CAMTEK ANNOUNCES RESULTS FOR THE SECOND QUARTER OF 2020
Record Revenues of $37.0 million, 17.2% Operating Margin, Expects Continued Growth
MIGDAL HAEMEK, Israel –August 5, 2020 – Camtek Ltd. (NASDAQ: CAMT; TASE: CAMT), today announced its financial results for the quarter ended June 30, 2020.
Highlights of the Second Quarter 2020
- Revenues were a quarterly record at $37.0 million, up 8% year-over-year;
- GAAP gross margin at 45.8%; Non-GAAP gross margin at 46.1%;
- GAAP operating income was $5.4 million and non-GAAP operating income was $6.4 million, representing margins of 14.6% and17.2%, respectively;
- GAAP net income of $5.3 million, or $0.13 per diluted share, non-GAAP net income of $6.3 million, or $0.16 per diluted share; and
- Strong operating cash flow of $11.1 million with $101.5 million in net cash and short-term deposits at quarter-end.
Based on orders on hand, management expectscontinued revenue growth and improved profitability in the third quarter. Management expects revenues for the third quarter to be between $38-39 million.
Rafi Amit Camtek’s CEO commented, “Camtek’s second quarter results reflect continued demand for our products, especially in Asia.
We have increased our market share in 2D inspection mainly as a result of the significant improvement in our system performance and competitiveness in all 2D applications. In addition, we are benefitting from our strategy of having in place local professional teams that can independently install and support machines in all our territories. This has enabled us to continue growing our business even during the COVID-19 pandemic.
Continued Mr. Amit, “The revenues in the second quarter were at a record level, and the ongoing demands from our customers for various applications point to a strong third quarter, with encouraging backlog for the fourth quarter. However, it is important to stress that we are still seeing the Coronavirus pandemic effects, which increase risks and uncertainties.”
Second Quarter 2020 Financial Results
Revenuesfor the second quarter of 2020 were $37.0 million. This compares to second quarter 2019 revenues of $34.3 million, a growth of 8%.
Gross profit on a GAAP basis in the quarter totaled $16.9 million (45.8% of revenues), up 2% compared to a gross profit of $16.6 million (48.2% of revenues) in the second quarter of 2019. Gross profiton a non-GAAP basis in the quarter totaled $17.0 million (46.1% of revenues), up 3% compared to a gross profit of $16.6 million (48.4% of revenues) in the second quarter of 2019.
Operating profit on a GAAP basis in the quarter totaled $5.4 million (14.6% of revenues), compared to an operating profit of $6.4 million (18.5% of revenues) in the second quarter of 2019. Operating profiton a non-GAAP basis in the quarter totaled $6.4 million (17.2% of revenues), compared to $7.0 million (20.5% of revenues) in the second quarter of 2019.
Net income on a GAAP basis in the quarter totaled $5.3 million, or $0.13 per diluted share, compared to net income of $7.2 million, or $0.19 per diluted share, in the second quarter of 2019. Net income on a non-GAAP basis in the quarter totaled $6.3 million, or $0.16 per diluted share, compared to a non-GAAP net income of $6.7 million, or $0.18 per diluted share, in the second quarter of 2019.
Cash and cash equivalents and short-term deposits, as of June 30, 2020, were $101.5 million compared to $89.5 million as of December 31, 2019. During the quarter, the Company generated a positive operating cash flow of $11.1 million, of which $7.6 million were advanced payments from customers.
Camtek will host a conference call today, August 5, 2020, at 9:00 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: 1 888 407 2553 at 9:00 am Eastern Time
Israel: 03 918 0610 at 4:00 pm Israel Time
International: +972 3 918 0610
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.