Camtek Announces Results for the Second Quarter of 2019
Record Revenues of $34.3 Million, 13% YoY growth; Non-GAAP Operating Margin of 20.5%
MIGDAL HAEMEK, Israel –August 6, 2019 – Camtek Ltd. (NASDAQ: CAMT; TASE: CAMT), today announced its financial results for the quarter ended June 30, 2019.
Highlights of the Second Quarter 2019
- Revenues were a record at $34.3 million, up 13% year-over-year;
- GAAP gross margin at 48.2% versus 48.9% in Q2 last year; Non-GAAP gross margin at 48.4% versus 49.0%;
- GAAP operating income was $6.4 million and non-GAAP operating income was $7.0 million, representing margins of 18.5% and20.5%, respectively;
- GAAP net income of $7.2 million or $0.19 per diluted share, and non-GAAP net income of $6.7 million, or $0.18 per diluted share, representing year-over-year growth of 66% and 46%, respectively; and
Operating cash flow of $7.3 million with $85.3 million in cash at quarter-end;
- Cash includes $16 million from the issuance of new shares to Chroma and a full earn-out payment of $1.3 million related to the sale of the PCB;
Camtek’s Board of Directors declared a cash dividend in the amount of $0.17 per share representing an aggregate distribution of approximately $6.5 million. The dividend will be paid on September 4, 2019 to all shareholders of record at the close of the NASDAQ Global Select Market on August 21, 2019.
Rafi Amit Camtek’s CEO commented, “Camtek’s second quarter results reflect our strong track record of execution with record revenues and robust profitability. This is despite the current weakersemiconductor market. One of the consequences of the market uncertainty is that our customers are ordering equipment only for their short-term production needs and require short delivery times. As a result, for the third quarter, while we still expect a solid level of revenues, our expectations are for revenues within the range of $31 – 33 million.”
Continued Mr. Amit, “In the first half of 2019 we achieved an impressive revenue level of $68.3 million, 18% higher than in the first half of 2018, which itself was a record year for Camtek and the semiconductors industry. This performance demonstrates Camtek’s strong position in the market.
Fundamental market drivers for our equipment demand have not changed and Camtek is in an excellent position to win as the market ramps up.”
Second Quarter 2019 Financial Results
Revenuesfor the second quarter of 2019 were $34.3 million. This compares to second quarter 2018 revenues of $30.5 million, a growth of 13%.
Gross profit on a GAAP basis in the quarter totaled $16.6 million (48.2% of revenues), up 11% compared to a gross profit of $14.9 million (48.9% of revenues) in the second quarter of 2018. Gross profiton a non-GAAP basis in the quarter totaled $16.6 million (48.4% of revenues), up 11% compared to a gross profit of $14.9 million (49.0% of revenues) in the second quarter of 2018.
Operating profit on a GAAP basis in the quarter totaled $6.4 million (18.5% of revenues), up 35% compared to an operating profit of $4.7 million (15.5% of revenues) in the second quarter of 2018. Operating profiton a non-GAAP basis in the quarter totaled $7.0 million (20.5% of revenues), up 42% compared to $5.0 million (16.3% of revenues) in the second quarter of 2018.
Net income on a GAAP basis in the quarter totaled $7.2 million, or $0.19 per diluted share, up 66% compared to net income of $4.3 million, or $0.12 per diluted share, in the second quarter of 2018. Net income on a non-GAAP basis in the quarter totaled $6.7 million, or $0.18 per diluted share, up 46% compared to a non-GAAP net income of $4.6 million, or $0.13 per diluted share, in the second quarter of 2018.
Cash and cash equivalents, as of June 30, 2019, were $85.3 million compared to $54.9 million as of December 31, 2018. During the quarter the Company generated a positive operating cash flow of $7.3 million. In addition, the Company received an earn-out payment of $1.3 million related to the sale of the PCB business in 2017. Camtek also closed the Chroma transaction, receiving $16 million from the issuance of new shares.
Camtek will host a conference call today, August 6, 2019, at 10:00 am ET.
Rafi Amit, CEO, Moshe Eisenberg, CFO and Ramy Langer, COO will host the call and will be available to answer questions after presenting the results. To participate, please call one of the following telephone numbers a few minutes before the start of the call.
US: 1 866 744 5399 at 9:30 am Eastern Time
Israel: 03 918 0685 at 4:30 pm Israel Time
International: +972 3 918 0685
For those unable to participate, the teleconference will be available for replay on Camtek’s website at https://www.camtek.com beginning 24 hours after the call.
A summary presentation of the quarterly results will also be available on Camtek’s website.