ORBOTECH LTD.

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

U.S. dollars in thousands   (except per share data)

 (Unaudited)

9 months ended

3 months ended

September 30

September 30

2015

2014

2015

2014

Revenues 

$564,282

$385,255

$190,503

$167,277

Cost of revenues

309,096

216,939

104,158

93,290

Gross profit

255,186

168,316

86,345

73,987

Operating expenses: 

Research and development, net

76,258

60,606

25,439

23,035

Selling, general and administrative

89,121

63,683

30,094

23,515

Equity in earnings of Frontline

(3,976)

(4,741)

(1,754)

(1,183)

Amortization of intangible assets

23,547

10,430

7,519

8,410

Gain from the sale of the Thermal activity

(628)

SPTS acquisition costs

6,821

6,821

Total operating expenses

184,322

136,799

61,298

60,598

Operating income

70,864

31,517

25,047

13,389

Financial expenses  - net

18,406

3,814

6,138

3,880

Income before taxes on income

52,458

27,703

18,909

9,509

Taxes on income

11,137

5,079

2,769

2,088

Share in losses of equity method investee

415

315

200

102

Net income

40,906

22,309

15,940

7,319

Net income (loss) attributable to 

the non-controlling interests

182

51

21

(60)

Net income attributable to Orbotech Ltd. 

$40,724

$22,258

$15,919

$7,379

Basic earnings per share

$0.96

$0.53

$0.37

$0.18

Diluted earnings per share

$0.94

$0.52

$0.37

$0.17

Weighted average number of shares (in thousands)

used in computation of:

Basic earnings per share

42,266

41,678

42,557

41,541

Diluted earnings per share

43,237

42,776

43,491

42,735