MIGDAL HAEMEK, Israel,
May 5, 2016 /PRNewswire/
-- Camtek Ltd. (NASDAQ: CAMT; TASE: CAMT), today announced its
financial results for the quarter ended March 31, 2016.
Highlights of the First Quarter 2016
- Revenues of $24.5 million, up 12%
year over year;
- Non-GAAP operating income of $0.5
million; GAAP operating income of $0.4 million;
- Non-GAAP net income of $0.2
million; GAAP net income of $0
million;
- Q2 revenue guidance of $25 to $27
million, representing 6% sequential growth at the
midpoint;
Rafi Amit, Camtek's Chairman
and CEO, commented, "We are pleased with our revenues in the
first quarter of 2016, a 12% increase over those of last year
in what is typically the weakest quarter. Gross margin in the
quarter was lower than Camtek's usual range due to a specific
turnkey deal from a PCB customer with longer-term strategic value.
This order also had an impact on our overall profitability in the
quarter. We expect the gross margin to return to the typical range
in the second quarter. The advanced packaging market continues to
grow and capture a larger portion of the capital expenditure made
by major manufacturers. We remain in a strong position to
capitalize on this."
Added Mr. Amit, "For the second quarter, we expect
revenue between $25- $27 million. Our
end-markets remain strong and we are on track for a solid
2016."
First Quarter 2016 Financial Results
Revenues for the first quarter of 2016 were $24.5 million. This compares to first quarter
2015 revenues of $21.8 million and
fourth quarter 2015 revenues of $25.8
million.
Gross profit on a GAAP basis in the quarter totaled
$10.3 million (42.2% of revenues),
compared to $9.8 million (45.1% of
revenues) in the first quarter 2015 and $10.6 million in the fourth quarter of 2015
(41.3% of revenues).
Gross profit on a non-GAAP basis in the quarter totaled
$10.3 million (42.3% of revenues),
compared to $9.8 million (45.2% of
revenues) in the first quarter 2015 and $11.7 million in the fourth quarter of 2015
(45.4% of revenues).
Operating profit on a GAAP basis in the quarter totaled
$372 thousand (1.5% of revenues),
compared to $1.1 million (5.2% of
revenues) in the first quarter 2015 and an operating loss of
$14.1 million in the fourth quarter
of 2015. Fourth quarter 2015 results included a $14.6 million one-time charge for the loss in the
patent litigation process against Rudolph Technologies.
Operating profit on a non-GAAP basis in the quarter
totaled $451 thousand (1.8% of
revenues), compared to $1.2 million
(5.5% of revenues) in the first quarter 2015 and $1.8 million in the fourth quarter of 2015 (6.8%
of revenues).
Financial expenses on a GAAP basis in the quarter totaled
$232 thousand, compared to
$847 thousand in the first quarter
2015 and $388 thousand in the fourth
quarter of 2015.
Financial expenses on a non-GAAP basis in the quarter
totaled $142 thousand, compared to
$624 thousand in the first quarter
2015 and $238 thousand in the fourth
quarter of 2015.
Net income on a GAAP basis in the quarter totaled
$24 thousand, or $0.00 per diluted share. This compares to net
income of $52 thousand, or
$0.00 per diluted share, in the first
quarter 2015 and a net loss of $10.1
million, or $0.30 per share,
in the fourth quarter of 2015. Fourth quarter 2015 results included
a $14.6 million one-time charge for
the loss in the patent litigation process against Rudolph
Technologies.
Net income on a non-GAAP basis in the quarter totaled
$193 thousand, or $0.01 per diluted share. This compares to net
income of $334 thousand, or
$0.01 per diluted share, in the first
quarter 2015 and a net income of $2.9
million, or $0.08 per diluted
share, in the fourth quarter of 2015.
Cash, cash equivalents, short and long-term restricted
deposits, as of March 31, 2016
were $33.7 million (out of which
$7.9 million are restricted deposits)
compared to $38.7 million as of
December 31, 2015. The Company
reported a negative operating cash flow of $4.6 million during the quarter, principally due
to timing of collection. Due to a local tax issue, the $14.6 million judgement payment to Rudolph
Technologies has not been paid yet and is expected to be paid once
the court will provide his final guidance.
Conference Call
Camtek will host a conference call today, May 5, 2016, at 9:00 am
ET.
Rafi Amit, Chairman and CEO, and
Moshe Eisenberg, Chief Financial
Officer, 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:
1 888 668
9141
at 9:00 am Eastern Time
Israel: 03
918
0685 at
4:00 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
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
certain items such as: (i) revaluation of liabilities with respect
to the acquisitions of Printar and Sela; (ii) share based
compensation expenses; (iii) inventory write-downs related to the
one-color Gryphon systems; (iv) goodwill impairment; and (v) loss
from litigation, 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)
|
|
|
|
March
31,
|
|
December
31,
|
|
|
|
2016
|
|
2015
|
|
|
|
|
U.S. Dollars (In
thousands)
|
|
Assets
|
|
|
|
|
Current
assets
|
|
|
|
|
|
Cash and cash
equivalents
|
|
25,777
|
|
30,833
|
|
Short-term restricted
deposits
|
|
7,875
|
|
7,875
|
|
Trade accounts
receivable, net
|
|
31,755
|
|
27,003
|
|
Inventories
|
|
29,147
|
|
27,599
|
|
Due from affiliated
companies
|
|
-
|
|
559
|
|
Other current
assets
|
|
2,207
|
|
1,712
|
|
Deferred tax
asset
|
|
177
|
|
177
|
|
|
|
|
|
|
|
Total current
assets
|
|
96,938
|
|
95,758
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fixed assets,
net
|
|
13,602
|
|
13,531
|
|
|
|
|
|
|
|
Long term
inventory
|
|
1,744
|
|
1,979
|
|
Deferred tax
asset
|
|
3,955
|
|
3,955
|
|
Other assets,
net
|
|
248
|
|
248
|
|
Intangible assets,
net
|
|
887
|
|
795
|
|
|
|
|
|
|
|
|
|
6,834
|
|
6,977
|
|
|
|
|
|
|
|
Total
assets
|
|
117,374
|
|
116,266
|
|
|
|
|
|
|
|
Liabilities and
shareholders' equity
|
|
|
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
Due to affiliated
companies
|
|
54
|
|
-
|
|
Trade accounts
payable
|
|
12,527
|
|
11,812
|
|
Other current
liabilities
|
|
30,812
|
|
30,712
|
|
|
|
|
|
|
|
Total current
liabilities
|
|
43,393
|
|
42,524
|
|
|
|
|
|
|
|
Long term
liabilities
|
|
|
|
|
|
Liability for
employee severance benefits
|
|
848
|
|
772
|
|
Other long term
liabilities
|
|
4,828
|
|
4,768
|
|
|
|
5,676
|
|
5,540
|
|
|
|
|
|
|
|
Total
liabilities
|
|
49,069
|
|
48,064
|
|
|
|
|
|
|
|
Commitments and
contingencies
|
|
|
|
|
|
|
|
|
|
|
|
Shareholders'
equity
|
|
|
|
|
|
Ordinary shares NIS
0.01 par value, 100,000,000 shares authorized at March 31 2016 and
at December 31, 2015;
|
|
|
|
|
|
37,440,552 issued
shares at March 31, 2016 and at December 31, 2015;
|
|
|
|
|
|
35,348,176 shares
outstanding at March 31, 2016 and at December 31, 2015
|
|
148
|
|
148
|
|
Additional paid-in
capital
|
|
76,113
|
|
76,034
|
|
Retained
losses
|
|
(6,058)
|
|
(6,082)
|
|
|
|
70,203
|
|
70,100
|
|
Treasury stock, at
cost (2,092,376 as of March 31, 2016 and December 31,
2015)
|
|
(1,898)
|
|
(1,898)
|
|
|
|
|
|
|
|
Total shareholders'
equity
|
|
68,305
|
|
68,202
|
|
|
|
|
|
|
|
Total liabilities
and shareholders' equity
|
|
117,374
|
|
116,266
|
|
|
|
|
|
|
|
|
|
|
|
|
Camtek
Ltd.
|
Consolidated
Statements of Operations
|
(in thousands,
except share data)
|
|
|
|
|
|
|
Three months
ended
March
31,
|
|
Year
ended
December
31,
|
|
2016
|
|
2015
|
|
2015
|
|
U.S.
dollars
|
|
|
|
|
|
|
|
|
Revenues
|
24,458
|
|
21,750
|
|
99,275
|
Cost of
revenues
|
14,130
|
|
11,931
|
|
56,149
|
|
|
|
|
|
|
Gross
profit
|
10,328
|
|
9,819
|
|
43,126
|
|
|
|
|
|
|
|
|
|
|
|
|
Research and
development costs
|
3,982
|
|
3,400
|
|
14,860
|
Selling, general and
administrative expenses
|
5,974
|
|
5,281
|
|
23,587
|
Reorganization and
impairment
|
-
|
|
-
|
|
138
|
Loss from
litigation
|
-
|
|
-
|
|
14,600
|
|
|
|
|
|
|
Total operating
expenses
|
9,956
|
|
8,681
|
|
53,185
|
|
|
|
|
|
|
Operating income
(loss)
|
372
|
|
1,138
|
|
(10,059)
|
|
|
|
|
|
|
Financial expenses,
net
|
(232)
|
|
(847)
|
|
(1,877)
|
|
|
|
|
|
|
Income (loss)
before income taxes
|
140
|
|
291
|
|
(11,936)
|
|
|
|
|
|
|
Income tax (expense)
benefit
|
(116)
|
|
(239)
|
|
1,823
|
|
|
|
|
|
|
Net income
(loss)
|
24
|
|
52
|
|
(10,113)
|
|
|
|
|
|
|
Earnings (loss)
per ordinary share:
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
0.00
|
|
0.00
|
|
(0.30)
|
|
|
|
|
|
|
Diluted
|
0.00
|
|
0.00
|
|
(0.30)
|
|
|
|
|
|
|
Weighted average
number of ordinary
|
|
|
|
|
|
shares
outstanding:
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
35,348
|
|
30,494
|
|
33,352
|
|
|
|
|
|
|
Diluted
|
31,163
|
|
30,555
|
|
33,352
|
Camtek
Ltd.
|
Reconciliation of
GAAP To Non-GAAP results
|
(In thousands,
except share data)
|
|
|
|
|
|
|
Three months
ended
March
31,
|
|
Year ended
December 31,
|
|
2016
|
|
2015
|
|
2015
|
|
U.S.
dollars
|
|
U.S.
dollars
|
|
|
|
|
|
|
Reported net income
(loss) attributable to Camtek Ltd. on GAAP basis
|
24
|
|
52
|
|
(10,113)
|
Acquisition of Sela
and Printar related expenses (1)
|
90
|
|
223
|
|
751
|
Inventory write-downs
(2)
|
-
|
|
-
|
|
1,041
|
Share-based
compensation
|
79
|
|
60
|
|
270
|
Loss from litigation,
net of tax (3)
|
-
|
|
-
|
|
13,286
|
Non-GAAP net
income
|
193
|
|
335
|
|
5,235
|
|
|
|
|
|
|
Non –GAAP net
income per share, basic and diluted
|
0.01
|
|
0.01
|
|
0.16
|
Gross margin on
GAAP basis
Reported gross
profit on GAAP basis
|
42.2%
10,328
|
|
45.1%
9,819
|
|
43.4%
43,126
|
Acquisition of Sela
and Printar related expenses (1)
|
-
|
|
-
|
|
-
|
Inventory write-downs
(2)
|
-
|
|
|
|
1,041
|
Share-based
compensation
|
7
|
|
6
|
|
24
|
Non- GAAP gross
margin
|
42.3%
|
|
45.2%
|
|
44.5%
|
Non-GAAP gross
profit
|
10,335
|
|
9,825
|
|
44,191
|
|
|
|
|
|
|
Reported operating
income (loss)
attributable to
Camtek Ltd. on GAAP basis
|
372
|
|
1,138
|
|
(10,059)
|
Acquisition of Sela
and Printar related expenses (1)
|
-
|
|
-
|
|
138
|
Inventory write-downs
(2)
|
-
|
|
|
|
1,041
|
Share-based
compensation
|
79
|
|
60
|
|
271
|
Loss from litigation
(3)
|
-
|
|
|
|
14,600
|
Non-GAAP operating
income
|
451
|
|
1,198
|
|
5,991
|
|
|
|
|
|
|
(1) During the three months
ended March 31, 2016 and 2015 and the year ended December 31, 2015,
the Company recorded acquisition expenses of $0.1 million, $0.2
million, and $0.8 million, respectively, consisting of: (1)
Revaluation adjustments of $0.1 million, $0.2 million, and $0.6
million, respectively, of contingent consideration and certain
future liabilities recorded at fair value. These amounts are
recorded under finance expenses line item; and (2) Implication of
re-organization and impairment charges of $0, $0, and $0.1 million
respectively.
(2) During the three months
ended March 31, 2016 and 2015 and the year ended December 31, 2015,
the Company recorded inventory write downs in the amount of $0
million, $0 million, and $1.0 million, respectively, recorded under
cost of revenues line item.
(3) During the year ended
December 31, 2015, the Company recorded a provision of $14.6
million ($13.3 million net of tax) in conjunction with the
final court ruling on February 3, 2016 in Camtek's appeal in the
patent infringement case of Rudolph Technologies Inc. regarding the
Falcon system.
|
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.