Exhibit 99.1

	NEWS RELEASE
Transcat, Inc. 35 Vantage Point Drive • Rochester • NY • 14624 • Phone: (585) 352-7777

IMMEDIATE RELEASE

Transcat Achieves 40% Operating Income Growth on Record Revenue
for Fiscal 2017 Third Quarter

ROCHESTER, NY, January 30, 2017 – Transcat, Inc. (NASDAQ: TRNS) (“Transcat” or the “Company”), a leading provider of accredited calibration, repair, inspection and laboratory instrument services and value-added distributor of professional grade handheld test, measurement and control instrumentation, today reported financial results for its third quarter, which ended December 24, 2016 (the “third quarter”) of fiscal year 2017, ending March 25, 2017 (“fiscal 2017”).

Lee D. Rudow, President and CEO, commented, “We had a record setting quarter driven by strong revenue and margin performance in both of our business segments.

We had high single-digit organic Service revenue growth as we performed particularly well in our targeted life science sector. We also benefited from solid performance from our recent acquisitions. All in all, our Service segment revenue grew 25% year-over-year. We had a 120 basis point increase in gross margin, and while we may not see that kind of improvement every quarter, we expect margins to expand as we continue to build volume, integrate our acquisitions and further leverage our capital investments in the Service segment.

The sequential improvement of our Distribution segment has also been encouraging as we delivered our second consecutive quarter of revenue growth. Our strategy to diversify our Distribution offerings, including equipment rentals and used equipment sales, is contributing to the growth in this segment. In the third quarter, we saw increases in our quote activity, sales leads, and web traffic, all of which led to growth in both core product and alternative energy sales.”

Third Quarter Fiscal 2017 Review (Results are compared with the third quarter of the fiscal year ended March 26, 2016 (“fiscal 2016”))

Transcat Reports 40% Operating Income Growth on Record Revenue for Fiscal 2017 Third Quarter
January 30, 2017
Page 2 of 10

Transcat achieved record quarterly revenue of $37.8 million in the third quarter. Higher revenue and a 110 basis point expansion in gross margin drove a 39.9% improvement in operating income. Operating margin improved 60 basis points to 6.2%. Net income grew 19.9% to $1.3 million as a higher effective income tax rate somewhat offset increased operating income.

Service segment continues to deliver strong growth

The Service segment represents the Company’s accredited calibration, repair, inspection and laboratory instrument services business (46% of total revenue for the third quarter of fiscal 2017).

Service revenue increased 25.4% and was driven by acquisitions and by strong organic growth, primarily in regulated sectors, including life sciences. On a trailing twelve-month basis, Service segment revenue improved 23.2% to $69.1 million. The Company believes that trailing twelve-month data is an informative measure of the long-term performance of the Service segment.

Increased volume in the Service segment led to a 120 basis point gross margin expansion. Segment operating income improved $0.1 million or 17.8% when compared with the prior year period while operating margin decreased 30 basis points to 5.4%.

Distribution segment sales strong with improved gross and operating margins

The Distribution segment represents the Company’s distribution and rental of new and used professional grade handheld test, measurement and control instrumentation (54% of total revenue for the third quarter of fiscal 2017).

Distribution segment sales growth was driven by a combination of strong organic growth and incremental sales from the acquisition of Excalibur Engineering, Inc. on April 1, 2016, which added additional rental revenue and brought the Company a used equipment business. An improved sales mix, including higher-margin equipment rentals and used equipment sales, along with increased volume-based vendor rebates helped to drive a 100 basis point improvement in segment gross margin. Segment operating margin improved 150 basis points and was favorably impacted by cost controls over operating expenses.

Transcat Reports 40% Operating Income Growth on Record Revenue for Fiscal 2017 Third Quarter
January 30, 2017
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Nine-Month Review (Results are compared with the first nine months of fiscal 2016)

Total revenue increased 18.1%, or $16.1 million, to $105.4 million for the reasons previously stated above. Consolidated gross profit was $25.2 million, up 22.4%, while gross margin increased 90 basis points to 23.9%. As a percentage of total revenue, consolidated operating expenses were 18.8%, up 40 basis points. Gross profit improvements more than offset this increase, driving operating income improvement of 31.6%, or $1.3 million, to $5.4 million. Net income grew 18.2% to $3.0 million for the nine-month period driven by the factors described in the third quarter fiscal 2017 review. On a per diluted share basis, net income was up 16.7% to $0.42 per diluted share. Adjusted EBITDA improved 46.5% to $10.3 million. See Note 1 on pages 3 and 4 for a description of this non-GAAP financial measure and page 8 for the Adjusted EBITDA Reconciliation table.

Strong and Flexible Balance Sheet to Support Growth Strategy

At December 24, 2016, the Company had total debt of $26.2 million, with $12.9 million available under its secured revolving credit facility. Capital expenditures were $1.6 million and $4.1 million for the quarter and year-to-date periods, respectively. Investments were primarily for assets for the Company’s rental business and expanded Service segment capabilities. Transcat continues to expect capital expenditures will be approximately $5.0 million to $5.5 million in fiscal 2017.

Outlook

Mr. Rudow concluded, “We had a very good third quarter and expect a strong finish to the year. We believe our continued focus on driving organic growth, both from our core business as well as our acquired businesses, and our capital investments will position us to meet our goal of achieving $175 million to $200 million in revenue over the next three to four years. Our initiatives to diversify and differentiate our value proposition are clearly resonating in the market. Along with the long-term growth we expect from the business, we also expect to demonstrate margin expansion as we continue to leverage the integration of recent acquisitions.”

He added, “To further drive differentiation from our competitors, moving forward we are implementing a new effort to deliver unmatched service to our customers. We recently hired a Vice President of Operational Excellence to identify opportunities to increase efficiencies and to lead our acquisition integration efforts. Our initiatives to be the market leader in our space, by driving operational excellence in both of our business segments, have sparked an impressive energy here at Transcat, which I believe provides us with yet another competitive edge.”

Webcast and Conference Call

Transcat will host a conference call and webcast on Tuesday, January 31, 2017 at 11:00 a.m. ET. Management will review the financial and operating results for the third quarter, as well as the Company’s strategy and outlook. A question and answer session will follow the formal discussion. The review will be accompanied by a slide presentation, which will be available at www.transcat.com/investor-relations. The conference call can be accessed by calling (201) 689-8471. Alternatively, the webcast can be monitored at www.transcat.com/investor-relations.

A telephonic replay will be available from 2:00 p.m. ET on the day of the call through Tuesday, February 7, 2017. To listen to the archived call, dial (412) 317-6671 and enter conference ID number 13652419, or access the webcast replay at www.transcat.com/investor-relations, where a transcript will be posted once available.

NOTE 1 – Non-GAAP Financial Measures

In addition to reporting net income, a U.S. generally accepted accounting principle (“GAAP”) measure, we present Adjusted EBITDA (earnings before interest, income taxes, depreciation and amortization, and non-cash stock compensation expense), which is a non-GAAP measure. The Company’s management believes Adjusted EBITDA is an important measure of operating performance because it allows management, investors and others to evaluate and compare the performance of its core operations from period to period by removing the impact of the capital structure (interest), tangible and intangible asset base (depreciation and amortization), taxes, and stock-based compensation expense, which is not always

Transcat Reports 40% Operating Income Growth on Record Revenue for Fiscal 2017 Third Quarter
January 30, 2017
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commensurate with the reporting period in which it is included. Adjusted EBITDA is not calculated through the application of GAAP and is not the required form of disclosure by the Securities and Exchange Commission. As such, it should not be considered as a substitute for the GAAP measure of net income and, therefore, should not be used in isolation of, but in conjunction with, the GAAP measure. The use of any non-GAAP measure may produce results that vary from the GAAP measure and may not be comparable to a similarly defined non-GAAP measure used by other companies. See the attached Adjusted EBITDA Reconciliation table on page 8.

ABOUT TRANSCAT

Transcat, Inc. is a leading provider of accredited calibration, repair, inspection and laboratory instrument services. The Company is focused on providing best-in-class services and products to highly regulated industries, including life science, aerospace and defense, pharmaceutical, medical device manufacturing and biotechnology. Transcat provides permanent and periodic on-site services, mobile calibration services and in-house services through 20 Calibration Service Centers strategically located across the United States, Puerto Rico and Canada. The breadth and depth of measurement parameters addressed by Transcat’s ISO/IEC 17025 scopes of accreditation are believed to be the best in the industry.

Transcat also operates as a leading value-added distributor that markets, sells and rents national and proprietary brand instruments to customers globally. Its e-commerce focused website and product catalog offer access to more than 100,000 test, measurement and control instruments, including products from approximately 540 leading manufacturers.

Transcat’s growth strategy is to leverage its service capabilities, strong brand and leading distribution platform to drive organic sales growth and to expand its addressable calibration market through acquisitions and capability investments to further realize the inherent leverage of its business model.

More information about Transcat can be found on its website at: Transcat.com.

Safe Harbor Statement

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical fact and thus are subject to risks, uncertainties and assumptions. Forward-looking statements are identified by words such as “expects,” “estimates,” “projects,” “anticipates,” “believes,” “could,” and other similar words. All statements addressing operating performance, events or developments that Transcat, Inc. expects or anticipates will occur in the future, including but not limited to statements relating to anticipated revenue, profit margins, sales operations, capital expenditures, cash flows, operating income, growth strategy, segment growth, potential acquisitions, integration of acquired businesses, market position, customer preferences, outlook and changes in market conditions in the industries in which Transcat operates are forward-looking statements. Forward-looking statements should be evaluated in light of important risk factors and uncertainties. These risk factors and uncertainties are more fully described in Transcat’s Annual Report and Quarterly Reports filed with the Securities and Exchange Commission, including under the heading entitled “Risk Factors.” Should one or more of these risks or uncertainties materialize, or should any of the Company’s underlying assumptions prove incorrect, actual results may vary materially from those currently anticipated. In addition, undue reliance should not be placed on the Company’s forward-looking statements. Except as required by law, the Company disclaims any obligation to update, correct or publicly announce any revisions to any of the forward-looking statements contained in this press release.

Transcat Reports 40% Operating Income Growth on Record Revenue for Fiscal 2017 Third Quarter
January 30, 2017
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TRANSCAT, INC.
CONSOLIDATED STATEMENTS OF INCOME
(In Thousands, Except Per Share Amounts)

Transcat Reports 40% Operating Income Growth on Record Revenue for Fiscal 2017 Third Quarter
January 30, 2017
Page 6 of 10

TRANSCAT, INC.
CONSOLIDATED BALANCE SHEETS
(In Thousands, Except Share and Per Share Amounts)

Transcat Reports 40% Operating Income Growth on Record Revenue for Fiscal 2017 Third Quarter
January 30, 2017
Page 7 of 10

TRANSCAT, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In Thousands)
(Unaudited)

Transcat Reports 40% Operating Income Growth on Record Revenue for Fiscal 2017 Third Quarter
January 30, 2017
Page 8 of 10

TRANSCAT, INC.
Adjusted EBITDA Reconciliation Table
(Dollars in thousands)
(Unaudited)

Transcat Reports 40% Operating Income Growth on Record Revenue for Fiscal 2017 Third Quarter
January 30, 2017
Page 9 of 10

TRANSCAT, INC.
Additional Information - Business Segment Data
(Dollars in thousands)
(Unaudited)

Transcat Reports 40% Operating Income Growth on Record Revenue for Fiscal 2017 Third Quarter
January 30, 2017
Page 10 of 10

TRANSCAT, INC.
Additional Information - Business Segment Data
(Dollars in thousands)
(Unaudited)