Orbotech Increased Q1 Net Income to $5 Million
7 May, 2013
Revenues of Orbotech from Yavne, Israel for the first quarter of 2013 totaled $95.5 million, compared to $96.5 million in the first quarter of 2012
“In the second quarter we anticipate revenues of approximately $105 million”
Revenues of Orbotech from Yavne, Israel for the first quarter of 2013 totaled $95.5 million, compared to $96.5 million in the first quarter of 2012. GAAP net income for the first quarter of 2013 was $5.0 million, compare to $1.6 million in the first quarter of 2012.
Orbotech provides yield-enhancing and production solutions for manufacturers of printed circuit boards, flat panel displays and other electronic components. Asher Levy, Chief Executive Officer, said: “We are pleased to report a good opening to the new year and expect to post still better results in the second quarter, when we anticipate revenues of approximately $105 million.
Sales of equipment to the printed circuit board (PCB) industry were $47.4 million in the first quarter of 2013. Sales of equipment to the flat panel display (FPD) industry were $13.2 million. In the Company’s Recognition Software segment, sales were $1.8 million. In addition, service revenue for the first quarter of 2013 was $33.1 million.
Due to the elimination of the proportionate method of consolidation for joint ventures under applicable Israeli GAAP, which became effective on January 1, 2013, commencing from the first quarter of 2013 Orbotech Ltd. began to account for its 50% interest in the Frontline P.C.B. Solutions Limited Partnership (Frontline), the joint venture owned equally by Orbotech and Mentor Graphics Development Services (Israel) with respect to computer-aided manufacturing and engineering solutions for PCB production, using the equity method.
As a result, the Company now reports its investment in Frontline as a one line item within investments and other non-current assets in the Company’s consolidated balance sheets; and its share of earnings on one line in its consolidated statement of operations.