Camtek Ltd. (NASDAQ: CAMT) posts record Q2 2026 sales and projects strong H2 growth

Rhea-AI Filing Summary

Camtek Ltd. reported record second-quarter 2026 revenue of $133.2 million, an 8% increase from $123.3 million a year earlier. GAAP gross profit was $66.7 million with a 50.1% gross margin, slightly below 50.8% in the prior-year quarter. GAAP operating income was $27.2 million (20.4% margin), down 15% from $32.0 million, mainly reflecting higher R&D and selling, general and administrative expenses. GAAP net income declined 31% to $23.3 million, or $0.46 per diluted share.

On a non-GAAP basis, gross profit was $68.5 million (51.4% margin) and operating income was $36.0 million (27.0% margin). Non-GAAP net income rose 2% to $39.4 million, or $0.78 per diluted share. Management cited acquisition-related expenses and a $7.7 million one-time tax expense among non-GAAP adjustments. Year-to-date orders exceeded $600 million, contributing to record backlog, and management expects Advanced Packaging revenue to grow about 70% between the first and fourth quarters of 2026.

Camtek guided third-quarter 2026 revenue to $158–$160 million, representing about a 20% sequential increase. It also expects more than 30% growth in second-half 2026 revenue versus first-half 2026, with continued growth into 2027. The balance sheet remains strong, with $815.8 million in cash, deposits and marketable securities as of June 30, 2026, against $488.5 million of convertible notes and total shareholders’ equity of $710.2 million.

Positive

• Record Q2 2026 revenue of $133.2 million, up 8% year-over-year from $123.3 million, demonstrating continued top-line growth.
• Non-GAAP net income grew 2% to $39.4 million, with a non-GAAP gross margin of 51.4% and operating margin of 27.0%.
• Management guided Q3 2026 revenue to $158–$160 million, implying about a 20% sequential increase over Q2.
• Company expects more than 30% revenue growth in H2 2026 vs. H1 2026, and indicates continued growth into 2027.
• Year-to-date orders exceeded $600 million with record backlog, supporting strong business visibility and future revenue.
• Advanced Packaging revenue is expected to grow approximately 70% between Q1 and Q4 2026, highlighting strength in a key strategic segment.
• Robust financial position with $815.8 million in cash, deposits and marketable securities and $710.2 million in shareholders’ equity versus $488.5 million of convertible notes.

Negative

• GAAP net income declined 31% year-over-year to $23.3 million, with diluted EPS falling from $0.69 to $0.46.
• GAAP operating income decreased 15% to $27.2 million, and the operating margin compressed from 25.9% to 20.4%.
• Margins softened, with GAAP gross margin at 50.1% versus 50.8% and non-GAAP gross margin at 51.4% versus 51.9% a year earlier.
• Results included a $7.7 million one-time tax expense and higher acquisition-related and share-based compensation costs, weighing on GAAP profitability.

Filing Explained

Preliminary results show 46,668,177 shares outstanding at June 30 versus 45,828,133 at December 31, expanding the share base.

Form 6-K is a foreign private issuer’s interim report for material information published in its home market. Camtek furnished preliminary, unaudited results for the quarter ended June 30, 2026; its balance sheet reports 46,668,177 shares outstanding versus 45,828,133 at December 31, 2025, so the share base was larger at quarter-end.

The balance sheet separately reports 100,000,000 authorized shares, 48,760,553 issued shares, 46,668,177 outstanding shares, and 2,092,376 treasury shares.

The filing’s specific follow-up item is the later audited results, which may differ from these preliminary figures.

Key Figures

Q2 2026 Revenue: $133.2 million Q2 2026 GAAP Net Income: $23.3 million Q2 2026 Non-GAAP Net Income: $39.4 million +5 more

8 metrics

Q2 2026 Revenue $133.2 million Record revenues for the second quarter of 2026, up 8% year-over-year

Q2 2026 GAAP Net Income $23.3 million Second quarter 2026 GAAP net income, down 31% from $33.7 million in Q2 2025

Q2 2026 Non-GAAP Net Income $39.4 million Second quarter 2026 non-GAAP net income, a 2% increase from $38.8 million

Q3 2026 Revenue Guidance $158–$160 million Management forecast, representing about a 20% sequential increase over Q2 2026

Cash, Deposits and Securities $815.8 million Cash and cash equivalents, deposits and marketable securities as of June 30, 2026

Convertible Notes $488.497 million Convertible notes outstanding as of June 30, 2026

Total Shareholders’ Equity $710.163 million Shareholders’ equity as of June 30, 2026

H2 vs. H1 2026 Growth Expectation More than 30% Management expectation for revenue growth in H2 2026 compared to H1 2026

Key Terms

Advanced Packaging (AP), non-GAAP, Convertible notes, condensed interim consolidated, +2 more

6 terms

Advanced Packaging (AP) technical

"our leadership position in the Advanced Packaging (AP) segment, has significantly improved our business visibility"

non-GAAP financial

"Gross profit on a non-GAAP basis in the quarter totaled $68.5 million (51.4% of revenues)"

Non-GAAP refers to financial measures that companies use to show their earnings or performance without including certain expenses or income that are often added back to give a different picture. It matters because it can make a company's results look better or more favorable, but it may also hide important costs, so investors need to look at both GAAP (official rules) and non-GAAP numbers to get a full understanding.

Convertible notes financial

"Convertible notes | | | 488,497 | | | | 519,833"

Convertible notes are a type of short-term loan that a company receives from investors, which can later be turned into company shares instead of being paid back in cash. They matter to investors because they offer a way to support a company early on while giving the potential to own a stake in its success if the company grows and later raises more funding.

condensed interim consolidated financial

"CAMTEK LTD. and its subsidiaries Condensed Interim Consolidated Balance Sheets (Unaudited)"

acquisition-related expenses financial

"During the six-month period ended June 30, 2026, the Company recorded acquisition-related expenses of $1.3 million"

Loss from extinguishment of Capital Notes financial

"the Company recorded a loss of $88.7 million, consisting of: (1) $100.9 million from the extinguishment of Capital Notes"

Earnings Snapshot

Q2 2026 revenue: $133.2 million · Guidance included

Second quarter and six months ended June 30, 2026

Q2 2026 revenue $133.2 million 8% year-over-year increase from $123.3 million

Q2 2026 GAAP net income $23.3 million 31% year-over-year decrease from $33.7 million

Q2 2026 non-GAAP net income $39.4 million 2% year-over-year increase from $38.8 million

Q2 2026 diluted GAAP EPS $0.46 declined from $0.69 in Q2 2025

Q2 2026 diluted non-GAAP EPS $0.78 slightly below $0.79 in Q2 2025

Q3 2026 revenue guidance $158–$160 million about 20% sequential increase over Q2 2026

Guidance

Management expects third-quarter 2026 revenue of $158–$160 million, representing about a 20% sequential increase, and more than 30% revenue growth in H2 2026 versus H1 2026, with continued growth into 2027.

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FAQ

How did Camtek (CAMT) perform financially in Q2 2026?

Camtek reported record Q2 2026 revenue of $133.2 million, up 8% year-over-year. GAAP net income was $23.3 million ($0.46 diluted EPS), while non-GAAP net income was $39.4 million ($0.78 diluted EPS).

What revenue guidance did Camtek (CAMT) provide for Q3 2026?

Management expects Q3 2026 revenue of $158–$160 million, representing about a 20% sequential increase over Q2. This outlook reflects strong order momentum and record backlog across key semiconductor segments.

What growth does Camtek (CAMT) expect for the second half of 2026?

Camtek expects more than 30% revenue growth in H2 2026 versus H1 2026. Management also anticipates continued growth into 2027, supported by strong orders and demand in Advanced Packaging and other semiconductor applications.

How strong is Camtek’s (CAMT) balance sheet as of June 30, 2026?

As of June 30, 2026, Camtek held $815.8 million in cash, deposits and marketable securities. Shareholders’ equity totaled $710.2 million, while convertible notes were $488.5 million, indicating substantial net resources.

How did Camtek’s (CAMT) margins change in Q2 2026 versus Q2 2025?

GAAP gross margin was 50.1% versus 50.8% a year earlier, and GAAP operating margin was 20.4% versus 25.9%. Non-GAAP gross margin was 51.4%, slightly below 51.9% in Q2 2025.

What is driving Camtek’s (CAMT) growth outlook in Advanced Packaging?

Management expects Advanced Packaging revenue to grow about 70% between Q1 and Q4 2026. Strong demand and Camtek’s leadership in this segment contribute to record backlog and a positive multi-year growth outlook.

How do Camtek’s (CAMT) GAAP and non-GAAP earnings differ in Q2 2026?

In Q2 2026, GAAP net income was $23.3 million, while non-GAAP net income was $39.4 million. Adjustments primarily reflect acquisition-related expenses, share-based compensation and a $7.7 million one-time tax expense.

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 6-K

Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16
under the Securities Exchange Act of 1934

For the Month of August 2026

CAMTEK LTD.
(Translation of Registrant’s Name into English)

Ramat Gavriel Industrial Zone
P.O. Box 544
Migdal Haemek 23150
ISRAEL
(Address of Principal Corporate Offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F ☒ Form 40-F ☐ 

Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities and Exchange Act of 1934.

Yes ☐ No ☒ 

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. This Form 6-K, including all exhibits hereto, is hereby incorporated by reference into all effective registration statements filed by the registrant under the Securities Act of 1933.

CAMTEK LTD.
(Registrant)

By: /s/ Moshe Eisenberg
——————————————
Moshe Eisenberg,
Chief Financial Officer

Dated: August 10, 2026

	Camtek Ltd. P.O.Box 544, Ramat Gabriel Industrial Park Migdal Ha’Emek 23150, ISRAEL Tel: +972 (4) 604-8100   Fax: +972 (4) 644-0523 E-Mail: Info@camtek.com  Web site: http://www.camtek.com
CAMTEK LTD. Moshe Eisenberg, CFO Tel: +972 4 604 8308 Mobile: +972 54 900 7100 moshee@camtek.com		INTERNATIONAL INVESTOR RELATIONS EK Global Investor Relations Ehud Helft Tel: (US) 1 212 378 8040 camtek@ekgir.com

FOR IMMEDIATE RELEASE

 CAMTEK ANNOUNCES RESULTS

FOR THE SECOND QUARTER OF 2026

Q2 record revenues of $133.2 million; Expects more than 30% growth in H2-26 vs. H1-26 and

further growth into 2027

MIGDAL HAEMEK, Israel – August 10, 2026 – Camtek Ltd. (NASDAQ: CAMT; TASE: CAMT), today announced its financial results for the second quarter ended June 30, 2026.

2026 Second Quarter Financial Highlights

• Record revenues of $133.2 million, a 10% QoQ increase;

• GAAP gross margin of 50.1% and non-GAAP gross margin of 51.4%;

• GAAP operating income of $27.2 million and non-GAAP operating income of $36.0 million, representing operating margins of 20.4% and 27%, respectively;

• GAAP net income of $23.3 million and non-GAAP net income of $39.4 million; GAAP diluted EPS of $0.46 and non-GAAP diluted EPS of $0.78; and

• Completed the Visual Layer acquisition

Forward-Looking Expectations

Management expects third-quarter revenue to be in the range of $158 million to $160 million, representing an exceptional 20% sequential increase over the second quarter.

Given our strong order momentum and record backlog, management expects more than 30% growth in H2-26 vs. H1-26 followed by continued growth into 2027.

Management Comment

Rafi Amit, Camtek’s CEO commented, “I am very pleased with the second quarter results which set a record revenue for us. Since the beginning of 2026, we have experienced a significant acceleration in order intake, bringing total orders received year-to-date to more than $600 million, with deliveries scheduled throughout the remainder of 2026 and into 2027.

This exceptional level of order intake, combined with our leadership position in the Advanced Packaging (AP) segment, has significantly improved our business visibility and is expected to drive a very strong second half, with our AP revenue to grow approximately 70% between the first and fourth quarters of 2026.

Concluded Mr. Amit, “Our product development roadmap is closely aligned with the technology roadmaps of the industry's leading customers. Combined with our deep customer engagement, expanding product portfolio, and proven execution, positions us to penetrate new process steps and applications, giving us strong confidence in our ability to deliver sustained growth in the years ahead.”

Second Quarter 2026 Financial Results

Revenues for the second quarter of 2026 were $133.2 million. This compares to second quarter 2025 revenues of $123.3 million, a year-over-year growth of 8%.

Gross profit on a GAAP basis in the quarter totaled $66.7 million (50.1% of revenues), an increase of 7% compared to $62.6 million (50.8% of revenues) in the second quarter of 2025.

Gross profit on a non-GAAP basis in the quarter totaled $68.5 million (51.4% of revenues), an increase of 7% compared to $64.0 million (51.9% of revenues) in the second quarter of 2025.

Operating income on a GAAP basis in the quarter totaled $27.2 million (20.4% of revenues), a decrease of 15% compared to $32.0 million (25.9% of revenues) in the second quarter of 2025.

Operating income on a non-GAAP basis in the quarter totaled $36.0 million (27.0% of revenues), a decrease of 4% compared to $37.4 million (30.3% of revenues) in the second quarter of 2025.

Net income on a GAAP basis in the quarter totaled $23.3 million, or $0.46 per diluted share, a decrease of 31% compared to net income of $33.7 million, or $0.69 per diluted share, in the second quarter of 2025.

Net income on a non-GAAP basis in the quarter totaled $39.4 million, or $0.78 per diluted share, an increase of 2% compared to a non-GAAP net income of $38.8 million, or $0.79 per diluted share, in the second quarter of 2025.

Cash and cash equivalents, short-term and long-term deposits, and marketable securities, as of June 30, 2026, were $815.8 million compared to $849.7 million as of March 31, 2026. During the second quarter, the Company generated an operating cash flow of $12.2 million.

Conference Call

Camtek will host a video conference call/webinar today via Zoom, on August 10, 2026, 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_a_Na02dbSo-7hZ5je-P39g

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 at http://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 our future earnings and guidance, the compound semiconductors market and our position in this market. 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,  risks related to the ongoing hostilities in the Middle East; the impact of disruptions to global shipment and supply chain, including but not limited to increased risk and disruption around the Strait of Hormuz, and broader impacts on energy and freight markets; the continued demand  and future contribution of 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 nations; 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; risks related to fluctuations in foreign currency exchange rates; and those other factors discussed in our Annual Report on Form 20-F as published on March 19, 2026, 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) one-time tax expenses 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. A reconciliation between the GAAP and non-GAAP results appears in the tables at the end of this press release. The results reported in this press-release are preliminary unaudited results, and investors should be aware of possible discrepancies between these results and the audited results to be reported, due to various factors.

CAMTEK LTD. and its subsidiaries

Condensed Interim Consolidated Balance Sheets (Unaudited)

(In thousands)

		June 30,				December 31,
		2026				2025
		U.S. Dollars
Assets
Current assets
Cash and cash equivalents			215,229				177,848
Short-term deposits			327,440				411,450
Marketable securities			87,695				78,862
Trade accounts receivable, net			153,921				90,829
Inventories			99,816				112,202
Other current assets			40,318				25,804
Total current assets			924,419				896,995
Marketable securities			185,473				182,941
Long-term inventory			16,979				15,569
Deferred tax asset, net			11,661				12,933
Other assets, net			1,802				1,881
Property, plant and equipment, net			59,359				55,090
Right of use assets, net			9,968				10,017
Intangible assets, net			16,654				10,062
Goodwill			112,737				74,345
Total non-current assets			414,633				362,838
Total assets			1,339,052				1,259,833
Liabilities and shareholders’ equity
Current liabilities
Trade accounts payable			48,402				33,676
Other current liabilities			76,936				73,749
Total current liabilities			125,338				107,425
Long-term liabilities
Deferred tax liabilities, net			-				1,261
Other long-term liabilities			15,054				14,311
Convertible notes			488,497				519,833
Total long-term liabilities			503,551				535,405
Total liabilities			628,889				642,830
Commitments and contingencies
Shareholders’ equity
Ordinary shares NIS 0.01 par value, 100,000,000 shares authorized at June 30, 2026 and at December 31, 2025;
48,760,553 issued shares at June 30, 2026 and 47,920,509 at December 31, 2025;
46,668,177 shares outstanding at June 30, 2026 and 45,828,133 at December 31, 2025			181				178
Additional paid-in capital			272,741				231,892
Accumulated other comprehensive income (loss)			(2,355	)			287
Retained earnings			441,494				386,544
			712,061				618,901
Treasury stock, at cost (2,092,376 shares as of June 30, 2026 and December 31, 2025)			(1,898	)			(1,898	)
Total shareholders' equity			710,163				617,003
Total liabilities and shareholders' equity			1,339,052				1,259,833

CAMTEK LTD. and its subsidiaries

Condensed Interim Consolidated Statement of Income (unaudited)

(in thousands)

		Six months ended June 30,								Three months ended June 30,								Year ended December 31,
		2026				2025				2026				2025				2025
		U.S. dollars								U.S. dollars								U.S. dollars
Revenues			254,902				241,955				133,243				123,317				496,072
Cost of revenues			127,271				118,780				66,541				60,706				245,755
Gross profit			127,631				123,175				66,702				62,611				250,317
Operating expenses:
Research and development			31,007				21,836				16,684				11,474				48,345
Selling, general and administrative			42,131				36,665				22,791				19,163				73,769
Total operating expenses			73,138				58,501				39,475				30,637				122,114
Operating income			54,493				64,674				27,227				31,974				128,203
Financial income, net			15,126				10,375				6,977				4,942				25,064
Other expenses			-				-				-				-				(100,932	)
Income before income taxes			69,619				75,049				34,204				36,916				52,335
Income tax expense			(14,669	)			(7,043	)			(10,899	)			(3,221	)			(1,613	)
Net income			54,950				68,006				23,305				33,695				50,722

Earnings per share information:

		Six months ended June 30,								Three months ended June 30,								Year ended December 31,
		2026				2025				2026				2025				2025
		U.S. dollars								U.S. dollars								U.S. dollars
Basic net earnings per share (in US dollars)			1.18				1.49				0.50				0.74				1.11
Diluted net earnings per share (in US dollars)			1.09				1.39				0.46				0.69				1.04
Weighted average number of
ordinary shares outstanding:
Basic			46,496				45,622				46,643				45,682				45,703
Diluted			51,433				49,306				51,520				49,327				49,970

CAMTEK LTD. and its subsidiaries

Reconciliation of GAAP To Non-GAAP results

(In thousands, except share data)

		Six Months ended June 30,								Three Months ended June 30,								Year ended December 31,
		2026				2025				2026				2025				2025
		U.S. dollars								U.S. dollars								U.S. dollars
Reported net income attributable to Camtek Ltd. on GAAP basis			54,950				68,006				23,305				33,695				50,722
Acquisition-related expenses (1)			4,059				1,300				3,570				650				2,801
One-time Tax expenses			7,700				-				7,700				-				-
Loss from extinguishment of Capital Notes (2)			-				-				-				-				88,682
Share-based compensation			7,995				8,203				4,873				4,493				16,819
Non-GAAP net income			74,704				77,509				39,448				38,838				159,024
Non–GAAP net income per diluted share			1.48				1.57				0.78				0.79				3.26
Gross margin on GAAP basis			50.1	%			50.9	%			50.1	%			50.8	%			50.4	%
Reported gross profit on GAAP basis			127,631				123,175				66,702				62,611				250,317
Acquisition-related expenses (1)			1,707				1,220				1,097				610				2,895
Share-based compensation			1,139				1,344				687				763				2,806
Non- GAAP gross profit			130,477				125,739				68,486				63,984				256,018
Non-GAAP gross margin			51.2	%			52.0	%			51.4	%			51.9	%			51.6	%
Reported operating income attributable to Camtek Ltd. on GAAP basis			54,493				64,674				27,227				31,974				128203
Acquisition-related expenses (1)			4,620				1,856				3,928				928				4,000
Share-based compensation			7,995				8,203				4,873				4,493				16,819
Non-GAAP operating income			67,108				74,733				36,028				37,395				149,022

(1)          During the six-month period ended June 30, 2026, the Company recorded acquisition-related expenses of $1.3 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) $1.2 million amortization of intangible assets acquired recorded under cost of revenues line item. (3) $0.2 million of compensation-related expenses recorded under research and development expenses line item. (4) $0.1 million amortization of intangible assets acquired recorded under sales and marketing expenses line item. (5) $2.6 million one-time M&A expenses recorded under G&A line item. (6) $0.6 million reversal of tax provision related to the above adjustment, recorded under the tax expense line item.

During the three-month period ended June 30, 2026, the Company recorded acquisition-related expenses of $0.8 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) $0.2 million of compensation-related expenses recorded under research and development expenses line item. (4) $0.1 million amortization of intangible assets acquired recorded under sales and marketing expenses line item. (5) $2.6 million one-time M&A expenses recorded under G&A line item. (6) $0.4 million reversal of tax provision related to the above adjustment, recorded under the tax expense line item.

During the six-month period ended June 30, 2025, the Company recorded acquisition-related expenses of $1.3 million, consisting of: (1) $1.2 million amortization of intangible assets acquired recorded under cost of revenues line item. (2) $0.6 million amortization of intangible assets acquired recorded under sales and marketing expenses line item. (3) $0.6 million reversal of tax provision related to the above adjustment, recorded under the tax expense line item.

During the three-month period ended June 30, 2025, 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, 2025, the Company recorded acquisition-related expenses of $2.8 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) $2.4 million amortization of intangible assets acquired recorded under cost of revenues line item. (3) $1.1 million amortization of intangible assets acquired recorded under sales and marketing expenses line item. (4) $1.2 million reversal of tax provision related to the above adjustment, recorded under the tax expense line item.

(2)          During the year ended December 31, 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.