Revenues of $22.1 million, up 18% sequentially and up 19% year over year

LIVERMORE, CA — July 29, 2003 — FormFactor, Inc. (NASDAQ: FORM) today announced its financial results for the second quarter of fiscal year 2003, ended June 28, 2003. Quarterly revenues were $22.1 million, up 18% from $18.7 million in the first quarter of fiscal year 2003, and up 19% from $18.5 million for the same period in fiscal year 2002.

Revenues for the six month period of fiscal year 2003 were $40.8 million, up 14% from $35.8 million in the first six months of fiscal year 2002.

Net income for the second quarter of fiscal year 2003 was $1.3 million or $0.04 per share on a pro forma fully diluted basis, compared to $0.7 million or $0.02 per share pro forma for the first quarter of fiscal year 2003, and $0.7 million or $0.02 per share pro forma for the same period of fiscal year 2002.

Net income for the six month period of fiscal year 2003 was $2.0 million or $0.06 per share on a pro forma fully diluted basis, compared to $1.6 million or $0.04 per share pro forma for the first six months of fiscal year 2002.

Pro forma earnings per share have been adjusted for the three months ended June 29, 2002, March 29, 2003 and June 28, 2003, and for the six months ended June 29, 2002 and June 28, 2003, assuming the initial public offering had already happened at the beginning of fiscal year 2002. The adjustment assumes the conversion to common stock of all redeemable convertible preferred stock, and the issuance of the common shares issued in the initial public offering. The Company believes the pro forma earnings per share presentation represents a better basis for the comparison of its current results to results during fiscal periods occurring prior to the Company’s initial public offering.

On a GAAP fully diluted basis, net income for the second quarter of fiscal year 2003 was $0.04 per share, compared to $0.02 per share for the first quarter of fiscal year 2003 and $0.02 per share for the same period of fiscal year 2002. Also on a GAAP fully diluted basis, net income for the six month period of fiscal year 2003 was $0.07 per share, compared to $0.05 per share for the first six months of fiscal year 2002.

Operating Income for the second quarter of fiscal year 2003 was 8.8% of revenues, up from 5.3% for the first quarter of fiscal year 2003, and up from 5.6% for the second quarter of fiscal year 2002.

Bookings of $25.5 million for the second quarter of fiscal year 2003 increased 47% from $17.4 million for the first quarter of fiscal year 2003 and were up 24% from $20.6 million for the second quarter of fiscal year 2002.

Igor Khandros, President and CEO of FormFactor noted: “We are seeing a positive demand momentum across all market segments for our product. Increased order flow from recent design wins for our products in both the flash memory and flip chip logic applications contributed to the increase in bookings during our second quarter. Our ability to meet our customers’ requirements for DRAM wafer probe products as they transition to smaller technology nodes like the current 110 nanometer transition and the onset of conversions to higher density 512 Mbit DRAM devices continue to make contributions to our revenue and bookings growth. We believe that the increase in demand for our wafer probe card products at the advanced technology nodes of 110 and 90 nanometers across all market segments is a testimonial to the strategic technology alignment between FormFactor and industry leading semiconductor manufacturers”.

The Company will discuss these results in a conference call at 1:30 p.m. PDT, or 4:30 p.m. EDT, today. The public is invited to listen to a live web cast of FormFactor’s conference call on the investor relations section of the Company’s website at www.formfactor.com. A replay of the web cast will be available approximately two hours after the conclusion of the call. The web cast replay will remain available until August 31, 2003. An audio replay of the conference call will also be made available approximately two hours after the conclusion of the call. The audio replay will remain available until August 1, 2003 at 10:00 p.m. PDT and can be accessed by dialing (888) 203-1112 or (719) 457-0820 and entering reservation number 466067.