Exhibit 99.1

Camtek Ltd.

and its Subsidiaries

Interim Condensed Consolidated

Financial Statements

As of June 30, 2023

(Unaudited)

Camtek Ltd. and its Subsidiaries

Interim Unaudited Condensed Consolidated Financial Statements as at June 30, 2023

Contents

	Page
Interim Unaudited Condensed Consolidated Balance Sheets	F-3
Interim Unaudited Condensed Consolidated Statements of Operations	F-4 to F-5
Interim Unaudited Condensed Consolidated Statements of Shareholders’ Equity	F-6
Interim Unaudited Condensed Consolidated Statements of Cash Flows	F-7 to F-8
Notes to the Interim Unaudited Condensed Consolidated Financial Statements	F-9 to F-16

F - 2

Camtek Ltd. and its Subsidiaries

Interim Unaudited Condensed Consolidated Balance Sheets

		June 30,			December 31,
		2023			2022
	Note	U.S. Dollars (in thousands)
Assets
Current assets
Cash and cash equivalents	4A		232,787			148,156
Short-term deposits			198,500			251,500
Trade accounts receivable			79,025			80,611
Inventories	4B		61,207			65,541
Other current assets	4C		14,998			11,156
Total current assets			586,517			556,964
Long term deposits			75,000			79,000
Long term inventory	4B		7,125			5,357
Deferred tax assets			724			1,004
Other assets			2,557			1,024
Property, plant and equipment, net	4D		37,131			33,141
Intangible assets, net	4E		602			597
Total non-current assets			123,139			120,123
Total assets			709,656			677,087
Liabilities and shareholders’ equity
Current liabilities
Trade accounts payable			31,238			31,667
Other current liabilities	4F		45,529			56,833
Total current liabilities			76,767			88,500
Long term liabilities
Other long-term liabilities			10,198			8,748
Convertible notes	4G		196,284			195,737
			206,482			204,485
Total liabilities			283,249			292,985
Shareholders’ equity
Ordinary shares NIS 0.01 par value, 100,000,000 shares authorized at June 30, 2023 and at December 31, 2022;
46,811,504 issued shares at June 30, 2023 and 46,505,318 at December 31, 2022;
44,719,128 shares outstanding at June 30, 2023 and 44,412,942 at December 31, 2022;	3		175			175
Additional paid-in capital			193,626			187,105
Retained earnings			234,504			198,720
			428,305			386,000
Treasury stock, at cost (2,092,376 shares as of June 30, 2023 and December 31, 2022)			(1,898	)		(1,898	)
Total shareholders' equity			426,407			384,102
Total liabilities and shareholders' equity			709,656			677,087

The accompanying notes are an integral part of these interim unaudited condensed consolidated financial statements.

F - 3

Camtek Ltd. and its Subsidiaries

Interim Unaudited Condensed Consolidated Statements of Operations

(In thousands, except per share data)

		Six months ended June 30,						Year ended December 31,
		2023			2022			2022
	Note	U.S. dollars						U.S. dollars
Revenues			146,215			156,744			320,909
Cost of revenues			77,378			76,693			161,053
Gross profit			68,837			80,051			159,856
Research and development costs			15,672			15,199			28,859
Selling, general and  administrative expenses	5A		24,037			24,451			49,499
			39,709			39,650			78,358
Operating income			29,128			40,401			81,498
Financial income, net	5B		10,864			860			6,690
Income before income taxes			39,992			41,261			88,188
Income tax expense			(4,208	)		(3,700	)		(8,239	)
Net income			35,784			37,561			79,949

F - 4

Camtek Ltd. and its Subsidiaries

Interim Unaudited Condensed Consolidated Statements of Operations (contd.)

Net income per ordinary share:

		Six months ended June 30,				Year ended December 31,
		2023		2022		2022
	Note	U.S. dollars				U.S. dollars
Basic net earnings per share			0.80		0.86		1.81
Diluted net earnings per share			0.74		0.78		1.66
Weighted average number of ordinary shares outstanding   (in thousands):
Basic			44,562		43,929		44,158
Diluted			48,531		48,150		48,229

The accompanying notes are an integral part of these interim unaudited condensed consolidated financial statements.

F - 5

Camtek Ltd. and its Subsidiaries

Interim Unaudited Condensed Consolidated Statements of Shareholders’ Equity

	Ordinary Shares				Number of						Additional				Total
	NIS 0.01 par value				Treasury			Treasury			paid-in		Retained		shareholders'
	Number of		U.S. Dollars		Shares			Shares			earnings		earnings		equity
	Shares Issued		(in thousands)					U.S. Dollars (in thousands)
Balances at
December 31, 2021		45,939,019		172		(2,092,376	)		(1,898	)		176,582		118,771		293,627
Share-based
compensation
expense		-		-		-			-			5,592		-		5,592
Exercise of share
options and RSUs		416,840		2		-			-			-		-		2
Net income		-		-		-			-			-		37,561		37,561
Balances at
June 30, 2022		46,355,859		174		(2,092,376	)		(1,898	)		182,174		156,332		336,782
Share-based
compensation
expense		-		-		-			-			4,931		-		4,931
Exercise of share
options and RSUs		149,459		1		-			-			-		-		1
Net income		-		-		-			-			-		42,388		42,388
Balances at
December 31, 2022		46,505,318		175		(2,092,376	)		(1,898	)		187,105		198,720		384,102
Share-based
compensation
expense		-		-		-			-			6,521		-		6,521
Exercise of share
options and RSUs		306,186		*		-			-			-		-		-
Net income		-		-		-			-			-		35,784		35,784
Balances at
June 30, 2023		46,811,504		175		(2,092,376	)		(1,898	)		193,626		234,504		426,407

The accompanying notes are an integral part of these interim unaudited condensed consolidated financial statements.

*Represents an amount less than $1,000

F - 6

Camtek Ltd. and its Subsidiaries

Interim Unaudited Condensed Consolidated Statements of Cash Flows

(In thousands)

	Six months ended June 30,						Year ended December 31,
	2023			2022			2022
	U.S. dollars						U.S. dollars
Cash flows from operating activities:
Net income		35,784			37,561			79,949
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation and amortization		2,406			1,849			4,094
Deferred tax expense		280			110			(777	)
Amortization of debt issuance costs		547			547			1,094
Loss on disposal of fixed assets		233			-			-
Share based compensation expense		6,521			5,592			10,523
Change in provision for doubtful debts		-			-			(7	)
Changes in operating assets and liabilities:
Trade accounts receivable		1,829			(14,252	)		(21,984	)
Inventories		171			(13,512	)		(9,518	)
Due from related parties		-			(2	)		-
Other assets		(5,375	)		(2,079	)		(6,337	)
Trade accounts payable		(231	)		1,244			(2,113	)
Other current liabilities		(9,449	)		(4,111	)		2,875
Net cash provided by operating activities		32,716			12,947			57,799
Cash flows from investing activities:
Redemption (investment) of short-term deposits		57,000			(179,000	)		(95,500	)
Investment of long-term deposits		-			(15,000	)		(47,000	)
Purchase of fixed assets		(4,782	)		(3,786	)		(8,197	)
Purchase of intangible assets		(60	)		(28	)		(97	)
Net cash provided by (used in) investing activities		52,158			(197,814	)		(150,794	)

Cash flows from financing activities:
Proceeds from exercise of share options	-		2		3
Net cash provided by financing activities	-		2		3
Effect of change in exchange rate on cash and cash equivalents	(243	)	(1,037	)	(795	)
Net increase (decrease) in cash and cash equivalents	84,631		(185,902	)	(93,787	)
Cash and cash equivalents at beginning of the period	148,156		241,943		241,943
Cash and cash equivalents at end of the period	232,787		56,041		148,156

F - 7

Camtek Ltd. and its Subsidiaries

Interim Unaudited Condensed Consolidated Statements of Cash Flows

(In thousands)

 

	Six months ended June 30,				Year ended December 31,
	2023		2022		2022
	U.S. dollars				U.S. dollars
Supplementary cash flows information:
Income taxes paid		9,626		454		11,836
Interest received		6,911		1,030		4,293
Lease payments		735		689		1,480
Non-cash transactions:
Fixed assets purchased with supplier credit		371		680		569

The accompanying notes are an integral part of these interim unaudited condensed consolidated financial statements.

F - 8

Camtek Ltd. and its Subsidiaries

Notes to the Interim Unaudited Condensed Consolidated Financial Statements

(Amounts in thousands, except per share data)

Note 1 - Nature of Operations

A. Camtek Ltd. (“Camtek” or the “Company”), an Israeli corporation, is jointly controlled 21.5% by Priortech Ltd., an Israeli corporation listed on the Tel-Aviv Stock Exchange and 17.5% by Chroma Ate Inc., a Taiwanese company (“Chroma”). Camtek provides automated and technologically advanced solutions dedicated to enhancing production processes, increasing product yield and reliability, and enabling and supporting customers’ latest technologies in the semiconductor fabrication industry.

F - 9

Camtek Ltd. and its Subsidiaries

Notes to the Interim Unaudited Condensed Consolidated Financial Statements

(Amounts in thousands, except per share data)

Note 2 - Basis of Preparation

A.          Statement of compliance

Except as described below, the accounting policies applied in these interim financial statements are the same as those applied in the Company’s 2022 annual audited consolidated financial statement for the year ended December 31, 2022.

The accompanying unaudited condensed consolidated interim financial statements have been prepared in accordance with U.S. generally accepted accounting principles for interim financial information and do not include all of the information required for full annual financial statements. The unaudited condensed consolidated interim statements should be read in conjunction with the Company’s 2022 annual audited consolidated financial statements and footnotes, which were filed with the U.S. Securities and Exchange Commission as part of the Company’s Annual Report on Form 20-F for the year ended December 31, 2022.

In the opinion of management of the Company, the accompanying unaudited condensed financial statements contain all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of its financial position as of June 30, 2023, and its results of operations for the three months and nine months ended June 30, 2023, and 2022, and cash flows for the six months ended June 30, 2023, and 2022. The condensed balance sheet at December 31, 2022, was derived from audited annual financial statements but does not contain all of the footnote disclosures from the annual financial statements.

F - 10

Camtek Ltd. and its Subsidiaries

Notes to the Interim Unaudited Condensed Consolidated Financial Statements

(Amounts in thousands, except per share data)

Note 3 - Shareholders’ Equity

A.          General

The Company’s shares are traded on the NASDAQ Global Market under the symbol “CAMT”, and also listed and traded on the Tel-Aviv stock exchange

B.          Changes in Stock Options and RSUs

The number of stock options exercised in the six-month period ended June 30, 2023, was 306,186.

In the first six months of 2023, 509,231 restricted share units (RSUs) were granted by the Company. The RSUs vest over a four-year period.

C.          Share-based Compensation Expense

The total share-based compensation expense amounted to $6,521, $5,592, and $10,523 for the six-month periods ended June 30, 2023 and 2022 and the year ended December 31, 2022, respectively.

F - 11

Camtek Ltd. and its Subsidiaries

Notes to the Interim Unaudited Condensed Consolidated Financial Statements

(Amounts in thousands, except per share data)

Note 4 - Supplementary Financial Statements Information

A.          Cash and cash equivalents

The Company’s cash and cash equivalent balance at June 30, 2023 and December 31, 2022 is denominated in the following currencies:

	June 30,		December 31,
	2023		2022
	U.S. Dollars (in thousands)
US Dollars		226,172		139,644
New Israeli Shekels		4,416		4,008
Other currencies		2,199		4,504
		232,787		148,156

Short-term deposits are bank deposits in US Dollars with terms at the investment date of 3-12 months with average annual interest rates of 5.05%.

B.          Inventories
 

	June 30,		December 31,
	2023		2022
	U.S. Dollars (in thousands)
Components		34,158		43,017
Work in process		15,444		13,951
Finished products (including systems at customer locations not yet sold)		18,730		13,930
		68,332		70,898

Inventories are presented in:

	June 30,		December 31,
	2023		2022
	U.S. Dollars (in thousands)
Current assets		61,207		65,541
Long-term assets		7,125		5,357
		68,332		70,898

 

F - 12

Camtek Ltd. and its Subsidiaries

Notes to the Interim Unaudited Condensed Consolidated Financial Statements

(Amounts in thousands, except per share data)

Note 4 - Supplementary Financial Statements Information (cont’d)

C.          Other Current Assets

	June 30,		December 31,
	2023		2022
	U.S. Dollars (in thousands)
Interest receivable		7,048		3,979
Prepaid expenses		4,315		3,832
Due from Government institutions		2,875		2,598
Other		760		747
		14,998		11,156

D.          Property, Plant and Equipment, Net

	June 30,		December 31,
	2023		2022
	U.S. Dollars (in thousands)
Land		863		863
Building		20,345		18,490
Machinery and equipment		22,590		19,121
Office furniture and equipment		997		934
Computer equipment and software		6,218		6,256
Automobiles		396		396
Leasehold improvements		2,080		1,894
Right of use assets		5,845		6,087
		59,334		54,041
Less accumulated depreciation		22,203		20,900
		37,131		33,141

F - 13

Camtek Ltd. and its Subsidiaries

Notes to the Interim Unaudited Condensed Consolidated Financial Statements

(Amounts in thousands, except per share data)

Note 4 - Supplementary Financial Statements Information (cont’d)

E.          Intangible Assets, Net

	June 30,		December 31,
	2023		2022
	U.S. Dollars (in thousands)
Patent registration costs		2,195		2,135
Accumulated amortization and impairment		1,593		1,538
Total intangible assets, net		602		597

F.          Other Current Liabilities

	June 30,		December 31,
	2023		2022
	U.S. Dollars (in thousands)
Commissions		18,789		18,048
Advances from customers and deferred revenues		7,199		12,825
Accrued employee compensation and related benefits		10,506		11,941
Accrued warranty costs (1)		3,041		3,161
Government institutions and income tax payable		2,844		7,991
Accrued expenses		1,884		1,570
Operating lease obligations		1,266		1,297
		45,529		56,833

(1)          Changes in the accrued warranty costs are as follows:

	June 30,			December 31,
	2023			2022
	U.S. Dollars (in thousands)
Beginning of year		3,161			3,265
Accruals		2,721			5,823
Usage		(2,841	)		(5,927	)
Balance at end of year		3,041			3,161

F - 14

Camtek Ltd. and its Subsidiaries

Notes to the Interim Unaudited Condensed Consolidated Financial Statements

(Amounts in thousands, except per share data)

Note 4 - Supplementary Financial Statements Information (cont’d)

G.          Convertible Notes

The Convertible Senior Notes consisted of the following:

	June 30,		December 31,
	2023		2022
	U.S. Dollars (in thousands)
Liability:
Principle:		200,000		200,000
Unamortized issuance costs		3,716		4,263
Net carrying amount		196,284		195,737

As of June 30, 2023, the debt issuance costs of the Notes will be amortized over the remaining term of approximately 3.5 years.

The annual effective interest rate of the Notes is 0.56%. In the six-months ended June 30, 2023, $547 was recorded as amortization of debt issuance costs (In the year ended December 31, 2022 - $1,094).

As of June 30, 2023, the estimated fair value of the Notes, which the Company has classified as Level 2 financial instruments, is $179,154 (December 31, 2022 - $152,565). The estimated fair value was determined based on the quoted bid price of the Notes in an over-the-counter market on the last trading day of the reporting period.

As of June 30, 2023, the principal amount exceeded the if-converted value of the Notes by $20,846 (December 31, 2022, the principal amount exceeded the if-converted value of the Notes by $47,435).

F - 15

Camtek Ltd. and its Subsidiaries

Notes to the Interim Unaudited Condensed Consolidated Financial Statements

(Amounts in thousands, except per share data)

Note 5 - Statements of Operations

A. Selling, general and administrative expenses

	Six months ended June 30,				Year ended December 31,
	2023		2022		2022
	U.S. Dollars (in thousands)
Selling (1)		17,910		18,840		38,249
General and administrative		6,127		5,611		11,250
		24,037		24,451		49,499
(1)         Including shipping and handling costs		1,025		980		2,294

B.          Financial income (expenses), net

	Six months ended June 30,						Year ended December 31,
	2023			2022			2022
	U.S. Dollars (in thousands)
Interest income		11,838			2,488			8,648
Amortization of issuance costs of convertible notes		(547	)		(547	)		(1,094	)
Other, net (1)		(427	)		(1,081	)		(864	)
		10,864			860			6,690
(1)         Including foreign currency expense resulting from transactions not denominated in U.S. Dollars		(172	)		(871	)		(351	)

Note 6 – Subsequent Events

On September 18, 2023, the Company announced it has entered into an agreement to acquire the FRT Metrology business of FormFactor, Inc. The acquisition is expected to close during the fourth quarter of 2023, subject to the satisfaction of customary closing conditions. The purchase price is $100 million in cash, subject to customary purchase price adjustments.

F - 16