The chart below shows how CAMT performed 10 days before and after its earnings report, based on data from the past quarters. Typically, CAMT sees a -2.47% change in stock price 10 days leading up to the earnings, and a +1.54% change 10 days following the report. On the earnings day itself, the stock moves by -0.65%. This data can give you a slight idea of what to expect for the next quarter's release.
Positive
Record Revenue Growth: Q4 revenue reached $117 million, a 32% year-over-year increase, marking the fifth consecutive record quarter in revenues.
Operating Income Surge: Operating income for Q4 was $36.3 million, reflecting a 42% improvement year-over-year, contributing to an annual operating income of $130 million, a 506% increase from the previous year.
Q1 2025 Revenue Guidance: Revenue guidance for Q1 2025 is projected between $118 million to $120 million, indicating a nearly 25% increase compared to Q1 2024.
High-Performance Computing Demand: Received over $10 million in orders for HPC-related products in a single week, reinforcing strong demand in the high-performance computing segment.
Gross Margin Improvement: Gross margin for Q4 improved to 50.6%, up from 49.2% in the same quarter last year, indicating effective cost management and operational efficiency.
Negative
China Revenue Decline: Revenue from China decreased to around 30% in 2024 from 47% in 2023, indicating a significant drop in reliance on this market.
Operating Expenses Increase: Operating expenses increased to $23.1 million in Q4 2024, up from $18.2 million in Q4 2023, reflecting rising costs that could impact profitability.
Inventory Increase Concerns: Inventory levels rose to $123.1 million from $116.3 million in the previous quarter, suggesting potential overstock issues that may affect cash flow.
Accounts Receivable Increase: Accounts receivable increased to $99.6 million from $71 million in the previous quarter, indicating potential collection issues that could impact liquidity.
Market Growth Reliance Risks: The non-HPC market is expected to grow in line with industry expectations, but overall growth is heavily reliant on HPC, which may pose risks if demand fluctuates.
Earnings call transcript: Camtek Q4 2024 beats expectations, stock rises
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