Core Viewpoint - Precision Optics Corporation is set to announce its second quarter fiscal year 2025 financial results on February 13, 2025, followed by a conference call to discuss these results [1][2]. Company Overview - Precision Optics Corporation, founded in 1982, specializes in advanced optical instruments for the medical and defense/aerospace industries, focusing on micro-optics and 3D imaging technologies [5]. - The company provides a range of services from product concept to mass manufacturing, leveraging in-house design, electronic imaging expertise, and regulatory capabilities [5]. - In healthcare, Precision Optics supports the development of enhanced imaging systems for minimally invasive surgeries and surgical robotic systems [5]. - The company also supplies optical products to top-tier medical device companies, including complex endocouplers and specialized endoscopes [5]. - In the defense/aerospace sector, Precision Optics applies its micro-optics technology to meet high-quality standards while optimizing size, weight, and power [5]. Conference Call Details - The conference call is scheduled for February 13, 2025, at 5:00 p.m. ET, with access available via phone and live webcast [3]. - Call-in numbers include (844) 735-3662 or (412) 317-5705, and the live webcast can be accessed at https://app.webinar.net/z0E94DknxQO [3]. - A replay of the call will be available for seven days, with specific numbers and access codes provided for teleconference and webcast replay [4].

Financial Data and Key Metrics Changes - For Q1 2025, revenue was $4.2 million, slightly down from $4.3 million in Q1 2024, aligning with previous expectations [44] - Gross margins decreased to 27% from 34% year-over-year, impacted by manufacturing pauses and resource allocation towards R&D [45] - The net loss for the quarter was $1.3 million, compared to a loss of $464,000 in the previous year [49] - Adjusted EBITDA was negative $1 million, worsening from negative $245,000 in the prior year [50] Business Line Data and Key Metrics Changes - The production segment is expected to grow significantly, driven by single-use endoscopes, with revenue projected to increase from $6.6 million last year to over $10 million this year [40] - Product development revenue is anticipated to remain flat in fiscal 2025 due to resource allocation towards a new platform solution [39] - The Ross Optical division is expected to have flat revenue year-over-year, with signs of market recovery anticipated for fiscal 2026 [43] Market Data and Key Metrics Changes - The company has received its first production order for a single-use ophthalmic product, expected to begin production in January 2025, marking a significant milestone [11][29] - The market for treatment of benign prostate hyperplasia is expected to continue robust growth, with the company estimating $3.6 million in deliveries for the current fiscal year [28] Company Strategy and Development Direction - The company remains focused on single-use endoscope technology as a key driver for long-term growth, with strong customer engagement confirming market positioning [10] - Strategic investments in partnerships and technology development are expected to lead to substantial revenue growth in the single-use segment [25] - The company plans to launch a new platform solution to reduce development risk and time to market for customers [37] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for Q2 and the remainder of the fiscal year, expecting significant revenue and profitability improvements as production issues have been resolved [9][56] - The company is confident in its long-term prospects due to strong customer retention and recurring revenue from single-use medical devices [54] Other Important Information - The cash balance at the end of Q1 2025 was $636,000, with a recent direct offering netting $1.2 million to support working capital [52] - The company is evaluating alternatives to support growth in manufacturing and attract engineering talent [53] Q&A Session Summary Question: What type of visibility will you have to orders against the initial $9 million order for next year? - The company expects about $3.6 million to be delivered in the current fiscal year, with indications of follow-on orders expected towards the middle or end of fiscal 2026 [60][61] Question: What sort of visibility do you have for the second program? - The initial order is a stocking order for $340,000, with follow-on orders expected to be around $1.5 million for the first year after launch [64][66] Question: Can you quantify further insights into timelines for advancement to production for single-use programs? - There are two programs moving forward, with one expected to enter production in the next 12 months and another in 12 to 24 months [70][74] Question: Are single-use programs larger than the $1 million minimum run rate you desire for advancement? - Typically, single-use programs will start above the $1 million range, with quantities of 10,000 units or higher [75][76] Question: Are there opportunities to regrow the engineering base? - The engineering team has been growing, and updates to facilities and tools are expected to support significant growth starting in fiscal 2026 [80][86] Question: Can you help understand the fixed versus variable expenses on COGS? - Lower revenues impact margins significantly due to relatively fixed costs, with variable costs primarily being materials and some labor [88] Question: Does management expect Intuitive Surgical to be a potential customer? - The company has a long-standing relationship with Intuitive Surgical and believes its technologies could have broad applications in the robotic endoscopy market [92][93]

Core Viewpoint - Precision Optics Corporation reported its first quarter fiscal year 2025 results, showing a slight decline in revenue and increased net loss compared to the same quarter last year, but anticipates significant revenue growth and improved adjusted EBITDA in the upcoming quarters [2][4]. Financial Performance - Revenue for Q1 2025 was $4.2 million, a decrease from $4.3 million in Q1 2024, aligning with prior expectations [2][4]. - Engineering revenue remained stable at $1.9 million, while production revenue decreased to $2.3 million from $2.4 million year-over-year [2]. - Gross margins fell to 26.6% from 33.9% in the same quarter of the previous year [2]. - The net loss for the quarter was $1.3 million, compared to a loss of $0.5 million in the same quarter last year [2][4]. - Adjusted EBITDA was $(1.0) million, worsening from $(0.2) million in the same quarter of the previous year [2]. Recent Developments - In October 2024, the company accelerated production deliveries for a $9 million order following FDA clearance for a urological endoscope, estimating $3.6 million in product deliveries for the fiscal year ending June 2025 [3]. - Precision Optics received a $340,000 initial production order from a global medical device company for a new single-use ophthalmic endoscope, with expectations for follow-on orders [3]. Management Commentary - CEO Joseph Forkey stated that the first quarter results met expectations and highlighted a rapid ramp-up in production revenue, with expectations for substantial growth and improved adjusted EBITDA in Q2 2025 [4]. - The anticipated revenue growth is driven by product development programs transitioning into production, particularly in single-use applications [4].

Financial Performance - Total revenues for the quarter ending September 30, 2024, were $4,197,053, a decrease of $124,202 or 2.9% compared to $4,321,255 for the same period in the prior year[62]. - Revenue from Engineering Design Services decreased by 2.6% to $1,851,371, while revenue from Optical Components increased by 9.3% to $2,080,188[62][63]. - Revenue from Finished Products and Assemblies decreased by 48.6% to $265,494, primarily due to a manufacturing pause for a defense/aerospace customer[64]. - Gross profit decreased to $1,117,330, with a gross margin of 26.6%, down from 33.9% in the prior year[65]. Expenses - Research and Development (R&D) expenses increased by $187,901 to $400,659, reflecting investments in product improvements and new technologies[66]. - Selling, General and Administrative (SG&A) expenses rose by 18.6% to $1,963,612, driven by increased recruitment and consulting costs[67]. Cash Flow and Financing - Net cash used in operating activities for the three months ending September 30, 2024, totaled $318,622, including a net loss of $1,311,247[70]. - The company raised a net of $1,204,542 through the issuance of new shares in a registered direct common stock offering during the quarter[73][76]. - Contractual cash commitments related to open purchase orders as of September 30, 2024, amounted to approximately $4,549,000[78]. Strategic Focus - The company is focusing on developing new optical products and services, particularly in Microprecision optics and single-use endoscopes, which are expected to grow at two to three times the rate of the overall minimally invasive surgical market[56]. Regulatory Classification - The company is classified as a smaller reporting company under Rule 12b-2 of the Exchange Act[80]. - The company has elected scaled disclosure reporting obligations, thus not required to provide certain market risk information[80].

GARDNER, Mass., Nov. 11, 2024 (GLOBE NEWSWIRE) -- Precision Optics Corporation, Inc. (Nasdaq: POCI) (the "Company"), a leading designer and manufacturer of advanced optical instruments for the medical and defense/aerospace industries, today announced that it has scheduled a conference call to discuss the Company’s first quarter fiscal year 2025 financial results on Thursday, November 14, 2024, at 5:00pm ET. The Company intends to release its financial results and to file its 10-Q after the close of the mark ...

GARDNER, Mass., Sept. 30, 2024 (GLOBE NEWSWIRE) -- Precision Optics Corporation, Inc. (NASDAQ: POCI), a leading designer and manufacturer of advanced optical instruments for the medical and defense/aerospace industries, announced operating results on an unaudited basis for its fourth quarter and fiscal year ended June 30, 2024. FY 2024 Financial Highlights (Year Ended June 30, 2024): Revenue was $19.1 million compared to $21.0 million in the previous fiscal year. Revenue of $19.1 million, exceeded the high ...

Revenue Performance - Total revenues for the fiscal year ended June 30, 2024, were $19,104,350, a decrease of $1,940,117, or 9.2%, compared to $21,044,467 for the prior year[106] - Revenue from Engineering Design Services increased by 23.7% to $8,323,433, driven by increasing demand and expansion of engineering capacity[107] - Revenue from Optical Components decreased by 20.3% to $8,384,140, attributed to reduced industry demand and lower order volumes[107] - Revenue from Finished Products and Assemblies decreased by 36.8% to $2,396,777, primarily due to timing differences in customer program transitions[108] Profitability - Gross profit decreased to $5,797,777, with a gross margin of 30.3%, down from 36.8% in the prior year[109] Expenses - R&D expenses decreased to $981,781, reflecting a focus on product improvements and new technology development[110] - SG&A expenses increased by 2.2% to $7,540,329, primarily due to higher salaries, travel, and marketing expenses[112] Cash Position - Cash and cash equivalents decreased to $405,278 at June 30, 2024, from $2,925,852 at June 30, 2023, a decrease of $2,520,574[113] Financing Activities - The company entered into securities purchase agreements resulting in gross proceeds of approximately $1.4 million[116] - Contractual cash commitments related to open purchase orders as of June 30, 2024, are approximately $6,250,000[116]

GARDNER, Mass., Sept. 24, 2024 (GLOBE NEWSWIRE) -- Precision Optics Corporation, Inc. (Nasdaq: POCI) (the "Company"), a leading designer and manufacturer of advanced optical instruments for the medical and defense/aerospace industries, today announced that it has scheduled a conference call to discuss the Company's fourth quarter and fiscal year 2024 financial results on Monday, September 30, 2024, at 5:00pm ET. The Company intends to release its financial results and to file its 10-K after the close of the ...

Dublin, Sept. 16, 2024 (GLOBE NEWSWIRE) -- The "Ophthalmic Lens and Precision Optics Manufacturing Machines - Global Strategic Business Report" report has been added to ResearchAndMarkets.com's offering. The global market for Ophthalmic Lens and Precision Optics Manufacturing Machines was valued at an estimated US$500.8 Million in 2023 and is projected to reach US$596.3 Million by 2030, growing at a CAGR of 2.5% from 2023 to 2030. This comprehensive report provides an in-depth analysis of market trends, dri ...

Company Overview - Precision Optics Corporation, Inc. is a leading designer and manufacturer of advanced optical instruments for the medical and defense industries, founded in 1982 [7] - The company focuses on leveraging proprietary micro-optics and 3D imaging technologies to provide innovative solutions for healthcare and defense/aerospace applications [7] Leadership Changes - Clay Schwabe has been appointed as the Vice President of Sales and Marketing, bringing over fifteen years of experience in medical device market access and commercialization [4] - Jeff DiRubio, the current Senior Vice President of Sales and Marketing, will transition to a consulting role after contributing to a sales increase of over 700% during his tenure [5][2] Strategic Focus - The company aims to meet the increasing demands of the surgical community for enhanced and smaller imaging systems, particularly for minimally invasive surgery and 3D endoscopy systems [7] - Precision Optics is also leveraging its technical proficiency in micro-optics to support defense/aerospace applications that require high quality standards and optimization of size, weight, and power [7]