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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM 10-Q

(X)        QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2004

or

(   )      TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934

For the transition period from __________ to __________

Commission File No. 0-15443

THERAGENICS CORPORATION®
(Exact name of registrant as specified in its charter)

Delaware
(State or other jurisdiction of
incorporation or organization)		 58-1528626
(I.R.S. Employer
Identification Number)
     
5203 Bristol Industrial Way
Buford, Georgia
(Address of principal executive offices)		 30518
(Zip Code)



Registrant's telephone number, including area code: (770) 271-0233

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. YES X NO ___

Indicate by check mark whether the registrant is an accelerated filer (as defined in Rule 12b-2 of the Exchange Act). YES X NO ___

As of May 3, 2004 the number of shares of $.01 par value common stock outstanding was 29,966,575.



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THERAGENICS CORPORATION®

TABLE OF CONTENTS

Page No.
PART I.        FINANCIAL INFORMATION:
ITEM 1.        FINANCIAL STATEMENTS (UNAUDITED)
     Balance Sheets - March 31, 2004 and December 31, 2003 3
     Statements of Operations for the three months ended March 31, 2004 and 2003 5
     Statements of Cash Flows for the three months ended March 31, 2004 and 2003 7
     Statement of Shareholders' Equity for the three months ended March 31, 2004 8
     Notes to Financial Statements 9
ITEM 2.        MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
                      CONDITION AND RESULTS OF OPERATIONS 		14
ITEM 3.        QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET
                      RISK		 23
ITEM 4.        CONTROLS AND PROCEDURES 23
PART II.       OTHER INFORMATION 23
ITEM 1.        LEGAL PROCEEDINGS 23
ITEM 6.        EXHIBITS AND REPORTS ON FORM 8-K 23
SIGNATURES 24


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THERAGENICS CORPORATION®
BALANCE SHEETS
(Amounts in thousands, except per share data)



ASSETS     
    March 31,
2004
(unaudited)		   December 31, 2003  
CURRENT ASSETS            
   Cash and short-term investments   $ 37,668   $ 45,104  
   Marketable Securities    25,704    21,327  
   Trade accounts receivable, less allowance of $145 in          
     2004 and $118 in 2003    4,786    3,831  
   Inventories    2,582    1,851  
   Deferred income tax asset    239    189  
   Prepaid expenses and other current assets    5,082    4,760  
      TOTAL CURRENT ASSETS    76,061    77,062  
PROPERTY AND EQUIPMENT  
  Buildings and improvements    43,390    42,344  
  Machinery and equipment    60,909    56,456  
  Office furniture and equipment    783    773  
     105,082    99,573  
  Less accumulated depreciation and          
   amortization    (36,102 )  (34,418 )
     68,980    65,155  
  Land    822    822  
  Construction in progress    2,818    7,395  
      TOTAL PROPERTY AND EQUIPMENT    72,620    73,372  
OTHER ASSETS    2,827    2,355  
          TOTAL ASSETS   $ 151,508   $ 152,789  


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THERAGENICS CORPORATION®
BALANCE SHEETS – Continued
(Amounts in thousands, except per share data)



LIABILITIES & SHAREHOLDERS' EQUITY      
  March 31,
2004
(unaudited)		   December 31, 2003  
CURRENT LIABILITIES            
  Trade accounts payable   $ 1,713   $ 2,138  
  Accrued salaries, wages and payroll taxes    351    577  
  Other current liabilities    577    338  
      TOTAL CURRENT LIABILITIES    2,641    3,053  
LONG-TERM LIABILITIES  
  Deferred income taxes    6,864    6,830  
  Asset retirement obligation    524    515  
  Other liabilities    65    65  
      TOTAL LONG-TERM LIABILITIES    7,453    7,410  
SHAREHOLDERS' EQUITY  
  Common stock, $.01 par value, 100,000  
   shares authorized; issued and outstanding,  
   29,967 in 2004 and 29,944 in 2003    300    299  
  Additional paid-in capital    61,828    61,778  
  Retained earnings    79,274    80,240  
  Accumulated other comprehensive income    12    9  
      TOTAL SHAREHOLDERS' EQUITY    141,414    142,326  
          TOTAL LIABILITIES AND  
          SHAREHOLDERS' EQUITY   $ 151,508   $ 152,789  

        The accompanying notes are an integral part of these statements.



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THERAGENICS CORPORATION®
STATEMENTS OF OPERATIONS
(UNAUDITED)
(Amounts in thousands, except per share data)

     Three Months
Ended March 31,		      
     2004    2003  
REVENUE            
  Product sales   $ 7,882   $ 11,059  
  Licensing fees    71    43  
     7,953    11,102  
COST OF SALES    3,398    4,537  
           GROSS PROFIT    4,555    6,565  
OPERATING EXPENSES  
  Selling, general & administrative    4,072    3,391  
  Research & development    2,278    1,501  
     6,350    4,892  
           EARNINGS/(LOSS) FROM OPERATIONS    (1,795 )  1,673  
OTHER INCOME/(EXPENSE)  
  Interest income    251    272  
  Interest and financing costs    (45 )  (44 )
  Other    (33 )  -  
     173    228  
   Earnings/(loss) before income tax and cumulative effect of change in  
      accounting principle    (1,622 )  1,901  
   Income tax expense/(benefit)    (656 )  682  
   Net earnings/(loss) before cumulative effect of change in accounting principle    (966 )  1,219  
   Cumulative effect of change in accounting principle (See Note F)    -    (222 )
NET EARNINGS/(LOSS)   $ (966 ) $ 997  


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THERAGENICS CORPORATION®
STATEMENTS OF OPERATIONS-Continued
(UNAUDITED)
(Amounts in thousands, except per share data)




   Three Months
Ended March 31,		  
   2004 2003  
NET EARNINGS/(LOSS) PER COMMON SHARE:            
Basic:  
    Earnings/(loss) before cumulative effect of change in accounting principle   $ (0.03 ) $ 0.04  
    Cumulative effect of change in accounting principle    -    (0.01 )
    Net earnings/(loss) per common share   $ (0.03 ) $ 0.03  
Diluted:  
    Earnings/(loss) before cumulative effect of change in accounting principle   $ (0.03 ) $ 0.04  
    Cumulative effect of change in accounting principle    -    (0.01 )
    Net earnings/(loss) per common share   $ (0.03 ) $ 0.03  
WEIGHTED AVERAGE SHARES  
  Basic    29,957    29,829  
  Diluted    30,102    29,925  
Comprehensive income (loss):  
  Net income/(loss)   $ (966 ) $ 997  
  Other comprehensive income:  
       Unrealized gain on securities available for sale    3    26  
Total comprehensive income/(loss)   $ (963 ) $ 1,023  


The accompanying notes are an integral part of these statements.



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THERAGENICS CORPORATION®
STATEMENTS OF CASH FLOWS
(UNAUDITED)
(Amounts in thousands)


   Three Months
Ended March 31,		  
   2004 2003  
CASH FLOWS FROM OPERATING ACTIVITIES            
  Net Earnings/(Loss)   $ (966 ) $ 997  
  Adjustments to reconcile net earnings/(loss) to  
   net cash provided by/(used by) operating activities  
    Cumulative effect of change in accounting principle    -    222  
    Deferred income taxes    (16 )  22  
    Depreciation & amortization    1,710    1,636  
    Provision for allowances    35    58  
    Stock based compensation    -    10  
    Income tax benefit from options    -    5  
    Loss on disposal of equipment    2    3  
  Changes in assets and liabilities:  
    Accounts receivable    (982 )  (644 )
    Inventories    (739 )  (170 )
    Prepaid expenses and other current assets    (322 )  228  
    Other assets    59    -  
    Trade accounts payable    (425 )  (22 )
    Accrued salaries, wages and payroll taxes    (226 )  (8 )
    Income taxes payable    -  136
    Other current liabilities    239    154  
          Net cash provided by/(used by) operating activities    (1,631 )  2,627  
CASH FLOWS FROM INVESTING ACTIVITIES  
   Purchases and construction of property and equipment    (482 )  (317 )
   Cash paid for acquisition    (1,000 )  (1,215 )
   Purchases of marketable securities    (8,859 )  (4,115 )
   Maturities of marketable securities    4,485    1,900  
          Net cash used by investing activities    (5,856 )  (3,747 )
CASH FLOWS FROM FINANCING ACTIVITIES  
  Exercise of stock options and stock purchase plan    51    289  
          Net cash provided by financing activities    51    289  
NET DECREASE IN CASH AND  
  SHORT-TERM INVESTMENTS    (7,436 )  (831 )
CASH AND SHORT-TERM INVESTMENTS  
  AT BEGINNING OF PERIOD    45,104    56,344  
CASH AND SHORT-TERM INVESTMENTS  
  AT END OF PERIOD   $ 37,668   $ 55,513  

The accompanying notes are an integral part of these statements.



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THERAGENICS CORPORATION®
STATEMENT OF SHAREHOLDERS' EQUITY
FOR THE THREE MONTHS ENDED MARCH 31, 2004
(UNAUDITED)
(Amounts in thousands, except per share data)


                          
    Common Stock            Accumulated          
    Number
of
Shares		    Par value
$0.01		    Additional
paid-in
capital		    Retained
earnings		    other
comprehensive
income		    Total  
BALANCE, December 31, 2003      29,944   $ 299   $ 61,778   $ 80,240   $ 9   $ 142,326  
          Exercise of stock options    18