MIGDAL HAEMEK, Israel, May 9, 2017 /PRNewswire/ -- Camtek
Ltd. (NASDAQ: CAMT; TASE: CAMT), today announced its financial results for the quarter ended March 31,
2017.
Highlights of the First Quarter 2017
- Revenues of $30.8 million, ahead of guidance and a 26% year-over-year increase;
- GAAP operating income of $3.9 million (12.6% margin); non-GAAP operating income of
$4.0 million (13.0% margin);
- GAAP net income of $3.3 million; non-GAAP net income of $3.4
million;
- Strong operating cash flow of $5.9 million;
- Second quarter revenue guidance of $33-34 million represents 23% year-over-year growth at the
mid-point;
Rafi Amit, Camtek's CEO, commented, "This is an excellent start to 2017, which
demonstrates we are executing well on our strategy and plans. Our results mark the best quarter in our history from the revenue
standpoint, with exceptionally strong cash flow and a multi-year high in margins. Our solid performance was driven by strength
across all our business parts, and the advanced packaging market in particular that remains one of the fastest growing segments
of the semiconductor capital equipment space."
Added Mr. Amit, "Looking ahead, our business environment remains very positive. The outlook for the second quarter is
for continued growth with revenues between $33-34 million. All signs point to another year of
strong performance for Camtek."
First Quarter 2017 Financial Results
Revenues for the first quarter of 2017 were $30.8 million. This compares to first quarter
2016 revenues of $24.5 million, a growth of 26% and prior quarter revenues of $29.3 million, an increase of 5%.
Gross profit on a GAAP basis in the quarter totaled $14.8 million (48.2% of revenues),
compared to $10.3 million (42.2% of revenues) in the first quarter 2016 and $13.4 million in the prior quarter (45.7% of revenues).
Gross profit on a non-GAAP basis in the quarter totaled $14.8 million (48.2% of
revenues), compared to $10.3 million (42.3% of revenues) in the first quarter 2016. The variance in
the gross margin is a function of the specific product and sales mix in the quarter and was unusually high in the current
quarter.
Operating profit on a GAAP basis in the quarter totaled $3.9 million (12.6% of revenues),
compared to an operating income of $0.4 million (1.5% of revenues), in the first quarter 2016.
Operating profit on a non-GAAP basis in the quarter totaled $4.0 million (13.0% of
revenues), compared to $0.5 million (1.8% of revenues), in the first quarter 2016.
Net income on a GAAP basis in the quarter totaled $3.3 million, or $0.09 per diluted share. This compares to a net income of $24 thousand, or
$0.00 per diluted share, in the first quarter 2016.
Net income on a non-GAAP basis in the quarter totaled $3.4 million, or $0.10 per diluted share. This compares to net income of $0.2 million, or
$0.01 per diluted share, in the first quarter 2016.
Cash, cash equivalents, short and long-term restricted deposits, as of March 31, 2017
were $24.3 million compared to $19.7 million as of December 31, 2016. The Company reported a positive operating cash flow of $5.9
million during the quarter.
Conference Call
Camtek will host a conference call today, May 9, 2017, at 9:00 am
ET.
Rafi Amit, CEO, Moshe Eisenberg, CFO and Ramy Langer, VP, head of the Semiconductors Division 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 http://www.camtek.com beginning 24 hours after the call.
ABOUT CAMTEK LTD.
Camtek Ltd. provides automated and technologically advanced solutions dedicated to enhancing production processes, increasing
products yield and reliability, enabling and supporting customers' latest technologies in the Semiconductors, Printed Circuit
Boards (PCB) and IC Substrates industries.
Camtek addresses the specific needs of these interconnected industries with dedicated solutions based on a wide and advanced
platform of technologies including intelligent imaging, image processing and functional 3D inkjet printing.
This press release is available at www.camtek.com
This press release may contain projections or other forward-looking statements regarding future events or the future
performance of the Company. These statements are only predictions and may change as time passes. We do not assume any obligation
to update that information. Actual events or results may differ materially from those projected, including as a result of
changing industry and market trends, reduced demand for our products, the timely development of our new products and their
adoption by the market, increased competition in the industry, intellectual property litigation, price reductions as well as due
to risks identified in the documents filed by the Company with the SEC.
Use of non-GAAP Measures
This press release provides financial measures that exclude:(i) revaluation of liabilities with respect to the acquisition
of Printar; and (ii) share based compensation expenses, and are therefore not calculated in accordance with generally accepted
accounting principles (GAAP). Management believes that these Non-GAAP financial measures provide meaningful supplemental
information regarding our performance. The presentation of this non-GAAP financial information is not intended to be considered
in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. Management uses
both GAAP and non-GAAP measures when evaluating the business internally and therefore felt it is important to make these non-GAAP
adjustments available to investors. A reconciliation between the GAAP and non-GAAP results appears in the tables at the
end of this press release.
|
Consolidated Balance Sheets
|
|
(In thousands)
|
|
December 31,
|
March 31,
|
|
2016
|
2017
|
|
U.S. Dollars (In thousands)
|
|
Assets
|
|
|
|
|
|
|
Current assets
|
|
|
|
Cash and cash equivalents
|
24,277
|
19,740
|
|
Trade accounts receivable, net
|
34,687
|
36,000
|
|
Inventories
|
29,250
|
25,448
|
|
Due from affiliated companies
|
147
|
77
|
|
Other current assets
|
3,470
|
2,747
|
|
Deferred tax asset
|
894
|
894
|
|
|
|
|
Total current assets
|
92,725
|
84,906
|
|
|
|
|
|
|
|
Fixed assets, net
|
15,471
|
14,109
|
|
|
|
|
Long term inventory
|
2,024
|
2,107
|
|
Deferred tax asset
|
3,283
|
3,283
|
|
Other assets, net
|
270
|
270
|
|
Intangible assets, net
|
817
|
865
|
|
|
|
|
6,394
|
6,525
|
|
|
|
|
Total assets
|
114,590
|
105,540
|
|
|
|
|
|
Liabilities and shareholders' equity
|
|
|
|
|
|
|
|
|
Current liabilities
|
|
|
|
|
Trade accounts payable
|
15,583
|
|
12,983
|
|
Other current liabilities
|
21,208
|
|
18,322
|
|
|
|
|
|
Total current liabilities
|
36,791
|
|
31,305
|
|
|
|
|
|
Long term liabilities
|
|
|
|
|
Liability for employee severance benefits
|
1,020
|
|
870
|
|
1,020
|
|
870
|
|
|
|
|
|
Total liabilities
|
37,811
|
|
32,175
|
|
|
|
|
|
Commitments and contingencies
|
|
|
|
|
|
|
|
|
Shareholders' equity
|
|
|
|
|
Ordinary shares NIS 0.01 par value, 100,000,000 shares authorized at March
31 2017 and at December 31, 2016;
|
|
|
|
|
37,440,552 issued shares at March 31, 2017 and at December 31,
2016;
|
|
|
|
|
35,348,176 shares outstanding at March 31, 2017 and at December 31,
2016
|
148
|
|
148
|
|
Additional paid-in capital
|
76,578
|
|
76,463
|
|
Retained earnings (losses)
|
1,951
|
|
(1,348)
|
|
78,677
|
|
75,263
|
|
Treasury stock, at cost (2,092,376 as of March 31, 2017 and December
31, 2016)
|
(1,898)
|
|
(1,898)
|
|
|
|
|
|
Total shareholders' equity
|
76,779
|
|
73,365
|
|
|
|
|
|
Total liabilities and shareholders' equity
|
114,590
|
|
105,540
|
|
Camtek Ltd.
|
|
Consolidated Statements of Operations
|
|
(in thousands, except share data)
|
|
|
|
Three months ended
March 31,
|
Year ended
December 31,
|
|
2017
|
2016
|
2016
|
|
U.S. dollars
|
|
|
|
|
|
Revenues
|
30,782
|
24,458
|
109,523
|
|
Cost of revenues
|
15,951
|
14,130
|
60,638
|
|
Reorganization and impairment
|
-
|
-
|
4,931
|
|
|
|
|
|
Gross profit
|
14,831
|
10,328
|
43,954
|
|
|
|
|
|
|
|
|
|
Research and development costs
|
4,352
|
3,982
|
15,896
|
|
Selling, general and administrative expenses
|
6,604
|
5,974
|
25,501
|
|
Reorganization and impairment
|
-
|
-
|
(4,059)
|
|
|
|
|
|
Total operating expenses
|
10,956
|
9,956
|
37,338
|
|
|
|
|
|
Operating income
|
3,875
|
372
|
6,616
|
|
|
|
|
|
Financial expenses, net
|
(225)
|
(232)
|
(994)
|
|
|
|
|
|
Income before tax expenses
|
3,650
|
140
|
5,622
|
|
|
|
|
|
Income tax (expense)
|
(351)
|
(116)
|
(888)
|
|
|
|
|
|
Net income
|
3,299
|
24
|
4,734
|
|
|
|
|
|
Earnings per ordinary share:
|
|
|
|
|
|
|
|
|
Basic
|
0.09
|
0.00
|
0.13
|
|
|
|
|
|
Diluted
|
0.09
|
0.00
|
0.13
|
|
|
|
|
|
Weighted average number of ordinary
|
|
|
|
|
shares outstanding:
|
|
|
|
|
|
|
|
|
Basic
|
35,348
|
35,348
|
35,348
|
|
|
|
|
|
Diluted
|
35,475
|
31,163
|
35,376
|
|
|
Camtek Ltd.
|
|
Reconciliation of GAAP To Non-GAAP results
|
|
|
|
(In thousands, except share data)
|
|
|
|
|
|
|
Three months ended
March 31,
|
Year ended
December 31,
|
|
2017
|
2016
|
2016
|
|
U.S. dollars
|
U.S. dollars
|
|
Reported net income (loss) attributable to Camtek Ltd. on GAAP
basis
|
3,299
|
24
|
4,734
|
|
Effect of FIT reorganization (1)
|
-
|
-
|
872
|
|
Acquisition of Sela and Printar related expenses (2)
|
-
|
90
|
183
|
|
Share-based compensation
|
114
|
79
|
429
|
|
Non-GAAP net income
|
3,423
|
193
|
6,218
|
|
|
|
|
|
Non –GAAP net income per share, basic and diluted
|
0.10
|
0.01
|
0.18
|
|
Gross margin on GAAP basis
|
48.2%
|
42.2%
|
40.1%
|
|
Reported gross profit on GAAP basis
|
14,831
|
10,328
|
43,954
|
|
Effect of FIT reorganization (1)
|
-
|
-
|
4,931
|
|
Share-based compensation
|
10
|
7
|
42
|
|
Non- GAAP gross margin
|
48.2%
|
42.3%
|
44.7%
|
|
Non-GAAP gross profit
|
14,841
|
10,335
|
48,927
|
|
|
|
|
|
Reported operating income (loss)
attributable to Camtek Ltd. on
GAAP basis
|
3,875
|
372
|
6,616
|
|
Effect of FIT reorganization (1)
|
-
|
-
|
872
|
|
Share-based compensation
|
114
|
79
|
429
|
|
Non-GAAP operating income
|
3,989
|
451
|
7,917
|
(1) During the year ended December 31, 2016, the Company recorded
reorganization costs with regard to the FIT activities of $0.9 million, consisting of: (1)
inventory and fixed asset write-offs of $4.9 million, recorded under cost of revenues line item;
(2) other expenses of $0.1 million, recorded under cost of revenues line item; (3) fixed asset
write-offs of $0.7 million, recorded under operating expenses; (4) other expenses of $0.2 million, recorded under operating expenses; and (5) income from write-off of liabilities to OCS
$5.0 million, recorded under operating expenses
(2) During the three month period ended March 31, 2016 and the year
ended December 31, 2016, the Company recorded acquisition expenses of $0.1million and $0.2 million, respectively, consisting of revaluation adjustments
of contingent consideration and certain future liabilities recorded at fair value. These amounts are recorded under finance
expenses line item.
|
CAMTEK LTD.
Moshe Eisenberg, CFO
Tel: +972 4 604 8308
Mobile: +972 54 900 7100
moshee@camtek.com
|
INTERNATIONAL INVESTOR RELATIONS
GK Investor Relations
Ehud Helft / Gavriel Frohwein
Tel: (US) 1 646 688 3559
camtek@gkir.com
|
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SOURCE Camtek Ltd