Financial Data and Key Metrics Changes - Revenue in Q3 2022 was $349 million, an 8% decline year-over-year, primarily due to foreign currency headwinds which accounted for approximately 7% of the decline [24][25] - GAAP gross margin was 43.1%, a decrease of 590 basis points year-over-year due to increased costs of products sold, higher inventory reserves, and higher shipping costs [26] - GAAP operating income was $93 million, with an operating margin of 26.7% and net income of $76 million or $1.47 per diluted share [27] Business Line Data and Key Metrics Changes - Emerging growth product sales accounted for 43% of total revenue in Q3 2022, driven by strong results in welding, cleaning, solar cell manufacturing, medical, and 3D printer applications [7][8] - Revenue from materials processing applications decreased by 10% year-over-year, while revenue from other applications increased by 10% [25] - Sales of high-power CW lasers decreased by 14%, representing approximately 44% of total revenue, while system sales increased by 10% year-over-year [30] Market Data and Key Metrics Changes - Revenue in North America increased by 1%, driven by growth in cutting, welding, and medical applications, while revenue in Europe decreased by 13% due to lower demand and currency headwinds [33] - Revenue in China decreased by 14% year-over-year, impacted by COVID-related lockdowns and continued softness in the cutting market [34] Company Strategy and Development Direction - The company announced the divestiture of its telecom transmission business to focus on core growth opportunities such as e-mobility, welding, and medical applications [9][10] - The company is increasing its manufacturing capacity and building safety stock of critical components in the U.S. and Europe to mitigate risks associated with operations in Russia [21][22] Management's Comments on Operating Environment and Future Outlook - Management noted that the EV investment cycle is expected to continue, with e-mobility sales remaining strong despite a less favorable global economic outlook [16] - The company anticipates Q4 2022 revenue to be between $300 million and $330 million, with a tax rate of approximately 25% [41] Other Important Information - The company has returned a significant amount of capital to shareholders, repurchasing shares totaling $71 million in Q3 2022 [36] - The total medical market is estimated at $5 billion, with a focus on surgical applications expected to grow at over 10% per year [62] Q&A Session Summary Question: Factors contributing to gross margin performance - Management indicated that gross margins were impacted by shipping costs, higher import duties, and foreign currency headwinds, with guidance for Q4 gross margins set at 42% to 44% [46][50] Question: Impact of COVID lockdowns on China sales - Management noted that the non-cutting business in China was significantly up year-over-year, while cutting was weaker due to COVID lockdowns affecting industrial demand [51][52] Question: Outlook for operating expenses - Management provided guidance for Q4 operating expenses in the range of $78 million to $79 million, reflecting a reduction due to the divestiture of the telecom business [56][57] Question: Long-term market sizing for medical applications - The total medical market is about $5 billion, with surgical applications representing approximately $1 billion, expected to grow robustly [62] Question: Strategic options regarding Russian operations - Management is evaluating strategic options due to new EU sanctions, with plans to reduce dependency on Russian production [66][69] Question: Seasonality of the business - Management indicated that seasonality has been difficult to predict, but generally, a weaker Q4 could lead to a stronger Q1 [73][74] Question: Contribution of recently introduced products - Emerging growth products accounted for 43% of total sales, indicating strong traction in the market [78][79]

IPG PHOTONICS ANNOUNCES THIRD QUARTER 2022 FINANCIAL RESULTS Strong Demand from E-Mobility and Medical were Offset by Currency Headwinds and Softer General Industrial Demand in China and Europe OXFORD, Mass. – November 1, 2022 - IPG Photonics Corporation (NASDAQ: IPGP) today reported financial results for the third quarter ended September 30, 2022. | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |-------------------------------------------------------|-------|---------------------------- ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to . | Title of each class | Trading Symbol | Name of each exchange on which registered | | --- | --- | --- | | Common Stock, par value $0.00 ...

IPG Photonics Corporation (NASDAQ:IPGP) Q2 2022 Earnings Conference Call August 2, 2022 10:00 AM ET Company Participants Eugene Fedotoff – Director-Investor Relations Eugene Scherbakov – Chief Executive Officer Tim Mammen – Senior Vice President and Chief Financial Officer Conference Call Participants Jim Ricchiuti – Needham & Company Nikolay Todorov – Longbow Research Paretosh Misra – Berenberg Mark Miller – The Benchmark Company Michael Feniger – Bank of America Hans Chung – D.A. Davidson Jamie Wang – Cit ...

| --- | --- | --- | --- | |-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------|-------|-------| | | | | | | | | | | | | | | | | | | | | | Second Quarter 2022 | Earnings Call Presentation | | | | | | | | | August 2, 2022 10:00 am ET | | | | | • By phone: 877-407-6184 in the US or 201-389-0877 internationally • A ...

For the transition period from to . Commission File Number 001-33155 IPG PHOTONICS CORPORATION (Exact name of registrant as specified in its charter) Delaware 04-3444218 (State or other jurisdiction of (I.R.S. Employer Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 ...

IPG Photonics Corporation (NASDAQ:IPGP) Q1 2022 Earnings Conference Call May 3, 2022 10:00 AM ET Company Participants Eugene Fedotoff - Director, Investor Relations Eugene Scherbakov - Chief Executive Officer Tim Mammen - Senior Vice President & Chief Financial Officer Conference Call Participants Nik Todorov - Longbow Research Chris Grenga - Needham & Company Tom Diffely - D.A. Davidson Mark Miller - The Benchmark Company Michael Feniger - Bank of America Operator Good morning, and welcome to IPG Photonics ...

| --- | --- | --- | --- | --- | |-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------|-------|-------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Earnings Call Presentation First Quarter 2022 | | | | | | | | | | | | May 3, 2022 10:00 am ET | | | | | | | | | | | • • | By phone: 877-407-6184 in the US or 201-389-08 ...

| --- | --- | --- | --- | --- | |------------------------|-------|-------|-------|-------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | INVESTOR | | | | | | PRESENTATION | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | © 2022 IPG Photonics | | | | | Safe Harbor Statement Statements in this presentation that relate to future plans, market forecasts, events or performance are forward-looking statements. These statements involve risks and uncertai ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to . Commission File Number: 001-33155 IPG PHOTONICS CORPORATION (Exact name of registrant as specified in its charter) (State or other jurisdict ...