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Superconductive Components, Inc. Announces Third Quarter Results

CONTACT:
Robert Lentz
(614) 876-2000

COLUMBUS, Ohio -- November 12, 2003 -- Superconductive Components, Inc. (OTCBB: SCCI), a manufacturer of advanced ceramics, optical materials, and high temperature superconductive and non-superconductive products, today announced results for the three months ended September 30, 2003.

Dan Rooney, Chairman and Chief Executive Officer, commented, "Our third quarter results were particularly impacted by lower revenues due to continued weakness in the U.S. manufacturing sector. We have taken steps in recent months to bolster future product sales through an experienced industry sales person while also further strengthening relationships with customers. On a positive note, since the beginning of the third quarter 2003, we have been awarded a research contract from the U.S. Department of Energy and also received an award from the State of Ohio's Third Frontier Action Fund. The Company's share of these awards is approximately $1.2 million, which will help advance its position in the high temperature superconductor and lithium thin film battery markets."

Mr. Rooney added, "We are proceeding with plans to move to our new facility and be operational early in the first quarter of 2004. This will enable us to manufacture products more efficiently and specifically respond to anticipated demand for materials that are integral to the manufacture of lithium thin film batteries. It is expected that initial commercialization of this technology will begin next year."

Third Quarter Results

Total revenue for the three months ended September 30, 2003 was $608,730 compared to $863,179 a year ago. Contract research revenue increased $50,644 to $119,020 for the third quarter 2003 from $68,376 for the same period last year. This improvement was offset by lower product revenue, which declined to $489,710 for the third quarter 2003 from $794,803 for the same period a year ago due to lower shipments as a result of the weak U.S. manufacturing economy.

Gross margin was $114,303 or 18.8% of total revenue versus $273,156 or 31.6% of total revenue for the same period last year. The quarter-over-quarter decline was attributable to lower product sales as well as product mix.

General and administrative expenses declined to $156,871 for the third quarter 2003 from $200,983 the prior year as a result of a reduction in administrative staff. Sales and promotional expenses were $58,210 for the third quarter 2003 versus $63,088 for the comparable period a year ago.

The loss applicable to common shares was $110,887, or $0.06 per diluted share, versus a net loss applicable to common shares of $4,083, or $0.00 per diluted share, for the third quarter 2002 year.

Phase II SBIR Contract

On September 30, 2003, SCI Engineered Materials, the Company's operating entity, was awarded a contract for approximately $518,000 from the U.S. Department of Energy for a Phase II Small Business Innovation Research ("SBIR") program. The Phase II SBIR program is intended to determine the feasibility of producing cost effective, kilometer length Bismuth Strontium Calcium Copper Oxide ("BSCCO") 2212 wires for very high field magnets beyond 12 Tesla at 4.2 Kelvin. This contract is expected to continue through June 2005 and is a follow on to the Phase I and interim Phase II SBIR program the company has participated in since third quarter 2002.

Third Frontier Award

On October 16, 2003, SCI Engineered Materials, the Company's operating entity, and its project partners received a $1.2 million award from the Third Frontier Action Fund. The Fund is administered by the Ohio Department of Development to expand the state's high-tech research capabilities and create new jobs. This award is to scale-up manufacturing processes to produce materials to be used in lithium thin-film batteries. SCI Engineered Material's portion of the award is approximately $600,000, which will be used to purchase manufacturing equipment.

About Superconductive Components, Inc.

Superconductive Components, Inc. operates through SCI Engineered Materials and manufactures advanced ceramics such as superconductors, ferroelectric and optical materials for use in wire, cable, batteries, wireless and fiber optics systems. The company also provides materials for thin film applications used in photovoltaics, electronic switches, hardness and decorative coatings. The company is a global materials supplier with clients in more than 40 countries. Additional information is available at http://www.sciengineeredmaterials.com.

This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbors created thereby. Those statements include, but are not limited to, all statements regarding intent, beliefs, expectations, projections, forecasts, and plans of the company and its management, and specifically include statements regarding awards expected to lead to commercial products and steps being taken to bolster product sales (paragraph 2), plans to move to a new facility by the end of 2003 and be operational early in the first quarter of 2004, anticipated demand for materials integral to the manufacture of lithium thin film batteries, and expected commercialization of lithium thin film battery technology in 2004 (paragraph 3), and the expected duration of the Phase II SBIR program (paragraph (8). These forward-looking statements involve numerous risks and uncertainties, including, without limitation: the availability of a new leased facility and the ability to move to such facility at the anticipated cost, the development of the thin film battery market, the impact of competitive products and services, the ability to adapt to technological changes, the availability of capital, and other risks and uncertainties detailed from time to time in the company's Securities and Exchange Commission filings, including the company's Annual Report on Form 10-KSB for the year ended December 31, 2002 and the Company's Quarterly Report on Form 10-QSB for the quarter ended September 30, 2003. One or more of these factors have affected, and could in the future affect, the company's projections. Therefore, there can be no assurances that the forward-looking statements included in this press release will prove to be accurate. In light of the significant uncertainties in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by the company, or any other persons, that the objectives and plans of the company will be achieved. All forward-looking statements made in this press release are based on information presently available to the management of the company. The company assumes no obligation to update any forward-looking statements.

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