Financial Data and Key Metrics Changes - Revenue for Q2 fiscal 2026 was a record $1.69 billion, up 7% sequentially and 17% year-over-year, driven by AI data center and communications demand [24] - On a pro forma basis, excluding revenue from the divested aerospace and defense business, Q2 revenue increased 9% sequentially and 22% year-over-year [24] - Non-GAAP gross margin was 39%, a 24 basis point improvement sequentially and a 77 basis point improvement year-over-year [24] - Non-GAAP EPS was $1.29, compared to $1.16 in the prior quarter and $0.95 in the year-ago quarter, reflecting an 11% sequential and 35% year-over-year growth [27] Business Segment Data and Key Metrics Changes - In the data center and communication segment, which accounts for over 70% of revenue, Q2 revenue grew by 11% sequentially and 34% year-over-year [10] - Data center revenue grew 14% sequentially and 36% year-over-year, driven by strong demand for 800G and 1.6T transceivers [10][11] - The communications market saw Q2 revenue grow 9% sequentially and 44% year-over-year, driven by data center interconnect and traditional telecom applications [18] - The industrial segment revenue grew 4% sequentially but was flat year-over-year on a pro forma basis, with expectations for improving demand [20] Market Data and Key Metrics Changes - The book-to-bill ratio for data center bookings exceeded 4x, indicating strong demand and visibility for future revenue [11][34] - Demand for 1.6T transceivers is expected to ramp significantly, with initial production driven by EML and silicon photonics-based transceivers [12][48] - The optical circuit switch (OCS) platform backlog grew sequentially, with over 10 customer engagements, indicating strong future revenue potential [17][18] Company Strategy and Development Direction - The company is focused on expanding production capacity, particularly in indium phosphide, with plans to double capacity by the end of the calendar year [13][39] - Strategic initiatives include portfolio optimization, with the recent sale of a product division expected to be accretive to gross margin and EPS [22][28] - The company aims to drive meaningful operating leverage, expecting EPS growth to outpace revenue growth [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in sustained strong revenue growth due to exceptional demand visibility and ongoing production capacity expansion [7][8] - The company anticipates fiscal 2027 revenue growth to exceed fiscal 2026 growth rates, driven by strong demand in both data center and industrial segments [8][20] - Management highlighted the importance of long-term supply agreements with customers, enhancing visibility and demand certainty [35] Other Important Information - The company is investing in expanding production capacity in multiple locations, including Malaysia and Vietnam, to meet growing demand [16] - The transition to six-inch wafer production is expected to significantly enhance cost efficiency and production output [13][80] Q&A Session Summary Question: Demand visibility and capacity ramp for Indium Phosphide - Management characterized demand visibility as extraordinary, with bookings extending into calendar 2027 and long-term forecasts from customers going out to 2028 [34] - The company is at 80% of its target capacity for indium phosphide, with a strong ramp in wafer starts [39] Question: OCS backlog and revenue impact - Management indicated strong demand for OCS, with expectations for revenue growth throughout the calendar year and contributions to revenue next year [41][42] Question: 1.6T transceiver growth and competitive landscape - Management expects continued growth for both 800G and 1.6T transceivers, with 1.6T ramping significantly in the second half of the year [48] Question: CPO opportunities and market engagement - Management noted active engagements for CPO solutions, with significant growth expected in the Scale-Up market [51][52] Question: Indium Phosphide capacity and industry supply-demand balance - Management does not foresee supply-demand balance in the indium phosphide market this calendar year or next, indicating a sustained period of imbalance [68]

Financial Data and Key Metrics Changes - Revenue for Q2 fiscal 2026 was a record $1.69 billion, up 7% sequentially and 17% year-over-year, driven by growth in AI data center and communications demand [22] - On a pro forma basis, excluding revenue from the divested aerospace and defense business, Q2 revenue increased 9% sequentially and 22% year-over-year [22] - Non-GAAP gross margin was 39%, a 24 basis point improvement sequentially and a 77 basis point improvement year-over-year [22][23] - Non-GAAP EPS was $1.29, compared to $1.16 in the prior quarter and $0.95 in the year-ago quarter, reflecting an 11% sequential and 35% year-over-year growth [25] Business Segment Data and Key Metrics Changes - In the data center and communication segment, which accounts for over 70% of revenue, Q2 revenue grew by 11% sequentially and 34% year-over-year [9] - Data center revenue grew 14% sequentially and 36% year-over-year, driven by strong execution and demand for 800G and 1.6T transceivers [9][10] - The industrial segment saw revenue grow 4% sequentially but was flat year-over-year on a pro forma basis, with expectations for improving demand in the future [18] Market Data and Key Metrics Changes - The company reported a book-to-bill ratio exceeding 4x in the data center business, indicating strong demand and visibility for future orders [10][32] - Strong demand signals were noted for both 800G and 1.6T transceivers, with expectations for significant growth in calendar 2026 [11][45] - The communications market saw Q2 revenue grow 9% sequentially and 44% year-over-year, driven by data center interconnect and traditional telecom applications [16] Company Strategy and Development Direction - The company is focused on expanding production capacity, particularly in indium phosphide, with plans to double capacity by the end of the calendar year [12][34] - Strategic initiatives include portfolio optimization, with the recent sale of a product division expected to be accretive to gross margin and EPS [20][26] - The company aims to drive meaningful operating leverage and expects EPS growth to outpace revenue growth [6][7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in sustained strong revenue growth due to exceptional demand from customers and rapid expansion of production capacity [5][6] - The outlook for fiscal 2027 is expected to exceed the growth rate of fiscal 2026, driven by new product ramps and ongoing demand in the industrial business [6][18] - Management highlighted the importance of long-term supply agreements and detailed forecasts from customers, enhancing visibility for future growth [32][33] Other Important Information - The company is investing in expanding production capacity in multiple locations, including Malaysia and Vietnam, to meet growing demand [14] - The ramp of six-inch indium phosphide production is expected to significantly enhance revenue growth and margin expansion [12][13] - The company is also focused on developing new technologies and products, including CPO and OCS solutions, which are anticipated to contribute to long-term growth [14][15] Q&A Session Summary Question: Demand visibility and capacity ramp for Indium Phosphide - Management characterized demand visibility as extraordinary, with bookings extending into calendar 2027 and long-term forecasts from customers going out to 2028 [32] - The ramp of six-inch indium phosphide capacity is ahead of schedule, with 80% of the target capacity already achieved [34] Question: OCS backlog and revenue impact - Demand for OCS is strong, with expectations for revenue growth throughout the calendar year and contributions to revenue next year [38][39] Question: 1.6 terabit growth and competitive landscape - Both 800G and 1.6T are expected to grow, with 1.6T ramping significantly in the second half of the year [44][45] Question: Indium phosphide capacity and industry supply-demand balance - Management does not foresee supply-demand balance in the indium phosphide market this calendar year or next, indicating a sustained period of imbalance [65] Question: Pricing and gross margins - The company is experiencing higher input costs but expects internal indium phosphide production to offset these costs, leading to a positive net effect on gross margins [69][70]

FORWARD-LOOKING STATEMENTS This presentation contains forward-looking statements relating to future events and expectations, including our expectations regarding our estimates and projections for our business outlook for the third quarter of fiscal 2026, each of which is based on certain assumptions and contingencies. The forward-looking statements are made pursuant to the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995 and relate to the Company's performance on a going-f ...

Core Viewpoint - Coherent Corp. reported strong financial results for the second quarter of fiscal year 2026, with significant year-over-year revenue growth driven by demand in the datacenter and communications segments, and anticipates continued growth in the upcoming quarters [1][2]. Financial Performance - Revenue for Q2 FY26 was $1.69 billion, representing a 17.5% increase year-over-year from $1.44 billion in Q2 FY25 [1][4]. - GAAP gross margin was 36.9%, up 145 basis points year-over-year, while non-GAAP gross margin was 39.0%, an increase of 77 basis points year-over-year [4][6]. - GAAP net income was $0.76 per diluted share, a 71% increase from $0.44 in Q2 FY25, and non-GAAP net income was $1.29 per diluted share, up 35% from $0.95 [4][6]. Segment Performance - The datacenter and communications segment showed strong demand, contributing significantly to revenue growth [2]. - The industrial segment is also expected to improve, supporting the overall business outlook [2]. Operating Expenses - Total operating expenses for Q2 FY26 were $439 million, a 37.1% increase from $320 million in Q1 FY26 [6]. - Research and development expenses were 9.8% of revenue, consistent with the previous year, while selling, general, and administrative expenses decreased slightly to 15.3% [6]. Business Outlook - The company expects revenue for Q3 FY26 to be between $1.70 billion and $1.84 billion, with a gross margin percentage between 38.5% and 40.5% on a non-GAAP basis [15]. - Continued capital investment is planned to support production capacity expansion in response to strong demand [2].

Q2 FY26 Conference Call February 3, 2026 ▪ Systems Forward Looking Statements and Financial Presentation This presentation and our earnings call contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These include statements regarding: our revenue, profitability, revenue growth and momentum, growth catalysts and drivers, the sustainability of our growth, the potential for our products, our ability to scale co ...

Core Insights - The New York Times Company (NYT) is expected to report its fourth-quarter 2025 earnings on February 4, with a focus on subscription growth and advertising revenue trends [1][9] - The Zacks Consensus Estimate for fourth-quarter revenues is $790.2 million, reflecting an 8.8% increase year-over-year [1] - Earnings per share (EPS) is estimated at 88 cents, indicating a 10% rise from the previous year [2] Revenue and Subscription Growth - The consensus estimate for subscription revenues is $508.8 million, suggesting a 9% growth, while digital-only subscription revenues are projected at $383.4 million, indicating a 14.5% increase [4] - The digital-only subscriber count is expected to reach 12.1 million by the end of the fourth quarter, enhancing the company's market position for advertisers [5] Digital Advertising and Cost Management - NYT anticipates mid-to-high-teens growth in digital advertising revenues, with the consensus estimate at $138.1 million, representing a 17.1% increase [6] - The company has focused on reducing reliance on traditional advertising and improving profitability through effective content monetization and disciplined cost management [3] Challenges and Cost Projections - Print subscription revenues are estimated to decline by 4.8% to $125.4 million, and print advertising revenues are expected to fall 8% to $43.4 million [7] - Management has guided a 6-7% increase in adjusted operating costs for the quarter, which may impact margins [7] Earnings Prediction Model - The current model does not predict a definitive earnings beat for NYT, as it has an Earnings ESP of 0.00% despite holding a Zacks Rank of 2 (Buy) [8][10]

Core Insights - Lightmatter has announced a breakthrough in laser architecture with Very Large Scale Photonics (VLSP), which enhances bandwidth and transitions laser manufacturing from manual assembly to factory production [1] - The VLSP technology overcomes power scaling limitations and aims to improve photon interconnects for artificial intelligence applications, achieving an 8-fold increase in optical bandwidth density in its initial phase [1] Group 1: Technology Advancements - The Guide VLSP engine reduces the number of components associated with discrete laser modules, enhancing yield and reliability while establishing a new paradigm for bandwidth expansion [3] - The integrated architecture allows for efficient scaling from 1 wavelength to 64 or more, significantly reducing assembly complexity [6] - The first generation of the Guide verification platform achieves 100 Tbps switch bandwidth in a compact 1RU chassis, compared to traditional ELSFP modules that require approximately 18 modules occupying 4RU of rack space [7] Group 2: Market Implications - The transition to co-packaged optics (CPO) is becoming a key driver for next-generation AI-scale networks, with increasing demand for higher bandwidth density and lower power consumption [3] - Lightmatter's VLSP innovation represents a fundamental shift in optical interconnect power delivery, providing a scalable light source for large-scale CPO deployment over the next decade [3][7] - The Guide engine powers the Passage M series and L series rack-mounted verification platforms, showcasing unprecedented laser performance [4]

Core Viewpoint - Coherent Corp. will release its financial results for Q4 2025 on February 4, 2026, followed by a live audio webcast to discuss the results [1]. Group 1: Financial Results Announcement - The financial results for the quarter ended December 31, 2025, will be announced after the New York Stock Exchange closes on February 4, 2026 [1]. - A live audio webcast will take place at 4:30 p.m. ET to discuss the financial results [1]. Group 2: Webcast Information - Investors are invited to join the live audio webcast at coherent.com/company/investor-relations/financial-webcasts [2]. - The webcast will be recorded, and a replay will be available within 24 hours after the live event on the company's website [2]. Group 3: Company Overview - Coherent is recognized as a global leader in photonics, providing technology solutions for datacenter, communications, and industrial markets [3]. - The company was founded in 1971 and operates in over 20 countries, offering a broad technology stack and unmatched supply chain resilience [4].

Core Insights - Coherent Corp. will showcase its extensive photonics product portfolio at SPIE Photonics West from January 20-22, 2026, highlighting innovations in lasers, beam delivery, advanced materials, and thermal management solutions [1][2] Product Announcements - Coherent will present a range of products including: - Bondable diamond for GPU cooling with ultra-high thermal conductivity [5] - Sapphire XT, a compact visible laser for super-resolution imaging in various applications [5] - OCT Specialty Fiber Assemblies optimized for clinical imaging applications [5] - CO2 Electro-Optic Modulator for high-throughput PCB via drilling [5] - FieldMax Touch Laser Power & Energy Meter for production environments [5] - Waveshaper 1000A Sharp, a programmable optical filter with fine spectral control [5] - Thermo-Electric Generation system to convert waste heat into usable power [5] - Quantum encryption demonstration in collaboration with QUSIDE [5] - Deep UV solution for film cutting in display and semiconductor applications [5] Technology and Product Demonstrations - Live demonstrations will occur at the booth, showcasing innovations and addressing critical trends in the photonics landscape [4] - Executives and experts will participate in discussions to share insights and developments that redefine technological boundaries [4] Industry Event Participation - Coherent will engage in a panel discussion on data infrastructure with co-packaged optics, featuring Dr. Sanjai Parthasarathi [5] - Presentations will cover various topics including fiber lasers, optical technologies, and high-performance materials [6][7][8] Company Overview - Coherent is recognized as a global leader in photonics, providing technology solutions for data centers, communications, and industrial markets [8][9] - Founded in 1971, the company operates in over 20 countries, offering a broad technology stack and supply chain resilience [9]

Core Insights - Coherent Corp. and Quside have achieved a significant milestone in hardware-based security by successfully demonstrating a mass manufacturable quantum entropy source, which is crucial for secure digital systems [1][10] Technology and Innovation - The solution utilizes Coherent's vertical cavity surface emitting laser (VCSEL) technology, manufactured at scale on 6" wafers, combined with Quside's quantum random number generation technology [2] - This marks the first instance where runtime entropy verification from a single VCSEL provides high-quality, observable randomness suitable for cryptographic key generation and secure communications [2] - The collaboration enables quantum-grade security primitives to transition from niche applications to mainstream processors and secure elements [2] Market Implications - The successful integration of quantum entropy technology into practical infrastructure is expected to meet the growing demand for entropy generation and verification in secure designs [3][4] - Coherent and Quside are positioned to facilitate high-volume commercial deployment of quantum entropy solutions for large-scale secure infrastructure [4] Company Background - Coherent is recognized as a global leader in photonics, providing technology solutions across various industries including datacenters and communications [5][6] - Quside specializes in quantum technology, focusing on building digital trust infrastructure solutions through quantum random number generator chips and modules [7]