New Brunswick Scientific Co., Inc., Reports Increases in 2004 Fourth-Quarter and Full-Year Earnings on Record Sales

New Brunswick Scientific Co., Inc., Reports Increases in 2004
Fourth-Quarter and Full-Year Earnings on Record Sales 


EDISON, N.J., March 30  /PRNewswire-FirstCall/ -- New Brunswick Scientific Co.,
Inc. (NBS) (NASDAQ:NBSC), today announced improved financial results for its
fourth quarter and full year ended December 31, 2004. Sales for both periods
set new company records as fourth-quarter diluted net income per share in 2004
and 2003 amounted to $0.11. Full-year 2004 diluted net income per share
increased significantly to a $0.22 profit from 2003's loss of $0.16.

Net sales for 2004's closing three months advanced 12% to a quarterly record of
$17.4 million from $15.6 million for the 2003 fourth quarter. A substantial
portion of the increase in sales in the fourth quarter was attributable to the
impact of the weaker dollar, which added approximately $1.0 million and to the
addition of RS Biotech, which was acquired in November 2003. Net income for the
quarter increased to $990,000, or $0.11 per diluted share, from $945,000, or
$0.11 per diluted share, for the comparable year-ago period. Net income for the
2004 quarter was negatively impacted by (1) lower margins due to the effect of
product mix as well as higher steel and transportation costs and (2) a higher
income tax rate when compared with the unusually low rate in 2003's fourth
quarter.

For the 2004 full year, net sales increased 26%, reaching an all-time high of
$62.1 million. This compares with sales of $49.4 million one year ago. The
impact of the weaker dollar contributed $2.0 million or 3% to 2004's net sales
and the acquisition of RS Biotech in November 2003 also benefited net sales.
Net income for 2004 was $1.9 million, or $0.22 per diluted share, despite a
$346,000 severance payment made in the third quarter, compared with 2003's net
loss of $1.4 million, or $0.16 per share, which included a pretax gain of
$201,000 on the sale of property.

For the year, gross margin increased to 40.0% from last year's 37.4%, primarily
reflecting the effect of increased absorption of manufacturing overhead
occasioned by the higher sales volumes. The margin improvement for the year was
dampened by a $150,000 write-down of inventory for a discontinued product
during the third quarter, as well as by higher steel prices and transportation
costs.

As a percentage of sales, 2004 selling, general and administrative expenses
decreased to 28.2% from 32.5% in 2003, despite the previously announced
severance payment and the effects of foreign exchange translation.

Co-founder and Chairman David Freedman said: "Continued strong end-market
demand helped to generate robust sales growth, especially internationally.
However, our enthusiasm is tempered by the government's budgetary policy
resulting in a minimal increase in spending for research. Volume growth
together with the full-year's 260 basis point gross margin increase produced
our fifth consecutive quarterly period of profitability. At year-end, our
backlog stood at $8.4 million, all of which we expect to ship in the current
year."

Mr. Freedman continued, "During 2004, we benefited from an improved capital
spending climate in the markets we serve. Our increased profitability has
afforded us the opportunity to increase investment in research and development,
which is expected to result in a number of new-product introductions in 2005."

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  About New Brunswick Scientific


New Brunswick Scientific Co., Inc., is a leading global provider of a
comprehensive line of research equipment and scientific instrumentation for use
in the life science industry. The Company's products are used in the creation,
maintenance and control of physical and biochemical environments required for
the growth, detection and storage of microorganisms for medical, biological and
chemical applications, as well as environmental research and commercial product
development. NBS is a forerunner in the research and development of pioneering
equipment to meet the challenges of new areas of advancement in life science.
Established in 1946, New Brunswick Scientific is headquartered in Edison, New
Jersey, with sales and distribution facilities strategically located in the
United States, Europe and Asia. For more information, please visit
http://www.nbsc.com/ .

This document contains "forward-looking statements" within the meaning of the
Private Securities Litigation Reform Act of 1995.  Forward-looking statements
may be identified by words such as "expects," "anticipates," "intends,"
"plans," "believes," "seeks," "estimates," "will" or words of similar meaning
and include, but are not limited to, statements about the expected future
business and financial performance of the Company. The forward-looking
statements involve a number of risks and uncertainties, including but not
limited to, changes in economic conditions, demand for the Company's products,
pricing pressures, intense competition in the industries in which the Company
operates, the need for the Company to keep pace with technological developments
and respond in a timely manner to changes in customer needs, the Company's
dependence on third-party suppliers, the effect on foreign sales of currency
fluctuations, acceptance of new products, the labor relations of the Company
and its customers and other factors identified in the Company's Securities and
Exchange Commission filings. Forward-looking statements are based on
management's current expectations and assumptions, which are inherently subject
to uncertainties, risks and changes in circumstances that are difficult to
predict.  Actual outcomes and results may differ materially from these
expectations and assumptions due to changes in global political, economic,
business, competitive, market, regulatory and other factors.  The Company
undertakes no obligation to publicly update or review any forward-looking
information, whether as a result of new information, future developments or
otherwise.

  --Financial Results Follow--


           NEW BRUNSWICK SCIENTIFIC CO., INC., AND SUBSIDIARIES
                  CONSOLIDATED STATEMENTS OF OPERATIONS
                 (In thousands, except per-share amounts)

                               Three Months Ended            Year Ended
                                  December 31,               December 31,
                                 2004       2003          2004        2003
                                         Restated                 Restated
                                           Note 1                   Note 1
  Net sales                   $17,405    $15,594       $62,124     $49,404
  Operating costs and
   expenses:
    Cost of sales              10,495      9,242        37,292      30,935
    Selling, general and
     administrative expenses    4,250      3,877        17,493      16,042
    Research, development
     and engineering
     expenses                     909        888         3,687       3,414

  Total operating costs
   and expenses                15,654     14,007        58,472      50,391
  Income (loss) from
   operations                   1,751      1,587         3,652        (987)
  Other income (expense):
    Interest income                28         35            85          84
    Interest expense              (66)       (66)         (394)       (313)
    Other, net                     (6)      (133)          (76)        (38)
                                  (44)      (164)         (385)       (267)

  Income (loss) before
   income tax expense           1,707      1,423         3,267      (1,254)
  Income tax expense              717        478         1,336          98
  Net income (loss)              $990       $945        $1,931     $(1,352)
  Basic net income
  (loss) per share              $0.11      $0.11         $0.22      $(0.16)
  Diluted net income
  (loss) per share              $0.11      $0.11         $0.22      $(0.16)

  Basic weighted average
   number of shares
   outstanding                  8,833      8,616         8,741       8,592
  Diluted weighted
   average number of
   shares outstanding           8,906      8,713         8,835       8,592


                SELECTED CONSOLIDATED BALANCE SHEET ITEMS
                          (Dollars in thousands)

                                            December 31,      December 31,
                                                   2004              2003
                                                                 Restated
                                                                   Note 1

  Cash and cash equivalents                     $10,846           $10,536
  Accounts receivable, net                       11,332            10,012
  Inventories                                    12,139            12,304
  Property, plant and equipment, net              6,495             6,478
  Total assets                                   53,795            51,531
  Accounts payable and accrued expenses           7,592             7,260
  Long-term debt, net of current installments     6,022             7,675
  Shareholders' equity                           35,955            31,544
  Working capital                                27,198            25,279
  Current ratio                               3.9  to 1          3.8 to 1


  Note 1. Restatement of consolidated financial statements:


On March 21, 2005, the Company announced that certain of its historical
financial statements required restatement because of a misapplication of
Statement No. 133 "Accounting for Derivative Instruments and Hedging
Activities" (SFAS No. 133) as it applies to three interest rate swaps that were
entered into in 1999 and 2004 to fix the interest rates on variable rate debt
incurred primarily for acquisitions in 1999 and 2003. The required changes
affected the previously filed financial statements for the years ended December
31, 2001, 2002 and 2003 as well as for the 2003 quarters and the 2004 quarters
through October 2, 2004. The restatement did not affect the Company's reported
cash and cash equivalents or income (loss) from operations in any of the above
periods. 

DATASOURCE: New Brunswick Scientific Co., Inc.



CONTACT:  Samuel Eichenbaum, Vice President, Finance and Treasurer of New

Brunswick Scientific Co., Inc., [phone], or ; or Matthew

J. Dennis, CFA, NBS Investor Relations of Clear Perspective Group, LLC,

[phone], or 



Web site:  http://www.nbsc.com/ 

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