Camtek Ltd (NASDAQ: CAMT) reported Q1 EPS of $0.07, $0.04 worse than the analyst estimate of $0.11. Revenue for the quarter came in at $30.2 million versus the consensus estimate of $30.03 million.

Highlights of the First Quarter of 2020

• Revenues of $30.2 million; - Shipments to customers amounted to approximately $33 million, however, about $3 million of this was not recognized due to the Coronavirus related delays in installations and in accordance with our revenue recognition policy;
• GAAP operating income of $2.9 million; non-GAAP operating income of $3.7 million;
• GAAP net income of $2.8 million and non-GAAP net income of $3.6 million; and
• Operating cash flow of $1.3 million.

Management Comment

Rafi Amit, Camtek's CEO, commented, "Camtek is the leader in the 3D metrology arena. Our strategy is to become a leading supplier in the 2D inspection segment as well. In the first half of 2020, we have expanded and strengthened our position in this segment. Some of our customers ordered multiple 2D Inspection machines with basic configuration which affected our average selling price (ASP). We expect these customers to purchase in the future machines for more complex applications with higher ASPs and margins."

Continued Mr. Amit, "We are seeing strong business momentum. We entered the second quarter with record backlog resulting in good visibility and we expect a significant increase in revenue to between $36-38 million. In the third quarter, we see increased orders for machines with more advanced capabilities and we expect to show an improvement in profitability. It is important to stress that we are still within the Coronavirus pandemic and it is difficult to anticipate its full magnitude and impact on our business in the coming months."

GUIDANCE:

Camtek Ltd sees Q2 2020 revenue of $36-38 million, versus the consensus of $35.3 million.

For earnings history and earnings-related data on Camtek Ltd (CAMT) click here.