ORBOTECH Announces Fourth Quarter and Full Year 2005 Results

ORBOTECH LTD.  announced its consolidated financial results for the fourth quarter and full year ended December 31, 2005.

Revenues for the fourth quarter of 2005 were $96.4 million, compared with $87.8 million in the fourth quarter a year ago. Net income for the fourth quarter of 2005 was $12.0 million, or $0.36 per share (diluted), compared with net income of $6.5 million, or $0.20 per share (diluted), in the fourth quarter of last year. The results for the fourth quarter of 2004 included a special charge of $2.9 million related to the Company's write-down of its venture capital investment in an Israeli company.

Revenues for the year ended December 31, 2005 totaled $379.9 million, compared with the $315.2 million recorded in 2004. Net income for the year ended December 31, 2005 was $43.3 million, or $1.30 per share (diluted), compared with net income of $29.5 million, or $0.90 per share (diluted), for the year ended December 31, 2004.

Sales of equipment to the PCB industry relating to bare PCBs in the fourth quarter of 2005 were $38.4 million, compared with $37.3 million in the third quarter of 2005 and $32.7 million in the fourth quarter of 2004. Sales of equipment to the PCB industry relating to assembled PCBs were $8.4 million, compared with $9.1 million in the third quarter of 2005 and $8.3 million in the fourth quarter of 2004. Sales of FPD inspection equipment in the fourth quarter of 2005 were $28.1 million, compared with $26.3 million in the third quarter of 2005 and $26.4 million in the fourth quarter of 2004. Sales of automatic check reading products in the fourth quarter of 2005 were $2.1 million, compared with $1.6 million in the third quarter of 2005 and $2.0 million in the fourth quarter of 2004. In addition, service revenue for the fourth quarter of 2005 was $19.3 million, unchanged from the third quarter of 2005 and up from the $18.4 million in the fourth quarter of 2004.

Commenting on the results, Yochai Richter, Chief Executive Officer, said: "We are pleased with our financial results for the quarter, and for 2005 as a whole, in which we posted record revenues. Our focused investments in research and development, and commitment to our worldwide customer support network, are an integral and consistent part of our corporate strategy. The Company enters 2006 with an excellent product portfolio, which reinforces our leadership position as the pre-eminent provider of yield management solutions to the growing industries that we serve."