Preliminary Results for the year ended 31 December 2004

MTL is a world leader in the development and supply of electronic instrumentation and protection equipment for the process control and telecommunications industries.

Many of the world’s most critical processes are monitored, controlled or protected by MTL equipment and the Group is distinguished by the quality and reliability of its products, its global network of sales and support centres and its acknowledged position as a thought leader in this high technology marketplace.

* Profit on ordinary activities before taxation and before goodwill amortisation of £1.0m (2003:£1.1m), but after finance charges of £0.1m (2003: £0.2m)

Highlights

• Record year for MTL in 2004 despite negative impact of weak dollar

• The adoption of Fieldbus technology continued in 2004, including the completion of two new refineries in China

• Sales increased by 31% in Surge Technologies, assisted by increasing use of Hazardous Area sales channels

• MOST produced a progressively better performance in second half when sales were 23% up on the first six months

• Continued focus on operational programmes, including the development of the new SOLD division

• Net cash inflow from operations increased to £7.4m (2003: £6.9m) and at year end net cash stood at £3.2m (2003: net debt of £0.6m)

Malcolm Coster, Chairman of The MTL Instruments Group plc, commented: “Order intake so far in the current year has continued the positive trend experienced throughout 2004. That, combined with the continued strength of our project pipeline, gives us confidence to look forward to further progress in 2005 despite the current weak level of the US dollar.”

For Further Information:
Graeme Philp 01582 407250
Chief Executive, The MTL Instruments Group plc

Terry Garrett / Stephanie Badjonat 020 7067 0700
Weber Shandwick Square Mile