BTU International reports record revenues and earnings.

BILLERICA, Mass.--(BUSINESS WIRE)--Oct. 18, 1995--BTU International, Inc. (NASDAQ: BTUI) today announced a record net income for the third quarter ended October 1, 1995.

Net income was $1.5 million, or $0.20 per share, nearly double its net income of $0.8 million, or $0.11 per share, for the same quarter in 1994. Net sales were also at a record level of $16.1 million, an increase of 37% compared to $11.7 million in the third quarter of 1994.

For the nine months ended October 1, 1995, net income per share was more than two and one-half times the net income from the same period last year. Net income was $4.0 million, or $0.53 per share, compared to net income of $1.6 million, or $0.21 per share, for the first nine months of 1994. Net sales increased by 42% to $44.0 million compared to $31.1 million for the first nine months of 1994. "Our record third quarter's performance was largely the result of a significant increase in shipments in solder reflow systems used in Surface Mount Technology (SMT) applications. Shipments for our new VIP mid-range solder reflow systems doubled from the previous quarter. Although still at margins below our other product lines, this increase reflects wide customer acceptance for the VIP's innovative features," said Paul J. van der Wansem, President and Chief Executive Officer.

"Looking forward to 1996, we are optimistic about many of our business segments as we continue to improve on our commitment to serve a growing customer base," concluded Mr. van der Wansem.

BTU International is a major supplier of thermal processing systems. The Company is the market leader for solder reflow furnaces used in surface mount applications for printed circuit boards. BTU manufactures furnaces used to package and seal integrated circuits and to process multi-chip modules. Its products are also used in other specialty applications, such as brazing and the sintering of ceramics, nuclear fuels and powdered metals, and the deposition of precise thin film coatings.

Condensed consolidated statements of operations and balance sheets for the Company are attached.

BTU INTERNATIONAL, INC.
Consolidated Statements of Operations
(In thousands, except per share amounts)
(Unaudited)

                       Three Months Ended   Nine Months Ended
                        Oct. 1,   Oct. 2,   Oct. 1,   Oct. 2,
                         1995      1994      1995      1994
Net Sales             $16,100   $11,717   $44,024   $31,049
Cost of Goods Sold      8,969     6,346    23,945    16,970
Gross Margins           7,131     5,371    20,079    14,079
Selling, General and
 Administrative
 Expenses               4,169     3,187    11,799     9,100
Research, Development
 and Engineering        1,119       996     3,179     2,668
Income from Operations  1,843     1,188     5,101     2,311
Interest Expense, net     (80)     (103)     (202)     (334)
Other Income, net           9        10        49        39
Income Before Taxes     1,772     1,095     4,948     2,016
Income Tax Provision      290       269       951       400
Net Income              1,482       826     3,997     1,616
Dividends Accrued on
   Preferred Stock          5        30        93       130
Net Income
 Applicable to
 Common Stockholders   $1,477      $796    $3,904    $1,486
Net Income Per Share    $0.20     $0.11     $0.53     $0.21
Average Common Shares
 and Equivalents    7,382,335 7,215,903 7,314,140 7,228,125

-0-

BTU INTERNATIONAL, INC.
Consolidated Balance Sheets
(In thousands)

                                         Oct. 1,   Dec. 31,
                                           1995      1994
                                             (Unaudited)

Assets
 Cash and Investments                    $3,951    $6,896
 Accounts Receivable                     14,262     9,692
 Inventories                              9,051     5,518
 Other Current Assets                       610     1,378
 Property, Plant and
   Equipment, net                         4,240     3,767
 Investment in Joint Venture              3,476     3,476
 Other Assets                               234       238

                                        $35,824   $30,965

Liabilities and Stockholders' Investment
 Short-Term Debt                           $330      $311
 Other Current Liabilities               10,701     9,740
 Long-Term Debt                           5,803     6,050
 Deferred Taxes                           1,714     1,714
 Preferred Stock                              0     1,200
 Stockholders' Investment                17,276    11,950

                                        $35,824   $30,965

CONTACT: BTU International

Tom Kealy, 508-667-4111 Ext. 106