CAMT Earnings Recap
Beat 5 of last 6 quarters
The Buildout is a website built on agentic AI tools, currently in beta, and could have factual errors.
Camtek's record orders and strong guidance underscore the accelerating AI infrastructure buildout, particularly in advanced packaging for HBM and 2.5D/3D ICs. The company's visibility into 2027 and expansion of capacity signal sustained investment in AI compute infrastructure.
Camtek delivered record Q2 revenue of $133.2M, beating guidance, with gross margin of 51.4% and operating income of $36M. Advanced Packaging accounted for ~75% of revenue, with the majority tied to AI applications. The company received over $600M in orders year-to-date, with ~80% for Advanced Packaging and over 20% from HBM players. New platforms (Eagle G5 and Hawk) contributed ~50% of systems revenue in Q2. Net income was $39.4M or $0.78 per diluted share.
Management reiterated a strong second half, guiding Q3 revenue to $158M-$160M (up ~20% sequentially) and expecting H2 2026 revenue to grow over 30% versus H1. They expect Advanced Packaging revenue to grow ~45% in H2 versus H1, with Q4 AP revenue ~70% higher than Q1. Gross margin is expected to exit the year at 52.5%-53% and operating margin at 30%-32%. Management highlighted record backlog and visibility into 2027, with most new orders now for 2027 delivery. They also noted continued investment in R&D, including the Visual Layer integration, and expansion of manufacturing capacity to support higher revenue levels.
“The expectation we shared with you on our previous call regarding the second half of 2026 and our leadership position in the Advanced Packaging market are now becoming a reality.”
on Second half outlook
“We are very, very confident that we can continue and take market share and go to new process steps with this equipment.”
on New product traction
“The fact that we see increased growth into 2027. That's definitely a good sign at the time that we are talking about it.”
on 2027 visibility
Can you clarify the 70% growth in Advanced Packaging from Q1 to Q4, and what's enabling the company to keep pace with demand?
Ramy Langer confirmed AP will be ~80% of revenue by Q4, and the 70% growth is correct. He noted the company has prepared capacity and supply chain to meet demand, with most new orders now for 2027 delivery.
Can you comment on DRAM/HBM exposure and the OpEx trend given the Visual Layer acquisition?
Ramy Langer said over 20% of the $600M orders are from HBM players, with strong forecasts into 2027. Moshe Eisenberg said OpEx will increase but not outpace revenue growth, with most increase in R&D from Visual Layer.
Can you provide more detail on how profitability metrics will improve and quantify them?
Moshe Eisenberg guided gross margin to exit the year at 52.5%-53% and operating margin at 30%-32%, driven by product mix and operating leverage.