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ANADIGICS REPORTS RESULTS FOR FIRST QUARTER 2006


April 24, 2006

ANADIGICS, Inc. (Nasdaq: ANAD), a leading supplier of wireless and broadband communications solutions, reported first quarter 2006 net sales of $35.7 million, an increase of 7.2% compared with net sales of $33.3 million in the prior quarter, and an increase of 63.8% compared to net sales of $21.8 million in the year ago quarter.

Net loss calculated in accordance with generally accepted accounting principles in the U.S. ("GAAP") for the quarter was $4.6 million, or $0.12 per share, compared with a GAAP net loss of $3.9 million, or $0.11 per share, in the prior quarter, and a GAAP net loss of $11.5 million, or $0.34 per share, in the year ago quarter. Pro forma net loss for the quarter, excluding non-cash stock compensation expense, was $3.2 million or $0.08 per share.

As of April 1, 2006, cash and short and long-term marketable securities totaled $134.5 million compared with $86.4 million as of December 31, 2005. The net increase of $48.1 million reflects net proceeds of $53.2 million from the underwritten public offering of 10,446,200 common shares during the first quarter of 2006, less $5.2 million of cash used to fund working capital and capital expenditures.

"We increased our net sales 64% compared to the year ago quarter and 7% sequentially, despite typical seasonality in the sector. Our growth was driven by strong demand for our GSM/EDGE/WCDMA PAs, WLAN and Tuner ICs," said Dr. Bami Bastani, President and Chief Executive Officer of ANADIGICS. "Our market share expansion and increased content in these key growth markets represent a powerful combination which we expect will allow us to continue our positive revenue and gross margin trajectory in 2006."

This press release includes financial measures that are not in accordance with GAAP, consisting of non-GAAP, or pro forma, net loss and non-GAAP, or pro forma, loss per share. Management uses non-GAAP net loss and non-GAAP loss per share to evaluate the company's operating and financial performance in light of business objectives and for planning purposes. ANADIGICS believes that these measures are useful to investors because they enhance investors' ability to review the company's business from the same perspective as the company's management and facilitate comparisons of this period's results with prior periods. These non-GAAP measures exclude charges related to equity-based compensation. These financial measures are not in accordance with GAAP and may differ from non-GAAP methods of accounting and reporting used by other companies. The presentation of this additional information should not be considered a substitute for net loss or loss per share prepared in accordance with GAAP. Reconciliations of reported net loss and reported loss per share to non-GAAP net loss and non-GAAP loss per share, respectively, are included at the end of this press release.

Outlook for the Second Quarter 2006

We expect net sales for the second quarter of 2006 to approximate $39.3 million, up 10% sequentially and up 64% over the year ago quarter. Loss per share for the second quarter of 2006 is expected to be $0.07 on a GAAP basis and $0.03 on a pro forma basis.

RECENT HIGHLIGHTS

March 29, 2006: ANADIGICS Completes Public Offering of Common Stock

February 16, 2006: ANADIGICS Introduces High Performance Power Amplifier for WiBro Applications

February 15, 2006: ANADIGICS' WCDMA (UMTS) & EDGE Power Amplifier Modules Adopted for Advanced Reference Design by QUALCOMM

February 14, 2006: ANADIGICS Announces World's First Penta-Band, Multi-Mode 3G (GPRS/EDGE/HSDPA) Power Amplifier

February 13, 2006: ANADIGICS Introduces World's Most Efficient WCDMA Power Amplifiers

February 7, 2006: ANADIGICS to Showcase New Cutting-Edge 3G Solutions at the 2006 3GSM World Congress

CONFERENCE CALL

ANADIGICS' senior management will conduct a conference call today at 8:30 AM Eastern time. A live audio Webcast will be available at www.anadigics.com. A recording of the call will be available approximately two hours after the end of the call on the ANADIGICS Web site or by dialing (800) 283-8183 (available until May 1).

ANADIGICS, INC.
Consolidated Statements of Operations
(Unaudited)
(Amounts in thousands, except per share amounts) 

Three months ended
                                            April 1, 2006      April 2, 2005

   Net sales                                   $35,721           $ 21,773
   Cost of sales                                26,284             19,252
   Gross profit                                  9,437              2,521
   Research and development expenses             8,159              7,862
   Selling and administrative expenses           5,493              5,552
   Restructuring and other charges                   -               (120)
   Operating loss                               (4,215)           (10,773)
   Interest income                                 866                577
   Interest expense                             (1,288)            (1,249)
   Other expense                                     -                 (6)
   Net loss                                    $(4,637)          $(11,451)

   Basic and diluted net loss per share         $(0.12)            $(0.34)

   Weighted average common and
    dilutive securities outstanding             38,376             33,579

   Unaudited Reconciliation of GAAP to Non-GAAP Financial Measures

   GAAP net loss                               $(4,637)          $(11,451)
   Less Stock compensation expense
     Cost of sales                                 309                135
     Research and development                      571                282
     Selling, general and administrative           569                230
   Pro forma net loss                          $(3,188)          $(10,804)

   Pro forma basic and diluted net
    loss per share                             $ (0.08)          $  (0.32)

ANADIGICS, INC.
Condensed Consolidated Balance Sheets
(Amounts in Thousands) 

April 1, 2006   December 31, 2005
   Assets                                    (Unaudited)

   Current assets:
     Cash and cash equivalents                   $ 19,282            $ 11,891
     Marketable securities                        114,244              70,364
     Accounts receivable                           20,295              18,755
     Inventory                                     18,428              16,009
     Prepaid expenses and other current assets      4,687               2,188
   Total current assets                           176,936             119,207

   Marketable securities                              996               4,102

   Plant and equipment, net                        36,310              36,307

   Goodwill and other intangibles,
    net of amortization                             6,010               6,044
   Other assets                                     1,831               2,613
                                                 $222,083            $168,273

   Liabilities and stockholders' equity

   Current liabilities:
     Accounts payable                            $ 18,720            $ 15,519
     Accrued liabilities                            3,916               4,672
     Accrued restructuring costs                       27                  40
     Current portion of long-term debt             46,700              46,700
     Capital lease obligations                        296                 269
     Total current liabilities                     69,659              67,200

    Other long-term liabilities                     3,218               3,175
    Long-term debt                                 38,000              38,000
    Long-term capital lease obligations             1,691               1,763

    Stockholders' equity                          109,515              58,135
                                                 $222,083            $168,273

ANADIGICS, Inc. (Nasdaq: ANAD) is a leading provider of radio frequency integrated circuits and radio frequency front end solutions in the rapidly growing wireless handset and broadband communications markets. The Company's products include power amplifiers, tuner integrated circuits, active splitters and other components, which can be sold individually or packaged as integrated RF modules.

Except for historical information contained herein, this press release contains forward-looking statements that involve risks and uncertainties, including, but not limited to, order rescheduling or cancellation, changes in customers' forecasts of product demand, timely product and process development and protection of the associated intellectual property rights, individual product pricing pressure, variation in production yield, changes in estimated product lives, difficulties in obtaining components and assembly and test services needed for production of integrated circuits, change in economic conditions of the various markets the Company serves, as well as the other risks detailed from time to time in the Company's reports filed with the Securities and Exchange Commission, including the report on Form 10-K for the year ended December 31, 2005. Actual results could differ materially from the Company's forward-looking statements. These forward-looking statements can generally be identified as such because the context of the statement will include words such as "believe", "anticipate", "expect", or words of similar import. Similarly, statements that describe the Company's future plans, objectives, estimates, or goals are forward-looking statements. Important factors that could cause actual results and developments to be materially different from those expressed or implied by such statements include those factors discussed herein.