Camtek Provides Business Update in view of the Coronavirus Pandemic
MIGDAL HAEMEK, Israel –April 7, 2020 – Camtek Ltd. (NASDAQ: CAMT; TASE: CAMT), today announced that, in view of the Coronavirus pandemic, management has decided to provide a business update.
First quarter 2020 shipments of machines from Israel to customers amounted to approximately $33 million, in line with the company’s original guidance for the quarter. However, revenues are expected to be approximately $30 million. Coronavirus caused delays in installations and as the company recognizes system revenue after installation, it impacted revenue recognition of a number of systems which were delivered but installation was not completed during the first quarter. There were several reasons for our inability to install the systems on customers' sites including a significant drop in the number of flights available, some customers requiring our engineers to stay in quarantine for several days before entering their facilitiesto perform the installation, as well as other restrictions imposed by some countries and regions.
Regarding the second quarter: as reflected by yesterday’s announcement regarding the $8 million order, the company is currently experiencing a strong business momentum. The demand we see from our customers and the orders on hand for various applications point to a strong second quarter, which is within our capacity and execution potential. We are well organized and making all efforts to execute our plan. However, it is difficult to anticipate the full magnitude of the Coronavirus crisis and the actual impact it may have on the company’s ability to build, ship and install systems during the second quarter.
Rafi Amit Camtek’s CEO commented, “We are happy to report that, to the best of our knowledge, all our employees around the world are well, and our customers in Asia are in the process of getting back to working as usual. They have not postponed orders and are even pushing us to make timely delivery of their orders. In Israel, we are currently defined as a Critical Manufacturer. This allows us to continue our operations to ensure business continuity. At the same time, we are taking every precaution to protect and ensure the safety of our employees. To date, we have been able to manage our supply chain. I wish everyone throughout the world who is suffering from the virus a speedy recovery and hope this reality will be behind us soon,” concluded Mr. Amit.