Camtek Ltd.

Camtek reported record second-quarter revenue of $133.2 million, up 8% year over year and 10% sequentially. Gross profit was $68.5 million and gross margin was 51.4%, while operating profit was $36 million and operating margin was 27%. Net income was $39.4 million, or $0.78 per diluted share, versus $35.5 million, or $0.70 per share, in the prior quarter. Cash and cash equivalents, including deposits and marketable securities, were $815.8 million at June 30, 2026, and cash from operations was $12.2 million. For Q3, management guided revenue to $158 million to $160 million, and said H2 2026 revenue should be more than 30% higher than H1 2026, followed by continued growth into 2027.

Rafi Amit said he was delighted with the quarter and emphasized that the company is seeing exceptional momentum across the business. He framed the core story as AI-driven demand for Advanced Packaging, saying Camtek’s earlier expectation for a stronger second half is now becoming reality, with business visibility extending into 2027. His tone was confident and expansionary, highlighting new products, broader applications, and the company’s ability to support much higher annual revenue levels.

Moshe Eisenberg highlighted the non-GAAP financials and said gross margin of 51.4% was similar to the prior quarter, while operating expenses rose to $32.5 million from $30.9 million, mainly due to higher R&D and resources from the Visual Layer acquisition. He noted operating margin improved to 27% from 25.5%, and said the company expects further leverage in the model as product mix shifts toward Eagle Gen5 and Hawk. He also cited $815.8 million in cash and marketable securities, $12.2 million of operating cash flow, accounts receivable of $153.9 million, and DSO of 105 days, and said gross margin could exit the year at 52.5% to 53% with operating margin at 30% to 32%.

Analysts focused on how much of the revenue ramp is already visible for 2027, and management said customers are planning more capacity, but it is still too early to give a full 2027 forecast. Questions also centered on capacity and supply chain, and Ramy Langer said subcontractors and supply are in place with no major obstacles to shipping on time, while most new orders are now for 2027 rather than 2026. Other notable topics were China, where management described the business as stable and expected revenue share around the mid-40s this year, and product mix, where management said Hawk and Eagle Gen5 are gaining traction, especially in HBM and high-volume Advanced Packaging applications.