MARLBOROUGH, Mass., Jan. 28, 2026 (GLOBE NEWSWIRE) -- IPG Photonics Corporation (Nasdaq: IPGP) will release its fourth quarter 2025 financial results before the market opens on Thursday, February 12, 2026. The Company will hold a conference call to review these results at 10:00 a.m. ET on the same day. To access the call, please dial 877-407-6184 in the United States or 201-389-0877 internationally. A live webcast of the call will also be available and archived in the investor relations section of the Compa ...

MARLBOROUGH, Mass., Jan. 20, 2026 (GLOBE NEWSWIRE) -- IPG Photonics Corporation (NASDAQ: IPGP), the global leader in fiber laser technology, will showcase new and innovative laser solutions at the 2026 SPIE Photonics West Exhibition, January 20-22, 2026, in San Francisco. The 1,200-square-foot booth will feature numerous displays of laser components, laser sources and integrated technologies designed to enable the advancement of scientific research and optimize performance of applications including cleaning ...

Core Viewpoint - IPG Photonics (IPGP) is positioned well to potentially beat earnings estimates in its upcoming quarterly report, supported by a strong history of exceeding expectations [1]. Earnings Performance - IPG has a notable track record of surpassing earnings estimates, with an average surprise of 159.38% over the last two quarters [2]. - In the most recent quarter, IPG reported earnings of $0.35 per share against an expectation of $0.16, resulting in a surprise of 118.75% [2]. - For the previous quarter, the consensus estimate was $0.1 per share, while the actual earnings were $0.3 per share, leading to a surprise of 200.00% [2]. Earnings Estimates and Predictions - Recent changes in earnings estimates for IPG have been favorable, with a positive Zacks Earnings ESP (Expected Surprise Prediction) indicating a strong likelihood of an earnings beat [5]. - Stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have historically produced positive surprises nearly 70% of the time [6]. - IPG currently has an Earnings ESP of +15.08%, suggesting analysts are optimistic about the company's earnings prospects [8]. Zacks Rank and Earnings ESP - The combination of a positive Earnings ESP and a Zacks Rank of 2 (Buy) indicates a strong possibility of another earnings beat for IPG [8]. - A negative Earnings ESP does not necessarily indicate an earnings miss but can reduce the predictive power of the metric [8]. Importance of Earnings ESP - It is crucial to check a company's Earnings ESP before its quarterly release to enhance the chances of investment success [10].

Key Points New York City-based S Squared Technology increased its position in IPG Photonics Corporation by 45,050 shares in the third quarter. The overall value of the position rose by about $4.4 million from the previous period. At quarter-end, S Squared reported holding 118,916 IPGP shares valued at $9.4 million. These 10 stocks could mint the next wave of millionaires › New York City-based S Squared Technology disclosed a buy of IPG Photonics Corporation (NASDAQ:IPGP), adding 45,050 shares, w ...

Industries change, and companies either change with them or get left behind. For years, IPG Photonics ( IPGP ) was the technology leader in the then-novel field of industrial fiber lasers. While the company once enjoyed robust margins, rivals caught up, shrinking prices andAnalyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own o ...

Core Viewpoint - IPG Photonics reported a positive Q3 earnings performance, with adjusted earnings and revenues exceeding estimates, but the stock has seen a decline of approximately 7.1% since the last earnings report, underperforming the S&P 500 [1][2][3]. Financial Performance - Q3 2025 adjusted earnings were 35 cents per share, beating the Zacks Consensus Estimate by 19 cents and increasing by 9% year-over-year [3]. - Revenues reached $250.8 million, an 8% year-over-year increase, surpassing the consensus mark by 6.59% [3]. - The book-to-bill ratio was approximately one in the reported quarter [3]. Revenue Breakdown - The year-over-year revenue growth was driven by higher sales in materials processing, medical, and advanced applications [4]. - Sales from materials processing, which accounted for 88% of total revenues, increased by 6% year-over-year to $212.3 million, supported by strong demand in welding and additive manufacturing [5]. - Revenues from other applications rose by 20% year-over-year, primarily due to increased sales in medical and advanced applications [6]. Geographic Performance - Sales in Europe declined by 7%, while North America and Asia saw increases of 8% and 15% year-over-year, respectively [6]. Profitability Metrics - The adjusted gross margin was 39.8%, up 360 basis points year-over-year [6]. - Adjusted EBITDA increased by 33% year-over-year to $37 million [6]. Balance Sheet and Cash Flow - As of September 30, 2025, IPG Photonics had $900.6 million in cash and cash equivalents, short-term investments, and long-term investments [7]. - The company spent $21 million on capital expenditures and $16 million on share repurchases during the third quarter [7]. Guidance - For Q4 2025, IPG Photonics anticipates sales between $230 million and $260 million, with an expected adjusted gross margin of 36% to 39% [8]. - Operating expenses are projected to be between $90 million and $92 million, with adjusted EBITDA expected to range from $21 million to $38 million [8]. - Earnings for Q4 2025 are forecasted to be between 5 cents and 35 cents per share [8]. Estimate Revisions - There has been a downward trend in estimates, with the consensus estimate shifting down by 25.39% in the past month [10]. - The stock currently holds a Zacks Rank 3 (Hold), indicating an expectation of an in-line return in the coming months [12]. VGM Scores - IPG Photonics has a poor Growth Score of F, a Momentum Score of D, and a Value Score of F, placing it in the fifth quintile for investment strategy [11].

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Core Viewpoint - Citi analyst Jamie Wang has upgraded IPG Photonics (IPGP) from Sell to Buy with a new price target of $105, increased from $68, following a positive Q3 report indicating a recovery in the company's business due to rising demand for welding and micromachining [1] Group 1 - IPG Photonics reported positive revenue growth year-over-year after experiencing 12 consecutive quarterly declines [1] - The recovery in business is expected to continue in Q3, driven by improving demand in key sectors [1]

Core Insights - IPG Photonics reported third-quarter 2025 adjusted earnings of 35 cents per share, exceeding the Zacks Consensus Estimate by 19 cents and reflecting a 9% year-over-year increase [1] - Revenues reached $250.8 million, an 8% year-over-year growth, surpassing the consensus mark by 6.59% [1] - The company anticipates fourth-quarter 2025 sales between $230 million and $260 million, with adjusted gross margin expected to be between 36% and 39% [8] Revenue Breakdown - Year-over-year revenue growth was driven by increased sales in materials processing, medical, and advanced applications, with emerging growth product sales contributing 52% of total revenues, down from 54% in the previous quarter [2] - Materials processing, which constitutes 88% of total revenues, increased 6% year over year to $212.3 million, supported by higher sales in welding, additive manufacturing, and micromachining [3] - Revenues from other applications rose 20% year over year, primarily due to higher sales in medical and advanced applications [4] Geographic Performance - Sales in Europe declined by 7%, while North America and Asia saw increases of 8% and 15% year over year, respectively [6] Financial Metrics - The adjusted gross margin for the quarter was 39.8%, up 360 basis points year over year [6] - Adjusted EBITDA increased by 33% year over year to $37 million [6] Cash Flow and Investments - As of September 30, 2025, IPG Photonics had $900.6 million in cash and cash equivalents, short-term investments, and long-term investments [7] - In the third quarter, the company allocated $21 million for capital expenditures and $16 million for share repurchases [7]

Financial Performance - Net sales increased by $17.7 million, or 7.6%, to $250.8 million for the three months ended September 30, 2025, compared to $233.1 million for the same period in 2024[97] - For the nine months ended September 30, 2025, net sales decreased by $13.5 million, or 1.8%, to $729.3 million from $742.8 million in the same period of 2024[111] - Net income for the three months ended September 30, 2025, was $7.5 million, a significant increase of $241.1 million compared to a net loss of $233.6 million for the same period in 2024[110] - Net income improved by $207.1 million to a net income of $17.8 million for the nine months ended September 30, 2025, compared to a net loss of $189.3 million for the same period in 2024[125] Gross Margin and Cost Management - The company recorded a gross margin impact of approximately 140 basis points for the three months and 90 basis points for the nine months ended September 30, 2025, due to higher tariffs compared to the same periods in 2024[73] - Gross margin improved to 39.5% for the three months ended September 30, 2025, up from 23.2% in the same period of 2024, due to a decrease in cost of sales by $27.3 million, or 15.2%[99] - Cost of sales decreased by $48.1 million, or 9.7%, to $446.9 million for the nine months ended September 30, 2025, contributing to an increase in gross margin to 38.7%[113] - The company expects that new technologies and products may have gross margins below the corporate average but aims to maintain industry-leading gross margins through sales growth and cost optimization[83] Research and Development - The company plans to continue investing in research and development to enhance existing products and develop new technologies, which is crucial for maintaining its leadership in the fiber laser industry[87] - Research and development expense rose by $3.2 million, or 11.8%, to $30.4 million for the three months ended September 30, 2025, representing 12.1% of sales[101] - Research and development expenses rose by $4.6 million, or 5.5%, to $88.6 million for the nine months ended September 30, 2025, accounting for 12.2% of sales, up from 11.3%[115] Operating Expenses - Operating expenses increased in 2025 due to hiring additional executives and managers to strengthen management capabilities, with expectations for continued investment in strategic initiatives[88] - General and administrative expense increased by $2.4 million, or 7.3%, to $35.1 million for the three months ended September 30, 2025, maintaining 14.0% of sales[102] - General and administrative expenses increased by $7.4 million, or 7.8%, to $102.8 million for the nine months ended September 30, 2025, which is 14.1% of sales compared to 12.8% in the previous year[116] - Sales and marketing expenses increased by $6.1 million, or 9.0%, to $73.8 million for the nine months ended September 30, 2025, representing 10.1% of sales compared to 9.1% in the prior year[114] Foreign Exchange and Market Risks - The foreign exchange loss for the quarter ended September 30, 2025, was primarily due to the depreciation of the Korean won and Indian rupee against the U.S. dollar[93] - The company incurred a foreign exchange transaction loss of $1.5 million for the three months ended September 30, 2025, compared to a loss of $1.1 million for the same period in 2024[107] - The company incurred a foreign exchange transaction loss of $7.0 million for the nine months ended September 30, 2025, compared to a loss of $6.1 million in the prior year[121] - A 5% change in the exchange rate of the U.S. dollar to the euro could result in a foreign exchange gain of $1.3 million or a loss of $1.4 million[142] - A 5% change in the exchange rate of the U.S. dollar to the Chinese yuan could result in a foreign exchange loss of $1.3 million or a gain of $1.4 million[142] - The company has no foreign currency derivative instruments as of September 30, 2025, but may consider financial hedging techniques in the future[144] - The company is exposed to market risks including interest rate risk and foreign exchange rate risk due to international operations[138] Inventory and Cash Flow - The company recorded provisions for slow-moving, obsolete, or excess inventory totaling $5.7 million for the three months ended September 30, 2025, compared to $43.4 million for the same period in 2024[85] - Cash provided by operating activities decreased by $127.6 million to $46.5 million for the nine months ended September 30, 2025, down from $174.1 million in 2024[131] - Net cash used in investing activities was $292.9 million for the nine months ended September 30, 2025, compared to cash provided of $471.3 million in 2024[132] - Net cash used in financing activities was $50.9 million for the nine months ended September 30, 2025, significantly lower than $284.6 million used in 2024[133] - Cash used by inventory increased as manufacturing ramped up in the first three quarters of 2025 compared to the same period in 2024[134] - Cash provided by accounts receivable decreased due to higher sales at the end of the first three quarters of 2025 and timing of collections[134] - Cash used by prepaid expenses and other assets increased due to timing of bank acceptance drafts and interest receivable[134] - Cash used by income and other taxes payable increased due to timing of estimated tax payments and refunds received[134] - Cash provided by accounts payable increased due to timing of payments[134] Tax Provisions - The company is closely monitoring the impact of the EU's Pillar Two Directive, which establishes a minimum effective tax rate of 15%, on its future income tax provisions[94] - The effective tax rate increased to 52.3% for the three months ended September 30, 2025, compared to 3.7% for the same period in 2024, primarily due to higher income before tax[109] - Provision for income taxes increased to $16.7 million for the nine months ended September 30, 2025, with an effective tax rate of 48.4% compared to $5.4 million in 2024[123] Impairment and Asset Valuation - An impairment charge of $26.6 million was recorded for long-lived assets in Belarus, with a remaining asset value of $4.2 million as of September 30, 2025[74] - The net asset value of the Belarus subsidiary has decreased by $17.6 million due to the cumulative translation effect of the Belarusian ruble against the U.S. dollar[74] Revenue Sources - Approximately 86% of the company's revenues for the first three quarters of 2025 were derived from customers in materials processing, highlighting the sector's significance[78] - Materials processing sales accounted for 87.5% of total revenue and increased by 6.0% year over year, driven by higher sales in welding, additive manufacturing, cleaning, and micromachining[98]