nLIGHT(LASR) - 2025 Q2 - Quarterly Results

Q2 2025 Performance Highlights nLIGHT reported strong Q2 2025 results, exceeding expectations with revenue of $61.7 million, a 22.2% year-over-year increase, significantly improving gross margin and achieving positive Adjusted EBITDA | Financial Metric | Q2 2025 | Q2 2024 | % Change | | :--- | :--- | :--- | :--- | | Revenues | $61.7M | $50.5M | 22.2% | | Gross Margin | 29.9% | 23.5% | - | | Loss from Operations | ($4.2M) | ($12.7M) | 66.6% improvement | | Net Loss (GAAP) | ($3.6M) | ($11.7M) | 69.4% improvement | | Adjusted EBITDA | $5.6M | ($1.6M) | NM* | - The company raised its full-year 2025 growth outlook for the aerospace and defense segment to at least 40% year-over-year, up from the previous forecast of at least 25%[2] - Non-GAAP net income for Q2 2025 was $2.9 million, or $0.06 per diluted share, compared to a non-GAAP net loss of $4.6 million, or $0.10 per diluted share, in Q2 2024[3] Q3 2025 Business Outlook For Q3 2025, nLIGHT anticipates revenues between $62 million and $67 million, with overall gross margin in the range of 24% to 30% and Adjusted EBITDA between $2.0 million and $6.0 million | Metric | Q3 2025 Guidance Range | | :--- | :--- | | Revenues | $62M - $67M | | Overall Gross Margin | 24% - 30% | | Adjusted EBITDA | $2.0M - $6.0M | - The revenue guidance midpoint of $64.5 million is composed of approximately $45 million from Products and $19 million from Advanced Development[4] - Guidance for gross margin is broken down into 32% to 36% for Products and approximately 8% for Advanced Development[4] Consolidated Financial Statements This section presents the unaudited consolidated financial statements for nLIGHT, Inc., including the Statements of Operations, Balance Sheets, and Statements of Cash Flows for the periods ended June 30, 2025, and June 30, 2024 Consolidated Statements of Operations For the three months ended June 30, 2025, total revenue increased to $61.7 million from $50.5 million year-over-year, significantly narrowing the loss from operations and net loss | (In thousands) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | | :--- | :--- | :--- | | Total Revenue | $61,735 | $50,511 | | Gross Profit | $18,457 | $11,850 | | Loss from Operations | $(4,236) | $(12,690) | | Net Loss | $(3,591) | $(11,729) | | Net Loss per Share, diluted | $(0.07) | $(0.25) | - For the six months ended June 30, 2025, total revenue was $113.4 million, up from $95.0 million in the prior year period[15] Condensed Consolidated Balance Sheets As of June 30, 2025, nLIGHT's total assets increased to $295.3 million from $270.2 million at year-end 2024, primarily driven by higher cash, receivables, and inventory, alongside increased liabilities due to a line of credit draw | (In thousands) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total Current Assets | $222,863 | $194,089 | | Total Assets | $295,254 | $270,241 | | Total Current Liabilities | $39,559 | $34,235 | | Total Liabilities | $79,253 | $53,811 | | Total Stockholders' Equity | $216,001 | $216,430 | - Cash and cash equivalents increased to $78.8 million from $65.8 million at the end of 2024[17] - The company had $20.0 million outstanding on its line of credit as of June 30, 2025, compared to zero at the end of 2024[17] Consolidated Statements of Cash Flows For the six months ended June 30, 2025, net cash used in operating activities was $1.4 million, with a net increase in cash, cash equivalents, and restricted cash of $13.0 million, primarily due to financing activities | (In thousands) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net cash provided by (used in) operating activities | $(1,405) | $7,145 | | Net cash used in investing activities | $(4,383) | $(8,943) | | Net cash provided by (used in) financing activities | $18,486 | $(1,796) | | Net increase (decrease) in cash | $12,985 | $(3,823) | Reconciliation of GAAP to Non-GAAP Financial Metrics This section provides reconciliations of GAAP net loss to non-GAAP financial measures, showing Adjusted EBITDA of $5.6 million and non-GAAP net income of $2.9 million for Q2 2025 Reconciliation of Net Loss to Adjusted EBITDA (Q2) | (In thousands) | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Net Loss (GAAP) | $(3,591) | $(11,729) | | Adjustments | $9,141 | $8,130 | | Adjusted EBITDA | $5,550 | $(1,599) | Reconciliation to Non-GAAP Net Income (Q2) | (In thousands) | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Net Loss (GAAP) | $(3,591) | $(11,729) | | Stock-based compensation | $6,371 | $7,003 | | Amortization of purchased intangibles | $149 | $148 | | Non-GAAP Net Income (Loss) | $2,929 | $(4,578) | Supplemental Financial Information Revenue breakdown by end market shows significant growth in the Aerospace and Defense sector, while the Industrial market declined and Microfabrication experienced modest growth Revenues by End Market (Three Months Ended June 30, in thousands) | (In thousands) | 2025 | 2024 | | :--- | :--- | :--- | | Aerospace and Defense | $40,695 | $27,390 | | Industrial | $9,746 | $12,905 | | Microfabrication | $11,294 | $10,216 | | Total | $61,735 | $50,511 |