Press release
Tower Semiconductor Reports 2022 Fourth Quarter and Full Year Financial Results
Full Year Record Revenue of $1.68 Billion;Increased Profitability Resulting in 16% Net Margin for 2022 MIGDAL HAEMEK, Israel, Feb. 16, 2023 (GLOBE NEWSWIRE)
About this update from Tower Semiconductor Ltd.
[{"type":"text","content":"Full Year Record Revenue of $1.68 Billion;Increased Profitability Resulting in 16% Net Margin for 2022 MIGDAL HAEMEK, Israel, Feb. 16, 2023 (GLOBE NEWSWIRE) -- Tower Semiconductor (NASDAQ: TSEM & TASE: TSEM) reports today its results for the fourth quarter and for the year ended December 31, 2022. Fourth Quarter of 2022 Results Overview Revenue for the fourth quarter of 2022 was $403 million, as compared to $412 million in the fourth quarter of 2021. Organic revenue for the fourth quarter of 2022, defined as total revenue excluding revenues from Nuvoton in the Japanese fabs and from Maxim in the San Antonio fab, increased by 6% year over year. Revenue for the third quarter of 2022 was $427 million. Gross profit for the fourth quarter of 2022 was $125 million, 25% higher than $100 million recorded in the fourth quarter of 2021, mainly due to replacing approximately $20 million of contractual revenue from Arai, following the previously disclosed cessation of its operations, with higher margin organic foundry customer revenue. Gross profit in the third quarter of 2022 was $125 million. Operating profit for the fourth quarter of 2022 was $99 million, 77% higher than the $56 million recorded in the fourth quarter of 2021. Operating profit in the third quarter of 2022 was $79 million. Our operating profits for 2022 included restructuring income and cost relating to the previously disclosed Arai cessation of operations which occurred during 2022 as part of reorganizing and restructuring our Japan operations. All such related income and cost are presented in a separate line as restructuring income, net, in the amount of $14 million for the three months ended December 31, 2022, as compared with $4 million cost for the three months ended September 30, 2022. Net profit for the fourth quarter of 2022 was $83 million, or $0.76 basic and $0.75 diluted earnings per share, 61% higher than the $52 million or $0.48 basic and $0.47 diluted earnings per share recorded in the fourth quarter of 2021. Net profit in the third quarter of 2022 was $69 million, which represented $0.63 basic and $0.62 diluted earnings per share. Cash flow generated from operating activities in the fourth quarter of 2022 was $133 million with investment in fixed assets of $38 million, net of proceeds from machinery and equipment sold during the quarter, including as part of...