FOR IMMEDIATE RELEASE: August 15, 2005

MICRONETICS REPORTS FIRST QUARTER RESULTS FOR FISCAL YEAR 2006
HUDSON, NH (BUSINESS WIRE) August 15, 2005 - Micronetics, Inc. (Nasdaq:NOIZ-News), today announced its financial results for the first quarter (Q1) of its fiscal year ending March 31, 2006 (FY2006). Net sales for Q1 FY2006 increased approximately 17% to $3.9 million, compared to $3.4 million for Q1 FY2005. This increase resulted from both organic sales growth of Micronetics' commercial satellite and defense related business, as well as the recent acquisition of Stealth Microwave, Inc. ("Stealth"). Micronetics completed the Stealth acquisition on June 10, 2005, and the consolidated results announced today reflect financial activity since that date. Excluding Stealth, net sales increased by 5.6% to $3.6 million during Q1 FY2006.

Net income for Q1 FY2006 was $320,000, or $0.07 per fully diluted share, compared to $350,000, or $0.08 per fully diluted share for Q1 FY2005.

Bookings during Q1 FY2006 increased 118% to $5.9 million, from $2.7 million in Q1 FY2005. At the end of Q1 FY2006, Micronetics had a strong sales pipeline, with over a $14 million backlog, which included a $4 million backlog from Stealth.

Micronetics' cash balance was $3.0 million at the end of Q1 FY2006, compared to $2.9M at the end of Q1 FY2005. To finance the Stealth acquisition, Micronetics increased its borrowings by $6 million. Consolidated accounts receivable increased to $3.9 million during Q1 FY2006, as compared to $2.5 million in the prior year. Inventory also increased to $5.9 million for Q1 FY2006 compared to $4.5 million for Q1 FY2005.

David Robbins, President & CEO, stated, "Net margins were affected by relatively lower gross margins on our airborne Direct Broadcast Satellite (DBS) during the quarter. We anticipate increased margins on our airborne DBS program going forward, which will improve our net margins. In addition, we see significant growth opportunities from our positions on WiMAX, Digital Broadcast, Airborne DBS, and UMTS TDD. Our strong backlog and competitive position on several long running airborne defense programs, further drives our optimism for growth in FY2006 and beyond."

Micronetics manufactures microwave and radio frequency (RF) components and integrated subassemblies used in a variety of defense, aerospace and commercial applications. Micronetics also manufactures and designs test equipment and components that test the strength, durability and integrity of communication signals in communications equipment. Micronetics serves a diverse customer base, including Aerosat, Airspan, BAE Systems, Boeing, EADS, ITT, L-3 Communications, Lockheed Martin, Northrop Grumman, Qualcomm, Raytheon, Teradyne, Tektronix, Thales and UTStarcom. Micronetics also operates through its wholly owned subsidiaries, Enon Microwave, Inc.; Microwave & Video Systems, Inc.; Microwave Concepts, Inc. and Stealth Microwave, Inc. Additional information can be found on our website at www.micronetics.com.

Some of the statements contained in this news release are forward-looking statements. The accuracy of these statements cannot be guaranteed as they are subject to a variety of risks, including but not limited to the success of the products into which the Company's products are integrated, internal projections as to the demand for certain types of equipment, competitive products and pricing, the success of new product development efforts, the timely release for production and the delivery of products under existing contracts, access to financial resources, future economic conditions generally, as well as other factors. The information in this release should be reviewed in conjunction with Micronetics' Annual Report for its fiscal year ended March 31, 2005.


INCOME STATEMENT DATA
($000s omitted except per share data) 
			               Quarter Ended June 30 
		                	 2005         2004
                                       --------     --------

Net sales		           	3,941	     3,379

Gross profit                      	1,591	     1,540
Selling, general and 	
  administrative expenses         	  945	       787
Other income (expense)                   (15)	        19

Income before income taxes        	  520	       538

Net income                        	  320	       350
Net income per common share:                       
  Basic                           	 $.07	     $ .08
  Diluted                         	 $.07	     $ .08
Weighted average shares 
  Outstanding:
  Basic                           	4,413	     4,287
  Diluted                         	4,553	     4,362

Contact
David Robbins, President
Micronetics, Inc.
(603) 883-2900 x 317

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