3rd Quarter Results

MTI Wireless Edge Limited
06 November 2006


                             MTI WIRELESS EDGE LTD
                  FINANCIAL RESULTS FOR THE NINE MONTHS ENDED
                               SEPTEMBER 30, 2006


MTI Wireless Edge Ltd., (ticker: MWE) ('MTI' or 'the Company'), a market leader 
in the manufacture of flat panel antennas for fixed wireless broadband, today 
announces its unaudited interim results for the nine months ended 30 September 
2006, its fifteenth consecutive quarter of revenue growth.


Highlights

   •Revenue increased by 40% year on year to US$11.8m (Q3 2005: US$8.4m)
   •Gross profit up 51% to US$5.2m (Q3 2005: US$3.4m) with gross margin of
    44.2% (Q3 2005: 40.8%)
   •Net profits improved by 94% to US$ 2.4m (Q3 2005: US$1.2m) with net
    margin increased to 20.4% (Q3 2005: 14.7%)
   •Basic earnings per share up 28% to 5.0c (Q3 2005: 3.9c)
   •Intention to pay out approximately 25 per cent. of net profit as dividend
    for the full financial year

Dov Feiner, Chief Executive Officer, commented: 'The third quarter of the year
has seen MTI build and improve upon the excellent growth announced at the half
year. With three months of the year remaining, we have already surpassed our
performance for the whole of 2005 at a revenue, gross profit and net profit
level, with continued margin improvement. Our contracted but as yet unfulfilled
order book remains healthy giving further confidence of a very successful result
for our first full year as a public limited company.

'The fixed wireless broadband market continues to grow and importantly, some 30%
of our units sold in the first nine months of the year have been WiMax compliant
antennas. Research suggests that there will continue to be strong growth in both
our key markets of broadband wireless and radio frequency identification and
therefore MTI is well placed for continued profitable growth.'

Contacts:

MTI Wireless Edge                                    [phone]
Dov Feiner, CEO
Moni Borovitz, Financial Director

Corporate Synergy Plc                                [phone]
Luke Ahern
David Seal

Threadneedle Communications                          [phone]
Graham Herring
Josh Royston


About MTI Wireless Edge

MTI designs and manufactures flat panel antennas, largely supplied to
international OEMs of fixed broadband wireless access systems. With over 30
years of technical 'know-how', flexible high volume manufacturing capabilities
and low failure rates, MTI's antennas now comprise approximately 25% of the
global fixed broadband wireless antenna market. In addition, the Company has
successfully developed products for new commercial applications as wireless
systems become increasingly prevalent in new markets.
                           


                              PROFIT AND LOSS STATEMENT


                                 
                                      For the nine months           Year ended
                                      ended September 30           December 31
                                  
                                        2006           2005               2005
                                    -----------------------           ---------
                                                U.S. $ in thousands
                                    -----------------------           ---------
                                                                       

Revenues                              11,757          8,423             11,694
Cost of sales                          6,559          4,989              6,780

Gross profit                           5,198          3,434              4,914
Research and development
expenses                                 875            636                855
Selling and marketing expenses         1,291            914              1,237
General and administrative
expenses                                 798            594                779

Operating profit                       2,234          1,290              2,043
Financial expenses (income),
net                                     (274)           (12)               164

Profit before taxation                 2,508          1,302              1,879
Tax on profit                            106             65                130

Net profit                             2,402          1,237              1,749

Earnings per share:
Basic                                 0.0503       * 0.0393           * 0.0556

Diluted                               0.0480       * 0.0326           * 0.0461

Weighted average number of shares
outstanding:
Basic                             47,734,124       *31,470,000     *31,470,000
                                                   

Diluted                           50,029,108       *37,932,000     *37,932,000
                                                   


* Restated due to split of the company's ordinary share in a ratio of 3000 new
shares for each 1 ordinary share, prior of the IPO in the AIM.


                                      BALANCE SHEET

                                          
                              At 30                   At 30              At 31
                            September               September          December
                              2006                     2005               2005
                            --------                ---------          --------
                                             U.S. $ In thousands
                            --------                ---------          --------

ASSETS
CURRENT ASSETS:

Cash and cash
equivalents                   2,266                    3,548             3,980
Short-term
investments                  10,902                        -                 -
Trade
receivables                   4,455                    3,240             3,405
Other
receivables                     213                      145               265
Inventories                   1,598                    1,187             1,008

Total current
assets                       19,434                    8,120             8,658

LONG TERM
PREPAID
EXPENSES                         28                       30                26

PROPERTY AND
EQUIPMENT, NET                1,401                    1,424             1,441

OTHER ASSETS,
NET                             462                      406               450



                             21,325                    9,980            10,575





                                     At 30               At 30          At 31
                                   September            September     December
                                      2006                2005           2005
                                                                          
                                    --------           ---------       --------
                                               U.S. $ In thousands
                                    --------           ---------       --------
LIABILITIES AND
SHAREHOLDERS' EQUITY
CURRENT LIABILITIES:

Current maturities of
long-term loans                         85                   87             87
Trade payables                       2,712                1,865          1,669
Other accounts
payables                             1,013                  304            599

Total current
liabilities                          3,810               10,375          2,355

LONG-TERM LIABILITIES:
Liabilities to banks                    46                  130            109
Accrued severance pay                  221                  169            174

                                       267                  299            283

SHAREHOLDERS' EQUITY
Share capital                          115                    2              2
Additional paid-in
capital                             16,357                7,561          7,561
Retained earnings                      776                 (138)           374

Total shareholders'
equity                              17,248                7,245          7,937



                                    21,325                9,980         10,575





                            STATEMENTS OF CASH FLOWS

                                     For the nine months ended      Year ended
                                            September 30            December 31
                                     -------------------------       ---------
                                       2006             2005              2005
                                     --------         --------       ---------
                                                 U.S. $ in thousands
                                     -------------------------       ---------
                                               
Cash Flows from Operating
Activities:
Net profit                            2,402            1,237             1,749
Adjustments to reconcile net 
income to net cash provided
by operating activities:
Compensation expenses
resulting from options
granted to employees                      -               73                73

Depreciation
and amortization                        207              206               272
Gain from short-term
investments                            (313)            (509)              (58)
Deferred taxes                          (14)               -               (51)
Severance pay, net                       47                7                12
Issuance of
share capital                            79                -                 -
Changes in operating assets and
liabilities:
Decrease (increase) in
inventories                            (590)             130               309
Increase in trade
receivables                          (1,050)          (1,013)           (1,178)
Decrease (increase) in
other accounts receivables
for short and long term                  52               88               (21)

Increase (decrease) in
trade payables                        1,051              104              (128)
Increase (decrease) in
other accounts payables                 414             (174)              121

Net cash provided by
(used in) operating
activities                            2,285              599             1,100





                               STATEMENTS OF CASH FLOWS
                             
                                 For the nine months ended          Year ended
                                       September 30                 December 31
                                   ----------------------            ---------
                                    2006            2005                  2005
                                  --------        --------           ---------
                                               U.S. $ in thousands
                                   ----------------------            ---------
                                             
Cash Flows From Investing
Activities:
Sale (purchase) of
short-term investment            (10,589)          2,095                 2,095
Purchase of property and
equipment                           (175)            (64)                 (112)

Net cash (used in) provided
by investing
activities                       (10,764)          2,031                 1,983

Cash Flows From Financing
Activities:
Dividend distributed              (2,000)              -                     -
Additional capital raised
in Aim Listing, net                8,830               -                     -
Repayment of long-term
loans                                (65)            (66)                  (87)

Net cash used
in financing
activities                         6,765             (66)                  (87)

INCREASE (DECREASE) IN
CASH AND CASH EQUIVALENTS           (714)          2,564                 2,996

CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD                3,980             984                   984


CASH AND CASH
EQUIVALENTS AT                     2,266           3,548                 3,980
END OF PERIOD







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