Bruker BioSciences Reports Financial Results for the Third Quarter of 2007

Bruker BioSciences Corporation (NASDAQ: BRKR) today reported its financial results for the three and nine months ended September 30, 2007.

BILLERICA, Mass. (Business Wire EON) October 29, 2007 -- For the third quarter of 2007, revenue increased by 25% to $131.6 million, compared to revenue of $104.9 million in the third quarter of 2006. Excluding the effects of foreign currency translation, third quarter 2007 revenue increased by 20% year-over-year. Net income in the third quarter of 2007 was $8.7 million, or $0.08 per diluted share, compared to net income of $3.0 million, or $0.03 per diluted share, in the third quarter of 2006. Included in third quarter of 2007 net income was a one-time tax benefit of $2.4 million, or $0.02 per diluted share, related to the revaluation of the Company's deferred tax assets and liabilities as a result of a tax law change in Germany enacted in the third quarter of 2007 which will decrease the statutory German corporate income tax rate beginning in 2008.

During the nine months ended September 30, 2007, revenue increased by 21% to $363.8 million, compared to revenue of $300.2 million during the nine months ended September 30, 2006. Excluding the effects of foreign currency translation, revenue for the nine months ended September 30, 2007 increased by 16% year-over-year. Net income during the nine months ended September 30, 2007 was $17.5 million, or $0.16 per diluted share, compared to net income of $8.8 million, or $0.09 per diluted share, during the nine months ended September 30, 2006.

Commenting on the third quarter, Frank Laukien, President and CEO, said: "We are pleased with our top-line performance in the third quarter, with all three operating divisions delivering double digit growth year-over-year. Moreover, we continue to improve gross profit margins and leverage our operating expenses, resulting in year-over-year improvements to our operating income margin."

EARNINGS CONFERENCE CALL

Bruker BioSciences will host an operator-assisted earnings conference call at 10 a.m. Eastern Time on Monday, October 29, 2007. To listen to the webcast, investors can go to www.bruker-biosciences.com and click on the live web broadcast symbol. The webcast will be available through the Company web site for 30 days. Investors can also listen and participate on the telephone in the US and Canada by calling 888-339-2688, or 617-847-3007 outside the US and Canada. Investors should refer to the Bruker BioSciences Quarterly Earnings Call. A telephone replay of the conference call will be available one hour after the conference call by dialing 888-286-8010 in the US and Canada, or 617-801-6888 outside the US and Canada, and then entering replay pass code 72671589.

ABOUT BRUKER BIOSCIENCES

Bruker BioSciences Corporation in Billerica, Massachusetts is the parent company of Bruker AXS Inc., Bruker Daltonics Inc. and Bruker Optics, Inc. Bruker AXS is a leading provider of life science, materials research and industrial X-ray analysis and spark-OES tools. Bruker Daltonics is a leading provider of innovative life science tools based on mass spectrometry, and also offers a broad line of chemical, biological, radiological and nuclear (CBRN) detection products for homeland security. Bruker Optics is a leading provider of research, analytical and process analysis instruments and solutions based on infrared and Raman molecular spectroscopy technology. For more information, please visit www.bruker-biosciences.com.

CAUTIONARY STATEMENT

Any statements contained in this press release that do not describe historical facts may constitute forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein are based on current expectations, but are subject to a number of risks and uncertainties. The factors that could cause actual future results to differ materially from current expectations include, but are not limited to, risks and uncertainties relating to the integration of businesses we have acquired or may acquire in the future, changing technologies, product development and market acceptance of our products, the cost and pricing of our products, manufacturing, competition, dependence on collaborative partners and key suppliers, capital spending and government funding policies, changes in governmental regulations, intellectual property rights, litigation, and exposure to foreign currency fluctuations. These and other factors are identified and described in more detail in our filings with the SEC, including, without limitation, our annual report on Form 10-K for the year ended December 31, 2006, our most recent quarterly reports on Form 10-Q and our current reports on Form 8-K. We disclaim any intent or obligation to update these forward-looking statements other than as required by law.

Bruker BioSciences Corporation

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share data; unaudited)

                                Three Months Ended  Nine Months Ended

                                   September 30,       September 30,

                                ------------------- ------------------

                                  2007      2006      2007      2006

                                --------- --------- --------- --------

Product revenue                 $115,235  $ 91,928  $317,243  $264,104

Service revenue                   16,163    12,625    46,113    34,895

Other revenue                        245       317       477     1,210

                                --------- --------- --------- --------

 Total revenue                   131,643   104,870   363,833   300,209

Cost of product revenue           59,924    50,659   166,525   143,414

Cost of service revenue            9,886     8,028    29,816    20,633

                                --------- --------- --------- --------

 Total cost of revenue            69,810    58,687   196,341   164,047

                                --------- --------- --------- --------

 Gross profit margin              61,833    46,183   167,492   136,162

Operating Expenses:

Sales and marketing               27,057    19,063    74,909    58,795

General and administrative         8,556     7,239    24,036    20,319

Research and development          14,763    11,936    42,302    36,495

Acquisition related charges                    961               5,829

                                --------- --------- --------- --------

 Total operating expenses         50,376    39,199   141,247   121,438

                                --------- --------- --------- --------

 Operating income                 11,457     6,984    26,245    14,724

Interest and other income

 (expense), net                     (619)     (491)     (825)    3,522

                                --------- --------- --------- --------

Income before income tax

 provision and minority

 interest in consolidated

 subsidiaries                     10,838     6,493    25,420    18,246

Income tax provision               2,065     3,535     7,655     9,398

                                --------- --------- --------- --------

Income before minority interest

 in consolidated subsidiaries      8,773     2,958    17,765     8,848

Minority interest in

 consolidated subsidiaries           109       (18)      255        75

                                --------- --------- --------- --------

Net income                      $  8,664  $  2,976  $ 17,510  $  8,773

                                ========= ========= ========= ========

Net income per share:

 Basic                          $   0.08  $   0.03  $   0.17  $   0.09

                                ========= ========= ========= ========

 Diluted                        $   0.08  $   0.03  $   0.16  $   0.09

                                ========= ========= ========= ========

Weighted average shares

 outstanding:

 Basic                           104,372   102,038   103,802   101,635

                                ========= ========= ========= ========

 Diluted                         106,674   102,704   106,480   102,090

                                ========= ========= ========= ========

Bruker BioSciences Corporation

CONDENSED CONSOLIDATED BALANCE SHEETS

(in thousands)

                                            September 30, December 31,

                                                 2007         2006

                                            ------------- ------------

                                                   (unaudited)

ASSETS

Current assets:

 Cash and short-term investments            $      38,904 $     52,147

 Accounts receivable, net                          85,840       79,604

 Due from affiliated companies                      6,366        9,028

 Inventories                                      184,248      134,504

 Other current assets                              28,082       19,461

                                            ------------- ------------

  Total current assets                            343,440      294,744

Property and equipment, net                       101,015       90,349

Intangible and other assets                        53,909       48,094

                                            ------------- ------------

  Total assets                              $     498,364 $    433,187

                                            ============= ============

LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities:

 Short-term borrowings                      $      21,014 $     21,857

 Accounts payable                                  31,102       23,102

 Due to affiliated companies                        7,526        5,901

 Other current liabilities                        150,807      144,268

                                            ------------- ------------

  Total current liabilities                       210,449      195,128

Long-term debt                                     18,078       22,863

Other long-term liabilities                        30,861       23,491

Minority interest in subsidiaries                     460          239

Total shareholders' equity                        238,516      191,466

                                            ------------- ------------

  Total liabilities and shareholders'

   equity                                   $     498,364 $    433,187

                                            ============= ============

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