Exhibit 99.1

EDITORIAL CONTACTS:                                                                                          PRGP05018

Michele Drake

+ 650 752 5296

michele_drake@agilent.com

Jorgen Tesselaar (Europe and Asia)

+31 20 547 2825

jorgen_tesselaar@agilent.com

INVESTOR CONTACT:

Hilliard Terry

+1 650 752 5329

hilliard_terry@agilent.com

Agilent Technologies Reports Second Quarter 2005 Results

PALO ALTO, Calif., May 16, 2005 — Agilent Technologies Inc. (NYSE: A) today reported orders of $1.73 billion for the second fiscal quarter ended April 30, 2005, 9 percent below one year ago. Revenues during the quarter were $1.69 billion, 8 percent below last year. Second quarter GAAP net earnings were $95 million, or $0.19 per diluted share, compared with $104 million, or $0.21 per share, in last year’s second quarter.

Excluding a net $6 million composed largely of restructuring charges and tax benefits, Agilent reported second quarter operating net income of $101 million, or $0.20 per share. On a comparable basis, the company earned $119 million, or $0.24 per share, one year ago. ⁽¹⁾

“Agilent had a solid second quarter performance,” said Bill Sullivan, Agilent president and chief executive officer. “We demonstrated operational discipline and excellent cash generation in very challenging markets. As the world’s premier measurement company, we also continued to build upon our strong foundation of innovation, with new product introductions that will extend Agilent’s market and technology leadership.”

The company reported second quarter revenues of $1.69 billion, consistent with its expectations of $1.60 billion to $1.70 billion. Operating earnings, at $0.20 per share, were also within the guidance range of $0.18 to $0.23 per share. Gross margins improved by 2 percentage points compared with last year, despite 8 percent lower revenues and more difficult conditions in many of Agilent’s markets. Operating expenses remained under good control. During the quarter, the company generated approximately $160 million in free cash flow⁽²⁾ from operations, bringing total cash on hand to $2.7 billion.

Looking ahead, Agilent said it expects third quarter fiscal 2005 revenues of $1.70 billion to $1.80 billion, with the beginning of a modest rebound in its semiconductor-related businesses offsetting the company’s normally weak third quarter seasonality. Operating earnings are expected to be in the range of $0.23 to $0.28 per share ⁽³⁾. As for the fourth quarter, normal fourth quarter seasonality would suggest a range of revenues about 5 percent above the third quarter and an increase in operating earnings of about $0.10 per share⁽³⁾.

Segment Results

Life Sciences and Chemical Analysis

(in $ millions)

Momentum in Life Sciences and Chemical Analysis eased a bit in this year’s second quarter. While orders of $385 million were 14 percent above last year, February and March were relatively soft and a surge in April orders

came late in the month. As a result, revenue of $344 million was up only 3 percent compared with last year. Life Sciences orders were up 17 percent, with strength in both large pharmaceuticals and generic drug manufacturers, while Chemical Analysis orders were up 11 percent compared with last year.

Segment profits of $39 million were above last year on an $11 million increase in revenues. Compared with one year ago, gross margins improved by nearly 3 percentage points but were offset by higher investments in Life Sciences. Sustained profits, a lower tax rate and excellent capital management enabled the segment to achieve a Return On Invested Capital ⁽⁵⁾ (ROIC) of 22 percent during the quarter compared with last year’s ROIC of 15 percent.

Test and Measurement

(in $ millions)

Second quarter Test and Measurement orders of $757 million were 2 percent above one year ago and up 16 percent from the seasonally weak first quarter. Overall segment demand was characterized by a stabilizing market for wireless handset manufacturing test, growth in wireline test markets, and robust demand for Agilent’s line of oscilloscopes and logic analyzers. Revenues of $748 million were 7 percent above last year and the prior three months.

Second quarter operating profits of $72 million were improved by $60 million compared with one year ago on a $48 million increase in revenues, demonstrating the continuing benefits of past years’ restructuring programs. Compared with the first quarter, segment profits were up $9 million on a $48 million increase in revenues while segment expenses increased seasonally. During the quarter, Test and Measurement achieved a 15 percent ROIC, up from 1 percent last year and 3 points above the first quarter because of higher profits and significant improvements in capital management.

Automated Test

(in $ millions)

Second quarter Automated Test orders were up for the second consecutive quarter at $171 million, 7 percent above the first quarter and 25 percent above last year’s fourth quarter trough. However, compared with last year’s second quarter peak, this quarter’s orders are still down 40 percent, with all product lines off. Sequentially, the picture is mixed, with SOC and manufacturing test up but flash memory and parametric test lower. While the rebound is expected to be very slow because of excess overall industry capacity, the recovery is expected to continue and broaden during this year’s second half, given the excellent customer acceptance of Agilent’s new SOC, flash, and manufacturing test products. Revenues of $181 million were 32 percent below last year but up 17 percent sequentially.

The second quarter segment loss of $20 million represents an improvement of $14 million compared with the first quarter on a $26 million increase in revenues. Gross margins improved during the quarter in part due to new product acceptance. Versus last year, profits are down $55 million on an $85 million revenue decline because of lower volumes and intense competitive pressures. Operating expenses were relatively flat year-to-year to support the new product introductions.

Semiconductor Products

(in $ millions)

Semiconductor Products orders of $464 million during the second quarter were up 5 percent from one year ago and up 22 percent sequentially. With a book-to-bill ratio of 1.12 compared with 1.00 in the first quarter and 0.97

one year ago, it appears that the inventory-related adjustment to semiconductor production has been largely completed. Personal systems components orders were up 2 percent from last year, with particular strength in optical mice offsetting some weakness in handset-related components. Networking systems components were up 11 percent from last year, led by gains in fiber optics and storage components. Second quarter revenues of $414 million were 9 percent below last year and up 9 percent sequentially.

Segment profits of $12 million were $38 million below last year on a $43 million drop in revenues. Margins continued to suffer from lower volumes and competitive pressures as the industry worked through its inventory adjustment. Sequentially, profits were $3 million lower on a $33 million increase in revenues as mix shifted to lower margin products. Segment ROIC⁽⁵⁾ was 6 percent during the quarter compared with 21 percent one year ago; compared with the first quarter, ROIC was the same.

About Agilent Technologies

Agilent Technologies Inc. (NYSE: A) is the world’s premier measurement company and a technology leader in communications, electronics, life sciences and chemical analysis. The company’s 28,000 employees serve customers in more than 110 countries. Agilent had net revenue of $7.2 billion in fiscal year 2004. Information about Agilent is available on the Web at www.agilent.com.

Agilent management will host a live webcast of its quarterly conference call with the investment community in listen-only mode today at 1:30 p.m. (PT). Listeners may log on at www.investor.agilent.com and select “Second Quarter FY05 Financial Results Conference Call” under “Events & Presentations.” The webcast will remain on the company site for 90 days.

A telephone replay of the conference call will be available from 4:30 p.m. (PT) today through May 23 by dialing +1 719 457 0820 and entering pass code 4033537.

Forward-Looking Statements

This news release contains forward-looking statements (including, without limitation, information regarding new product introductions and the extension of our markets and technology leadership; revenues; the nature and timing of the rebound and recovery in the semiconductor-related businesses; third and fourth quarter seasonality; and earnings) that involve risks and uncertainties that could cause results of Agilent to differ materially from management’s current expectations.

In addition, other risks that Agilent faces in running its operations include the ability to execute successfully through business cycles while it continues to implement cost reductions; the ability to meet and achieve the benefits of its cost-reduction goals and otherwise successfully adapt its cost structures to continuing changes in business conditions; ongoing competitive, pricing and gross margin pressures; the risk that our cost-cutting initiatives will impair our ability to develop products and remain competitive and to operate effectively; the impact of geopolitical uncertainties on our markets and our ability to conduct business; the ability to improve asset performance to adapt to changes in demand; the ability to successfully introduce new products at the right time, price and mix, and other risks detailed in Agilent’s filings with the Securities and Exchange Commission, including our Quarterly Report on Form 10-Q for the quarter ended Jan. 31, 2005.

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AGILENT TECHNOLOGIES, INC.

CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS

(In millions, except per share amounts)

(Unaudited)

AGILENT TECHNOLOGIES, INC.

CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS

(In millions, except per share amounts)

(Unaudited)

AGILENT TECHNOLOGIES, INC.

CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS

Excluding Restructuring, Amortization of Intangibles

and Non-Operational Items

(In millions, except per share amounts)

(Unaudited)

We provide non-GAAP financial information in order to provide meaningful supplemental information regarding our operational performance and to enhance our investors’ overall understanding of our core current financial performance and our prospects for the future. We believe that our investors benefit from seeing our results “through the eyes” of management in addition to the GAAP presentation. Management measures segment and enterprise performance using measures such as are disclosed in this release. This information facilitates management’s internal comparisons to the company’s historical operating results and comparisons to competitors operating results.

Non-GAAP information allows for greater transparency to supplemental information used by management in its financial and operational decision making. Historically, we have reported similar non-GAAP information to our investors and believe that the inclusion of comparative numbers provides consistency in our financial reporting.

This information is not in accordance with, or an alternative for, generally accepted accounting principles in the United States. It excludes items, such as restructuring and amortization, that may have a material effect on the company’s net income (loss) and net income (loss) per share calculated in accordance with GAAP. Management monitors these items to ensure that expenses are in line with expectations and that our GAAP results are correctly stated but does not use them to measure the ongoing operating performance of the company. The non-GAAP information we provide may be different from the non-GAAP information provided by other companies.

AGILENT TECHNOLOGIES, INC.

CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS

Excluding Restructuring, Amortization of Intangibles

and Non-Operational Items

(In millions, except per share amounts)

(Unaudited)

We provide non-GAAP financial information in order to provide meaningful supplemental information regarding our operational performance and to enhance our investors’ overall understanding of our core current financial performance and our prospects for the future. We believe that our investors benefit from seeing our results “through the eyes” of management in addition to the GAAP presentation. Management measures segment and enterprise performance using measures such as are disclosed in this release. This information facilitates management’s internal comparisons to the company’s historical operating results and comparisons to competitors operating results.

Non-GAAP information allows for greater transparency to supplemental information used by management in its financial and operational decision making. Historically, we have reported similar non-GAAP information to our investors and believe that the inclusion of comparative numbers provides consistency in our financial reporting.

This information is not in accordance with, or an alternative for, generally accepted accounting principles in the United States. It excludes items, such as restructuring and amortization, that may have a material effect on the company’s net income (loss) and net income (loss) per share calculated in accordance with GAAP. Management monitors these items to ensure that expenses are in line with expectations and that our GAAP results are correctly stated but does not use them to measure the ongoing operating performance of the company. The non-GAAP information we provide may be different from the non-GAAP information provided by other companies.

AGILENT TECHNOLOGIES, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(In millions, except par value and share amounts)

(Unaudited)

AGILENT TECHNOLOGIES, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(In millions)

(Unaudited)

AGILENT TECHNOLOGIES, INC

RECONCILIATION FROM GAAP TO NON-GAAP

NET INCOME

THREE MONTHS ENDED APRIL 30, 2005

(Unaudited)