TEL AVIV Aug 4 Israeli chipmaker TowerJazz
on Monday beat estimates with strong second-quarter
net profit due to revenue from its joint venture in Japan with
It earned 62 cents per share excluding one-time items,
compared with EPS of 47 cents per share a year earlier. Revenue
grew 87 percent to $234.1 million.
The company was forecast to earn 42 cents a share excluding
items on revenue of $228.8 million, according to Thomson Reuters
TowerJazz has lost money for years following heavy
investment in a second chip plant in Israel.
Chief Executive Russell Ellwanger said the company closed
negotiations with third party customers, which should reach
annual revenue beyond $100 million within the next three years.
"We expect these first contracts and agreements to begin
volume production ramp in the second half of 2015," he said in a
The company said it expects third quarter revenue to be $225
million with an upward or downward range of 5 percent. Mid-range
guidance represents 70 percent year over year growth, it said.
(Reporting by Tova Cohen and Ari Rabinovitch; Editing by Steven