Core Viewpoint - Enablence Technologies Inc. reported a decrease in revenue for the first quarter of Fiscal Year 2026, attributed to a one-time correction related to manufacturing expansion investments, while maintaining confidence in long-term growth and revenue guidance of $12 million ± $0.5 million for the fiscal year [4][10]. Financial Performance - Revenue for the quarter ended September 30, 2025, was $836 thousand, down from $1,218 thousand in the same period last year, representing a decrease of $382 thousand or 31% [10]. - The gross margin reported was $(1,653) thousand, a decline of $1,096 thousand compared to $(557) thousand in the previous year, impacted by revenue timing and increased raw material costs [10]. - Enablence reported a net loss of $6,350 thousand, an increase of 62% from a net loss of $3,914 thousand in the same period last year, driven by investments in R&D and manufacturing capacity [10]. - The comprehensive loss increased to $5,334 thousand for the quarter, compared to $4,380 thousand in the same period last year, influenced by the strengthening of the USD [10]. - The company ended the quarter with $2,757 thousand in cash and cash equivalents, down from $5,004 thousand as of June 30, 2025 [10]. Strategic Outlook - The CEO highlighted that the company is expanding wafer capacity from 1,500 to 3,000 wafers per month by the end of the fiscal year, which is expected to support demand for datacom, AI, and advanced vision products [4]. - Non-communications revenue has exceeded 12% of the business, with growth particularly in AI and LiDAR applications, indicating a diversification of the company's revenue streams [4]. - The North American module business is experiencing significant growth due to re-shoring initiatives, enhancing supply-chain certainty for U.S. customers [4].

Core Viewpoint - Enablence Technologies Inc. reported a decrease in first-quarter revenue for Fiscal Year 2026, attributed to a one-time correction related to planned manufacturing expansion, but anticipates significant growth in wafer capacity and overall business momentum moving forward [2][5]. Financial Performance - Revenue for the quarter ended September 30, 2025, was $836, a decrease of $382 or 31% compared to $1,218 in the same period last year [5]. - Gross margin reported was $(1,653), declining by $1,096 from $(557) in the previous year, impacted by revenue timing and increased raw material costs [5]. - Net loss increased to $6,350, compared to a net loss of $13,914 in the same period last year, marking a 62% increase driven by investments in R&D and manufacturing capacity [5]. - Comprehensive loss rose to $5,334 from $4,380 in the same period last year, influenced by the strengthening of the USD [5]. - Cash and cash equivalents at the end of the quarter were $2,757, down from $5,004 as of June 30, 2025 [5]. Business Outlook - The company expects monthly wafer starts to grow from 1,500 to over 3,000 by the end of the fiscal year, indicating a strong demand for both legacy and AI products [2]. - Non-communications revenue has exceeded 12% of the business, with growth particularly in AI and LiDAR applications [2]. - The North American module business is experiencing significant growth due to re-shoring initiatives, enhancing supply-chain certainty for U.S. customers [2]. Company Overview - Enablence Technologies Inc. designs, markets, and sells optical chips and subsystems for various applications, including datacom, telecom, automotive, and AI [6]. - The company serves a global customer base and is involved in emerging markets such as medical devices and virtual reality [6].

Core Insights - Enablence Technologies Inc. reported a significant revenue increase of 271% for Fiscal Year 2025, reaching $5.95 million, despite global uncertainties [2][6] - The company anticipates continued growth in Fiscal Year 2026, projecting revenue of approximately $12 million, supported by a robust order book and strong demand across its core product lines [3][5] Financial Performance - Revenue for the year ended June 30, 2025, was $5,941 thousand, compared to $1,601 thousand for the same period in the prior year, marking an increase of $4,340 thousand [6] - The gross margin slightly declined by $73 thousand, resulting in a gross margin of $(2,402) thousand for the quarter, although the gross margin percentage improved significantly due to increased capacity [6] - The net loss increased to $18,153 thousand from $14,108 thousand in the previous year, reflecting a 39% rise driven by investments in sales, marketing, R&D, and manufacturing equipment [6][12] Operational Developments - Enablence has made significant investments in tooling, processes, and infrastructure to enhance operational efficiency and expand wafer capacity at its Fremont, California facility [3] - The company plans to accelerate the deployment of advanced toolsets in etching, deposition, and lithography to further increase wafer capacity throughout Fiscal Year 2026 [3] - The company is focusing on supply chain resilience strategies to ensure reliable delivery and pricing, independent of China, in response to global supply chain disruptions [4] Cash Position and Funding - Enablence ended the quarter with $5,004 thousand in cash and cash equivalents, a substantial increase from $614 thousand as of June 30, 2024, supporting ongoing operations and growth initiatives [12] - The company received an additional $22,856 thousand in new funding during the period, continuing to invest in manufacturing capacity and R&D [12]