Bruker Daltonics First Quarter 2001 Product Revenue Increases 55%, Forward Guidance Remains Unchanged

Business Wire, May 7, 2001

Business Editors & Health & Medical Writers

BILLERICA, Mass.--(BW HealthWire)--May 7, 2001

Bruker Daltonics Inc. (NASDAQ: BDAL) today reported its financial results for the first quarter ended March 31, 2001.

For the three months ended March 31, 2001, Bruker Daltonics reported product revenues of $21.7 million, compared to $14.0 million for the comparable period in 2000, or product revenue growth of 54.9%. Before unfavorable currency effects, product revenue growth was 63.4%. Net income from continuing operations for the quarter was $1.0 million, or $0.02 per share, compared with $0.1 million, or $0.00 per share, for the comparable period in 2000.

Research and development spending was $4.6 million, or 21.3% of product revenue, for the first quarter 2001, as compared to $3.6 million, or 25.7% of product revenue, for the comparable quarter in 2000. First quarter 2001 selling, general and administrative expenses were $6.2 million, or 28.3% of product revenue, as compared to $3.7 million, or 26.2% of product revenue, in 2000.

Life science product revenue, substance detection product revenue and aftermarket revenue as a percentage of product revenues were 70%, 8% and 22%, respectively, for the three months ended March 31, 2001.

"We are obviously very pleased with our strong life science revenue growth, as well as with our accelerating profitability," commented Frank H. Laukien, Ph.D., President and Chief Executive Officer. "As we had announced already in early April 2001, our new order bookings for life science systems remain robust. Therefore, we are not changing our previously issued forward-looking guidance of rapid 25-30% top-line growth, and EPS growth of greater than 50% for 2001. While we are aware of concerns about slowing growth in our field, our product lines, including our new products introduced recently at PittCon, continue to be very well received by customers."

The Company will host a live streaming-audio webcast of its first quarter 2001 financial results conference call at 10:30 a.m. Eastern time on Tuesday May 8, 2001. To listen to the webcast, investors should go to www.bdal.com, select Investor Relations, and then click on the live web broadcast. The webcast will remain on the Company web site for 30 days. Investors can also listen by telephone in the US by calling 1-888-280-4063 or 706-679-3484 outside the US, and should refer to the conference call led by Bruker Daltonics President and CEO, Frank H. Laukien. A toll-free replay will be available by dialing in the US 1-800-642-1687 or 706-645-9291 outside the US.

ABOUT BRUKER DALTONICS

Bruker Daltonics is a leading developer and provider of innovative life science tools based on mass spectrometry. Its substantial investment in research and development allows it to design, manufacture and market a broad array of products intended to meet the rapidly growing needs of a diverse customer base, including pharmaceutical companies, biotechnology companies, proteomics companies, molecular diagnostics companies, academic institutions and government agencies. Bruker Daltonics has diverse technology platforms which integrate automated sample preparation and clean-up, advanced front-end AnchorChip(TM) MALDI targets and API source technology with cutting-edge proprietary MALDI-TOF, ESI-TOF, ion trap and FTMS mass analyzers, as well as analysis and bioinformatics software. Bruker Daltonics is also a worldwide leader in supplying mass spectrometry-based systems for substance detection and pathogen identification in security and defense applications.

CAUTIONARY STATEMENT

All statements in this press release that are not historical are forward-looking statements within the meaning of the Securities Exchange Act of 1934, as amended, including, but not limited to, statements regarding Bruker Daltonics' "expectations," "beliefs," "hopes," "intentions," "strategies" or the like. Such forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially for Bruker Daltonics from those projected, including, but not limited to, risks and uncertainties relating to technological approaches, product development, manufacturing, market acceptance, cost and pricing of Bruker Daltonics' products, dependence on collaborative partners, suppliers, FDA and other regulatory approvals to the extent applicable, competition, the intellectual property of others, patent protection and litigation and other risk factors discussed from time to time in Bruker Daltonics' reports or filings with the Securities and Exchange Commission. Bruker Daltonics expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Bruker Daltonics' expectations with regard thereto or any change in events, conditions, or circumstances on which any such statements are based.

Condensed, consolidated statements of operations and balance sheets follow.

Bruker Daltonics Inc.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(dollar amounts in thousands, except per share amounts)

                                                Three Months Ended
                                                      March 31,
                                                  2001       2000
                                                    (unaudited)
Product revenues                                 $21,742    $14,035
Other revenues                                       166        564
Net revenues                                      21,908     14,599

Costs and operating expenses:
Cost of product revenue                           10,433      6,574
Selling, general and administrative                6,169      3,672
Research and development                           4,639      3,600
Patent litigation costs                             --          303
Total costs and operating expenses                21,241     14,149
    Operating income from continuing operations      667        450
Interest and other income (expenses), net            945       (128)
    Income from continuing operations, before
     provision for income taxes                    1,612        322
Provision for income taxes                           667        185
Income from continuing operations                    945        137
    Income from discontinued operations,
     net of income taxes                            --           37

Net income                                          $945       $174

Net income per share - basic and diluted
Income from continuing operations                  $0.02      $0.00
    Income from discontinued operations, net of
     income taxes                                   --         0.00
Net income                                         $0.02      $0.00
    Shares used in computing net income
     per share - basic                            54,783     45,500
    Shares used in computing net income
     per share - diluted                          55,316     45,500


CONDENSED CONSOLIDATED BALANCE SHEETS
(dollar amounts in thousands)
                                               March 31,  December 31,
                                                  2001       2000
                                              (unaudited)
Assets
Current assets:
    Cash and cash equivalents                    $12,142    $21,735
    Short-term investments                        74,039     72,894
    Accounts receivable, net                      12,529     12,332
    Inventories                                   43,968     36,780
    Other assets                                   5,638      3,680
Total current assets                             148,316    147,421

Property, plant and equipment, net                26,073     25,528
Intangible and other assets                       11,320     11,605

Total assets                                    $185,709   $184,554

Liabilities and stockholders' equity
Current liabilities:
Short-term bank borrowings                        $2,004     $ --
    Accounts payable and accrued expenses         14,395     13,138
    Other liabilities                             23,925     23,229
Total current liabilities                         40,324     36,367

Long-term debt                                    11,232     12,037
Other long term liabilities                       10,954     11,978

Total stockholders' equity                       123,199    124,172

Total liabilities and stockholders' equity      $185,709   $184,554