Tower Semiconductor Ltd. (Nasdaq: TSEM; TASE: TSEM), which markets as TowerJazz, reported record revenue and profit for the first quarter of 2016. Revenue was $278 million, up 23% from the corresponding quarter of 2015 and up 9% from the preceding quarter. Net profit was $66 million in the first quarter of 2016, including net gain from acquisition of the San Antonio facility of $41 million. Excluding such gain, net profit was $25 million, as compared with $22 million in the previous quarter, and up 12% from the corresponding quarter. EBITDA was a record $78 million, up 51% from the corresponding quarter.
Tower expects revenue of $300 million in the second quarter of 2016, up 27% from the corresponding quarter and 8% from the preceding quarter.
Tower CEO Russell Ellwanger said, “We are pleased with our first quarter financial results; continued revenue and EBITDA growth above previous records. During the quarter, we completed the acquisition of the San Antonio factory, a key strategic move, increasing our business relationship with Maxim while providing additional capacity in close proximity to our large US customer base. We have already qualified and taped-out multiple RF flows for key customers that will provide revenues in the fourth quarter this year and a strong ramp through 2017.”
He added, "Based upon customers’ demand, organic capacity increases and strong assurance of revenue growth within our Japanese factories, we expect significant performance in 2016, top and bottom lines.”
Published by Globes [online], Israel business news - www.globes-online.com - on May 9, 2016
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