TOR Minerals International Reports
First Quarter 2005 Financial Results


CORPUS CHRISTI, Texas -- TOR Minerals International (Nasdaq: TORM - News) today announced its financial results for the quarter ended March 31, 2005. The Company reported net income of $455,000, or $0.05 per fully diluted share, on net sales of $7,139,000. This compares with net income of $241,000, or $0.03 per fully diluted share, on net sales of $6,004,000 for the quarter ended March 31, 2004.

"First quarter results were in line with our internal expectations," said Richard Bowers, president and Chief Executive Officer of TOR Minerals. "Demand for both our HITOX ® and ALUPREUM ® product lines is strong, as customers continue to realize the performance and value our products bring to the marketplace."

The Company said that the new HITOX production system in Corpus Christi was brought online during the quarter and is now fully functional. "We are now experiencing the product improvements and cost savings that we anticipated when we installed the new process, and we expect the second quarter financial results will reflect the cost savings of the new process," said Mr. Bowers.

TOR Minerals will host a conference call at 4 p.m. Central Time on May 4 to further discuss first quarter results. The call will be simultaneously webcast, and can be accessed on the company's homepage at http://www.torminerals.com/ .

Based in Corpus Christi, Texas, TOR Minerals is an international manufacturer of specialty mineral products for high performance applications with plants and regional offices located in the United States, Netherlands and Malaysia.

This statement provides forward-looking information as that term is defined in the Private Securities Litigation Reform Act of 1995, and, therefore, is subject to certain risks and uncertainties. There can be no assurance that the actual results, business conditions, business developments, losses and contingencies and local and foreign factors will not differ materially from those suggested in the forward-looking statements as a result of various factors, including market conditions, general economic conditions, including the risks of a general business slow down or recession, the increasing cost of energy, raw materials and labor, competition, advances in technology, changes in foreign currency rates, freight price increases, commodity price increases, delays in delivery of requirement equipment and other factors.

Contact for Further Information:
David Mossberg
Beacon Street Group Investor Relations
(817) 459-2346

                                Tables Follow



                       TOR MINERALS INTERNATIONAL, INC.
                 CONSOLIDATED CONDENSED STATEMENTS OF INCOME
                   (in thousands, except per share amounts)

                                                      Three Months Ended
                                                           March 31,
                                                       2005         2004

    NET SALES                                       $  7,139     $  6,004
        Cost of products sold                          5,364        4,485
            GROSS MARGIN                               1,775        1,519
            GROSS MARGIN %                                25%          25%
        Selling, administrative and general            1,128        1,203
    OPERATING INCOME                                     647          316
    OTHER INCOME (EXPENSE):
        Interest expense, net                            (88)         (17)
        Other, net                                         3           (4)
    INCOME BEFORE INCOME TAX                             562          295
        Taxes                                            107           54
    NET INCOME                                      $    455     $    241
        Preferred stock dividends                         15           11
    Income available to Common Shareholders         $    440     $    230

    Earnings per common share:
        Basic                                       $   0.06     $   0.03
        Diluted                                     $   0.05     $   0.03

    Weighted average common shares
     and equivalents outstanding:
        Basic                                          7,795        7,600
        Diluted                                        8,119 (A)    7,947 (B)


     (A) 168,000 common shares related to the 200,000 convertible preferred
         shares outstanding were excluded in the computation of diluted
         earnings per share as the effect would be antidilutive.

     (B) 122,000 common shares related to the 200,000 convertible preferred
         shares outstanding were excluded in the computation of diluted
         earnings per share as the effect would be antidilutive.



                        TOR MINERALS INTERNATIONAL, INC.
                      CONSOLIDATED CONDENSED BALANCE SHEETS
                      March 31, 2005 and December 31, 2004
                                 (in thousands)

                                                     March 31,  December 31,
                                                       2005         2004
                                                   (Un-Audited)
    ASSETS
    Current assets                                  $ 11,740     $ 12,446
    Property, plant and equipment, net                20,311       18,988
    Goodwill, net                                      1,892        1,981
    Other assets                                          19          219
            Total Assets                            $ 33,962     $ 33,634

    LIABILITIES AND SHAREHOLDERS' EQUITY
    Current liabilities                             $  6,816     $  6,911
    Long-term debt, excluding current maturities       4,047        3,731
    Deferred tax liability                               372          279
        Total Liabilities                             11,235       10,921

    Shareholders' equity                              22,727       22,713
            Total Liabilities &
             Shareholders' Equity                   $ 33,962     $ 33,634

 
 
 
 
© Copyright 2005 TOR Minerals International, Inc.