Superconductive Components, Inc. Reports First Quarter 2005 Results COLUMBUS, Ohio, May 11 /PRNewswire-FirstCall/ -- Superconductive Components, Inc. (OTC:SCCI) (BULLETIN BOARD: SCCI) , a manufacturer of ceramics and metals for advanced applications in batteries, optical, and high temperature superconductive and non-superconductive products, today announced results for the three months ended March 31, 2005. The net loss was $138,917, or $0.06 per diluted share, for the first quarter 2005 compared to a net loss of $285,794, or $0.16 per diluted share, for the same period last year. Dan Rooney, Chairman, President and Chief Executive Officer, commented, "We are encouraged by the relative improvement in our first quarter 2005 results compared to last year. Results were in line with our expectations. The increased marketing activities initiated during 2004 are beginning to gain traction. It is expected they will contribute to higher sales and improved margins going forward, and particularly benefit from more favorable mix of increased ceramic product sales." Mr. Rooney added, "Commercialization of thin-film batteries is beginning to occur through distinct applications for large, diverse end-markets. Some of our thin-film battery customers have raised capital during the past six months for the purchase of manufacturing equipment to substantially increase their production capabilities. This is an important step toward broader product market acceptance leading to higher demand for thin-film batteries. We intend to remain the leading supplier to this emerging market and plan to raise additional capital during the first half of 2005 to further expand our manufacturing capabilities." First Quarter 2005 Results Total revenue increased 12.8% to $575,059 for the quarter ended March 31, 2005 from $509,777 for the same period in 2004. Product revenues increased 4.7% to $486,626 for the first quarter 2005 from $464,856 the prior year due to the addition of a major new customer. Contract research revenues increased to $88,433 for the first quarter 2005 from $44,921 a year ago as a result of work performed on a Phase II Small Business Innovation Research grant from the Department of Energy. Gross margin rose to $106,832 for the first quarter 2005 from $54,150 for the first quarter 2004. This increase was attributable to higher revenues compared to the prior year and product mix. Gross margin on product revenue increased to 21.8% of total revenue for the first quarter 2005 from 11.6% a year ago. General and administrative expense declined to $178,065 for the first quarter 2005 from $261,256 for the same period last year. This was primarily due to $70,390 of expenses related to the Company's relocation to a new facility during the first quarter 2004. About Superconductive Components, Inc. Superconductive Components, Inc. operates through SCI Engineered Materials and manufactures ceramics and metals for advanced applications such as superconductors, ferroelectric and optical materials for use in wire, cable, batteries, wireless and fiber optics systems. The company also provides materials for thin film applications used in photovoltaics, electronic switches, hardness and decorative coatings. The company is a global materials supplier with clients in more than 40 countries. Additional information is available at http://www.sciengineeredmaterials.com/ . This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbors created thereby. Those statements include, but are not limited to, all statements regarding intent, beliefs, expectations, projections, forecasts, and plans of the company and its management, and specifically include statements regarding expectations that increased marketing activities initiated in 2004 will contribute to higher sales and improved margins going forward, and particularly benefit from more favorable mix of ceramic product sales (paragraph 2), commercialization of thin-film batteries is beginning to occur through distinct applications for large, diverse end-markets and some of the Company's thin-film battery customers have raised capital during the past six months for the purchase of manufacturing equipment to substantially increase their production capabilities, and the Company's intention to remain the leading supplier to the thin-film battery market and the Company's plan to raise additional capital during the first half of 2005 to further expand its manufacturing capabilities (paragraph 3). These forward-looking statements involve numerous risks and uncertainties, including, without limitation: the development of the thin film battery market, the impact of competitive products and services, the ability to adapt to technological changes, the availability of capital, and other risks and uncertainties detailed from time to time in the company's Securities and Exchange Commission filings, including the company's Annual Report on Form 10- KSB for the year ended December 31, 2004. One or more of these factors have affected, and could in the future affect, the company's projections. Therefore, there can be no assurances that the forward-looking statements included in this press release will prove to be accurate. In light of the significant uncertainties in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by the company, or any other persons, that the objectives and plans of the company will be achieved. All forward-looking statements made in this press release are based on information presently available to the management of the company. The company assumes no obligation to update any forward-looking statements. DATASOURCE: Superconductive Components, Inc. CONTACT: Robert Lentz for Superconductive Components, Inc., +1-614-876-2000 Web site: http://www.sciengineeredmaterials.com/

Copyright