Core Insights - Laser Photonics Corp. is under investigation for possible securities fraud, with a potential class action being considered for affected investors [1][3] - The company's shares dropped over 13% following allegations of long-term fraud and misleading practices by its founder [3] - Recent financial restatements indicate that none of the last six financial reports can be deemed reliable, raising concerns about the company's valuation [4] Group 1 - The Portnoy Law Firm has initiated an investigation into Laser Photonics, encouraging investors who lost money to contact them for potential recovery options [1][2] - A report from Capybara Research claims that Laser Photonics has concealed crucial financial information and engaged in misleading business practices [3] - The company recently conducted a private placement of shares at a significantly lower price than the current market value, suggesting awareness of its unsustainable valuation [4] Group 2 - The Portnoy Law Firm has a history of recovering over $5.5 billion for investors affected by corporate wrongdoing [5]

Core Viewpoint - Laser Photonics Corp. is under investigation for potential securities law violations following a report alleging fraud by its founder, leading to a significant drop in share price [2][5]. Group 1: Company Allegations - Shares of Laser Photonics Corp. fell over 13% on October 1 due to a report from Capybara Research, which claims the company has been involved in a long-running fraud orchestrated by its founder, Dmitri Nikitin [2]. - The report accuses Laser Photonics of concealing critical financial information and engaging in deceptive business practices [2]. - The company recently restated its financials, admitting that none of its last six reports can be relied upon, indicating serious issues with its financial disclosures [3]. Group 2: Financial Actions - A recent private placement of shares was conducted at a value significantly lower than the current market price, suggesting that the company is aware of its unsustainable valuation [3]. Group 3: Legal Actions and Support - Block & Leviton is investigating whether Laser Photonics committed securities law violations and may file an action to recover losses for affected investors [5]. - Investors who have lost money on their Laser Photonics investment are encouraged to contact Block & Leviton for potential recovery options [4][6].

Core Insights - Laser Photonics Corporation is under investigation for potential violations of federal securities laws and unlawful business practices [1] - The company disclosed that its previously issued financial statements for the year ended December 31, 2023, and the period ended June 30, 2024, should no longer be relied upon due to an overstatement of deferred revenue identified by its predecessor auditor [2] - Following this announcement, Laser Photonics' stock price dropped by $6.90, or 36.7%, closing at $11.90 per share on September 25, 2024 [2] Company Information - Bragar Eagel & Squire, P.C. is a law firm representing investors in complex litigation, including securities and derivative cases [4] - The firm is based in New York and California and has a national presence in representing both individual and institutional investors [4]

Financial Data and Key Metrics Changes - Revenue decreased by 35.5% to $0.6 million, with CleanTech accounting for over 80% of the revenue mix [7] - Gross profit margin fell to 51% compared to 71% in the previous year [7] - Operating loss increased to negative $2.1 million in Q2 2024 from negative $0.7 million last year [7] - Net loss decreased by 67% to $2.1 million, with loss per share decreasing by 122% to negative $0.20 per share [7] Business Line Data and Key Metrics Changes - CleanTech remains the dominant segment, contributing over 80% to total revenue [7] - New product lines, including SaberTech laser cutting tools and Laser Shield Anti-Drone systems, were introduced to enhance the product portfolio [4][6] Market Data and Key Metrics Changes - The company has built an estimated pipeline of over $70 million, which is expected to improve results in 2024 and support medium to long-term growth [6] Company Strategy and Development Direction - The company is focusing on sales and marketing investments, including a partnership with Echelon 1 to advance CleanTech systems for the Department of Defense [3] - Continuous investment in R&D and product development is aimed at maintaining a technological advantage over competitors [3] - A task force has been formed to optimize marketing strategies and enhance operational excellence [5] Management's Comments on Operating Environment and Future Outlook - Management noted that approximately $1 million in revenue was deferred into the second half of the year due to delays in customer capital expenditure approvals, but they do not see this as a long-term issue [2] - The company is optimistic about future growth prospects, supported by new products and increased sales efforts [6] Other Important Information - A change in accounting treatment has led to higher operating expenses, impacting reported losses [7] - A private placement raised a net total of $2.6 million to support investments in key areas [8] Q&A Session Summary - No specific questions or answers were provided in the content regarding the Q&A session.

Financial Performance - For the six months ending June 30, 2024, the company recognized revenue of $1,366,426, a decrease of $275,206 compared to $1,641,632 in the same period of 2023[59] - The net income for the same period was $(3,678,958), compared to $(1,936,499) in the same period of 2023, indicating a significant increase in losses[59] - EBITDA for the six months ending June 30, 2024, was $(3,235,119), compared to $(1,752,415) in the same period of 2023[60] - For the three months ending June 30, 2024, the company reported a Net Income (Loss) of $(2,113,562), compared to $(678,894) for the same period in 2023, indicating a significant increase in losses[65] - The EBITDA for the three months ending June 30, 2024, was $(1,855,039), compared to $(577,947) in 2023, reflecting a worsening operational performance[65] - Adjusted EBITDA for the six months ending June 30, 2024, was $(3,235,119), compared to $(1,752,415) in 2023, showing a decline in underlying business operations[65] Cash and Working Capital - The company had a total working capital of $5,048,680 as of June 30, 2024, down from $8,262,302 on December 31, 2023[56] - Cash at the end of the period was $2,747,633, a decrease from $9,884,543 in the previous year[55] Expenses and Investments - Selling and marketing expenses were increased in the first quarter of 2024 to support growth, despite the cyclical nature of capital equipment manufacturing[53] - Depreciation and Amortization expenses for the three months ending June 30, 2024, were $245,894, up from $100,947 in 2023, indicating increased asset usage or investment[65] - The company plans to continue investing in research and development to enhance existing technologies and develop new products[54] Supply Chain and Operations - The company experienced increased lead times for certain parts and components, particularly electronic components, due to supply chain constraints[49] Financial Strategy - The company did not have any off-balance sheet arrangements as of June 30, 2024, which may indicate a conservative financial strategy[66] - The company has not utilized any derivative financial instruments, suggesting a low-risk approach to financial management[67] - There were no borrowings reported, indicating that the company is not currently exposed to interest rate fluctuations[67] - The company operates solely within the United States, thus not affected by foreign currency fluctuations[67] - The company’s Adjusted EBITDA measure may differ from those of other companies, which could impact comparability[64] - The company believes that adequate controls are in place to monitor any hedging activities, despite not engaging in them[67] Product Development - The company is developing the CleanTech™ product line, aimed at making laser cleaning technology accessible to small businesses[48] - Approximately 92% of revenues for the first quarter of 2022 and 91% for the full 2021 fiscal year were derived from customers in materials processing[51]

Financial Performance - For the three months ending March 31, 2024, the company recognized revenue of $742,991, an increase of 9.85% from $676,192 in the same period of 2023[88] - The net income for the same period was $(545,470), improving from $(1,257,605) in the prior year, indicating a reduction in losses[89] - EBITDA for the three months ending March 31, 2024, was $(360,394), an improvement from $(1,174,468) in the same period of 2023[91] - The company experienced a net cash outflow from operating activities of $(866,257) for the quarter ending March 31, 2024, compared to $(1,315,308) in the same period of 2023[82] Working Capital - The company had total working capital of $6,425,822 as of March 31, 2024, down from $11,532,113 on March 31, 2023[83] Research and Development - Research and development expenses are planned to continue to support the development of new products and technologies, which is crucial for maintaining leadership in the laser blasting industry[81] - The company is developing the CleanTech™ product line aimed at small businesses, which previously faced barriers to accessing laser processing equipment[75] Supply Chain and Market Conditions - Supply chain constraints are expected to continue impacting product supply and customer demand, although the company believes it can meet near-term demand[77] - Approximately 92% of revenues for the first quarter of 2022 and 91% for the full 2021 fiscal year were derived from customers in materials processing[79] Financial Metrics and Definitions - EBITDA is used by the company as a supplemental measure for evaluating financial position and core operating performance, excluding depreciation and amortization impacts[20] - Adjusted EBITDA is defined as net income excluding various expenses, including interest, taxes, and stock-based compensation, to provide a clearer performance comparison[20] Risk Exposure - The company has not utilized any derivative financial instruments and does not have borrowings, indicating minimal exposure to interest rate risk[99] - The company operates solely within the United States and is not affected by foreign currency fluctuations or exchange rate changes[99] - The company believes that its exposure to interest rate risk and foreign currency exchange rate changes is not material to its financial condition or results of operations[99] Gross Margin - The gross margin is influenced by factors such as product mix and competition, with higher power products generally yielding better margins[80]

Financial Performance - By December 31, 2023, the company achieved gross sales of $4,520,892 and net sales of $3,939,473, primarily targeting Fortune 1000 companies and U.S. Government agencies[29]. - The company invested nearly $4 million in sales and marketing operations for the year ended December 31, 2023, with a marketing and sales budget equal to 10% of gross sales[90]. - The company has a new product promotional budget of $1.2 million for 2024[90]. - The company expects to grow its business with the U.S. Government from less than 1% of U.S. revenues in 2023 to 25% within the next 12 to 24 months[149]. - The company may need to raise additional capital if it cannot generate sufficient revenues from operations, which could lead to dilution for stockholders[125]. - The company’s future financial performance will depend on its ability to effectively manage growth and improve operational controls[140]. - The company anticipates fluctuations in future revenues and operating results due to various factors, including sales timing and product introduction delays[136]. - The company's financial performance is heavily reliant on the execution of current and future U.S. Government contracts, which are subject to termination for convenience, posing risks to financial stability[153]. - The company may face substantial costs and distractions due to potential litigation related to intellectual property rights, which could adversely affect its operations[185]. Market Opportunities - The laser cleaning market value is estimated at $9 billion in 2021 and projected to reach $12 billion by 2025, driven by demand in robotic cleaning technology and growth in automotive, construction, and metalworking industries[35]. - The MRO industry has a total market value of $150.64 billion as of 2021, with forecast revenue of $178.85 billion for 2028, highlighting significant opportunities for laser cleaning solutions[43]. - The U.S. military is a significant customer, with the Pentagon spending between $21 billion to $22.9 billion annually on rust control and corrosion-related repairs, presenting a substantial market opportunity for the company[62]. - The company aims to broaden its global customer base by differentiating itself through superior product pricing, performance, and service, leveraging its investments in application engineering[57]. Product Development and Innovation - The company offers a range of laser blasting solutions, including handheld systems from 20W to 3000W, with plans to develop a 4000W handheld system[24]. - The CleanTech™ Laser Blaster Cabinet is the only laser cleaning machine globally that combines a fiber laser with a handheld blasting head in a fully enclosed workspace, designed for safety and precision[84]. - The CleanTech Titan Series Laser Blasting System features a working envelope of up to 6′ x 12′, designed for high production and precision environments[85]. - The CleanTech™ Laser Cleaning Robot is the first commercially available AI-capable laser cleaning system in the U.S., allowing for significant cost reductions in laser cleaning[86]. - The company plans to develop and manufacture laser systems for various markets, focusing on applications such as rust removal in shipbuilding and laser de-contamination in the nuclear industry[54]. - The company’s R&D efforts are led by a team of experts, including a PhD particle physicist from CERN, emphasizing its commitment to innovation[23]. Competitive Position - The company is the only U.S.-based manufacturer of high-powered portable industrial laser cleaning systems, which positions it favorably under the "Buy American" agenda, enhancing its competitive edge[72]. - The company’s vertically integrated operations enhance development speed, pricing, quality control, and protection of proprietary technology compared to competitors[30]. - The company’s primary competitive factors include product performance, reliability, and the ability to respond quickly to market demand[106]. Regulatory and Compliance Risks - The company is subject to substantial government regulation, particularly in its U.S. Government contracts, which could impact financial performance[105]. - Compliance with complex procurement rules is critical, as failure to adhere could result in penalties, including contract termination and disqualification from future bidding[155]. - The company is subject to numerous legal and regulatory requirements, and violations could result in significant fines and reputational damage[146]. - The ability to obtain and maintain necessary security clearances is essential for performing on certain anticipated U.S. government contracts, with potential revenue implications[159]. Intellectual Property Risks - The company is exposed to risks related to intellectual property, including challenges in obtaining and enforcing patents, which could hinder competitive advantage[170]. - The patent application process is costly and time-consuming, and failures in patent prosecution could impair the company's ability to protect its technologies[172]. - The company may face litigation risks related to intellectual property infringement, which could divert resources and incur substantial expenses[180]. - The company relies on trade secrets for technology protection, but disclosure to third parties could impair competitive position[177]. Operational Challenges - The company faces intense competition in the market for laser-based cleaning equipment, requiring greater financial resources to maintain competitive advantages[129]. - The company continues to evaluate steps to remediate material weaknesses, but these measures may be time-consuming and costly[208]. - As of December 31, 2023, there are material weaknesses in the company's internal controls, which could adversely affect financial reporting and investor confidence[207]. - The company faces challenges in attracting and retaining qualified officers and directors due to increased compliance costs and regulatory requirements[206]. Market Volatility and Stock Performance - The market price of the company's common stock is likely to be highly volatile, influenced by various external factors[211]. - If the company's common stock is deemed a penny stock, trading activity may decrease significantly due to regulatory requirements[212]. - Substantial sales of common stock by existing stockholders could depress market value and impair the company's ability to raise capital[216]. - The existence of an "overhang" from stockholder sales could negatively impact the market price of the company's common stock[214].

Laser Photonics Corporation (NASDAQ:LASE) Q3 2023 Earnings Conference Call November 14, 2023 11:00 AM ET Company Participants Brian Siegel - IR Wayne Tupuola - CEO Jade Barnwell - CFO Conference Call Participants Operator Greetings, and welcome to the Laser Photonics Third Quarter Financial Results and Webcast. [Operator Instructions]. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Brian Siegel, Senior Manager Director Hayden Investor Relations. Thank you, si ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended: September 30, 2023 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: 000-56166 LASER PHOTONICS CORPORATION (Exact name of registrant as specified in its charter) Delawa ...

Laser Photonics Corporation (NASDAQ:LASE) Q2 2023 Results Conference Call August 15, 2023 10:00 AM ET Company Participants Brian Siegel - IR Wayne Tupuola - CEO Jade Barnwell - CFO Conference Call Participants Chuck Lipson - CSL Associates Operator Greetings, and welcome to the Laser Photonics Corp.'s Second Quarter Call and Webcast. [Operator Instructions] As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Brian Siegel, Investor Relations. Thank you, sir. You ma ...