North American Scientific Reports First Quarter Results; Revenues of $8.2 Million versus $3.4 Million for Year Ago Quarter; Company Now in Compliance with Nasdaq SEC Filing Requirements

Business Wire, April 15, 2005

CHATSWORTH, Calif. -- North American Scientific, Inc. (Nasdaq:NASIE) today announced financial results and the filing of its Form 10-Q for its first fiscal quarter ended January 31, 2005. The Company is now in compliance with the Nasdaq SEC filing requirements.

For the first quarter of fiscal 2005, the Company reported revenues of approximately $8.2 million, an increase of $4.8 million from revenues of $3.4 million for the first quarter of 2004. Management attributed the increase in revenues primarily to the acquisition of NOMOS Corporation ("NOMOS"), which was completed on May 4, 2004. Revenues by operating segment in the first quarter of 2005 included $5.3 million of IMRT/IGRT products, and $2.8 million from Radiation Sources (brachytherapy and other radioisotope-based products), which decreased 16% versus the corresponding period last year due to reduced Palladium seed volume. In line with historic seasonality trends, revenues in the first quarter of 2005 were lower than those in the fourth quarter of 2004.

The net loss for the first quarter of 2005 was $3.6 million, or $0.22 per share, compared to a net loss for the first quarter of 2004 of $3.9 million, or $0.38 per share. The decrease in the net loss was primarily due to the fact that the loss in the first quarter of 2004 included losses from the now discontinued Theseus operations that totaled $1.5 million, or $0.15 per share.

The net loss from continuing operations for the first quarter of 2005 was $3.6 million, or $0.22 per share, compared to a net loss from continuing operations for the first quarter of 2004 of $2.4 million, or $0.23 per share. The increase in the net loss from continuing operations was due to losses relating to the IMRT/IGRT operations which were acquired in the May,2004 NOMOS acquisition.

At January 31, 2005, the Company's cash and marketable securities totaled $11.9 million. Cash used in operations in the first quarter of 2005 was $3.2 million, a reduction of $1.2 million, or 29%, from the first quarter of 2004.

L. Michael Cutrer, President and CEO, commented, "We continue to focus our efforts on sales growth and profitability. We believe the recent changes in our sales organization will increase the focus on each product segment and improve sales growth in the rest of the year. We now have a dedicated brachytherapy sales force and a dedicated IMRT/IGRT sales force. In addition, we are continuing to implement cost cutting measures to achieve our goals of positive cash flow and profitability by the end of fiscal 2005."

Notice to Investors

A live webcast to discuss North American Scientific's first quarter 2005 financial results will be available over the Internet through the Company's Web site at www.nasmedical.com in the Investor Center beginning at 10:00 a.m. PDT on April 18, 2005. For those who cannot listen to the live webcast, a replay of the call will be available at the same site shortly after the call.

Event archives are normally available one to two hours after the event ends. For the live event, listeners should go to the Web site at least fifteen minutes before the event starts to download and install any necessary audio software.

About North American Scientific

North American Scientific is a leader in radiation therapy products and services in the fight against cancer. Its innovative products provide physicians with a set of tools for the treatment of various types of cancers. They include radioisotope-based brachytherapy seeds, used primarily in the treatment of prostate cancer, marketed under the trade name Prospera(R),, Intensity Modulated Radiation Therapy (IMRT), and Image Guided Radiation Therapy (IGRT). IMRT allows an escalated radiation dose to be delivered to a tumor while limiting exposure and damage to nearby healthy tissue. The Company's principal IMRT products are marketed under the trade names PEACOCK(R) and CORVUS(R). The Company's IGRT product, BAT(R), provides fast and accurate targeting and localization of a treatment volume on a daily basis. Over 500 hospitals and research sites worldwide are equipped with the Company's clinically proven PEACOCK(R), CORVUS(R) (our proprietary treatment planning software), BAT(R) and ancillary treatment solutions. Please visit www.nasmedical.com for more information.

Statements included in this release that are not historical facts may be considered forward-looking statements that are subject to a variety of risks and uncertainties. There are a number of important factors that could cause actual results to differ materially from those expressed in any forward-looking statements made by the Company including, but not limited to, uncertainties relating to drug discovery and clinical development processes, the impact of competitive products and technological changes, changes in relationships with strategic partners and dependence upon strategic partners for the performance of critical activities under collaborative agreements, the ability of the Company to successfully directly market and sell its brachytherapy products, uncertainties relating to patent protection and regulatory approval, the stable supply of appropriate isotopes, the impact of competitive products and pricing, research and development estimates, market opportunities, risks associated with strategic opportunities or acquisitions the Company may pursue and the risk factors included in the Company's filings with the Securities and Exchange Commission. Any forward-looking statements contained in this news release speak only as of the date of this release, and the Company undertakes no obligation to revise or update any forward-looking statements, whether as a result of new information, future results or otherwise.