Shares of Camtek (NASDAQ:CAMT) plummeted 5.27% in pre-market trading on Tuesday after the company reported its first-quarter earnings and provided guidance for the second quarter. The sharp decline comes as investors react to mixed financial results and a cautious outlook.

Camtek, a leading manufacturer of metrology and inspection equipment for the semiconductor industry, reported Q1 revenue of $118.6 million, slightly missing the analyst consensus estimate of $119 million. Despite the miss, this figure represents a 22.14% increase compared to the same period last year when the company reported sales of $97.10 million. On a positive note, the company's adjusted earnings per share came in at $0.79, beating the analyst consensus estimate of $0.77 by 2.6% and showing a 23.44% increase from $0.64 per share in the year-ago quarter.

Looking ahead, Camtek provided revenue guidance for the second quarter of 2025, projecting sales in the range of $120-123 million. While this guidance is roughly in line with the FactSet consensus estimate of $120.9 million, it appears that investors were hoping for a more robust outlook given the current dynamics in the semiconductor industry. The company's CEO commented on the results, stating, "We expect our exposure to tariffs to be immaterial," which may provide some reassurance to investors concerned about ongoing trade tensions.