my company has recently started to get problems with the image handling for our websites.
We have several websites (adult entertainment) that display images like dvd cov
I suggest you set up a dedicated web server to handle image resize and serve the final result. I have done something similar, although on a much smaller scale. It basically eliminates the process of checking for the cache.
It works like this:
http://imageserver/someimage.150x120.jpg
EDIT: I don't think that PHP itself would slow the process much, as PHP scripting in this case is reduced to a minimum: the image scaling is done by a builtin library written in C. Whatever you do you'll have to use a library like this (GD or libmagick or so) so that's unavoidable. With my system at least you totally skip the overhead of checking the cache, thus further reducing PHP interaction. You can implement this on your existing server, so I guess it's a solution well suited for your budget.