MIGDAL HAEMEK, Israel,
August 17, 2016 /PRNewswire/ --
Camtek Ltd. (NASDAQ: CAMT; TASE: CAMT),
today announced a decision to reorganize its current mode of
operation with respect to its functional inkjet technology (FIT)
activity.
As part of this change, Camtek will cease supporting the four
Gryphon systems currently installed at customer sites, and will
re-focus on creating the next generation of digital printer. This
will allow Camtek to significantly reduce the run-rate of this
activity from $5.5 million to
approximately $2.5 million, annually.
Camtek estimates that the development of the next generation
printer will take approximately 18 months.
Rafi Amit,
Camtek's Chairman and CEO, commented, "Based on
feedback we gathered from the four customers that have been
evaluating the Gryphon system and in order to increase the
addressable market, we have decided that there is a need for a
significant redesign of the system, the process and the ink. This
will enable us to better gear the technology to market
requirements. Our contacts with customers and potential customers
over the past few years, underscore that there is a huge market
opportunity, and we continue to believe that the digital printing
technology is superior to the current processes used by the PCB
industry, and that it is ultimately the future for this industry.
At the same time, we realize that the penetration process and
market education will take longer than previously anticipated."
Continued Mr. Amit, "Our decision to cease supporting our
four current Gryphon systems and focus on the development of the
next generation of digital printer will allow us, once the
development is completed, to return to the market more effectively.
Additionally, our FIT team will operate much more efficiently, as
their efforts will focus solely on pure R&D activities without
the need to support systems at distant customer sites. During this
period, we will also continue our efforts to seek a strategic
investor and build alliances with leading ink manufactures."
"The action we are taking today, will significantly reduce our
annual operating expenses related to our FIT activity, from
approximately $5.5 million to about
$2.5 million," concluded
Mr. Amit.
Camtek is in a process of evaluating the implications of this
decision on certain assets and liabilities on its balance sheet. In
addition to these implications, we expect to record one-time
re-structuring costs of $300-400
thousand. All financial related implications will be
recorded in the third quarter financial results.
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 http://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.
CAMTEK LTD.
Moshe Eisenberg, CFO
Tel: +972-4-604-8308
Mobile: +972-54-900-7100
moshee@camtek.co.il
INTERNATIONAL INVESTOR RELATIONS
GK Investor Relations
Ehud Helft / Gavriel Frohwein
Tel: (US) +1-646-688-3559
camtek@gkir.com
SOURCE Camtek Ltd