Exhibit 99.1

Nanometrics Reports First Quarter 2017 Financial Results

Shipments, Foundry Sales and Service Revenues at Record Levels; Outlook Strengthens for FY 2017

MILPITAS, Calif., May 2, 2017 — Nanometrics Incorporated (NASDAQ: NANO), a leading provider of advanced process control systems, today announced financial results for its quarter ended April 1, 2017.

Q1 2017 Highlights:

A reconciliation between GAAP operating results and non-GAAP operating results is provided following the financial statements that are part of this release and on the investor page of Nanometrics' website. Non-GAAP results exclude the impact of amortization of acquired intangibles, restructuring and certain discrete tax items.

“Year-to-date in 2017, we are seeing continued strengthening in the semiconductor capital spending environment, particularly for 3D-NAND devices,” commented Dr. Timothy J. Stultz, president and chief executive officer of Nanometrics. “Whereas we previously forecast a relatively balanced year for revenues, the outlook for the second half of 2017 has strengthened significantly, due to continued spending in Foundry and increased 3D-NAND investments. While first-half 2017 sales are consistent with our prior outlook, we now expect second half revenues will be at least 10% stronger than the first half of 2017.

“Given the record shipments of our Atlas III and the significant number of first-in-fab deliveries, we have increased our warranty reserve accrual to account for increased projected costs associated with installation and warranty activities. This accrual increase, along with the impact of the mix of products and customers in the quarter, resulted in gross margin coming in below guidance and below our target model. We expect margins to recover in the second quarter and be back within the target model ranges for the second half of 2017.

“As previously announced, we are also stepping up our investments in R&D for the development of new technology platforms and applications that will expand our served markets, provide incremental revenue streams and contribute to future growth. With the increasing tailwinds for our business and our strong position in the fastest-growing segments of our served markets, we believe we are well-positioned to continue to meaningfully outperform the industry in 2017, while achieving record revenues and delivering year-on-year revenue growth exceeding last year’s strong sequential increase.”

First Quarter 2017 Summary

Revenues for the first quarter of 2017 were $59.3 million, slightly up from $59.2 million in the fourth quarter of 2016, and up 24.9% from $47.5 million in the first quarter of 2016.  On a GAAP basis, gross margin was 48.0%, compared to 52.1% in the prior quarter and 51.6% in the year-ago period.  Operating income was $5.5 million, compared to $9.0 million in the prior quarter and $3.7 million in the year-ago period.  Net income was $5.4 million or $0.21 per diluted share, compared to $26.7 million or $1.04 per diluted share in the prior quarter and $3.5 million or $0.14 per diluted share in the first quarter of 2016.

On a non-GAAP basis, which excludes amortization of acquired intangible assets and restructuring, gross margin was 48.3%, compared to 52.3% in the prior quarter and 52.5% in the year-ago period.  Non-GAAP operating income was $5.8 million, compared to $9.1 million in the prior quarter and $4.2 million in the first quarter of 2016. Non-GAAP net income, which adjusts for amortization of intangible assets, restructuring and certain discrete tax items, was $4.8 million or $0.19 per diluted share, compared to $8.4 million or $0.33 per diluted share in the prior quarter and $3.9 million or $0.16 per diluted share in the first quarter of 2016.

Business Outlook

Management expects second quarter 2017 revenues in the range of $64 to $68 million. Gross margin is expected to be in the range of 51.5% to 53% on both a GAAP and non-GAAP basis. Management expects second-quarter operating expenses to range between $22.8 million and $23.5 million on both a GAAP and non-GAAP basis, and earnings in the range of $0.28 to $0.34 per diluted share on both a GAAP and non-GAAP basis.

Conference Call Details

A conference call to discuss first quarter 2017 results will be held today at 4:30 p.m. EDT (1:30 p.m. PDT). To participate in the conference call, the dial-in numbers are (877) 374-4041 for domestic callers and (253) 237-1156 for international callers. The conference ID is 94498167. A live and recorded webcast and supplemental financial information will be made available on the investor page of the Nanometrics website at www.nanometrics.com.

Use of Non-GAAP Financial Information

The non-GAAP gross profit, gross margin, operating income, operating income margin, net income, net income per share, which exclude certain expenses, charges and special items, and free cash flow, were not prepared in accordance with U.S. Generally Accepted Accounting Principles (GAAP). Management uses non-GAAP financial results, which exclude amortization of acquired intangibles assets, restructuring charges, and certain discrete tax items, to evaluate the company’s ongoing performance and to enable comparison to other periods that did not include these items. The company believes the presentation of non-GAAP results is useful to investors for analyzing ongoing business trends, comparing performance to prior periods, and enhancing the investor’s ability to view the company’s results from management’s perspective; however, investors are cautioned that other companies may calculate these measures differently than Nanometrics does, which would limit the usefulness of these financial measures. A table presenting a reconciliation of GAAP results to non-GAAP results is included at the end of this press release and is available on the investor page of the Nanometrics website at www.nanometrics.com.

About Nanometrics

Nanometrics is a leading provider of advanced, high-performance process control metrology and inspection systems used primarily in the fabrication of semiconductors and other solid-state devices, including sensors, optoelectronic devices, high-brightness LEDs, discretes and data storage components.  Nanometrics’ automated and integrated metrology systems measure critical dimensions, device structures, topography and various thin film properties, including three-dimensional features and film thickness, as well as optical, electrical and material properties. The company’s process control solutions are deployed throughout the fabrication process, from front-end-of-line substrate manufacturing, to high-volume production of semiconductors and other devices, to advanced three-dimensional wafer-level packaging applications. Nanometrics’ systems enable advanced process control for device manufacturers, providing improved device yield at reduced manufacturing cycle time, supporting the accelerated product life cycles in the semiconductor and other advanced device markets. The company maintains its headquarters in Milpitas, California, with sales and service offices worldwide. Nanometrics is traded on NASDAQ Global Select Market under the symbol NANO. Nanometrics’ website is http://www.nanometrics.com.

Forward Looking Statements

Certain statements in this press release, including those found in the Q1 2017 Highlights, Dr. Stultz’s quote, and under the caption “Business Outlook,” are forward-looking statements that involve a number of risks and uncertainties that could cause actual results to differ materially from those described in this release.  Although Nanometrics believes that the expectations reflected in the forward-looking statements are reasonable, actual results could differ materially from these expectations due to a variety of factors, including, but not limited to: decreased levels of industry spending; Nanometrics’ inability to gain additional market share, increase sales, ship products as scheduled, achieve customer acceptance of new products or outperform the industry; decreased demand for Nanometrics’ products; shifts in the timing of customer orders and product shipments; technology adoption rates; changes in customer and product mix; changes in market share; changes in operating expenses; and general economic conditions. For additional information and considerations regarding the risks faced by Nanometrics that could cause actual results to differ materially, see its annual report on Form 10-K for the year ended December 31, 2016, as filed with the Securities and Exchange Commission on March 3, 2017 including under the caption “Risk Factors,” as well as other periodic reports filed with the SEC from time to time. Nanometrics disclaims any obligation to update information contained in any forward-looking statement, except as required by law.

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CONDENSED CONSOLIDATED BALANCE SHEETS

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CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

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RECONCILIATION OF GAAP TO NON-GAAP RESULTS

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