VistaPrint Reports 2008 Fourth Fiscal Quarter and Full Fiscal Year Financial Results

* Fourth quarter results, year over year:
-- Revenue rose 52 percent
-- Net income per fully diluted share rose 91 percent
-- Non-GAAP adjusted net income per fully diluted share rose
60 percent

* Full fiscal year results, year over year:
-- Revenue rose 57 percent
-- Net income per fully diluted share rose 45 percent
-- Non-GAAP adjusted net income per fully diluted share rose
51 percent
HAMILTON, Bermuda, July 31, 2008 (PRIME NEWSWIRE) -- VistaPrint Limited
(Nasdaq:VPRT), the small business marketing company, today announced financial
results for the fourth fiscal quarter and full fiscal year ended June 30, 2008.

"VistaPrint delivered another outstanding quarter and another outstanding fiscal
year," said Robert Keane, president and chief executive officer. "Continuing the
track record we have set every year since our 2005 IPO, we delivered very strong
profit and revenue growth while continuing to invest in building a successful
and enduring business institution. We believe we remain at the early stages of
our growth, and in the coming fiscal year expect continuing strong profit and
revenue growth."

Financial Metrics:

* Revenue for the fourth quarter of fiscal year 2008 grew to
$110.4 million, a 52 percent increase over revenue of
$72.5 million reported in the same quarter a year ago. For the
full fiscal year, revenue grew to $400.7 million, a 57 percent
increase over revenue of $255.9 million in fiscal year 2007.

* Gross margin (revenue minus the cost of revenue) in the fourth
quarter was 60.6 percent, compared to 64.5 percent in the same
quarter a year ago. Gross margins were adversely impacted by a
number of factors, including unfavorable currency movements,
shifts in product mix, and increased shipping costs resulting
from fuel surcharges.

* Operating income in the fourth quarter was $11.3 million, or
10.3 percent of revenue, and reflected a 126 percent increase
compared to $5.0 million, or 6.9 percent of revenue, in the same
quarter a year ago. For the full fiscal year, operating income
was $41.2 million, or 10.3 percent of revenue, a 51 percent
increase over operating income of $27.2 million, or 10.6 percent
of revenue, in the prior fiscal year.

* GAAP net income for the fourth quarter was $10.3 million, or
9.4 percent of revenue, representing a 91 percent increase
compared to $5.4 million, or 7.4 percent of revenue in the same
quarter a year ago. For the full fiscal year, GAAP net income
was $39.8 million, or 9.9 percent of revenue, a 47 percent
increase over GAAP net income of $27.1 million, or 10.6 percent
of revenue, in the prior fiscal year.

* GAAP net income per fully diluted share for the fourth quarter
was $0.22, versus $0.12 in the same quarter a year ago. For the
full year, GAAP net income per fully diluted share was $0.87,
versus $0.60 in the prior full fiscal year.

* Non-GAAP adjusted net income for the fourth quarter, which
excludes share-based compensation expense, was $15.0 million, or
13.6 percent of revenue, representing a 61 percent increase over
$9.3 million, or 12.8 percent of revenue in the same quarter a
year ago. For the full fiscal year, non-GAAP adjusted net income,
which excludes share-based compensation expense, was
$55.1 million, or 13.8 percent of revenue, a 53 percent increase
over non-GAAP adjusted net income of $35.9 million, or 14.0 percent
of revenue, in the prior fiscal year.

* Non-GAAP adjusted net income per fully diluted share for the
fourth quarter, which excludes share-based compensation expense,
was $0.32, versus $0.20 in the same quarter a year ago. For the
2008 full fiscal year, non-GAAP adjusted net income per fully
diluted share, excluding share-based compensation expense, was
$1.18, versus $0.78 in the prior full fiscal year.

* Capital expenditures in the fourth quarter were $13.9 million or
13 percent of revenue. During the full fiscal year capital
expenditures were $63 million or 16 percent of revenue.

* During the fourth quarter, the Company generated $18.7 million in
cash from operations. During the full fiscal year, the Company
generated $87.7 million in cash from operations and $18.0 million
in free cash flow.

* The Company had $129.7 million in cash, cash equivalents and
marketable securities as of June 30, 2008.

Operating Highlights:

* VistaPrint acquired approximately 1.2 million new customers in
the fourth fiscal quarter ending June 30, 2008. For the full
2008 fiscal year, the number of new customer acquisitions totaled
approximately 4.5 million.

* Repeat customers generated approximately 65 percent of total
quarterly bookings in the fourth quarter, compared with 63
percent in the same quarter a year ago.

* Average daily order volume in the fourth quarter of fiscal 2008
exceeded 33,000, reflecting approximately a 50 percent increase
over an average of approximately 22,000 orders per day in the
same quarter a year ago.

* Advertising spending in the fourth quarter was $19.6 million, or
17.7 percent of revenue compared to $14.7 million, or
20.2 percent of revenue in the same quarter a year ago.

* Non-U.S. markets contributed 39 percent of total revenue in the
fourth quarter, up from 32 percent in the same quarter a year
ago.

* Average order value in the fourth quarter including revenue from
shipping and processing was $34.00, a 5 percent increase when
compared to $32.33 in the same quarter a year ago.

* Web site sessions in the fourth quarter were 47.8 million, a
37 percent increase over 34.9 million in the same quarter a year
ago.

* Conversion rates were 6.4 percent in the fourth quarter of fiscal
2008, compared to 5.9 percent in the same quarter a year ago.

* VistaPrint introduced custom websites for small businesses and
broadened its signage offering with window decals and car door
magnets.

* VistaPrint was awarded three new U.S. patents.
"Our financial results highlight a number of positive dynamics: in the fourth
quarter, we grew rapidly while expanding operating margins, and for the full
fiscal year, we saw reduced capital intensity, and increased free cash flow,"
noted chief financial officer Harpreet Grewal. "This year we set and announced a
number of demanding financial and operational goals. We've executed consistently
and continued to meet, and at times exceed, our aggressive targets."

Financial Guidance as of July 31, 2008:

Based on current and anticipated levels of demand, the Company expects the
following financial results:

Revenue

* For the first quarter of fiscal year 2009, ending
September 30, 2008, the Company expects revenue to be
$112 million to $116 million.

* For the full fiscal year ending June 30, 2009, the Company
expects revenue to be $540 million to $570 million.

GAAP Fully-Diluted Earnings Per Share

* For the first quarter of fiscal year 2009, ending
September 30, 2008, the Company expects GAAP fully-diluted
earnings per share to be $0.15 to $0.18.

* For the full fiscal year ending June 30, 2009, the Company
expects GAAP fully-diluted earnings per share to be $1.10 to
$1.20, which assumes 46.5 million weighted average shares
outstanding.
Non-GAAP Adjusted Net Income Per Fully-Diluted Share

The Company is providing the following assumptions to facilitate comparisons
with non-GAAP adjusted net income per fully diluted share. For the quarter
ending September 30, 2008: non-GAAP fully diluted weighted average share count
of approximately 47.0 million shares, share-based compensation expense of
approximately $5.2 million. For the full fiscal year ending June 30, 2009:
non-GAAP fully diluted weighted average share count of approximately 47.5
million shares, share-based compensation expense of approximately $20 million.

Based on the above assumptions and the Company's guidance above regarding GAAP
expectations, non-GAAP adjusted net income per fully diluted share would be as
follows:

* For the first quarter of fiscal year 2009, ending
September 30, 2008, non-GAAP adjusted net income per fully
diluted share range of approximately $0.25 to $0.28.

* For the full fiscal year 2009, ending June 30, 2009, non-GAAP
adjusted net income per fully diluted share range of
approximately $1.50 to $1.60.

Capital Expenditures

* For the first quarter of fiscal year 2009, ending
September 30, 2008, the Company expects to make capital
expenditures of approximately 18 to 22 percent of anticipated
fiscal year 2009 first quarter revenue.

* For the full fiscal year ending June 30, 2009, the Company
expects to make capital expenditures of approximately 14 to 17
percent of anticipated fiscal year 2009 revenue.
Planned capital investments include two major facility expansions: the larger
being an expansion of the Company's Montego Bay, Jamaica, service center
operations which is expected to be completed in approximately eighteen months,
and continued work on the expansion of the Company's Windsor, Ontario
manufacturing facilities, which is expected to be completed in the third quarter
of fiscal year 2009.

The foregoing guidance supersedes any guidance previously issued by the Company.
All such previous guidance should no longer be relied upon.

At approximately 4:20 p.m. (EDT) on July 31, 2008, VistaPrint will post, on the
investor relations section of www.vistaprint.com, a link to a pre-recorded audio
visual end-of-quarter presentation along with a downloadable transcript of the
prepared remarks that accompany that presentation. At 5:00 p.m. (EDT) there will
be a Web cast of a live Q&A session with VistaPrint management. Links to this
Q&A session will also be posted on the investor relations section of the
Company's Web site. A replay of the Q&A session will be available on the
Company's Web site following the call on July 31, 2008.

About non-GAAP financial measures

To supplement VistaPrint's consolidated financial statements presented in
accordance with U.S. generally accepted accounting principles, or GAAP,
VistaPrint has used the following measures defined as non-GAAP financial
measures by the SEC: non-GAAP adjusted net income and non-GAAP adjusted net
income per diluted share. The item excluded from the non-GAAP measurements is
share-based compensation expense. The presentation of non-GAAP financial
information is not intended to be considered in isolation or as a substitute for
the financial information prepared and presented in accordance with GAAP. For
more information on these non-GAAP financial measures, please see the table
captioned "Reconciliations of Non-GAAP Financial Measures" included at the end
of this release. The table has more details on the GAAP financial measures that
are most directly comparable to non-GAAP financial measures and the related
reconciliation between these financial measures.

Share-based compensation expense

VistaPrint adopted SFAS 123(R), Share-Based Payments, on July 1, 2005 and began
expensing the fair value of share option grants issued to employees and
directors. Prior to that date, the Company had accounted for share option grants
under the provisions of APB No. 25, Accounting for Stock Issued to Employees,
and therefore had not recorded any compensation expense related to such grants.
Management has excluded share-based compensation expense from the non-GAAP
measurements for fiscal years 2006, 2007 and 2008.

VistaPrint's management believes that these non-GAAP financial measures provided
meaningful supplemental information regarding our performance by excluding
certain expenses that may not have been indicative of our core business
operating results. VistaPrint believes that both management and investors have
historically benefited from referring to these non-GAAP financial measures in
assessing VistaPrint's performance and when planning, forecasting and analyzing
future periods. These non-GAAP financial measures also have facilitated
management's internal comparisons to VistaPrint's historical performance and our
competitors' operating results. Management believes that these benefits were
particularly important during the period following adoption of SFAS 123(R), as
prospective equity grants resulted in incremental share-based compensation
expenses not previously reported by VistaPrint prior to adoption of SFAS 123(R),
which management believes were not indicative of core business operating
results.

VistaPrint previously announced the Company's intention to eliminate the use of
non-GAAP financial measures in its financial reporting and guidance beginning
with the first quarter of the fiscal year ending June 30, 2009, other than to
facilitate non-GAAP comparisons during a transition period, because management
believes that the reporting of non-GAAP measures would by that time no longer
provide meaningful supplemental information to investors regarding the Company's
performance. However, based on subsequent investor feedback, management has
concluded that many investors believe they would continue to benefit from
referring to these non-GAAP financial measures in assessing VistaPrint's
performance and when forecasting and analyzing future periods. Therefore, the
Company intends to continue to use non-GAAP financial measures in its financial
reporting and guidance in fiscal year 2009 and will reevaluate for future
periods. Until VistaPrint ceases to include non-GAAP financial measures in its
reporting, it expects to compute non-GAAP financial measures using the same
consistent method from quarter to quarter and year to year.

Management provides these non-GAAP financial measures as a courtesy to
investors. However, to gain a more complete understanding of the Company's
financial performance, management does (and investors should) rely upon GAAP
statements of operations.

About VistaPrint

VistaPrint Limited (Nasdaq:VPRT) is the small business marketing company having
served over 15 million customers world-wide. VistaPrint offers small businesses
the ability to market their business with a broad range of brand identity and
promotional products, marketing services and electronic marketing solutions. A
global company, VistaPrint employs more than 1,400 people and operates 19
localized websites serving over 120 countries around the world. A broad range of
marketing products and services are available online at www.vistaprint.com.
VistaPrint's products are satisfaction guaranteed.

VistaPrint, the VistaPrint logo and VistaPrint.com are registered trademarks of
VistaPrint. All other brand and product names appearing on this announcement may
be trademarks or registered trademarks of their respective holders.

This press release contains statements about management's future expectations,
plans and prospects of our business that constitute forward-looking statements
for purposes of the safe harbor provisions under The Private Securities
Litigation Reform Act of 1995, including, but not limited to, statements
concerning the expected growth and development of our business including the
financial guidance set forth under the heading "Financial Guidance as of July
31, 2008," our operating performance, our margins, our market position, our
reinvestment program, and our ability to successfully attract and retain
customers. Actual results may differ materially from those indicated by these
forward-looking statements as a result of various important factors including,
but not limited to, our ability to attract customers and to retain customers and
to do so in a cost-effective manner, willingness of purchasers of graphic design
services and printed products to shop online, failure of our investments,
unexpected increases in our use of funds, failure to increase our revenue and
keep our expenses consistent with revenue, failures of our web sites or network
infrastructure, failure to maintain the prices we charge for our products and
services, the inability of our manufacturing operations to meet customer demand,
and other factors that are discussed in our Annual Report on Form 10-K for the
fiscal year ended June 30, 2007, our Quarterly Report on Form 10-Q for the
quarter ended March 31, 2008, and other documents we periodically file with the
SEC.

In addition, the statements in this press release represent our expectations and
beliefs as of the date of this press release. We anticipate that subsequent
events and developments may cause these expectations and beliefs to change. We
specifically disclaim any obligation to update any forward-looking statements.
These forward-looking statements should not be relied upon as representing our
expectations or beliefs as of any date subsequent to the date of this press
release.

VistaPrint Limited

Consolidated Balance Sheets

June 30, June 30,
2008 2007
--------- ---------
(Unaudited)
(In thousands, except
share and per share
data)
Assets
Current assets:
Cash and cash equivalents $ 103,145 $ 69,464
Marketable securities 26,598 38,578
Accounts receivable, net of allowances
of $213 and $148 at June 30, 2008 and
June 30, 2007, respectively 6,105 4,647
Inventory 2,548 1,144
Prepaid expenses and other current
assets 5,678 4,962
--------- ---------
Total current assets 144,074 118,795
Property, plant and equipment, net 154,520 106,192
Software and web site development costs,
net 5,380 3,841
Other assets 9,322 6,025
--------- ---------
Total assets $ 313,296 $ 234,853
========= =========

Liabilities and shareholders' equity
Current liabilities:
Accounts payable $ 8,486 $ 9,445
Accrued expenses 36,532 22,403
Deferred revenue 1,893 746
Current portion of long-term debt 3,304 3,202
--------- ---------
Total current liabilities 50,215 35,796
Deferred tax liability - non-current -- 1,225
Accrued compensation costs 1,069 --
Long-term debt 19,507 21,772
Shareholders' equity:
Common shares, par value $0.001 per
share, 500,000,000 shares authorized;
44,276,016 and 43,472,317 shares
issued and outstanding at June 30,
2008 and June 30, 2007, respectively 44 43
Additional paid-in capital 191,271 170,029
Retained earnings 43,098 4,066
Accumulated other comprehensive income 8,092 1,922
--------- ---------

Total shareholders' equity 242,505 176,060
--------- ---------

Total liabilities and shareholders'
equity $ 313,296 $ 234,853
========= =========

VistaPrint Limited

Consolidated Statements of Operations

Three Months Ended
June 30, Year Ended June 30,
---------------------- ----------------------
2008 2007 2008 2007
---------- ---------- ---------- ----------
(Unaudited)
(in thousands, except share and per share data)

Revenue $ 110,408 $ 72,549 $ 400,657 $ 255,933

Cost of revenue (1) 43,514 25,744 154,122 89,971
Technology and
development
expense (1) 13,206 8,071 44,828 27,176
Marketing and
selling
expense (1) 33,805 26,454 127,975 87,887
General and
administrative
expense (1) 8,545 7,255 32,572 23,694
---------- ---------- ---------- ----------
Income from
operations 11,338 5,025 41,160 27,205
Interest incom 782 1,186 4,160 4,691
Other income
(expense), net (339) (48) 427 (45)
Interest expense 395 437 1,655 1,828
---------- ---------- ---------- ----------
Income before
income taxes 11,386 5,726 44,092 30,023
Income tax
provision 1,057 329 4,261 2,880
---------- ---------- ---------- ----------

Net income $ 10,329 $ 5,397 $ 39,831 $ 27,143
========== ========== ========== ==========

Basic net income
per share $ 0.23 $ 0.12 $ 0.91 $ 0.64
========== ========== ========== ==========

Diluted net
income per share $ 0.22 $ 0.12 $ 0.87 $ 0.60
========== ========== ========== ==========

Weighted average
common shares
outstanding -
basic 44,207,288 43,285,950 43,913,119 42,445,991
========== ========== ========== ==========
Weighted average
common shares
outstanding -
diluted 45,950,019 45,812,683 46,016,364 45,364,257
========== ========== ========== ==========

(1) Share-based compensation is allocated as follows:

Three Months Ended
June 30, Year Ended June 30,
---------------------- ----------------------
2008 2007 2008 2007
---------- ---------- ---------- ----------
(Unaudited)
(in thousands)

Cost of revenue $ 161 $ 122 $ 755 $ 427
Technology and
development
expense 1,245 684 4,108 2,184
Marketing and
selling expense 1,037 2,045 3,722 3,176
General and
administrative
expense 2,051 1,032 6,162 2,978
---------- ---------- ---------- ----------
$ 4,494 $ 3,883 $ 14,747 $ 8,765
========== ========== ========== ==========

VistaPrint Limited

Reconciliations of Non-GAAP Financial Measures

Three Months Ended
June 30, Year Ended June 30,
-------------------- -------------------
2008 2007 2008 2007
------- ------- ------- -------
(Unaudited)
(in thousands, except per share data)
Non-GAAP adjusted
net income
reconciliation:
Net income $10,329 $ 5,397 $39,831 $27,143
Add back:
Share-based
compensation
expense,
inclusive of
income tax effect 4,648(a) 3,883 15,275(b) 8,765
------- ------- ------- -------

Non-GAAP adjusted
net income $14,977 $ 9,280 $55,106 $35,908
======= ======= ======= =======

Non-GAAP adjusted
net income per
diluted share
reconciliation:
Net income per
diluted share $ 0.22 $ 0.12 $ 0.87 $ 0.60
Add back:
Share-based
compensation
expense, inclusive
of income tax
effects 0.10 0.08 0.31 0.18
------- ------- ------- -------
Non-GAAP adjusted
net income per
diluted share $ 0.32 $ 0.20 $ 1.18 $ 0.78
======= ======= ======= =======

(a) Includes share-based compensation charges of $4,494 and the
income tax effects related to those charges of $154

(b) Includes share-based compensation charges of $14,747 and the
income tax effects related to those charges of $528

VistaPrint Limited

Consolidated Statements of Cash Flows

Year Ended June 30,
--------------------
2008 2007
--------------------
(Unaudited)
(in thousands)
Operating activities
Net income $ 39,831 $ 27,143
Adjustments to reconcile net income to
net cash provided by operating
activities:
Depreciation and amortization 25,193 14,874
Loss on disposal of equipment 71 474
Impairment loss on equipment 62 876
Share-based compensation expense 14,747 8,765
Deferred taxes (2,029) 1,290
Tax benefits derived from share-based
compensation awards (1,301) --
Changes in operating assets and
liabilities:
Accounts receivable (1,257) (3,124)
Inventory (1,309) 298
Prepaid expenses and other assets (2,173) (3,177)
Accounts payable 2,439 (240)
Accrued expenses and other current
liabilities 13,457 7,061
-------- --------
Net cash provided by operating activities 87,731 54,240

Investing activities
Purchases of property, plant and
equipment, net (62,740) (62,845)
Proceeds from sale of equipment -- 256
Purchases of marketable securities (49,487) (52,399)
Sales of marketable securities 61,117 57,000
Purchase of intangible assets (1,250) --
Capitalization of software and website
development costs (5,696) (4,189)
-------- --------
Net cash used in investing activities (58,056) (62,177)

Financing activities
Proceeds from long-term debt -- 1,630
Repayment of long-term debt (3,251) (2,620)
Payment of witholding taxes in
connection with settlement of RSUs (3,391) --
Tax benefits derived from share-based
compensation awards 1,301 --
Proceeds from issuance of common shares 8,321 13,706
-------- --------
Net cash provided by financing activities 2,980 12,716

Effect of exchange rate changes on cash 1,026 32
-------- --------
Net increase in cash and cash equivalents 33,681 4,811

Cash and cash equivalents at beginning
of period 69,464 64,653
-------- --------

Cash and cash equivalents at end of
period $103,145 $ 69,464
======== ========

Free Cash Flow Reconciliation:
Net cash provided by operating
activities $ 87,731 $ 54,240
Purchases of property, plant and
equipment, net (62,740) (62,845)
Purchase of intangible assets (1,250) --
Capitalization of software and website
development costs (5,696) (4,189)
-------- --------
Total free cash flow $ 18,045 $(12,794)
======== ========
-0-
CONTACT: VistaPrint
Investor Relations:
Angela White
781-652-6480
ir@vistaprint.com
Media Relations:
Jason Keith
781-652-6444
publicrelations@vistaprint.com