Isomet Announces Third Quarter 2007 Results

For the nine months ended Sept. 30, 2007, consolidated net revenue was$2,376,000 compared with $4,242,000 in 2006. The nine month revenue total for2006 includes $1,500,000 from proceeds of key-man life insurance coverage.Without this amount, revenue from operations was $2,742,000. The nine monthsended Sept. 30, 2007 resulted in a net loss of $(646,000), or $(.31) pershare. Including the $1,500,000 non-recurring proceeds referred to above, netincome in the first nine months of 2006 was $1,161,000, or $.57 per share.Without the $1,500,000 non-recurring income amount, a net loss of $(339,000),or $(.16) per share was incurred in the 2006 nine month period.

Receipt of new orders for the quarters ended Sept. 30, 2007 and 2006 was$1,078,000 and $1,006,000, respectively. Receipt of new orders for the ninemonths ended Sept. 30, 2007 and 2006 was $2,546,000 and 3,087,000respectively. Unfilled orders totaled $944,000 and $1,177,000, respectively,as of Sept. 30, 2007 and 2006.

Safe harbor Statement under the Private Securities Litigation Reform Actof 1995: The statements contained herein which are not historical fact areforward looking statements that are subject to risks and uncertainties thatcould cause actual results to differ materially from those expressed in theforward-looking statements, including, but not limited to, those risksdetailed from time to time in the Company's past filings with the Securitiesand Exchange Commission. Investors are cautioned that any such statements arenot guarantees of future performance and that actual results or developmentsmay differ materially from those projected in the forward looking statements.Furthermore, the Company does not intend (and is not obligated) to updatepublicly any forward-looking statements.

    Isomet Corporation (IOMT)    Quarter September 30           2007                2006    Revenue                        $ 799,000           $ 897,000    Net Loss                       $(228,000)          $(142,000)    Net Loss Per Share             $(.11)              $(.07)    Nine Months September 30    Revenue                        $2,376.000          $4,242,000 (1)    Net Income (Loss)              $ (646,000)         $1,161,000 (1)    Net Income (Loss) Per Share    $(.31)              $ .57 (1)    (1)   Includes proceeds of key-man life insurance coverage totaling          $1,500,000 ($.74 per share) in the first quarter of 2006.