Camtek (CAMT) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue reached $121.7 million, up 2.6% year-over-year, driven by strong AI-related product demand and new product lines.

• AI-related products contributed about 50% of revenue, with advanced packaging accounting for another 20%.

• Record order intake and strong demand, especially from HBM manufacturers, underpin a robust outlook for 2026 and 2027.

• Recent acquisition of Visual Layer enhances AI capabilities and is expected to drive further growth.

• Management highlights ongoing innovation in AI-based algorithms and successful integration of Visual Layer.

Financial highlights

• Q1 2026 revenue was $121.7 million, up 2.6% year-over-year and above guidance.

• Gross margin was 51% (GAAP: 50.1%, non-GAAP: 51.0%).

• Operating income was $31.1 million (non-GAAP, 25.5% margin), down 16.8% year-over-year.

• Net income for Q1 2026 was $35.3 million ($0.70 per diluted share, non-GAAP), compared to $38.7 million ($0.79) last year.

• Cash and equivalents stood at $849.7 million as of March 31, 2026.

Outlook and guidance

• Q2 2026 revenue guidance is $129–$131 million.

• Revenue in H2 2026 expected to be over 25% higher than H1, with potential upside depending on order timing.

• Orders from two HBM manufacturers expected to generate over $260 million in revenue for 2026 and 2027.

• Gross margin and operating margin expected to improve in H2 2026, driven by Hawk and Eagle G5 product contributions.

• Double-digit revenue growth anticipated for full-year 2026.