jcain@lhai.com)
(310) 691-7100
 ENDOLOGIX REPORTS 2008 SECOND QUARTER RESULTS
 48% Increase in Product Revenue; 14th Consecutive Quarter of Domestic Sales Growth
 Updates 2008 Financial Guidance
 IRVINE, Calif. (July 24, 2008) ®
  Financial Results
  www.endologix.com




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Conference Call Information
 www.endologix.com
 About Endologix
 www.endologix.com
 Except for historical information contained herein, this news release contains forward-looking
statements, specifically with respect to 2008 financial guidance, new product approvals by the U.S.
Food and Drug Administration, market introductions of new products, and achievement of positive
cash flow and profitability, the accuracy of which are necessarily subject to risks and
 www.endologix.com




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uncertainties, all of which are difficult or impossible to predict accurately and many of which are
beyond the control of Endologix. Many factors may cause actual results to differ materially from
anticipated results including sales efforts, product development efforts, and other economic,
business, competitive and regulatory factors. The Company undertakes no obligation to update its
forward looking statements. Please refer to the Companys Annual Report on Form 10-K for the year
ended December 31, 2007, and the companys other filings with the Securities and Exchange
Commission, for more detailed information regarding these risks and other factors that may cause
actual results to differ materially from those expressed or implied.
 www.endologix.com




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ENDOLOGIX, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
 (In thousands, except per share amounts)
(Unaudited)
 Three Months Ended
    
    
    Six Months EndedJune 30,
    
    
    June 30,2008
    
    
    2007
    
    
    2008
    
    
    2007Revenue:Domestic Product Revenue
    
    $
    7,881
    
    
    $
    5,363
    
    
    $
    14,730
    
    
    $
    10,480Non  U.S. Product Revenue
    
    
    1,380
    
    
    
    895
    
    
    
    2,848
    
    
    
    2,028Total Product Revenue:
    
    
    9,261
    
    
    
    6,258
    
    
    
    17,578
    
    
    
    12,508License revenue
    
    
    12
    
    
    
    60
    
    
    
    24
    
    
    
    118Total revenue
    
    
    9,273
    
    
    
    6,318
    
    
    
    17,602
    
    
    
    12,626Cost of product revenue
    
    
    2,554
    
    
    
    2,638
    
    
    
    5,085
    
    
    
    5,217Gross profit
    
    $
    6,719
    
    
    $
    3,680
    
    
    $
    12,517
    
    
    $
    7,409Gross profit as a % of total revenue
    
    
    72
    %
    
    
    58
    %
    
    
    71
    %
    
    
    59
    %Operating expenses:Research, development and clinical
    
    $
    1,798
    
    
    $
    1,455
    
    
    $
    3,296
    
    
    $
    3,059Marketing and sales
    
    
    6,144
    
    
    
    4,686
    
    
    
    11,944
    
    
    
    9,878General and administrative
    
    
    2,599
    
    
    
    1,446
    
    
    
    4,871
    
    
    
    3,067Total operating expenses
    
    
    10,541
    
    
    
    7,587
    
    
    
    20,111
    
    
    
    16,004Loss from operations
    
    $
    (3,822
    )
    
    $
    (3,907
    )
    
    $
    (7,594
    )
    
    $
    (8,595
    )Other income:Interest income
    
    
    60
    
    
    
    194
    
    
    
    140
    
    
    
    442Total other
    
    
    60
    
    
    
    194
    
    
    
    140
    
    
    
    442Net loss
    
    
    ($3,762
    )
    
    
    ($3,713
    )
    
    
    ($7,454
    )
    
    
    ($8,153
    )Basic and diluted net loss per share
    
    
    ($0.09
    )
    
    
    ($0.09
    )
    
    
    ($0.17
    )
    
    
    ($0.19
    )Shares used in computing basic and
diluted net loss per share
    
    
    42,976
    
    
    
    42,728
    
    
    
    42,964
    
    
    
    42,716
 www.endologix.com




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ENDOLOGIX, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except per share amounts)
(Unaudited)
 June 30,
    
    
    December 31,2008
    
    
    2007ASSETSCurrent assets:Cash and cash equivalents
    
    $
    5,602
    
    
    $
    8,728Restricted cash equivalents
    
    
    500
    
    
    
    500Accounts receivable, net
    
    
    4,967
    
    
    
    4,527Other receivables
    
    
    11
    
    
    
    234Inventories
    
    
    7,179
    
    
    
    8,054Other current assets
    
    
    308
    
    
    
    581Total current assets
    
    
    18,567
    
    
    
    22,624Property and equipment, net
    
    
    3,487
    
    
    
    3,771Goodwill
    
    
    4,631
    
    
    
    4,631Intangibles, net
    
    
    8,211
    
    
    
    8,913Other assets
    
    
    104
    
    
    
    104Total Assets
    
    $
    35,000
    
    
    $
    40,043LIABILITIES AND STOCKHOLDERS EQUITYCurrent liabilities:Accounts payable and accrued expenses
    
    $
    5,006
    
    
    $
    4,259Current liabilities
    
    
    5,006
    
    
    
    4,259Long-term liabilities
    
    
    1,077
    
    
    
    1,109Total liabilities
    
    
    6,083
    
    
    
    5,368Stockholders equity:Common stock, $.001 par value; 60,000,000 shares
authorized, and 44,124,000 and 43,453,000 shares
issued, and 43,629,000 and 42,958,000 outstanding
    
    
    44
    
    
    
    43Additional paid-in capital
    
    
    168,518
    
    
    
    166,912Accumulated deficit
    
    
    (139,192
    )
    
    
    (131,738
    )Treasury stock at cost, 495,000
    
    
    (661
    )
    
    
    (661
    )Accumulated other comprehensive income
    
    
    208
    
    
    
    119Total stockholders equity
    
    
    28,917
    
    
    
    34,675Total Liabilities and Stockholders Equity
    
    $
    35,000
    
    
    $
    40,043
  www.endologix.com