In addition, non-GAAP financial measures will be discussed today. Please visit the Investor Relations section of the NeoPhotonics Web site for a copy of the company's press release, which contains an explanation of these non-GAAP financial measures as well as a reconciliation to the comparable GAAP measures.Before I turn the call over to Tim, I'd like to mention that NeoPhotonics will present at the B. Riley & Co. 13th Annual Investor Conference in Santa Monica on May 23rd, and at the Cowen 40th Annual technology Media & Telecom Conference in New York City late May. Now, I will turn the call over to Tim Jenks, CEO of NeoPhotonics. Tim... Tim Jenks Thank you for joining us today. I will provide a financial and business update, discuss progress in our business, and then talk about what we are seeing in the industry as a whole. In addition, I'll comment on our recently announced private placement and cooperation in the Russian market with the Russian Corporation of Nanotechnologies. We delivered record first quarter revenue at $54.2 million, significantly above our projected range of $46-$51 million provided in our fourth quarter 2011 conference call. We experienced increased demand across a large part of our business, notably for Speed and Agility products, offset by annual price declines - the result of negotiations completed in the fourth quarter, plus normal seasonality. NeoPhotonics, as a vertically integrated supplier of optical modules and subsystems, is not at all dependent on partners in Thailand for any part of our supply chain. Thus, the flooding in Thailand did not have any direct adverse impact on our ability to produce products. Demand in the first quarter was particularly strong for high speed products, such as, tunable laser products and other products for Coherent networks, each of which are in our Speed and Agility product group. In addition, demand from several of our largest Western customers was relatively strong in the first quarter and above fourth quarter demand as carriers accelerated their investments in high speed coherent networks. In contrast, Asia and in particularly China reflected both seasonality in the winter months, particularly for our Access business, and the fact that the Chinese New Year occurred in the middle of the quarter, making the first quarter there essentially a twelve week quarter.
We delivered Non-GAAP gross margin above our projected range. Non-GAAP gross margin was 23.9% in the first quarter, compared to our projected range of 20-22% following the acquisition of Santur Corporation that closed during the fourth quarter of 2011, and again inclusive of the effects of annual price negotiations completed during the fourth quarter of 2011. Our work to integrate Santur, to benefit from scale and procurement synergies and to "right size" overheads for operations, resulted in Santur products achieving Non-GAAP gross margins in a range comparable to our broader product portfolio. GAAP gross margin for the first quarter of 2012 was 21.0%.Reflecting our strong revenue and expanding margins, and inclusive of our "delta" research and development investment we started in the third quarter of 2011, we reported Non-GAAP diluted loss per share from continuing operations of $0.22 compared to our projected range of a loss of $0.25 to $0.35 [cents]. Broadly speaking, NeoPhotonics' core business is in providing photonic integrated circuit, or PIC, based modules and subsystems for bandwidth-intensive high-speed communications networks. Our products enable cost-effective, high-speed data transmission and efficient allocation of bandwidth over these networks. We sell our products to the leading network equipment vendors globally. Read the rest of this transcript for free on seekingalpha.com