CAMTEK LTD. Form 6-K Summary: Q2 2026 Results
Business Context and Reporting Period
CAMTEK LTD. (NASDAQ: CAMT), a developer of high-end inspection and metrology equipment for the semiconductor industry, reported financial results for the second quarter ended June 30, 2026. The filing, dated August 10, 2026, highlights record revenue performance driven by strong demand in Advanced Packaging (AP) and Heterogeneous Integration segments. The company also announced the completion of the Visual Layer acquisition during the period.
Key Financial Metrics
| Metric | Q2 2026 (GAAP) | Q2 2026 (Non-GAAP) | Q2 2025 (GAAP) |
|---|---|---|---|
| Revenue | $133.2 million | $133.2 million | $123.3 million |
| Gross Margin | 50.1% | 51.4% | 50.8% |
| Operating Income | $27.2 million (20.4%) | $36.0 million (27.0%) | $32.0 million (25.9%) |
| Net Income | $23.3 million | $39.4 million | $33.7 million |
| Diluted EPS | $0.46 | $0.78 | $0.69 |
| Cash & Equivalents | $215.2 million | - | - |
| Total Liquidity | $815.8 million | - | $849.7 million (Q1 2026) |
| Operating Cash Flow | $12.2 million | - | - |
Note: Total liquidity includes cash, short-term/long-term deposits, and marketable securities.
Material Changes vs. Prior Period
- Revenue Growth: Q2 2026 revenue increased 8% year-over-year (YoY) and 10% quarter-over-quarter (QoQ), reaching a record $133.2 million.
- Profitability Divergence: While GAAP net income decreased 31% YoY to $23.3 million due to one-time tax expenses and acquisition costs, Non-GAAP net income increased 2% YoY to $39.4 million.
- Operating Expenses: GAAP operating income declined 15% YoY, primarily driven by increased R&D spending ($16.7M vs $11.5M) and SG&A expenses ($22.8M vs $19.2M), alongside acquisition-related costs.
- Liquidity: Total liquidity decreased slightly from $849.7 million in Q1 2026 to $815.8 million in Q2 2026.
- Balance Sheet: Goodwill increased from $74.3 million to $112.7 million, reflecting the Visual Layer acquisition. Convertible notes decreased from $519.8 million to $488.5 million.
Guidance, Outlook, and Risks
Forward-Looking Expectations:
- Q3 2026 Revenue: Expected to range between $158 million and $160 million, representing a 20% sequential increase.
- H2 2026 Outlook: Management anticipates more than 30% growth in H2 2026 compared to H1 2026.
- Long-term: Continued growth is expected into 2027, with Advanced Packaging revenue projected to grow approximately 70% between Q1 and Q4 2026.
Management Commentary: CEO Rafi Amit highlighted a significant acceleration in order intake, with year-to-date orders exceeding $600 million. The company attributes this to its leadership in Advanced Packaging and strong alignment with customer technology roadmaps.
Risks and Contingencies:
- Geopolitical: Ongoing hostilities in the Middle East and potential disruptions to global supply chains, specifically around the Strait of Hormuz.
- Regulatory: Risks related to export/import regulations, U.S. trade policies, and the U.S. government entity list.
- Market: Dependence on demand for HBM and Chiplet applications driven by the AI sector.
- Currency: Fluctuations in foreign exchange rates.
Investor Verification Checklist
- Verify the sustainability of the 70% projected growth in Advanced Packaging revenue for the remainder of 2026.
- Confirm the integration progress and revenue contribution of the newly acquired Visual Layer.
- Monitor the impact of geopolitical tensions in the Middle East on manufacturing facilities in Israel and Germany.
- Review the reconciliation of GAAP to Non-GAAP figures to understand the magnitude of one-time tax expenses ($7.7M in Q2) and acquisition costs.
- Assess the company's ability to execute on the $600 million+ year-to-date order backlog given potential supply chain constraints.