Milpitas, California. April 25, 2007.

Nanometrics Reports Financial Results for the First Quarter of 2007

Nanometrics Incorporated (Nasdaq: NANO), a leading supplier of advanced metrology equipment to the semiconductor industry, today announced its results for the first quarter ended March 31, 2007.

Revenues for the first quarter were $37.1 million, representing a 49 percent increase from fourth quarter 2006 revenues of $24.9 million and a 96 percent increase over revenues of $19.0 million for the first quarter of 2006. Net loss for the first quarter of 2007 was $4.6 million or $0.26 per share. This compares to a net loss of $12.1 million or $0.69 per share for the fourth quarter of 2006 and a net loss of $1.3 million or $0.10 per share for the first quarter of 2006.

Included in the net loss for the first quarter of 2007 are non-cash charges of $1.5 million for amortization of acquired intangible assets and other acquisition-related charges, and $1.2 million for stock-based compensation expenses as required with the adoption of Financial Accounting Standard 123R.

“In the last four weeks, the team’s top priority has been to change the company’s trajectory in profitability, cash flow and predictability. We are starting to see early signs that the trajectory is already changing,” commented Bruce C. Rhine, president and chief executive officer of Nanometrics. “This was a record revenue quarter for Nanometrics, one which included especially strong shipments of our flagship tools to some of our best customers in the memory market. In addition, our cash balance increased by approximately $1.2 million during the quarter. While the top line demonstrates that the market is robust and our products are competitive, the bottom line represents significant opportunities for improvement.”

Conference Call Details
A conference call to discuss the first quarter 2007 results will be held today, April 25, 2007, at 5:00 p.m. ET (2:00 p.m. PT). To participate in the earnings conference call, the dial-in numbers are 888-396-2384 for domestic callers and 617-847-8711 for international callers. The passcode is 26553900. If you are unable to participate during the live conference call, a webcast will be made available on the Nanometrics website at www.nanometrics.com.

View Q1 2007 consolidated balance sheets and statement of operations [pdf]

About Nanometrics
Nanometrics is a leader in the design, manufacture and marketing of high-performance process control metrology systems used in semiconductor manufacturing. Nanometrics standalone and integrated metrology systems measure various thin film properties, critical dimensions, overlay control and optical, electrical and material properties, including the structural composition of silicon and compound semiconductor devices, during various steps of the manufacturing process. These systems enable semiconductor manufacturers to improve yields, increase productivity and lower their manufacturing costs. The Company maintains its headquarters in Milpitas, California, with sales and service offices worldwide. Nanometrics is traded on NASDAQ Global Market under the symbol NANO. Nanometrics’ website is http://www.nanometrics.com.

Forward Looking Statements
This press release contains forward-looking statements including, but not limited to, statements regarding Nanometrics’ expected results for its most recently completed fiscal quarter, which remain subject to adjustment in connection with the preparation of Nanometrics’ audited financial statements, as well as statements made by Mr. Rhine concerning the Company’s financial prospects. These statements relate to future events and involve known and unknown risks, uncertainties and other factors that may cause Nanometrics’ actual financial results, levels of activity, performance or achievements to differ materially from those expressed or implied by the forward-looking statements. Forward-looking statements are only predictions and actual events or results may differ materially. Nanometrics cannot provide any assurance that its future results will meet expectations. For additional information and considerations regarding the risks faced by Nanometrics, see its annual report on Form 10-K for the year ended December 30, 2006 as filed with the Securities and Exchange Commission, as well as other periodic reports filed with the SEC from time to time including its quarterly reports on Form 10-Q. Other factors that may impact reported results include challenges in integrating the operations of companies Nanometrics has acquired, such as Accent Optical and Soluris. Although Nanometrics believes that the expectations reflected in the forward-looking statements are reasonable, Nanometrics cannot guarantee future results, levels of activity, performance or achievements. In addition, neither Nanometrics nor any other person assumes responsibility for the accuracy or completeness of these forward-looking statements. Nanometrics disclaims any obligation to update information contained in any forward-looking statement.

Contact
Investor Relations
Nanometrics
408.545.6000