CAMTEK LTD (CAMT): Financial results for Q2 2026
CAMTEK LTD (CAMT) furnished an SEC Form 6-K — earnings release. Yes ☐ No ☒ SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. This Form 6-K, including all exhibits hereto, is hereby incorporated by r
How this was made
The 30-second read
Why it matters
The earnings beat and raised guidance suggest a bullish outlook for the company and its peers in advanced packaging equipment.
Market read
First‑report earnings with strong margins and forward guidance, likely to move the stock and influence the semiconductor equipment sector.
What to watch
Potential supply‑chain constraints or macro slowdown could limit the projected growth.
Q2 record revenues of $133.2 million; Expects more than 30% growth in H2-26 vs. H1-26 and further growth into 2027
Record revenue rose 8% year over year and 10% sequentially, while management guided Q3 revenue to $158 million to $160 million. However, GAAP operating income declined 15%, GAAP net income declined 31%, and both GAAP and non-GAAP gross and operating margins were below the prior-year quarter.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| RevenueGAAP | $133.2 million | 10% QoQ increase | 8% |
| Gross profitGAAP | $66.7 million | – | 7% |
| Gross marginGAAP | 50.1% | – | – |
| Gross profitnon-GAAP | $68.5 million | – | 7% |
| Gross marginnon-GAAP | 51.4% | – | – |
| Research and development expenseGAAP | 16,684 (in thousands) | – | – |
| Selling, general and administrative expenseGAAP | 22,791 (in thousands) | – | – |
| Total operating expensesGAAP | 39,475 (in thousands) | – | – |
| Operating incomeGAAP | $27.2 million | – | decrease of 15% |
| Operating marginGAAP | 20.4% | – | – |
| Operating incomenon-GAAP | $36.0 million | – | decrease of 4% |
| Operating marginnon-GAAP | 27.0% | – | – |
| Financial income, netGAAP | 6,977 (in thousands) | – | – |
| Income before income taxesGAAP | 34,204 (in thousands) | – | – |
| Income tax expenseGAAP | 10,899 (in thousands) | – | – |
| Net incomeGAAP | $23.3 million | – | decrease of 31% |
| Diluted EPSGAAP | $0.46 per diluted share | – | decrease of 31% |
| Basic net earnings per shareGAAP | $0.50 | – | – |
| Net incomenon-GAAP | $39.4 million | – | increase of 2% |
| Diluted EPSnon-GAAP | $0.78 per diluted share | – | – |
| Weighted average number of ordinary shares outstanding, basicGAAP | 46,643 (in thousands) | – | – |
| Weighted average number of ordinary shares outstanding, dilutedGAAP | 51,520 (in thousands) | – | – |
| Operating cash flowGAAP | $12.2 million | – | – |
Third quarter of 2026 outlook
- Revenue$158 million to $160 million
- Noterepresenting an exceptional 20% sequential increase over the second quarter
- Notemore than 30% growth in H2-26 vs. H1-26
- Notecontinued growth into 2027
- NoteAP revenue to grow approximately 70% between the first and fourth quarters of 2026
What drove it
- Management cited a significant acceleration in order intake since the beginning of 2026.
- Total orders received year-to-date were more than $600 million, with deliveries scheduled throughout the remainder of 2026 and into 2027.
- Management cited strong order momentum and record backlog.
- Management expects its Advanced Packaging revenue to grow approximately 70% between the first and fourth quarters of 2026.
- The Company completed the Visual Layer acquisition.
Concerns
- GAAP gross margin was 50.1%, compared to 50.8% in the second quarter of 2025; non-GAAP gross margin was 51.4%, compared to 51.9%.
- GAAP operating income decreased 15% to $27.2 million, and non-GAAP operating income decreased 4% to $36.0 million.
- GAAP net income decreased 31% to $23.3 million and GAAP diluted EPS fell to $0.46 from $0.69.
- Income tax expense was 10,899 (in thousands), compared to 3,221 (in thousands) in the second quarter of 2025.
- The filing identifies risks related to ongoing hostilities in the Middle East, global shipment and supply-chain disruption, trade regulations and sanctions, demand for HBM and Chiplet applications, and foreign-currency exchange rates.
What to watch
- Third-quarter revenue guidance of $158 million to $160 million.
- Execution against management's expectation for more than 30% growth in H2-26 vs. H1-26.
- Order conversion from more than $600 million received year-to-date and the record backlog into deliveries through 2026 and into 2027.
- Progress toward approximately 70% Advanced Packaging revenue growth between the first and fourth quarters of 2026.
- The effect of the Visual Layer acquisition and acquisition-related expenses on reported profitability.
Balance sheet and cash flow
- Cash and cash equivalents, short-term and long-term deposits, and marketable securities: $815.8 million as of June 30, 2026, compared to $849.7 million as of March 31, 2026.
- Cash and cash equivalents: 215,229 (in thousands) as of June 30, 2026; 177,848 (in thousands) as of December 31, 2025.
- Short-term deposits: 327,440 (in thousands) as of June 30, 2026; 411,450 (in thousands) as of December 31, 2025.
- Marketable securities: 87,695 (in thousands) current and 185,473 (in thousands) non-current as of June 30, 2026; 78,862 (in thousands) current and 182,941 (in thousands) non-current as of December 31, 2025.
- Convertible notes: 488,497 (in thousands) as of June 30, 2026; 519,833 (in thousands) as of December 31, 2025.
- Trade accounts receivable, net: 153,921 (in thousands) as of June 30, 2026; 90,829 (in thousands) as of December 31, 2025.
- Inventories: 99,816 (in thousands) as of June 30, 2026; 112,202 (in thousands) as of December 31, 2025.
- Total assets: 1,339,052 (in thousands) as of June 30, 2026; 1,259,833 (in thousands) as of December 31, 2025.
- Total liabilities: 628,889 (in thousands) as of June 30, 2026; 642,830 (in thousands) as of December 31, 2025.
- Total shareholders' equity: 710,163 (in thousands) as of June 30, 2026; 617,003 (in thousands) as of December 31, 2025.
- During the second quarter, the Company generated an operating cash flow of $12.2 million.
Analysis
Camtek reported record Q2 2026 revenue of $133.2 million, up 8% from $123.3 million in the second quarter of 2025 and up 10% sequentially. Management attributed the outlook to significant acceleration in order intake since the beginning of 2026, with year-to-date orders of more than $600 million, deliveries scheduled through the remainder of 2026 and into 2027, and record backlog. The company completed the Visual Layer acquisition during the quarter.
Growth did not translate into higher reported profitability. GAAP gross margin was 50.1%, below 50.8% a year earlier, while non-GAAP gross margin was 51.4%, below 51.9%. GAAP operating income fell 15% to $27.2 million and its margin declined to 20.4% from 25.9%. Non-GAAP operating income declined 4% to $36.0 million, with the non-GAAP operating margin falling to 27.0% from 30.3%. Research and development expense and selling, general and administrative expense were both higher than in the prior-year quarter.
GAAP net income was $23.3 million, down 31%, and GAAP diluted EPS was $0.46 versus $0.69. Non-GAAP net income increased 2% to $39.4 million, while non-GAAP diluted EPS was $0.78 compared with $0.79. The reconciliation identifies acquisition-related expenses, one-time tax expenses and share-based compensation as non-GAAP adjustments. Income tax expense was 10,899 (in thousands), compared with 3,221 (in thousands) in the prior-year quarter.
Liquidity included $815.8 million of cash and cash equivalents, short-term and long-term deposits, and marketable securities as of June 30, 2026, compared with $849.7 million as of March 31, 2026. The company generated operating cash flow of $12.2 million during the quarter and reported convertible notes of 488,497 (in thousands) at June 30, 2026. No dividend or share-repurchase activity was announced.
Management guided third-quarter revenue to $158 million to $160 million, representing an exceptional 20% sequential increase over Q2. It also expects more than 30% growth in H2-26 versus H1-26, continued growth into 2027, and approximately 70% Advanced Packaging revenue growth between the first and fourth quarters of 2026. The key reporting focus is whether the expected order conversion and Advanced Packaging growth can accompany improvement in gross and operating margins.
Management, verbatim
I am very pleased with the second quarter results which set a record revenue for us. Since the beginning of 2026, we have experienced a significant acceleration in order intake, bringing total orders received year-to-date to more than $600 million, with deliveries scheduled throughout the remainder of 2026 and into 2027.
Rafi Amit, CEO
This exceptional level of order intake, combined with our leadership position in the Advanced Packaging (AP) segment, has significantly improved our business visibility and is expected to drive a very strong second half, with our AP revenue to grow approximately 70% between the first and fourth quarters of 2026.
Rafi Amit, CEO
Our product development roadmap is closely aligned with the technology roadmaps of the industry's leading customers. Combined with our deep customer engagement, expanding product portfolio, and proven execution, positions us to penetrate new process steps and applications, giving us strong confidence in our ability to deliver sustained growth in the years ahead.
Rafi Amit, CEO
Not in the filing
stated, not guessed- Prior-quarter revenue amount was not reported.
- Prior-quarter comparisons for gross profit, gross margin, operating expenses, operating income, net income, EPS and operating cash flow were not reported.
- Segment revenue disclosure was not reported.
- Free cash flow was not reported.
- Dividend activity was not reported.
- Share repurchase activity during the quarter was not reported.
- Forward guidance for gross margin, operating expenses and tax rate was not reported.
- Previous-release outlook was not provided, so no comparison of actual results with prior guidance is available.
AlphAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
Camtek Ltd., a NASDAQ‑listed provider of semiconductor inspection systems, filed a Form 6‑K with Q2 2026 results.
Ticker impact
Camtek reported Q2 2026 results with record $133.2M revenue and raised H2 guidance, a fresh earnings disclosure.
Potential short-term price rally as investors price in higher guidance.
First‑report earnings with better‑than‑expected margins and 20%+ sequential revenue growth guidance.
Market effects
Highlights strength in semiconductor inspection equipment, may boost related equipment suppliers.
Positive for Israeli tech sector and broader semiconductor supply chain.
Reinforces demand for advanced packaging inspection globally.
Counterpoint
If guidance proves overly optimistic, a pull‑back in orders could trigger a correction.
Key entities
- CompanyCamtek Ltd.
Semiconductor inspection and metrology equipment manufacturer.
- ExecutiveRafi Amit
CEO of Camtek, provided commentary on results.
