20.10.2004 – 07:31

Highwave Optical Technologies Announces a 49% Increase in its First Semester Revenues for the Current Fiscal Year

Highwave Optical Technologies
(Nouveau Marché, HGWO), a leading European technology supplier of
active fibre based components and subsystems for the
telecommunication, industrial and defence markets announced today its
revenues for the first semester of 2004/2005, period ended on
September 30, 2004.

Revenues for the second quarter and the first semester of
fiscal year 2005

Revenues for the second quarter of fiscal year 2004/2005 were EUR
1.3 million, a 40% growth compared to the first quarter revenues. As
a consequence, the revenues of the first semester of fiscal year
2004/2005 amounts to EUR 2,242 million, which represents a 49% growth
compared to the second semester of fiscal year 2003/2004.

Revenues by Product for the Second Quarter of FY05 (as a % of
total revenues):
                                         Q105     Q205
    Optical Amplifiers                    78%      91%
    Components                             6%       2%
    Special optical fibres                13%       7%
    Others                                 3%       0%

Revenues by Region for the Second Quarter of FY05 (as a % of
total revenues):

Q105     Q205
    EMEA                                  65%      94%
    North America                         14%     0%
    Asia-Pacific                          21%     6%

"This third sequential growth in the quarterly revenues
demonstrates the increase of our clients' demand as well as the
efficiency of our outsourcing process which allows us to respond very
quickly to high volume orders.

The revenues of this quarter were mainly generated through the
sale of telecom amplifiers, but, in addition to the uptake in demand
for traditional network products, we would observe additional
revenues for future semesters coming from high-power "Double Clad"
products that Highwave has moved into industrial production.

These products will include industrial lasers, particularly for
Asia, and which are in qualification phase. Besides, our "double
clad" technology is at the heart of High speed Broadband Access
projects for the internet and CATV, both in Asia and in the USA.
Volume roll-out of these products is expected for 2005 and 2006".

Comments Sylvain Boj, COO.

This press release may contain forward looking information based
on estimates and assumptions by management as well as information
available to management. These estimates and assumptions are subject
to risks and uncertainties capable of making the actual results of
the company differ substantially from the results presented
explicitly or implicitly in these forward looking statements. The
current release should not be viewed as offering any degree of
certainty to such forward looking statements.

About HighWave Optical Technologies

Highwave Optical Technologies is one of the leading suppliers of
active fibers and subsystems for Dense Wavelength Division
Multiplexing (DWDM) telecom systems, the optical laser fiber
industry, fiber optic sensors and defense markets. Since its creation
in 1998, the company has appeared in the telecommunications market as
one of the leading suppliers of optical amplifiers and components for
the largest manufacturers. The company is based in Lannion, France.
Since its listing on the market in June 2000, shares of Highwave
Optical Technologies have been traded on the Euronext Paris market
(HGWO). For more detailed information, please consult our Internet
site: www.highwave-tech.com

Contact:

Sylvain Boj, Chief Operating Officer, Highwave Optical Technologies,
+33-(0)2-96-04-20-00

Highwave Optical Technologies Announces a 49% Increase in its First Semester Revenues for the Current Fiscal Year

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