Circuit Research Labs Reports Profitable Fourth Quarter and Year End Results.

TEMPE, Ariz.--(BUSINESS WIRE)--April 1, 1997--Circuit Research Labs Inc. (The Nasdaq Stock Market: CRLI) today announced results for the fourth quarter and year ended December 31, 1996. -0-

             Consolidated Condensed Statements of Income

                                                  (AUDITED)
                       Three Months Ended     Twelve Months Ended
                         December 31,            December 31,
                        1996         1995      1996         1995


Revenues              $690,729    $444,239  $2,524,870   $1,884,402

Net Income (Loss)       $5,974   $(176,229)   $123,160    $(306,720)

Net Income per Share
 (Loss)                   $.01       $(.29)       $.21        $(.51)

Weighted Shares
 Outstanding           599,904     597,682     599,904      597,682

For the fourth quarter ended December 31, 1996, the net income of $5,974, or $.01 per share represents the Company's fourth consecutive profitable quarter. Net sales in 1996 rose approximately 34% to $2,524,870 compared to $1,884,402 for 1995 due to increased sales of CRL's audio processing equipment, sales of package paging systems and revenues from the circuit board assembly division. The Company reported 1996 net income of $123,160, or $.21 per share compared to last year's net loss of $306,720 or $.51 per share.

According to Ronald J. Jones, Chairman, President and CEO of Circuit Research Labs, "Our DP-100 processor represents a great step forward technologically, enabling us to design and produce equipment in the digital mode, an important factor both for our customers and our competitive position. In 1996 we shipped a large number of the new processors, resulting in increased revenues and indicating an acceptance in the marketplace of our product."

Mr. Jones concluded, "Importantly, with net working capital of $1,191,000 and a current ratio of 5.97 to 1, our financial position remains strong."

Circuit Research Labs, Inc. manufactures and markets high quality electronic audio processing, transmission encoding and noise reduction equipment for the worldwide radio, television and professional audio markets.

CONTACT: Circuit Research Labs, Inc.

Ronald R. Jones

Chairman, President & CEO

[phone]

or

INVESTOR RELATIONS COUNSEL:

The Equity Group Inc.

Caroline Royall, [phone]

Linda Latman, [phone]