For 2005 Micronic posts best earnings ever in a continued robust market

Taby, Sweden, January 26, 2006 - Micronic Laser Systems AB (Stockholm Exchange’s "O list": MICR) today presented the Group’s Interim Report for October 1 – December 31, 2005 and the full year 2005 report. * Order intake in 2005 reached SEK 1,306 (945) million, of which SEK 163 (206) million was booked in the fourth quarter. * Net sales for 2005 are reported at SEK 1,276 (839) million, of which SEK 583 (422) million was generated in the fourth quarter. * Operating profit for the full year 2005 was SEK 172 (126) million, including SEK 162 (97) million for the fourth quarter. * Operating profit adjusted for capitalization and amortization of development costs totaled SEK 285 (44) million for the full year 2005 and SEK 185 (111) million for the fourth quarter. * Profit after tax for the full year 2005 was SEK 117 (108) million, equal to SEK 3.00 (2.77) per share. Fourth quarter profit after tax was SEK 115 (91) million, or SEK 2.93 (2.33) per share. * The order backlog at December 31, 2005, was SEK 871 (794) million and consisted of systems scheduled to ship during 2006.

“In 2005 we continued our upward trend as sales rose 52 percent to SEK 1,276 million. Our operating margin of 13.5 percent is highly satisfying since it includes SEK 112 million in net amortization of capitalized development costs. Adjusted for this, operating margin for the full year exceeded 22 percent. The combined effects of strong earnings and successful management of working capital during this powerful expansion gave us an excellent cash flow during the year,” says Sven Lofquist, President and CEO of Micronic Laser Systems AB. “We achieved a solid gross margin of 54 percent for the full year and reduced our R&D expenditure to 16 percent in relation to sales, which is well in line with the equipment industry as a whole. In 2006 our goal is to uphold a gross margin of 50-60 percent and maintain actual development expenditure at the same level as in 2005.” “The vigorous display market in 2005 fueled a dramatic surge in both sales and order intake. In 2006 we expect the still robust display market to generate sustained strong demand for pattern generators. Based on stable projected growth in the semiconductor industry and the past year’s consolidation in the photomask market, we see good opportunities to significantly increase our market share. All in all, we anticipate higher sales in 2006 and continued strong order intake,” concludes Sven Lofquist. Company contacts: Sven Lofquist President & CEO +46 8 638 52 00 sven.lofquist@micronic.se Agency contact: Luz Rodriguez The Loomis Group, Inc. +33 1 58 18 59 30 rodriguezl@loomisgroup.com