CAMTEK ANNOUNCES RECORD RESULTS FOR THE THIRD QUARTER OF 2025

Another Strong Quarter Expected in Q4 with Revenues of around $127 million

Camtek Ltd. (NASDAQ: CAMT) (TASE: CAMT), today announced its financial results for the third quarter ended September 30, 2025.

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2025 Third Quarter Financial Highlights

— Record revenues of $126.0 million, a 12%YoY increase;

— GAAP gross margin of 50.0% and non-GAAP gross margin of 51.5%;

— GAAP operating income of $31.8 million (up 8%YoY) and non-GAAP operating incomeof $37.6 million (up 10% YoY), representing operating margins of 25.3% and 29.9%, respectively;

— $500 million raised via new offering of convertible notes;

— The GAAP results include a one-time capital loss of $89 million, net, related to the repurchase of 83% of the 2021 convertible notes which led to a GAAP net loss of $53.2 million and EPS of $(1.16); and non-GAAP net income of $40.9 million (up 10% YoY); and non-GAAP diluted EPS of $0.82; and

— Generated cash of over $34 million from operating activities.

Fourth Quarter Guidance

Based on current orders, sales pipeline, and ongoing customer engagements, Management expects Q4 2025 revenue to be around $127 million, representing annual 2025 revenues of $495 million, a record year for Camtek with expected strong growth of 15% over 2024.

Management Comment

Rafi Amit, Camtek's CEO commented, “We are very pleased with our results and achievements this quarter. Similar to the prior quarters,Camtek continued to grow and deliver record performance, driven primarily by the ongoing increasing demand for high-performance computing for AI applications.”

Continued Mr. Amit, “With the recent industry-wide announcements regarding large scale investments in data centers and AI applications, we anticipate that Camtek's annual growth will continue in 2026. At this stage, we expect that the revenues will be more second half weighted, following a somewhat slower start to the year.”

Concluded Mr. Amit, “With Camtek's leading market position and the cutting-edge technological capabilities that we have recently added, we are well positioned to capitalize on the massive AI investments and to pursue significant growth while increasing our market share over the coming years.”

Third Quarter 2025 Financial Results

Revenuesfor the third quarter of 2025 were $126.0 million. This compares to third quarter 2024 revenues of $112.3 million, a year-over-year growth of 12%.

Gross profit on a GAAP basis in the quarter totaled $63.0 million (50.0% of revenues), an increase of 13% compared to $55.9 million (49.7% of revenues) in the third quarter of 2024.

Gross profit on a non-GAAP basis in the quarter totaled $64.9 million (51.5% of revenues), an increase of 14% compared to $57.1 million (50.8% of revenues) in the third quarter of 2024.

Operating income on a GAAP basis in the quarter totaled $31.9 million (25.3% of revenues), an increase of 7% compared to $29.6 million (26.4% of revenues) in the third quarter of 2024.

Operating income on a non-GAAP basis in the quarter totaled $37.6 million (29.9% of revenues), an increase of 10% compared to $34.2 million (30.4% of revenues) in the third quarter of 2024.

During the third quarter, Camtek issued $500 million of 0% coupon convertible senior notes in a private offering and used some of the proceeds to repurchase notes from a prior offering. Consequently, a loss of $89 million was recorded in the GAAP results.

Net loss on a GAAP basis in the quarter, which includes the aforementioned loss, totaled $53.2 million, or ($1.16) per basic share, compared to net income of $32.7 million, or $0.66 per diluted share, in the third quarter of 2024.

Net income on a non-GAAP basis in the quarter totaled $40.9 million, or $0.82 per diluted share, an increase of 10% compared to a non-GAAP net income of $37.0 million, or $0.75 per diluted share, in the third quarter of 2024.

Cash and cash equivalents, short-term and long-term deposits, and marketable securities, as of September 30, 2025, were $794.0 million compared to $ 543.9 million as of June 30, 2025. During the third quarter, the Company generated an operating cash flow of $34.3 million. In addition, as mentioned earlier, Camtek raised $219 million, net, in new convertible debt, replacing a prior series of convertible debt.

Conference Call

Camtek will host a video conference call/webinar today via Zoom, on November 10, 2025 at 09:00 ET (16:00 Israel time). Rafi Amit, CEO, Moshe Eisenberg, CFO, and Ramy Langer, COO will host the call and will be available to answer questions after presenting the results.

To participate in the webinar, please register using the following link, which will provide access to the video call: https://us06web.zoom.us/webinar/register/WN_aq_SOaEvTAiVDABZPEc9Eg

For those wishing to listen via phone, following registration, the dial in link will be sent. For any problems in registering, please email Camtek's investor relations a few hours in advance of the call.

For those unable to participate, a recording will be available on Camtek's website at http://www.camtek.com within a few hours after the call.

A summary presentation of the quarterly results will also be available on Camtek's website.

ABOUT CAMTEK LTD.

Camtek is a developer and manufacturer of high-end inspection and metrology equipment for the semiconductor industry. Camtek's systems inspect IC and measure IC features on wafers throughout the production process of semiconductor devices, covering the front and mid-end and up to the beginning of assembly (Post Dicing). Camtek's systems inspect wafers for the most demanding semiconductor market segments, including Advanced Interconnect Packaging, Heterogenous Integration, Memory and HBM, CMOS Image Sensors, Compound Semiconductors, MEMS, and RF, serving numerous industries' leading global IDMs, OSATs, and foundries.

With manufacturing facilities in Israel and Germany, and eight offices around the world, Camtek provides state of the art solutions in line with customers' requirements.

This press release is available athttp://www.camtek.com

This press release contains statements that may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on Camtek's current beliefs, expectations and assumptions about its business and industry, all of which may change. Forward-looking statements can be identified by the use of words including “believe,” “anticipate,” “should,” “intend,” “plan,” “will,” “may,” “expect,” “estimate,” “project,” “positioned,” “strategy,” and similar expressions that are intended to identify forward-looking statements, including our expectations and statements relating to the compound semiconductors market and our position in this market and the anticipated timing of delivery of the systems. These forward-looking statements involve known and unknown risks and uncertainties that may cause the actual results, performance or achievements of Camtek to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Factors that may cause our actual results to differ materially from those contained in the forward-looking statements include, but are not limited to, the effects of the war situation in Israel, and the related evolving regional conflicts; the continued demand and future contribution of HPC, HBM and Chiplet applications and devices to the Company business resulting from, among other things, the field of AI surging worldwide across companies, industries and geographies;formal or informal imposition by countries of new or revised export and/or import and doing-business regulations or sanctions, including but not limited to changes in U.S. trade policies, changes or uncertainty related to the U.S. government entity list and changes in the ability to sell products incorporating U.S originated technology, which can be made without prior notice, and our ability to effectively address such global trade issues and changes; our dependency on the semiconductor industry and the risk that adverse economic conditions, reduced capital expenditures, or cyclical downturns may negatively impact our results; the concentration of our business in certain Asia Pacific countries, particularly China, Taiwan, and Korea, which may be subject to trade restrictions, regulatory changes, or geopolitical tensions; and those other factors discussed in our Annual Report on Form 20-F as published on March 19, 2025 as well as other documents filed by the Company with the SEC as well as other documents that may be subsequently filed by Camtek from time to time with the Securities and Exchange Commission. We caution you not to place undue reliance on forward-looking statements, which speak only as of the date hereof. Camtek does not assume any obligation to update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release unless required by law.

While we believe that we have a reasonable basis for each forward-looking statement contained in this press release, we caution you that these statements are based on a combination of facts and factors currently known by us and our projections of the future, about which we cannot be certain. In addition, any forward-looking statements represent Camtek's views only as of the date of this press release and should not be relied upon as representing its views as of any subsequent date. Camtek does not assume any obligation to update any forward-looking statements unless required by law.

This press release provides financial measures that exclude: (i) share based compensation expenses; (ii) acquisition related expenses and (iii) expenses related to the extinguishment of convertible notes, and are therefore not calculated in accordance with generally accepted accounting principles (GAAP). Management believes that these non-GAAP financial measures provide meaningful supplemental information regarding our performance. The presentation of this non-GAAP financial information is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. Management uses both GAAP and non-GAAP measures when evaluating the business internally and therefore felt it is important to make these non-GAAP adjustments available to investors.

CAMTEK LTD. INTERNATIONAL INVESTOR RELATIONSMoshe Eisenberg, CFO EK Global Investor RelationsTel: +972 4 604 8308 Ehud HelftMobile: +972 54 900 7100 Tel: (US) 1 212 378 8040moshee@camtek.com camtek@ekgir.comCAMTEK LTD. and its subsidiariesConsolidated Balance Sheets(Unaudited)(In thousands) September 30, December 31, 2025 2024 U.S. DollarsAssetsCurrent assetsCash and cash equivalents 199,671 126,224Short-term deposits 382,450 231,000Marketable securities 57,373 30,813Trade accounts receivable, net 112,502 99,471Inventories 126,492 111,204Other current assets 21,337 21,347Total current assets 899,825 620,059Long-term deposits 20,000 26,000Marketable securities 134,460 87,115Long-term inventory 16,131 11,879Deferred tax asset, net 10,858 3,090Other assets, net 2,493 2,001Property, plant and equipment, net 62,214 54,196Intangible assets, net 10,736 13,357Goodwill 74,345 74,345Total non- current assets 331,237 271,983Total assets 1,231,062 892,042Liabilities and shareholders' equityCurrent liabilitiesTrade accounts payable 33,232 46,630Other current liabilities 85,463 77,280Total current liabilities 118,695 123,910Long-term liabilitiesDeferred tax liabilities, net – 5,606Other long-term liabilities 15,220 15,366Convertible notes 519,111 197,925Total long-term liabilities 534,331 218,897Total liabilities 653,026 342,807Commitments and contingenciesShareholders' equityOrdinary shares NIS 0.01 par value, 100,000,000 shares authorized atSeptember 30, 2025, and at December 31, 2024;47,858,633 issued shares at September 30, 2025, and 47,541,682 atDecember 31, 2024;45,766,257 shares outstanding at September 30, 2025, and 45,449,306 at 178 177December 31, 2024Additional paid-in capital 227,589 214,931Accumulated other comprehensive income (loss) 1,520 203Retained earnings 350,647 335,822 579,934 551,133Treasury stock, at cost (2,092,376 shares as of September 30, 2025, and(1,898) (1,898)December 31, 2024)Total shareholders' equity 578,036 549,235Total liabilities and shareholders' equity 1,231,062 892,042CAMTEK LTD. and its subsidiariesConsolidated Statements of Income (Unaudited)(in thousands) Nine months ended Three months Year ended September 30, ended September 30, December 31, 2025 2024 2025 2024 2024 U.S. dollars U.S. dollars U.S. dollarsRevenues 367,948 311,941 125,993 112,340 429,234Cost of revenues 181,731 160,122 62,951 56,484 219,283Gross profit 186,217 151,819 63,042 55,856 209,951Operating expenses:Research and development 35,289 27,916 13,453 9,770 38,287Selling, general and administrative 54,409 47,134 17,744 16,440 63,595Total operating expenses 89,698 75,050 31,197 26,210 101,882Operating income 96,519 76,769 31,845 29,646 108,069Financial income, net 16,901 16,994 6,526 6,370 23,169Other expenses (100,932) – (100,932) – -Income (loss) before income taxes 12,488 93,763 (62,561) 36,016 131,238Income tax benefit (expense) 2,337 (8,257) 9,380 (3,273) (12,723)Net income (loss) 14,825 85,506 (53,181) 32,743 118,515 Nine months ended Three months Year endedEarnings per share information: September 30, ended September 30, December 31, 2025 2024 2025 2024 2024 U.S. dollars U.S. dollars U.S. dollarsBasic net earnings (loss) per share (in US dollars) 0.32 1.89 (1.16) 0.72 2.62Diluted net earnings (loss) per share (in US dollars) 0.32 1.73 (1.16) 0.66 2.42Weighted average number ofordinary shares outstanding:Basic 45,655 45,176 45,755 45,365 45,279Diluted 49,502 49,333 45,755 49,437 49,369Camtek Ltd.Reconciliation of GAAP To Non-GAAP results(In thousands, except share data) Nine Months ended Three Months ended Year ended September 30, September 30, December 31, 2025 2024 2025 2024 2024 U.S. dollars U.S. dollars U.S. dollarsReported net income attributable to Camtek Ltd. on GAAP basis 14,825 85,506 (53,181) 32,743 118,515Acquisition of FRT-related expenses (1) 2,268 4,684 968 650 5,334Loss from extinguishment of Capital Notes (2) 88,682 – 88,682 – -Share-based compensation 12,586 10,723 4,383 3,614 14,775Non-GAAP net income 118,361 100,913 40,852 37,007 138,624Non-GAAP net income per 2.42 2.05 0.82 0.75 2.83diluted shareGross margin on GAAP basis 50.6% 48.7% 50.0% 49.7% 49.6%Reported gross profit on GAAP basis 186,217 151,819 63,042 55,856 209,951Acquisition of FRT-related expenses (1) 2,285 5,192 1,065 610 5,802Share-based compensation 2,094 1,602 750 596 2,197Non- GAAP gross profit 190,596 158,613 64,857 57,062 217,950Non-GAAP gross margin 51.8% 50.8% 51.5% 50.8% 50.8%Reported operating income attributable to Camtek Ltd. on GAAP basis 96,519 76,769 31,845 29,646 108,069Acquisition of FRT related expenses (1) 3,239 6,527 1,383 928 7,455Share-based compensation 12,586 10,723 4,383 3,614 14,775Non-GAAP operating income 112,344 94,019 37,611 34,188 130,299(1) During the nine-month period ended September 30, 2025, the Company recorded acquisition-related expenses of $2.3 million, consisting of: (1) inventory written-up to fair value in purchase accounting charges of $0.5 million. This amount is recorded under cost of revenues line item.(2) $1.8 million amortization of intangible assets acquired recorded under cost of revenues line item. (3) $1.0 million amortization of intangible assets acquired recorded under sales and marketing expenses line item. (4) $1.0 million reversal of tax provision related to the above adjustment, recorded under the tax expense line item.During the three-month period ended September 30, 2025, the Company recorded acquisition-related expenses of $1.0 million, consisting of: (1) inventory written-up to fair value in purchase accounting charges of $0.5 million. This amount is recorded under cost of revenues line item.(2) $0.6 million amortization of intangible assets acquired recorded under cost of revenues line item. (3) $0.3 million amortization of intangible assets acquired recorded under sales and marketing expenses line item. (4) $0.4 million reversal of tax provision related to the above adjustment, recordedunder the tax expense line item.During the nine-month period ended September 30, 2024, the Company recorded acquisition-related expenses of $4.7 million, consisting of: (1) inventory written-up to fair value in purchase accounting charges of $3.4 million. This amount is recorded under cost of revenues line item. (2) $1.8 million amortization of intangible assets acquired recorded under cost of revenues line item. (3) $0.9 million amortization of intangible assets acquired recorded under sales and marketing expenses line item. (4) $0.4 million re-organization expenses, recorded under the general and administrative expenses line item. (5) $1.8 million reversal of tax provision related to the above adjustment, recordedunder the tax expense line item.During the three-month period ended September 30, 2024, the Company recorded acquisition-related expenses of $0.6 million, consisting of: (1) $0.6 million amortization of intangible assets acquired recorded under cost of revenues line item. (2) $0.3 million amortization of intangible assets acquired recorded under sales and marketing expenses line item. (3) $0.3 million reversal of tax provision related to the above adjustment, recorded under the tax expense line item.During the year ended December 31, 2024, the Company recorded acquisition-related expenses of $5.3 million, consisting of: (1) inventory written-up to fair value in purchase accounting charges of $3.4 million. This amount is recorded under cost of revenues line item. (2) $2.4 million amortization of intangible assets acquired recorded under cost of revenues line item. (3) $1.3 million amortization of intangible assets acquired recorded under sales and marketing expenses line item. (4) $0.4 million re-organization expenses, recorded under the general and administrative expenses line item. (5) $2.1 million reversal of tax provision related to the above adjustment, recordedunder the tax expense line item.(2) During the nine-month and three-month periods ended September 30, 2025, the Company recorded a loss of $88.7 million, consisting of: (1) $100.9 million from the extinguishment of Capital Notes recorded under the other expenses line item. (2) $12.3 million tax benefit recorded under the income tax benefit line item.

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SOURCE Camtek Ltd.

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