Volcano Corp. reported record revenue for the fourth quarter ending December 31. But the company’s earnings fell dramatically because its tax allowance was lowered. The San Diego-based company develops devices to diagnose and treat cardiovascular conditions.

The company’s quarterly revenue rose to $102.5 million, a 10 percent increase over the same period last year. But Volcano’s net income, or earnings, dropped $26.9 million in the course of a year. It fell to $2.5 million, or $0.04 per diluted share, in the fourth quarter of 2012, versus earnings of $29.4 million, or $0.54 per diluted share, in the fourth quarter of 2011.

For the full year of 2012, the company reported revenues of $381.9 million, an 11 percent increase over the $343.5 million revenue in 2011.

— SDBJ Staff Report