TOWERJAZZ, a specialty foundry company, has revealed that it more than doubled last year's revenue with its second-quarter financial results. Highlights for the quarter include record revenue of $125.7 million with a revenue run rate for the year that surpassed $500 million. The company achieved strong growth in its operating profit to $42 million compared to $35 million in the first quarter.
The company's second-quarter 2010 revenue represented a 107-percent increase over second-quarter 2009 revenue of $60.6 million. It showed a sequential 10-percent increase over first-quarter 2010 revenue of $113.8 million. As of June 30, 2010, TowerJazz's cash balance was $85 million as compared to $38 million as of June 30, 2009 and $83 million as of March 31, 2010. Tower Semiconductor Ltd. and its fully owned US subsidiary, Jazz Semiconductor, operate collectively under the brand name TowerJazz.
Russell Ellwanger, the company's Chief Executive Officer, comments, "2010 began strongly for TowerJazz and our momentum continues to grow. To our best visibility, we foresee continued best-ever revenue and EBIDTA throughout this year and into 2011. We have now surpassed a revenue run rate that would achieve $500 annual revenue, which we consider as a major milestone achievement. This quarter was by far the best in TowerJazz's history, surpassing the combined, best single pro-forma revenue quarters ever achieved by either Tower or Jazz. And as a result of our value-add product platforms, service offerings, and operational efficiencies, the EBIDTA is about 2X of the previously mentioned best pro-forma quarters."
Ellwanger continues, "Our bullish optimism for the future is based upon accelerated design-win momentum, which has been realized within a large group of diversified, global customersmany of which are market share and technology platform leaders for their respective markets. We have also taken significant strides to increase our manufacturing capacity so we can service more business. As we move into the second half of the year, these efforts will bear fruit."