Nanometrics Announces Financial Results for the First Quarter of 2004

Nanometrics Incorporated (NASDAQ: NANO) today reported financial results for the first quarter ended March 31, 2004. Total revenues for the first quarter of 2004 were $13.7 million, an increase of 10% from $12.4 million in the fourth quarter of 2003 and an increase of 46% compared to $9.4 million for the first quarter of 2003. The increase in first quarter revenues in 2004 compared to the first quarter of 2003 resulted from stronger demand for semiconductor process control equipment particularly in the U.S. and Pacific Rim countries. The net loss in the first quarter of 2004 was $1.2 million or $0.10 per diluted share, compared to a net loss of $9.6 million or $0.80 per diluted share for the same period last year. The net loss in the first quarter of 2003 includes a $6.0 million charge to record a valuation allowance against deferred income tax assets, as previously reported in the first quarter of 2003. The Company's financial position continues to be strong with cash and short-term investments totaling $24.1 million.

Q1 2004 consolidated balance sheet and income statement [pdf]

About Nanometrics:
Nanometrics Incorporated is a leading supplier of integrated and automated metrology equipment used in advanced IC, flat panel display and magnetic head manufacturing. The Company's corporate office is located at 1550 Buckeye Drive, Milpitas, CA 95035, with sales and service offices worldwide. Nanometrics is traded on the NASDAQ National Market under the symbol NANO. Nanometrics' website is http://www.nanometrics.com.

Contact:
Paul Nolan
Nanometrics
408.435.9600