In This Article:
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Revenue: $112.3 million, a 40% increase compared to Q3 2023 and a 10% sequential increase from Q2 2024.
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Gross Margin: 50.8%, improved from 49% in Q3 2023.
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Operating Expenses: $22.9 million, up from $18.6 million in Q3 2023.
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Operating Profit: $34.2 million, compared to $22.2 million in Q3 2023.
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Operating Margin: 30.4%, compared to 30% in Q3 2023.
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Net Income: $37 million or 75 per diluted share, compared to $25.2 million or 51 per share in Q3 2023.
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Cash and Cash Equivalents: $489 million as of September 30, 2024, up from $454 million at the end of Q2 2024.
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Cash from Operations: $36 million generated in the quarter.
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Inventory Level: Increased by $7 million to $116 million.
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Accounts Receivables: Increased to $70.7 million from $68.2 million.
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Days Outstanding: Improved to 57 days, down from over 100 days last year.
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Revenue Guidance for Q4 2024: Approximately $115 million.
Release Date: November 12, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Camtek Ltd (NASDAQ:CAMT) reported a record quarterly revenue of $112 million, representing a 40% growth compared to Q3 2023.
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The company achieved a gross margin of 51% and an operating margin slightly over 30%, indicating strong profitability.
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Camtek Ltd (NASDAQ:CAMT) expects continued demand for its HPC-related products into 2025, driven by the semiconductor market's growth.
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The introduction of the Eagle G5 system has already resulted in over $20 million in orders, with deliveries starting in Q4 2024.
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Camtek Ltd (NASDAQ:CAMT) anticipates 2024 to be a record year with revenue around $427 million, representing a 35% growth year over year.
Negative Points
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The company's revenue from China is expected to decrease to 30-35% this year, down from over 40% in previous years.
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There are concerns about potential bottlenecks in the production capacity of 2.5D substrates, which could impact future growth.
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Operating expenses increased to $22.9 million in Q3 2024, up from $18.6 million in the same quarter last year.
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The company faces challenges in maintaining its gross margin due to product mix variations.
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There is uncertainty regarding the qualification process for some customers' latest HBM products, which could impact future demand.
Q & A Highlights
Q: Can you provide more insight into the HPC market and the potential overcapacity concerns, particularly regarding chiplets and HBM? A: Ramy Langer, COO, explained that HPC includes both chiplets and HBM, which grow together. While order percentages may vary quarterly, the expectation is for similar growth patterns in 2025 as seen this year. The bottleneck is currently due to 2.5D substrate capacity, expected to be resolved in 2025.