FOR IMMEDIATE RELEASE -- HAWTHORNE, N.Y. -- August 8, 2007 -- SmartPros Ltd. (AMEX:PED), a leader in the field of accredited professional education and corporate training, today announced its second quarter financial results for the three and six months ended June 30, 2007.

Financial highlights for the three months ended June 30, 2007, compared to the three months ended June 30, 2006:

• Net revenues increased 19% to $3.5 million, up from $2.9 million.
• Gross profit margin improved, rising to 65% from 58%.
• Net income rose 172% to $511,000, or $0.10 per diluted share, from $188,000, or $0.04 per diluted share.
• SmartPros' core subscription-based business grew 10% in the second quarter of 2007.
  

Financial highlights for the six months ended June 30, 2007, compared to the six months ended June 30, 2006:

• Net revenues increased 32% to $7.2 million from $5.5 million.
• Gross profit margin improved, rising to 63% from 60%.
• Net income increased 225% to $1.1 million, or $0.22 per diluted share, from $338,000, or $0.07 per diluted share.
• Generated net cash of $1.65 million from operating activities.
  

SmartPros has achieved 13 consecutive profitable quarters including 11 profitable quarters since going public in 2004. As of June 30, 2007, the Company has $8.76 million in cash and cash equivalents; $1.88 million in accounts receivable; working capital of $5.6 million; and $9.55 million in total stockholders' equity.

"SmartPros remains focused on its strategy to facilitate organic growth and to pursue intelligent, accretive acquisitions," stated Allen Greene, Chairman and CEO of SmartPros. "Our management team is intent on developing quality products while increasing our efficiencies at the same time."

SmartPros will host a teleconference on Wednesday, August 8, 2007, beginning at 4:15 p.m. Eastern, and invites all interested parties to join management in a discussion regarding the Company's financial results, corporate progression and other meaningful developments. The conference call can be accessed via telephone by dialing toll free 1-800-257-3401. A replay of the call will be available on the Company's Web site approximately one hour after the live broadcast at http://ir.smartpros.com.

About SmartPros Ltd.
Founded in 1981, SmartPros Ltd. is an industry leader in the field of accredited professional education and corporate training. Its products and services are primarily focused in the accredited professional areas of corporate accounting, financial management, public accounting, governmental and not-for-profit accounting, financial services training, banking, engineering, legal, ethics and compliance, and information technology training services. SmartPros is a leading provider of professional education products to Fortune 500 companies, as well as the major firms and associations in each of its professional markets. SmartPros provides education and content publishing and development services in a variety of media including Web, CD-ROM and video. Our subscription libraries feature hundreds of course titles and 2,300+ hours of accredited education. SmartPros' proprietary Professional Education Center (PEC) Learning Management System (LMS) offers enterprise distribution and administration of education content and information. In addition, SmartPros produces a popular news and information portal for accounting and finance professionals serving more than one million ads and distributing more than 200,000 subscriber email newsletters each month. SmartPros' network of sites averages more than 450,000 monthly visits, serving a user base of 350,000+ profiled members. Visit www.smartpros.com

Safe Harbor Statement
Statements in this press release that are not statements of historical or current fact constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements involve risks and uncertainties, including activities, events or developments, that the Company expects, believes or anticipates will or may occur in the future. In addition to statements that explicitly describe these risks and uncertainties, readers are urged to consider statements that contain terms such as "believes," "belief," "expects," "expect," "intends," "intend," "anticipate," "anticipates," "plans," "plan," to be uncertain and forward-looking. The forward-looking statements contained herein are also subject generally to other risks and uncertainties that are described from time to time in the Company's filings with Securities and Exchange Commission. Specially, results reported within this press release should not be considered an indication of future performance. In addition, there can be no assurance regarding the timing of any stock repurchases by the Company or that any such repurchases will, in fact, occur.

Visit SmartPros' Investor Relations section for additional information.


For more information, please contact:
Shane Gillispie
Marketing and eCommerce
SmartPros Ltd.
253-863-8280
shanegillispie@smartpros.com