Personally speaking, I still use phpThumb. The CMS-system I usually use (Modx) has a built-in Extra for it, and as far as I can see, it still works like a charm, even though it's a bit old.
phpThumb (the Sourceforge one) was a EXCELLENT library when it first came out, and it is still very powerful. I don't know about any other libraries for PHP that has the same level of customizations and optimization, especially for caching.
I'd recommend sticking to the library for now, unless you have a good reason not to. You could also try to google around for php thumbnail library
but you'll most likely have to dig deep to find anything as good as phpThumb.
By the way, for the others out there, phpThumb uses ImageMagic-functions a lot to do it's compressions.