CVD Equipment Corporation Announces Record Q1 Results

RONKONKOMA, N.Y., (Business Wire) – May 10, 2011 – (NASDAQ: CVV) CVD Equipment Corporation, a leading provider of custom chemical vapor deposition systems, today announced record revenues. Net income for the quarter ending March 31, 2011 was approximately $687,000.

Revenue for the quarter ended March 31, 2011 was $6,206,000, a 66.7% increase over last year’s quarter ended March 31, 2010 revenue of $3,722,000.

Income from operations for the three months ended March 31, 2011 was $877,000 as compared to a loss of ($53,000) for the three months ended March 31, 2010. Our net income of $687,000 for the quarter ended March 31, 2011 resulted in earnings of $0.14 per share, basic and diluted, as compared to a net loss of ($90,000) or ($0.02) per share, basic and diluted, for the quarter ended March 31, 2010.

Our backlog as of March 31, 2011 was $21,369,000. This record number is an increase of 917% from the backlog of $2,101,000, reported for March 31, 2010. In addition, the backlog has increased 115% from the backlog number of $9,944,000 that we reported for December 31, 2010. Timing for completion of the backlog varies depending on the product mix and can be as long as two years. Order backlog usually is a reasonable management tool to indicate future revenues and profits, however it does not provide an assurance of future achievement of revenues or profits as order cancellations or delays are possible. Backlog from quarter to quarter can vary based on the timing of order placements and shipments.

Leonard Rosenbaum, President and Chief Executive Officer stated, “During the 1st quarter we continued to convert into increased revenue and profits the higher level of orders received during the second half of 2010. Our backlog has continued to increase during Q1 to a record level and in Q2 thru May 9 an additional $4 million of new orders was received. These new orders in Q2 include new endeavors in production glass and medical CVD coatings as well as continued orders for our First Nano R&D equipment. With the continuing high order and quotation levels we are also finding new opportunities for the use and application of our custom chemical vapor deposition solutions as well as their usage for manufacturing of Graphene films, Silicon Nanowires and other nano materials.”

About CVD Equipment Corporation
CVD Equipment Corporation (NASDAQ: CVV) is a designer and manufacturer of custom and standard state-of-the-art equipment used in the development, design and manufacture of advanced electronic components, materials and coatings for research and industrial applications. CVD offers a broad range of chemical vapor deposition, gas control, and other equipment that is used by customers to research, design and manufacture semiconductors, solar cells, graphene, carbon nanotubes, nanowires, LEDs, MEMS, smart glass coatings, medical coatings, industrial coatings and equipment for surface mounting of components onto printed circuit boards.

The Private Securities Litigation Reform Act of 1995 provides a “safe harbor” for forward-looking statements. Certain information included in this press release (as well as information included in oral statements or other written statements made or to be made by CVD Equipment Corporation) contains statements that are forward-looking. All statements other than statements of historical fact are hereby identified as “forward-looking statements, “as such term is defined in Section 27A of the Securities Exchange Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward looking information involves a number of known and unknown risks and uncertainties that could cause actual results to differ materially from those discussed or anticipated by management. Potential risks and uncertainties include, among other factors, conditions, success of CVD Equipment Corporation’s growth and sales strategies, the possibility of customer changes in delivery schedules, cancellation of orders, potential delays in product shipments, delays in obtaining inventory parts from suppliers and failure to satisfy customer acceptance requirements.

For further information please contact our Investor Relations by Phone: (631) 981-7081, Fax: (631) 981-7095 or Email: investorrelations@CVDequipment.com