SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10–Q

ý		QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

		For the quarterly period ended September 25, 2004

		OR

o		TRANSITION REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to

Commission File No. 0–22384

MICRO COMPONENT TECHNOLOGY, INC.

(Exact name of registrant as specified in its charter)

Minnesota		41–0985960
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)

2340 West County Road C, St. Paul, MN 55113-2528
(Address of principal executive offices)

(651) 697–4000
(Registrant’s telephone number)

Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes ý No o

Indicate by check mark whether the Registrant is an accelerated filer (as defined in Rule 12b-2 of the Exchange Act).

Yes o No ý

The number of shares outstanding of the Registrant’s Common Stock, as of November 5, 2004 was 25,258,609

MICRO COMPONENT TECHNOLOGY, INC.

FORM 10-Q

PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

CONSOLIDATED BALANCE SHEETS

(In thousands, except share and per share data)

(Unaudited)

	September 25, 2004			December 31, 2003
Assets
Current assets
Cash and cash equivalents	$	420		$	1,078
Accounts receivable, less allowance for doubtful accounts of $271 and $303, respectively	3,084			1,539
Inventories	3,417			3,413
Other	372			273
Total current assets	7,293			6,303

Property, plant and equipment, net	301			336
Debt issuance costs, net	414			499
Other assets	60			56

Total assets	$	8,068		$	7,194

Liabilities and Stockholders’ Deficit
Current liabilities:
Line of credit	$	1,084		$	348
Current portion of long-term convertible note	800			—
Accounts payable	1,497			1,518
Accrued compensation	571			469
Accrued interest	108			370
Accrued warranty	117			181
Customer prepayments and unearned service revenue	359			1,410
Deferred revenue in excess of costs incurred	—			16
Other accrued liabilities	72			373
Total current liabilities	4,608			4,685

Long-term portion of accounts payable	—			195
Long-term convertible note	901			—
10% senior subordinated convertible note	3,630			7,340

Stockholders’ deficit:
Preferred stock, $.01 par value, 1,000,000 authorized, none issued and outstanding	—			—
Common stock, $.01 par value, 40,000,000 authorized, 25,258,609 and 21,145,300 issued, respectively	253			212
Additional paid-in capital	96,873			92,668
Cumulative other comprehensive loss	(69		)	(69		)
Accumulated deficit	(98,128		)	(97,837		)
Total stockholders’ deficit	(1,071		)	(5,026		)
Total liabilities and stockholders’ deficit	$	8,068		$	7,194

See notes to unaudited condensed consolidated financial statements

MICRO COMPONENT TECHNOLOGY, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(In thousands, except per share data)

(Unaudited)

	Three Months Ended				Nine Months Ended
	Sept. 25, 2003		Sept. 27, 2004		Sept. 25, 2003		Sept. 27, 2004

Net sales	$	3,859	$	2,852	$	12,351	$	7,385
Cost of sales	1,902		1,581		5,892		4,505

Gross profit	1,957		1,271		6,459		2,880

PART I - FINANCIAL INFORMATION

	ITEM 1. FINANCIAL STATEMENTS

		CONSOLIDATED BALANCE SHEETS

		CONSOLIDATED STATEMENTS OF OPERATIONS

		CONSOLIDATED STATEMENTS OF CASH FLOWS

		NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS


	ITEM 2.	MANAGEMENT’S DISCUSSION AND ANALYSIS OF RESULTS OF OPERATIONS AND FINANCIAL CONDITION

	ITEM 3.	QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

	ITEM 4. CONTROLS AND PROCEDURES


PART II. OTHER INFORMATION

	ITEM 2.	UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

	ITEM 5.	OTHER INFORMATION

	ITEM 6.	EXHIBITS AND REPORTS ON FORM 8-K

	SIGNATURES