POET Technologies Reports Second Quarter 2025 Financial Results

Core Viewpoint - POET Technologies Inc. reported significant advancements in its operations and financial results for Q2 2025, highlighting progress in manufacturing capabilities and customer engagements, alongside a notable increase in revenue from non-recurring engineering services [1][3][5]. Financial Performance - The company reported non-recurring engineering and product revenue of $268,469 in Q2 2025, compared to nil in Q2 2024 and $166,760 in Q1 2025 [5]. - A net loss of $17.3 million, or $0.21 per share, was recorded in Q2 2025, an increase from a net loss of $8.0 million, or $0.14 per share, in Q2 2024, and a net income of $6.3 million, or $0.08 per share, in Q1 2025 [6]. - The largest component of the loss was a non-cash loss of $7.5 million related to the fair value adjustment of derivative warrant liability [7]. - Cash flow from operating activities was ($7.7) million in Q2 2025, compared to ($4.5) million in Q2 2024 and ($8.9) million in Q1 2025 [10]. Business Developments - The company has engaged with NationGate Solutions in Malaysia to expand manufacturing capabilities for light source products [2]. - A new customer, Lessengers from Korea, has committed to developing a module using POET's 800G optical engines [3]. - The company successfully completed a $30 million private placement, marking the largest single financing in its history [3]. - POET was awarded the "AI Hardware Innovation Award" at the 8th annual AI Breakthrough Awards, marking the sixth notable award in the past year [8]. Operational Highlights - All equipment for volume production of optical engines at Globetronics is now installed and operational [2]. - The company reported fluctuations in research and development costs, with $3.2 million in Q2 2025 compared to $2.1 million in Q2 2024 and $4.4 million in Q1 2025 [6]. - Non-cash expenses included stock-based compensation of $1.2 million and depreciation and amortization of $0.8 million in Q2 2025 [8]. Summary of Financial Performance - A summary of operations over the five quarters ending June 30, 2025, shows a consistent increase in revenue and variations in net loss, with Q2 2025 reflecting a significant loss compared to previous quarters [11][13].