Micro Component Technology, Inc. (OTCBB:MCTI) today reported results for its third quarter ended September 29, 2007. Net sales for the third quarter of 2007, at $3.6 million, increased 9% over the third quarter of 2006. Net loss was $390,000, or $0.01 per share in the third quarter of 2007, compared to a net loss of $1,879,000 in the third quarter of 2006.

Net sales for the nine-months ended September 29, 2007 were $10.9 million, an increase of 17% from net sales of $9.3 million in the prior year. The net loss for the nine-month period of 2007 was $0.8 million, or $0.02 per share, compared to a net loss of $3.0 million, or $0.10 per share in the prior year.

MCT’s President, Chairman and Chief Executive Officer, Roger E. Gower, commented, “Our third quarter revenue continued to demonstrate the sales strength that was experienced in the first two quarters of 2007, resulting in a 17% increase in sales over the first nine months of 2006. In addition, the outstanding sales performance this quarter evidenced itself in (1) the strong concentration of our new products (introduced in last 18 months) which totaled 68% of our total system sales and (2) the diversity of our customer base in which no single customer represented over 35% of our total sales in the third quarter. Lastly, it should be noted that within the loss of $390,000 experienced in the third quarter, was $306,000 of non cash expense for amortization of warrant discounts and debt issue costs associated with restructuring of our loan agreements. EBITDA remained positive at over $230,000 in the third quarter and over $875,000 for the nine months of 2007,” concluded Gower.

MCT is a leading manufacturer of test handling and automation solutions satisfying the complete range of handling requirements of the global semiconductor industry. MCT has recently introduced several new products under its Smart Solutions™ line of automation products, including Tapestry®, SmartMark™, SmartSort™, and SmartTrak™, which are designed to automate the back-end of the semiconductor manufacturing process. MCT believes it has the largest installed IC test handler base of any manufacturer, with over 11,000 units worldwide.

MCT is headquartered in St. Paul, Minnesota, with its core manufacturing operation in Penang, Malaysia. MCT is traded on the OTC Bulletin Board under the symbol MCTI.

For more information on the Company, visit its web site at http://www.mct.com

Except for the historical information contained herein, the matters discussed in this news release are forward looking statements that involve risks and uncertainties, including the timely development and acceptance of new products, the impact of competitive products and pricing, the impact on cash and results of operations from a flattening or renewed downturn in the semiconductor capital equipment market, the need for additional financing, and the other factors detailed from time to time in the Company's SEC reports, including but not limited to the discussion in the Risk Factors and Management's Discussion & Analysis included in Form 10-K for the year ended December 31, 2006, first quarter ending March 31, 2007 and second quarter June 30, 2007.

Condensed Consolidated Statements of Operations (Unaudited)
(In thousands, except per share data)
		Three months ended								Nine months ended
		Sep 29,				Sep 30,				Sep 29,				Sep 30,
		2007				2006				2007				2006
Net sales		$	3,567			$	3,279			$	10,904			$	9,330
Cost of sales			1,858				1,770				5,337				4,570
Gross profit			1,709				1,509				5,567				4,760
Gross margin			47.9%				46.0%				51.0%				51.0%
Selling, general and administrative			1,079				1,074				3,305				3,058
Research and development cost			437				487				1,421				1,530
Restructuring charge		-				-					137			-
Total operating expenses			1,516				1,561				4,863				4,588
Operating income (loss)			193				(52	)			704				172
Interest, net			(296	)			(313	)			(854	)			(906	)
Amortization of warrant discounts and other			(287	)			(1,514	)			(679	)			(2,221	)
Net income (loss)		$	(390	)		$	(1,879	)		$	(829	)		$	(2,955	)
Net income (loss) per share:
Basic		$	(0.01	)		$	(0.06	)		$	(0.02	)		$	(0.10	)
Diluted		$	(0.01	)		$	(0.06	)		$	(0.02	)		$	(0.10	)
Weighted average shares outstanding:
Basic			37,290				31,141				36,874				28,619
Diluted			37,290				31,141				36,874				28,619
Condensed Consolidated Balance Sheets (Unaudited)
(In thousands)
		Sep 29,				Dec. 31,
		2007				2006
Assets
Current assets
Cash and cash equivalents		$	209			$	200
Accounts receivable, net			2,644				2,816
Inventories, net			2,562				2,016
Other current assets			244				169
Total current assets			5,659				5,201
Property, net			115				91
Debt issue costs and other, net			231				264
Total assets		$	6,005			$	5,556
Liabilities and Stockholders' Deficit
Current liabilities
Accounts payable		$	635			$	440
Bank line of credit			3,964				3,906
Accrued liabilities			1,206				1,291
Current portions of long-term obligations			2,347				228
Total current liabilities			8,152				5,865
Long-term debt			3,357				5,506
Total stockholders' deficit			(5,504	)			(5,815	)
Total liabilities and stockholders' deficit		$	6,005			$	5,556

Micro Component Technology, Inc.
Roger E. Gower, President/C.E.O., 651-697-4000
or
Michelle Sprunck, Investor Relations, 651-697-4026

Source: Business Wire (November 13, 2007 - 4:03 PM EST)

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