Micronic reports on first quarter of 2007

Taby, Sweden, April 20, 2007 - Micronic Laser Systems AB (listed on the OMX Stockholm Stock Exchange, Nordic list, Mid cap, Information Technology": MICR) today presented the Group’s Interim Report for January 1 - March 31, 2007.

* Order intake for the first quarter was SEK 58 (348) million.

* Net sales for the first quarter are reported at SEK 40 (377) million.

* Operating profit for the first quarter was SEK -108 (96) million.

* Operating profit adjusted for capitalization and amortization of development costs totalled SEK -86 (119) million for the first quarter.

* Profit after tax for the first quarter was SEK -78 (68) million, equal to SEK -1.98 (1.73) per share.

* The order backlog at the end of the quarter was SEK 224 (828) million and consisted of systems scheduled to ship during 2007. The order backlog at the end of 2006 was SEK 200 million.


“Net sales for the first quarter were clearly limited and contained no system deliveries, which consequently led to a negative gross margin. The company is currently feeling the effects of very weak demand for equipment in our main markets, which is also reflected in the period’s low order intake. However, the positive effects of the cost-cutting measures taken at the end of 2006 and beginning of 2007 are beginning to emerge. Research and development expenditure decreased by 20 percent compared with the fourth quarter of 2006 and production-related costs were significantly reduced,” says Sven Lofquist, President and CEO of Micronic Laser Systems AB.

“Our assessment, that 2007 will be a transitional year for Micronic with lower sales than in 2006 remains unchanged. We do not anticipate any substantial change in the display market during the first half of the year, although this does not rule out a certain order intake. The semiconductor industry has now entered the downturn that was anticipated and is expected to recover in the second half of 2007. We are also launching an expanded product portfolio for our Sigma systems in line with the adjusted sales strategy that was introduced in the second half of 2006,” adds Sven Lofquist.


Company contact:
Sven Lofquist
President & CEO
+46 8 638 52 00
sven.lofquist@micronic.se