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Palomar Medical Reports Financial Results for Fourth Quarter and Fiscal Year 2008
Date:2/5/2009

to utilize its NOLs, and/or other factors, which are detailed from time to time in the Company's SEC reports, including the report on Form 10-K for the year ended December 31, 2007 and the Company's quarterly reports on Form 10-Q. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no obligation to release publicly the result of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

    Contacts:  Kayla Castle
               Investor Relations Manager
               Palomar Medical Technologies, Inc.
               781-993-2411
               ir@palomarmedical.com

    Consolidated Statements of Income (Unaudited)

                             Three Months Ended       Twelve Months Ended
                                 December 31,              December 31,
                              2008         2007         2008          2007

    Revenues:
      Product revenues    $13,260,047  $24,468,273  $69,378,948  $103,220,932
      Royalty revenues      2,225,921    2,421,193   10,520,132    13,005,459
      Funded product
       development revenues   484,451    1,263,563    2,434,395     6,698,063
      Other revenues        1,250,000            -    5,247,625       894,189
        Total revenues     17,220,419   28,153,029   87,581,100   123,818,643

    Costs and expenses:
      Cost of product
       Revenues             5,528,354    6,594,776   25,217,638    33,390,942
      Cost of royalty
       revenues               890,369      968,478    4,208,054     5,202,184
      Research and
       Development          3,539,604    4,430,197   17,692,888    16,673,191
      Selling and
       Marketing            4,968,017    6,279,118   2
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SOURCE Palomar Medical Technologies, Inc.
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