CANDELA REPORTS 4TH FISCAL QTR REVENUES OF $41.3 MILLION.

Candela Corporation (NASDAQ: CLZR), Wayland, Mass.,has announced that revenues for its fourth fiscal quarter and full fiscal year were $41.3 million and $149.5 million, increases of 7% and 21% when compared to the same fiscal periods a year earlier.

The company reported net income for the quarter was $ 2.4 million or $0.10 cents per share versus $3.2 million or $0.14 cents per share a year earlier. For the full year, the company reported net income of $14.9 million or $0.62 cents per share versus $7.3 million of $0.32 per share last year.

Included in the quarter and full year were share based payments of $0.6 million and $1.3 million, representing EPS charges of $0.02 and $0.04 respectively.

Gerard E. Puorro, Candela's president and CEO, said: "While we are pleased with the full year results of 21% revenue growth and 104% profit growth, we are not satisfied with our fourth quarter finish. As we examine our position in the market and our plan to introduce several new products in the first half of calendar 2007, we are optimistic we will grow with or above the market in the coming year."

About Candela

Candela Corporation manufactures, and distributes innovative clinical solutions that enable physicians, surgeons, and personal care practitioners to treat selected cosmetic and medical conditions using lasers, aesthetic laser systems, and other advanced technologies. Founded near Boston in 1970, the company markets and services its products in over 70 countries from offices and distributors in the United States, Europe, Japan, China and other Asian locations. Candela established the aesthetic laser market 17 years ago, and currently has an installed base of 9,000 lasers worldwide. Candela is an Equal Opportunity and Affirmative Action Employer (Male/Female/Handicapped/Veteran).

For more information, visit http://www.candelalaser.com or call 508/358-7400, ext. 435.