STOCK TITAN

Coherent expects Q2 FY2027 revenue of $2.55B–$2.75B

Management expects FY27 pro forma revenue growth above 60%, while Q2 revenue is projected at $2.55 billion to $2.75 billion.

Available on EDGAR Accepted by SEC EDGAR Learn about SEC filing dates
(High)

Sentiment and the balance of points

Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.

Form Type
8-K

Rhea-AI Filing Summary

Coherent Corp. (COHR) reported first-quarter fiscal 2027 revenue of $2.37 billion, up 49.9% year over year. GAAP net earnings were $384.7 million and diluted EPS was $1.90; non-GAAP diluted EPS was $2.09, up 80%, while non-GAAP gross margin was 40.6%, up 184 basis points.

Datacenter & Communications revenue was $1,951.7 million, up 79% year over year; Industrial revenue was $418.6 million, versus $491.4 million a year earlier. Net cash used in operating activities was $92.7 million, compared with $46.0 million provided in the prior-year quarter. Internal InP output capacity doubled year over year in Q1, one quarter ahead of plan.

A PhotonLink agreement is valued at approximately $20 billion over five years, with revenue expected to begin ramping in early calendar 2028. For Q2 FY27, Coherent expects revenue of $2.55 billion to $2.75 billion, non-GAAP gross margin of 40.0% to 42.0%, non-GAAP operating expenses of $430 million to $450 million, non-GAAP tax rate of 18% to 20%, and non-GAAP EPS of $2.28 to $2.48. FY27 pro forma revenue growth is expected to exceed 60%; Coherent expects its first quarter with non-GAAP gross margin above 45% before the end of calendar 2028.

3 points · 0 major

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Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.

It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.

Rhea-AI Sentiment measures something else, the tone of the wording.

0 major · 2 points

How the balance works

Positive

  • Moderate pointQ1 revenue reached $2.37 billion, up 49.9% year over year.
  • Moderate pointNon-GAAP diluted EPS rose 80% to $2.09 year over year.
  • Moderate pointDatacenter & Communications revenue reached $1,951.7 million, up 79% year over year.

Negative

  • Moderate pointNet operating cash flow: −$92.7 million versus $46.0 million year over year.
  • Moderate pointIndustrial revenue fell to $418.6 million from $491.4 million year over year.

Filing Explained

Coherent’s Q1 FY27 filing adds a quarter-end balance-sheet and funding snapshot: at September 30, cash was $1,552.9 million, short-term investments $200.0 million and long-term debt $3,980.7 million, versus $1,162.0 million, $825.0 million and $3,214.3 million at June 30.

Item 2.02 Results of Operations and Financial Condition Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 7.01 Regulation FD Disclosure Disclosure
Material non-public information disclosed under Regulation Fair Disclosure, often investor presentations or guidance.
Item 9.01 Financial Statements and Exhibits Exhibits
Financial statements, pro forma financial information, or exhibit attachments filed with this report.
Revenue $2.37 billion Q1 FY2027; up 49.9% year over year.
GAAP diluted earnings per share $1.90 per diluted share Q1 FY2027; compared with $1.19 in Q1 FY2026.
Non-GAAP diluted earnings per share $2.09 per diluted share Q1 FY2027; up 80% year over year.
Non-GAAP gross margin 40.6% Q1 FY2027; up 184 basis points year over year.
Datacenter & Communications revenue $1,951.7 million Q1 FY2027; up 79% year over year.
Industrial revenue $418.6 million Q1 FY2027; compared with $491.4 million in Q1 FY2026.
Net cash provided by (used in) operating activities −$92.7 million Three months ended September 30, 2026; $46.0 million provided in the year-earlier quarter.
Q2 FY2027 revenue outlook $2.55 billion to $2.75 billion Second quarter fiscal 2027.
pro forma revenue financial
"FY27 pro forma revenue growth expected to exceed 60%"
An adjusted measure of a company’s sales that shows what revenue would have been after removing one-time items or applying certain assumptions—for example, treating a recent acquisition as if it had existed for the whole period. It matters to investors because it aims to reveal the business’s underlying trend by smoothing out irregular events, like showing a photo with distractions removed; however, the adjustments can vary, so compare how the number was calculated before relying on it.
non-GAAP normalized tax rate financial
"the Company’s non-GAAP normalized tax rate is 19%"
InP output capacity technical
"Internal InP output capacity doubled YoY"
annualized revenue run rate financial
"nearly $1B annualized revenue run rate"
Annualized revenue run rate is an estimate of how much revenue a company would generate over a full year if its current short-term sales pace (for a week, month or quarter) continued unchanged; it simply multiplies the recent period’s revenue to project a 12‑month total. Investors use it as a quick snapshot to judge growth and set expectations—like using a car’s current speed to estimate yearly mileage—but it can mislead if the recent period was unusually high or low.
non-GAAP gross margin financial
"non-GAAP gross margin of 40.6%"
Non-GAAP gross margin is a measure of a company's profitability that shows how much money it makes from sales after subtracting the direct costs of producing its products or services, but without applying certain accounting adjustments required by standard rules. It helps investors understand the company's core earning ability by excluding items like one-time expenses or accounting changes. This metric provides a clearer picture of ongoing business performance beyond official financial reports.
Revenue $2.37 billion 49.9% year over year
GAAP diluted earnings per share $1.90 per diluted share $0.71 year over year
Non-GAAP diluted earnings per share $2.09 per diluted share $0.93 year over year
Non-GAAP gross margin 40.6% 184 basis points year over year
Guidance

Q2 FY2027 revenue $2.55 billion to $2.75 billion; non-GAAP gross margin 40.0% to 42.0%; non-GAAP operating expenses $430 million to $450 million; non-GAAP tax rate 18% to 20%; non-GAAP earnings per share $2.28 to $2.48.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What were COHR’s Q1 FY2027 revenue and earnings?

COHR reported revenue of $2.37 billion, GAAP diluted EPS of $1.90, and non-GAAP diluted EPS of $2.09 for Q1 FY2027. Non-GAAP diluted EPS was up 80% year over year, and non-GAAP gross margin was 40.6%, up 184 basis points.

What is COHR’s Q2 FY2027 outlook?

Coherent expects Q2 FY2027 revenue of $2.55 billion to $2.75 billion, non-GAAP gross margin of 40.0% to 42.0%, non-GAAP operating expenses of $430 million to $450 million, a non-GAAP tax rate of 18% to 20%, and non-GAAP EPS of $2.28 to $2.48.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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false 0000820318 0000820318 2026-11-04 2026-11-04
 
 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM 8-K

 

 

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): November 4, 2026

 

 

Coherent Corp.

(Exact name of registrant as specified in its charter)

 

 

 

Pennsylvania   001-39375   25-1214948

(State or Other Jurisdiction

of Incorporation)

 

(Commission

File Number)

 

(I.R.S. Employer

Identification No.)

375 Saxonburg Boulevard

Saxonburg, Pennsylvania 16056

(Address of Principal Executive Offices) (Zip Code)

(724) 352-4455

(Registrant’s telephone number, including area code)

Not Applicable

(Former name or former address, if changed since last report)

 

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

☐

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

☐

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

☐

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

☐

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class

 

Trading

Symbol(s)

 

Name of each exchange

on which registered

Common Stock, no par value   COHR   New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

 
 


Item 2.02.

Results of Operations and Financial Condition.

On November 4, 2026, Coherent Corp. (the “Company”) issued a press release reporting its financial results for the first quarter of fiscal year 2027 ended September 30, 2026, a copy of which is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

The information in Item 2.02 of this Current Report on Form 8-K, including Exhibit 99.1 furnished pursuant to Item 9.01, shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities under that Section. Furthermore, the information in this Item 2.02 of this Current Report on Form 8-K, including Exhibit 99.1 furnished pursuant to Item 9.01, shall not be deemed to be incorporated by reference into the filings of the Company under the Securities Act of 1933.

 

Item 7.01.

Regulation FD Disclosure.

A slide presentation to be used by senior management of the Company in connection with its discussions with investors and others regarding the financial results is furnished as Exhibit 99.2.

The information in this Item 7.01 of this Current Report on Form 8-K, including Exhibit 99.2 furnished pursuant to Item 9.01, shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities under that Section. Furthermore, the information in this Item 7.01 of this Current Report on Form 8-K, including Exhibit 99.2 furnished pursuant to Item 9.01, shall not be deemed to be incorporated by reference into the filings of the Company under the Securities Act of 1933.

 

Item 9.01.

Financial Statements and Exhibits.

(d) Exhibits

 

Exhibit
No.
   Description
99.1    Press Release dated November 4, 2026
99.2    Investor Presentation
104.0    Cover Page Interactive Data File (embedded within the inline XBRL document)

 


SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

    Coherent Corp.
Date: November 4, 2026     By:  

/s/ Sherri Luther

      Sherri Luther
      Chief Financial Officer and Treasurer

Exhibit 99.1

 

LOGO

        

Coherent Corp.

375 Saxonburg Blvd.

Saxonburg, PA 16056-9499

PRESS RELEASE

COHERENT CORP. REPORTS FIRST QUARTER FISCAL 2027 RESULTS

 

  •  

Q1 REVENUE OF $2.37B, INCREASED 50% Y/Y AND 56% Y/Y ON A PRO FORMA BASIS

 

  •  

Q1 GAAP GROSS MARGIN OF 39.1%, INCREASED 254 bps Y/Y; Q1 NON-GAAP GROSS MARGIN OF 40.6%, INCREASED 184 bps Y/Y

 

  •  

Q1 GAAP EPS OF $1.90, INCREASED $0.71 Y/Y; Q1 NON-GAAP EPS OF $2.09, INCREASED $0.93 Y/Y

SAXONBURG, Pa., November 4, 2026 (GLOBE NEWSWIRE) – Coherent Corp. (NYSE: COHR) (“Coherent,” “We,” or the “Company”), a global leader in photonics, announced financial results today for its first quarter of fiscal year 2027 ended September 30, 2026.

Revenue for the first quarter of fiscal 2027 was $2.37 billion, with GAAP gross margin of 39.1% and GAAP net income of $1.90 per diluted share. On a non-GAAP basis, gross margin was 40.6% with net income per diluted share of $2.09.

“Q1 marked a strong start to fiscal 2027, with pro forma revenue up 56% year over year and non-GAAP EPS up 80%,” said Jim Anderson, CEO. “Our established businesses delivered strong growth, while new growth areas are beginning to ramp. As AI datacenters transition from copper to optical connectivity, Coherent’s broad photonics platform and manufacturing scale position us to help customers meet rising needs for bandwidth and energy efficiency. We expect fiscal 2027 pro forma revenue growth to exceed 60%.”

Sherri Luther, CFO, said, “Our Q1 results delivered substantial operating leverage and durable gross margin expansion, driven by pricing optimization and cost improvements. This margin strength gives us the confidence to raise our longer-term target. We expect to achieve our first quarter with non-GAAP gross margin above 45% before the end of calendar 2028.”

 

1


Selected First Quarter Financial Results and Comparisons (in millions, except percentages and per share data)  

Table 1

      
     GAAP Financial Results (unaudited)  
     Q1 FY27     Q4 FY26     Q1 FY26     Q/Q     Y/Y  

Revenues

   $ 2,370     $ 2,046     $ 1,581       15.9 %      49.9 % 

Gross Margin %

     39.1 %      38.5 %      36.6 %      66  bps      254  bps 

R&D Expense %

     10.0 %      10.6 %      9.8 %      (60 ) bps      18  bps 

SG&A Expense %

     12.9 %      13.0 %      15.9 %      (17 ) bps      (304 ) bps 

Operating Expenses

   $ 550     $ 533     $ 320       3.2 %      71.8 % 

Operating Income(1)

   $ 378     $ 254     $ 259       48.8 %      45.9 % 

Operating Margin

     15.9 %      12.4 %      16.4 %      353  bps      (46)  bps 

Net Earnings Attributable to Coherent Corp.

   $ 385     $ 241     $ 226       59.9 %      70.2 % 

Diluted Earnings Per Share

   $ 1.90     $ 1.19     $ 1.19     $ 0.71     $ 0.71  

 

(1) 

Operating Income is defined as earnings before income taxes, interest expense, and other expense or income, net.

 

Selected First Quarter Financial Results and Comparisons (in millions, except percentages and per share data)  

Table 1, continued

      
     Non-GAAP Financial Results (unaudited)(1)  
     Q1 FY27     Q4 FY26     Q1 FY26     Q/Q     Y/Y  

Revenues

   $ 2,370     $ 2,046     $ 1,581       15.9 %      49.9 % 

Gross Margin %

     40.6 %      40.2 %      38.7 %      37  bps      184  bps 

R&D Expense %

     9.6 %      10.2 %      9.4 %      (62 ) bps      21  bps 

SG&A Expense %

     7.8 %      8.2 %      9.8 %      (44 ) bps      (205 ) bps 

Operating Expenses

   $ 412     $ 377     $ 304       9.2 %      35.5 % 

Operating Income

   $ 550     $ 446     $ 309       23.4 %      78.1 % 

Operating Margin

     23.2 %      21.8 %      19.5 %      142  bps      368  bps 

Net Earnings Attributable to Coherent Corp.

   $ 422     $ 351     $ 221       20.1 %      91.0 % 

Diluted Earnings Per Share

   $ 2.09     $ 1.74     $ 1.16     $ 0.35     $ 0.93  

 

(1) 

The Company has disclosed financial measurements in this earnings release that present financial information that are considered to be non-GAAP financial measures. These measurements are not a substitute for GAAP measurements, although the Company’s management uses these measurements as an aid in monitoring the Company’s on-going financial performance. The non-GAAP net earnings attributable to Coherent Corp., the non-GAAP diluted earnings per share, the non-GAAP operating income, the non-GAAP gross margin, the non-GAAP research and development, the non-GAAP selling, general and administration, the non-GAAP operating expenses, the non-GAAP interest and other (income) expense, and the non-GAAP income taxes, measure earnings and operating income (loss), respectively, excluding non-recurring or unusual items that are considered by management to be outside the Company’s standard operation and excluding certain non-cash items. There are limitations associated with the use of non-GAAP financial measures, including that such measures may not be entirely comparable to similarly titled measures used by other companies, due to potential differences among calculation methodologies. Thus, there can be no assurance whether (i) items excluded from the non-GAAP financial measures will occur in the future or (ii) there will be cash costs associated with items excluded from the non-GAAP financial measures. The Company compensates for these limitations by using these non-GAAP financial measures as supplements to GAAP financial measures and by providing the reconciliations of the non-GAAP financial measures to their most comparable GAAP financial measures. Investors should consider adjusted measures in addition to, and not as a substitute for, or superior to, financial performance measures prepared in accordance with GAAP. All non-GAAP amounts exclude certain adjustments for share-based compensation, acquired intangible amortization expense, restructuring charges (recoveries), impairments of assets held-for-sale, gains on sale of business, integration and site consolidation expenses, integration transaction expenses, and various one-time adjustments. See Table 6 for the Reconciliation of GAAP measures to non-GAAP measures.

 

2


Business Outlook – Second Quarter Fiscal 2027(1)

 

  •  

Revenue for the second quarter of fiscal 2027 is expected to be between $2.55 billion and $2.75 billion.

 

  •  

Gross margin percentage for the second quarter of fiscal 2027 is expected to be between 40% and 42% on a non-GAAP basis.

 

  •  

Total operating expenses for the second quarter of fiscal 2027 are expected to be between $430 million and $450 million on a non-GAAP basis.

 

  •  

Tax rate for the second quarter of fiscal 2027 is expected to be between 18% and 20% on a non-GAAP basis.

 

  •  

EPS for the second quarter of fiscal 2027 is expected to be between $2.28 and $2.48 on a non-GAAP basis.

Additional Revenue and Gross Margin Guidance

 

  •  

Expect to achieve our first $3 billion revenue quarter by the end of fiscal 2027.

 

  •  

Expect fiscal 2027 pro forma revenue growth to exceed 60%, more than double our fiscal 2026 pro forma growth rate.

 

  •  

Expect first $4 billion revenue quarter in fiscal 2028.

 

  •  

New Gross Margin Target; Expect to achieve our first quarter with non-GAAP gross margin above 45% before the end of calendar 2028.

 

(1) 

The Company has not provided a quantitative reconciliation of forward-looking non-GAAP gross margin percentage, non-GAAP operating expenses, non-GAAP tax rate and non-GAAP earnings per share, because we cannot, without unreasonable efforts, forecast certain items required to develop comparable GAAP measures. These items include, without limitation, restructuring charges, integration, site consolidation and other expenses, foreign exchange gains (losses), and share based compensation expense. The variability of these items could significantly impact our future GAAP financial results and we believe that the inclusion of any such reconciliations would imply a degree or precision that could be confusing or misleading to investors.

Investor Conference Call / Webcast Details

Coherent will review the Company’s financial results for its first quarter of fiscal 2027 and business outlook on Wednesday, November 4, at 4:30 p.m. ET. A live webcast and replay of the conference call will be available on the Investor Relations section of the Company’s website at coherent.com/company/investor-relations. The Company’s financial guidance will be limited to the comments on its public quarterly earnings call and the public business outlook statements contained in this press release.

Additional Information and Where to Find It

In connection with the conference call described above, the Company intends to file an investor presentation as an exhibit to a Current Report on Form 8-K filed with the Securities and Exchange Commission (“SEC”) and to post the investor presentation on the Company’s website at coherent.com/company/investor-relations/investor-presentations after market close on November 4, 2026. We also may, from time to time, post other important information for

 

3


investors on our website at coherent.com/company/investor-relations. We intend to use our website as a means of disclosing material, non-public information and for complying with our disclosure obligations under Regulation FD. Accordingly, investors should review the Investor Relations page of our website referenced above, in addition to following the Company’s press releases, SEC filings, and public conference calls, presentations, and webcasts. Investors and security holders are able to obtain free copies of these documents through the Company’s website referenced above. Copies of the documents filed by the Company with the SEC may be obtained free of charge on the Company’s website at coherent.com/company/investor-relations/sec-filings. The information contained on, or that may be accessed through, the Company’s website is not incorporated by reference into, and is not part of, this release.

Forward-Looking Statements

This press release contains statements, estimates, and projections that constitute “forward-looking statements” as defined under U.S. federal securities laws – including our business and financial outlook for the second quarter of fiscal 2027 and beyond, each of which is 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-forward basis. The forward-looking statements are subject to certain risks and uncertainties that could cause the Company’s actual results to differ materially from its historical experience and our present expectations or projections.

The Company believes that all forward-looking statements made by it herein have a reasonable basis, but there can be no assurance that management’s expectations, beliefs, or projections as expressed in the forward-looking statements will actually occur or prove to be correct. In addition to general industry and global economic conditions, factors that could cause actual results to differ materially from those discussed in the forward-looking statements herein include but are not limited to: (i) the failure of any one or more of the assumptions stated herein to prove to be correct; (ii) changes in demand in the Company’s end markets along with the Company’s ability to respond to such market changes; (iii) our failure to accurately estimate customer demand and future sales and/or fluctuations in purchasing patterns of customers and end users; (iv) the ability of the Company to retain and hire key employees; (v) the terms of the Company’s indebtedness and ability to service such debt (vi) the timely release of new products and acceptance of such new products by the market; (vii) the introduction of new products by competitors and other competitive responses; (viii) the risks to realizing the benefits of investments in R&D and commercialization of innovations; (ix) the risks that the Company’s stock price will not trade in line with industrial technology leaders; (x) the impact of international conflict and economic volatility in either domestic or foreign markets, including risks related to the impact of trade protection measures, such as import tariffs by the United States or retaliatory actions taken by other countries; and/or (xi) the risks relating to forward-looking statements and other “Risk Factors” identified from time to time in our filings with the SEC, including our Annual Report on Form 10-K for the fiscal year ended June 30, 2026, and our subsequently filed Quarterly Reports on Form 10-Q, which filings are available from the SEC. You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. The Company disclaims any obligation to update information contained in these forward-looking statements, whether as a result of new information, future events or developments, or otherwise.

 

4


About Coherent

Coherent is the global photonics leader. We harness photons to drive innovation. Industry leaders in the datacenter, communications, and industrial markets rely on Coherent’s world-leading technology to fuel their own innovation and growth.

Founded in 1971 and operating in more than 20 countries, Coherent brings the industry’s broadest, deepest technology stack; unmatched supply chain resilience; and global scale to help its customers solve their toughest technology challenges. For more information, please visit us at coherent.com.

Contact:

Paul Silverstein

Senior VP, Investor Relations

investor.relations@coherent.com

# # #

 

5


Table 2

Coherent Corp. and Subsidiaries

Condensed Consolidated Statements of Earnings*

 

     THREE MONTHS ENDED  

$ Millions, except per share amounts (unaudited)

   Sep 30, 2026     Jun 30, 2026     Sep 30, 2025  

Revenues

   $ 2,370.3     $ 2,045.5     $ 1,581.4  

Costs, Expenses & Other Expense (Income)

      

Cost of goods sold

     1,442.6       1,258.5       1,002.2  

Research and development

     236.6       216.4       154.9  

Selling, general and administrative

     304.7       266.4       252.1  

Restructuring charges

     8.6       6.1       19.3  

Impairment of assets held-for-sale

     —        44.3       9.1  

Gain on sale of business

     —        —        (115.2 ) 

Interest expense

     46.3       41.1       58.7  

Other expense (income), net

     (27.2 )      (65.6 )      (16.5 ) 
  

 

 

   

 

 

   

 

 

 

Total Costs, Expenses, & Other Expense

     2,011.6       1,767.0       1,364.5  
  

 

 

   

 

 

   

 

 

 

Earnings Before Income Taxes

     358.8       278.5       216.9  

Income Taxes

     (22.8 )      42.3       (8.3 ) 
  

 

 

   

 

 

   

 

 

 

Net Earnings

     381.6       236.2       225.2  

Net Loss Attributable to Noncontrolling Interests

     (3.1 )      (4.3 )      (1.2 ) 
  

 

 

   

 

 

   

 

 

 

Net Earnings Attributable to Coherent Corp.

     384.7       240.5       226.3  
  

 

 

   

 

 

   

 

 

 

Less: Dividends on Preferred Stock

     —        —        33.5  
  

 

 

   

 

 

   

 

 

 

Net Earnings Available to the Common Shareholders

   $ 384.7     $ 240.5     $ 192.9  
  

 

 

   

 

 

   

 

 

 

Basic Earnings Per Share

   $ 1.96     $ 1.23     $ 1.24  
  

 

 

   

 

 

   

 

 

 

Diluted Earnings Per Share

   $ 1.90     $ 1.19     $ 1.19  
  

 

 

   

 

 

   

 

 

 

Average Shares Outstanding - Basic

     196.2       195.7       156.2  

Average Shares Outstanding - Diluted

     202.0       202.2       190.7  
 
*

Amounts may not recalculate due to rounding.

 

6


Table 3

Coherent Corp. and Subsidiaries

Condensed Consolidated Balance Sheets*

 

$ Millions (unaudited)

   Sep 30, 2026      Jun 30, 2026  

Assets

     

Current Assets

     

Cash and cash equivalents

   $ 1,552.9      $ 1,162.0  

Restricted cash, current

     44.6        35.2  

Short-term investments

     200.0        825.0  

Accounts receivable

     1,604.2        1,343.3  

Inventories

     3,341.4        2,581.0  

Prepaid and refundable income taxes

     52.5        78.9  

Prepaid and other current assets

     1,128.7        900.1  
  

 

 

    

 

 

 

Total Current Assets

     7,924.3        6,925.5  

Property, plant & equipment, net

     3,869.8        2,999.3  

Goodwill

     4,448.3        4,375.6  

Other intangible assets, net

     2,815.9        2,884.5  

Deferred income taxes

     90.4        69.4  

Restricted cash, non-current

     538.8        571.2  

Other assets

     560.1        474.3  
  

 

 

    

 

 

 

Total Assets

   $ 20,247.6      $ 18,299.9  
  

 

 

    

 

 

 

Liabilities and Equity

     

Current Liabilities

     

Current portion of long-term debt

   $ 19.9      $ 7.9  

Accounts payable

     2,506.4        1,905.4  

Operating lease current liabilities

     68.3        61.4  

Accruals and other current liabilities

     862.0        879.3  
  

 

 

    

 

 

 

Total Current Liabilities

     3,456.6        2,853.9  

Long-term debt

     3,980.7        3,214.3  

Deferred income taxes

     503.7        540.6  

Operating lease liabilities

     278.1        254.8  

Other liabilities

     366.8        198.0  
  

 

 

    

 

 

 

Total Liabilities

     8,585.9        7,061.7  

Total Coherent Corp. Shareholders’ Equity

     11,330.0        10,903.5  

Noncontrolling interests

     331.7        334.7  
  

 

 

    

 

 

 

Total Equity

     11,661.7        11,238.2  
  

 

 

    

 

 

 

Total Liabilities and Equity

   $ 20,247.6      $ 18,299.9  
  

 

 

    

 

 

 
 
*

Amounts may not recalculate due to rounding.

 

7


Table 4

Coherent Corp. and Subsidiaries

Condensed Consolidated Statements of Cash Flows*

 

     THREE MONTHS ENDED  

$ Millions (unaudited)

   Sep 30, 2026     Sep 30, 2025  

Cash Flows from Operating Activities

    

Net cash provided by (used in) operating activities

   $ (92.7 )    $ 46.0  
  

 

 

   

 

 

 

Cash Flows from Investing Activities

    

Additions to property, plant & equipment

     (775.5 )      (103.9 ) 

Proceeds from the sale of business

     —        391.1  

Proceeds from sale of equity investment

     —        9.6  

Proceeds from sales/maturities of short-term investments

     625.0       —   

Other investing activities

     (50.4 )      —   
  

 

 

   

 

 

 

Net cash provided by (used in) investing activities

     (200.9 )      296.8  
  

 

 

   

 

 

 

Cash Flows from Financing Activities

    

Proceeds from borrowings of Term A Facility

     —        1,250.0  

Proceeds from borrowings of Term B Facility

     —        3.3  

Proceeds from borrowings of revolving credit facilities

     11.7       88.9  

Proceeds from borrowings of other credit facilities

     773.4       —   

Payments on existing debt

     (0.8 )      (1,650.8 ) 

Payments on borrowings under revolving credit facilities

     (9.8 )      (77.0 ) 

Debt issuance costs

     —        (8.5 ) 

Proceeds from exercises of stock options and purchases under employee stock purchase plan

     19.4       21.3  

Payments in satisfaction of employees’ minimum tax obligations

     (128.6 )      (37.4 ) 

Payment of dividends

     —        (11.4 ) 

Other financing activities

     (0.6 )      0.3  
  

 

 

   

 

 

 

Net cash provided by (used in) financing activities

     664.6       (421.5 ) 
  

 

 

   

 

 

 

Effect of exchange rate changes on cash and cash equivalents

     (3.1 )      (1.3 ) 

Net increase (decrease) in cash and cash equivalents

     367.9       (80.0 ) 

Cash, Cash Equivalents, and Restricted Cash at Beginning of Period

     1,768.4       1,632.9  
  

 

 

   

 

 

 

Cash, Cash Equivalents, and Restricted Cash at End of Period

   $ 2,136.3     $ 1,552.9  
  

 

 

   

 

 

 
 
*

Amounts may not recalculate due to rounding.

 

8


Table 5

Segment Revenues*

 

     THREE MONTHS ENDED  

$ Millions (unaudited)

   Sep 30, 2026      Jun 30, 2026      Sep 30, 2025  

Revenues:

        

Datacenter & Communications

   $ 1,951.7      $ 1,615.0      $ 1,090.0  

Industrial

     418.6        430.5        491.4  
  

 

 

    

 

 

    

 

 

 

Consolidated

   $ 2,370.3      $ 2,045.5      $ 1,581.4  
  

 

 

    

 

 

    

 

 

 
 
*

Amounts may not recalculate due to rounding.

 

9


Table 6

Reconciliation of GAAP Measures to Non-GAAP

Measures*

 

     THREE MONTHS ENDED  

$ Millions, except per share amounts (unaudited)

   Sep 30, 2026     Jun 30, 2026     Sep 30, 2025  

Gross margin on GAAP basis

   $ 927.8     $ 787.1     $ 579.2  

Share-based compensation

     6.1       7.4       5.9  

Amortization of acquired intangibles

     27.7       27.8       27.8  

Integration, site consolidation and other(1)

     0.4       0.3       (0.3 ) 
  

 

 

   

 

 

   

 

 

 

Gross margin on non-GAAP basis

   $ 961.9     $ 822.6     $ 612.6  
  

 

 

   

 

 

   

 

 

 

Research & development on GAAP basis

   $ 236.6     $ 216.4     $ 154.9  

Share-based compensation

     (9.7 )      (8.0 )      (6.8 ) 

Amortization of acquired intangibles

     (0.2 )      (0.2 )      (0.2 ) 
  

 

 

   

 

 

   

 

 

 

Research & development on non-GAAP basis

   $ 226.7     $ 208.3     $ 147.9  
  

 

 

   

 

 

   

 

 

 

Selling, general and administrative on GAAP basis

   $ 304.7     $ 266.4     $ 252.1  

Share-based compensation

     (57.4 )      (38.5 )      (32.0 ) 

Amortization of acquired intangibles

     (41.6 )      (41.8 )      (41.5 ) 

Financing fees(2)

     —        —        (0.3 ) 

Integration, site consolidation and other(1)

     (20.8 )      (17.4 )      (22.5 ) 
  

 

 

   

 

 

   

 

 

 

Selling, general and administrative on non-GAAP basis

   $ 184.9     $ 168.5     $ 155.8  
  

 

 

   

 

 

   

 

 

 

Restructuring charges on GAAP basis

   $ 8.6     $ 6.1     $ 19.3  

Restructuring charges(3)

     (8.6 )      (6.1 )      (19.3 ) 
  

 

 

   

 

 

   

 

 

 

Restructuring charges on non-GAAP basis

   $ —      $ —      $ —   
  

 

 

   

 

 

   

 

 

 

Impairment of assets held-for-sale on GAAP basis

   $ —      $ 44.3     $ 9.1  

Impairment of assets held-for-sale(4)

     —        (44.3 )      (9.1 ) 
  

 

 

   

 

 

   

 

 

 

Impairment of assets held-for-sale on non-GAAP basis

   $ —      $ —      $ —   
  

 

 

   

 

 

   

 

 

 

Gain on sale of business on GAAP basis

   $ —      $ —      $ (115.2 ) 

Gain on sale of business(5)

     —        —        115.2  
  

 

 

   

 

 

   

 

 

 

Gain on sale of business on non-GAAP basis

   $ —      $ —      $ —   
  

 

 

   

 

 

   

 

 

 

Operating income on GAAP basis

   $ 377.9     $ 253.9     $ 259.1  

Share-based compensation

     73.2       53.9       44.7  

Amortization of acquired intangibles

     69.5       69.8       69.5  

Restructuring charges(3)

     8.6       6.1       19.3  

Impairment of assets held-for-sale(4)

     —        44.3       9.1  

Gain on sale of business(5)

     —        —        (115.2 ) 

Financing fees(2)

     —        —        0.3  

Integration, site consolidation and other(1)

     21.2       17.7       22.2  
  

 

 

   

 

 

   

 

 

 

Operating income on non-GAAP basis

   $ 550.3     $ 445.8     $ 308.9  
  

 

 

   

 

 

   

 

 

 

 

10


Table 6 

Reconciliation of GAAP Measures to Non-GAAP Measures*

(Continued) 

 

     THREE MONTHS ENDED  

$ Millions, except per share amounts (unaudited)

   Sep 30, 2026     Jun 30, 2026     Sep 30, 2025  

Interest and other (income) expense, net on GAAP basis

   $ 19.1     $ (24.6 )    $ 42.2  

Foreign currency exchange gains, net

     13.9       3.8       0.8  

Gain on sale of investment(6)

     —        38.4       6.7  

Financing fees(2)

     —        —        (12.1 ) 
  

 

 

   

 

 

   

 

 

 

Interest and other expense, net on non-GAAP basis

   $ 33.0     $ 17.6     $ 37.6  
  

 

 

   

 

 

   

 

 

 

Income taxes on GAAP basis

   $ (22.8 )    $ 42.3     $ (8.3 ) 

Tax impact of non-GAAP measures(7)

     121.1       39.1       59.9  
  

 

 

   

 

 

   

 

 

 

Income taxes on non-GAAP basis

   $ 98.3     $ 81.4     $ 51.5  
  

 

 

   

 

 

   

 

 

 

Net earnings attributable to Coherent Corp. on GAAP basis

   $ 384.7     $ 240.5     $ 226.3  

Share-based compensation

     73.2       53.9       44.7  

Amortization of acquired intangibles

     69.5       69.8       69.5  

Foreign currency exchange gains

     (13.9 )      (3.8 )      (0.8 ) 

Restructuring charges(3)

     8.6       6.1       19.3  

Impairment of assets held-for-sale(4)

     —        44.3       9.1  

Gain on sale of business(5)

     —        —        (115.2 ) 

Integration, site consolidation and other(1)

     21.2       17.7       22.2  

Gain on sale of investment(6)

     —        (38.4 )      (6.7 ) 

Financing fees(2)

     —        —        12.4  

Tax impact of non-GAAP measures(7)

     (121.1 )      (38.9 )      (59.9 ) 
  

 

 

   

 

 

   

 

 

 

Net earnings attributable to Coherent Corp. on non-GAAP basis

   $ 422.0     $ 351.2     $ 220.9  
  

 

 

   

 

 

   

 

 

 

Per share data:

      

Net earnings on GAAP basis

      

Basic Earnings Per Share

   $ 1.96     $ 1.23     $ 1.24  

Diluted Earnings Per Share

   $ 1.90     $ 1.19     $ 1.19  

Net earnings on non-GAAP basis

      

Basic Earnings Per Share

   $ 2.15     $ 1.79     $ 1.20  

Diluted Earnings Per Share

   $ 2.09     $ 1.74     $ 1.16  
 
*

Amounts may not recalculate due to rounding.

 

11


(1)

Integration, site consolidation and other costs include retention and severance payments and other integration costs related to the acquisition of Coherent, Inc., implementation of common technology systems and costs related to business divestitures.

(2)

Financing fees include debt extinguishment costs and various fees related to closing the new Credit Agreement and repricing our Term Loan B.

(3)

Restructuring charges include non-cash impairment charges for production assets and improvements on leased facilities, severance, contract termination costs and other costs related to the restructuring plans.

(4)

Impairment of assets held-for-sale relate to several entities classified as held-for-sale.

(5)

Gain on sale of business is due to the sale of our aerospace and defense business.

(6)

Gain on sale of investment is due to the sale of shares in an equity method investment.

(7) 

The Company adopted a full-year, normalized tax rate for the computation of the non-GAAP income tax provision beginning in fiscal year 2026. We believe this approach provides investors with a more consistent view of our underlying operating performance. In estimating the full-year non-GAAP normalized tax rate, the Company utilized a full-year financial projection that considers multiple factors such as changes to the Company’s current operating structure, expected reserve changes for the year, and other significant tax matters to the extent they are applicable to the full fiscal year financial projection. In addition to the adjustments described above, this normalized tax rate excludes the impact of share-based awards, amortization of acquisition-related intangible assets, integration and restructuring charges, foreign exchange gain/(loss), and certain tax valuation allowances.

For fiscal years 2026 and 2027, the Company’s non-GAAP normalized tax rate is 19%. This projected normalized tax rate was applied to each quarter of fiscal year 2026 and 2027. The Company’s non-GAAP normalized tax rate on non-GAAP net income may be adjusted during the year to account for events or trends that the Company believes materially impact the original annual non-GAAP normalized tax rate including, but not limited to, significant changes resulting from tax legislation, acquisitions or dispositions, entity structures or operational changes and other significant events. These additional non-GAAP financial measures should not be considered substitutes for any measures derived in accordance with GAAP and may be inconsistent with similar measures presented by other companies.

 

12


Table 7 

GAAP Earnings Per Share Calculation* 

 

     THREE MONTHS ENDED  

$ Millions, except per share amounts (unaudited)

   Sep 30, 2026      Jun 30, 2026      Sep 30, 2025  

Numerator

        

Net earnings attributable to Coherent Corp.

   $ 384.7      $ 240.5      $ 226.3  

Deduct Series B redeemable preferred dividends

     —         —         (33.5 ) 
  

 

 

    

 

 

    

 

 

 

Basic earnings available to common shareholders

   $ 384.7      $ 240.5      $ 192.9  
  

 

 

    

 

 

    

 

 

 

Effect of dilutive securities:

        

Add back Series B preferred dividends

   $ —       $ —       $ 33.5  
  

 

 

    

 

 

    

 

 

 

Diluted earnings available to common shareholders

   $ 384.7      $ 240.5      $ 226.3  
  

 

 

    

 

 

    

 

 

 

Denominator

        

Weighted average shares

     196.2        195.7        156.2  

Effect of dilutive securities:

        

Common stock equivalents

     5.8        6.6        4.6  

Series B Redeemable Preferred Stock

     —         —         29.9  
  

 

 

    

 

 

    

 

 

 

Diluted weighted average common shares

     202.0        202.2        190.7  
  

 

 

    

 

 

    

 

 

 

Basic earnings per common share

   $ 1.96      $ 1.23      $ 1.24  
  

 

 

    

 

 

    

 

 

 

Diluted earnings per common share

   $ 1.90      $ 1.19      $ 1.19  
  

 

 

    

 

 

    

 

 

 
 
*

Amounts may not recalculate due to rounding.

 

13


Table 8 

Non-GAAP Earnings Per Share Calculation* 

 

     THREE MONTHS ENDED  

$ Millions, except per share amounts (unaudited)

   Sep 30, 2026      Jun 30, 2026      Sep 30, 2025  

Numerator

        

Net earnings attributable to Coherent Corp. on non-GAAP basis

   $ 422.0      $ 351.2      $ 220.9  

Deduct Series B redeemable preferred dividends

     —         —         (33.5 ) 
  

 

 

    

 

 

    

 

 

 

Basic earnings available to common shareholders

   $ 422.0      $ 351.2      $ 187.5  
  

 

 

    

 

 

    

 

 

 

Effect of dilutive securities:

        

Add back Series B preferred dividends

   $ —       $ —       $ 33.5  
  

 

 

    

 

 

    

 

 

 

Diluted earnings available to common shareholders

   $ 422.0      $ 351.2      $ 220.9  
  

 

 

    

 

 

    

 

 

 

Denominator

        

Weighted average shares

     196.2        195.7        156.2  

Effect of dilutive securities:

        

Common stock equivalents

     5.8        6.6        4.6  

Series B Redeemable Preferred Stock

     —         —         29.9  
  

 

 

    

 

 

    

 

 

 

Diluted weighted average common shares

     202.0        202.2        190.7  
  

 

 

    

 

 

    

 

 

 

Basic earnings per common share on non-GAAP basis

   $ 2.15      $ 1.79      $ 1.20  
  

 

 

    

 

 

    

 

 

 

Diluted earnings per common share on non-GAAP basis

   $ 2.09      $ 1.74      $ 1.16  
  

 

 

    

 

 

    

 

 

 
 
*

Amounts may not recalculate due to rounding.

 

14

Slide 1

COHERENT FIRST QUARTER 2027 EARNINGS November 4, 2026 Exhibit 99.2


Slide 2

Forward-Looking Statements This presentation contains forward-looking statements relating to future events and expectations, including our business and financial outlook for the second quarter of fiscal 2027 and beyond. 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-forward basis. The forward-looking statements in this investor presentation involve risks and uncertainties, which could cause actual results, performance, or trends to differ materially from those described in this presentation. The Company believes that all forward-looking statements made by it herein have a reasonable basis, but there can be no assurance that management’s expectations, beliefs, or projections as expressed in the forward-looking statements will actually occur or prove to be correct. In addition to general industry and global economic conditions, factors that could cause actual results to differ materially from those discussed in the forward-looking statements herein include but are not limited to: (i) the failure of any one or more of the assumptions stated herein to prove to be correct; (ii) changes in demand in the Company’s end markets along with the Company’s ability to respond to such market changes; (iii) our failure to accurately estimate customer demand and future sales and/or fluctuations in purchasing patterns of customers and end users; (iv) the ability of the Company to retain and hire key employees; (v) the terms of the Company’s indebtedness and ability to service such debt (vi) the timely release of new products and acceptance of such new products by the market; (vii) the introduction of new products by competitors and other competitive responses; (viii) the risks to realizing the benefits of investments in R&D and commercialization of innovations; (ix) the risks that the Company’s stock price will not trade in line with industrial technology leaders; (x) the impact of international conflict and economic volatility in either domestic or foreign markets, including risks related to the impact of trade protection measures, such as import tariffs by the United States or retaliatory actions taken by other countries; and/or (xi) the risks relating to forward-looking statements and other “Risk Factors” identified from time to time in our filings with the SEC, including our Annual Report on Form 10-K for the fiscal year ended June 30, 2026, and our subsequently filed Quarterly Reports on Form 10-Q and Form 10-K, which filings are available from the SEC. You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. The Company disclaims any obligation to update information contained in these forward-looking statements, whether as a result of new information, future events or developments, or otherwise. Unless otherwise indicated in this presentation, all information in this presentation is as of November 4, 2026. This presentation contains non-GAAP financial measures and key metrics relating to the Company’s past performance. We believe the presentation of these non-GAAP financial measures enhances investors' overall understanding of our historical financial performance and assists investors in comparing our performance across reporting periods. These non-GAAP financial measures are in addition to, and not a substitute for or superior to, measures of financial performance prepared in accordance with U.S. GAAP. There are a number of limitations related to the use of these non-GAAP financial measures versus their nearest GAAP equivalents. For example, other companies may calculate non-GAAP financial measures differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of our non-GAAP financial measures as tools for comparison. As required by Regulation G, we have provided reconciliations of those measures to the most directly comparable GAAP measures in the section captioned “GAAP to NON-GAAP RECONCILIATION.” The Company has not provided a quantitative reconciliation of forward-looking non-GAAP gross margin percentage, non-GAAP operating expenses, non-GAAP tax rate and non-GAAP earnings per share, because we cannot, without unreasonable efforts, forecast certain items required to develop comparable GAAP measures.  These items include, without limitation, restructuring charges; integration, site consolidation and other expenses; foreign exchange gains (losses); and share based compensation expense.  The variability of these items could significantly impact our future GAAP financial results and we believe that the inclusion of any such reconciliations would imply a degree or precision that could be confusing or misleading to investors.


Slide 3

Gross MARGIN and earnings per share GAAP to Non-GAAP Reconciliations


Slide 4

EXECUTIVE SUMMARY RECORD RESULTS AND ACCELERATING GROWTH (1) Record Q1 revenue of $2.37B, up 56% YoY Non-GAAP gross margin of 40.6%, up 184 basis points YoY Non-GAAP EPS of $2.09, up 80% YoY FY27 revenue growth expected to exceed 60% First quarter above 45% non-GAAP gross margin expected before CY28-end STRONG DEMAND AND MANUFACTURING EXECUTION Datacenter and Communications revenue grew 79% YoY, representing 82% of total revenue New LTAs strengthen multiyear visibility, including a PhotonLink™ agreement valued at ~$20B over five years; with revenue beginning to ramp in early CY2028 Internal InP output capacity doubled YoY one quarter early; on track to more than double again by CY27-end SCALE-ACROSS AND PHOTONLINK EXPAND GROWTH Scale-across / DCI: Q1 revenue exceeded $200M, roughly quadrupling YoY and reaching a nearly $1B annualized revenue run rate; quarterly revenue expected to roughly double from Q1 by CY2027-end PhotonLink: Revenue expected to exceed $100M in the March 2027 quarter and $250M per quarter before CY27-end (1) The pro forma revenue and revenue growth numbers shown here alongside GAAP figures exclude for all periods revenue from the sale of our former Aerospace & Defense business, which closed September 2, 2025, and our Munich, Germany business, which closed January 30, 2026. Gross margins and earnings per share are based on financial results reported November 4, 2026.


Slide 5

REVENUE Q1 FY27 (1) The pro forma revenue and revenue growth numbers shown here alongside GAAP figures exclude for all periods revenue from the sale of our former Aerospace & Defense business, which closed September 2, 2025, and our Munich, Germany business, which closed January 30, 2026. Q1 REVENUE (1) UP 16% QoQ | 56% YoY Full-year growth accelerates: FY27 revenue growth expected to exceed 60%, more than double FY26’s rate Near-term growth expected to continue: Q2 FY27 revenue expected at $2.55B-$2.75B Next milestone remains on track: First $3B revenue quarter expected by FY27-end Growth expected to extend into FY28: Clear line of sight to the first $4B revenue quarter in FY28 KEY HIGHLIGHTS


Slide 6

KEY METRICS Q1 FY27 | Non-GAAP (1) OPERATING MARGIN YoY expansion +368 bps GROSS MARGIN YoY expansion +184 bps EARNINGS PER SHARE YoY growth +80% OPEX % OF REVENUE (1) See appendix for GAAP-to-non-GAAP reconciliations. YoY reduction -183 bps


Slide 7

DATACENTER AND COMMUNICATIONS KEY HIGHLIGHTS Datacenter: Revenue increased 17% QoQ; 85% YoY Communications: Revenue increased 34% QoQ; 84% YoY New growth areas: PhotonLink™ – Revenue expected to exceed $100M in the March 2027 quarter and $250M per quarter before CY27-end Scale-across / DCI – Q1 revenue exceeded $200M, roughly quadrupling YoY and reaching a nearly $1B annualized revenue run rate; quarterly revenue expected to roughly double from Q1 by CY27-end Multi-Rail – Revenue ramp expected in the March 2027 quarter Manufacturing and visibility: Internal InP output capacity doubled YoY in Q1, one quarter ahead of plan Customer orders increasingly extend into CY28; LTAs typically extend through the end of the decade “With the breadth of our photonic technology portfolio and our manufacturing scale, we believe Coherent is uniquely well positioned to capitalize on this multi-year growth opportunity.” — Jim Anderson, CEO Q1 REVENUE UP 21% QoQ | 79% YoY $1.1B $2.0B $1.6B


Slide 8

INDUSTRIAL KEY HIGHLIGHTS Return to growth: Strong semiconductor capital equipment bookings support an expected return to growth in Q2 FY27 Semiconductor capital equipment: Notable bookings uptick for lasers, precision optics and engineered materials serving front-end applications AI infrastructure: CO₂ lasers and zinc selenide optics enable advanced circuit-board drilling for AI servers New growth areas: Thermadite xPU cooling prototypes shipping to strategic customers in Q2 FY27; revenue ramp expected in H2 CY27 Fusion-related demand is ramping; expect fusion to contribute to Industrial growth in the coming quarters In quantum, we supply lasers and materials to leading quantum technology developers and are engaged in next-generation programs “Our vertical integration—from materials and crystal growth through optics and lasers—helps us manage quality, cost, and supply in a capacity-constrained market.” — Jim Anderson, CEO (1) ) The pro forma revenue numbers shown here alongside GAAP figures exclude for all periods revenue from the sale of our former Aerospace & Defense business, which closed September 2, 2025, and our Munich, Germany business, which closed January 30, 2026.​ Q1 REVENUE (1) FLAT QoQ | YoY $0.4B $0.4B $0.4B


Slide 9

Recent announcements SEPTEMBER 21, 2026 DELIVERING COMPLETE OPTICAL SOLUTIONS FOR AI WITH PHOTONLINKTM Launched PhotonLink™, an integrated optics platform supporting CPO, NPO and emerging chip‑to‑chip connectivity. Anchor customers and long‑term agreements are secured for both CPO and NPO, with revenue expected to begin ramping in Q4 CY26. Read more here SEPTEMBER 17, 2026 EXPANDING PLUGGABLE OPTICAL LINE SYSTEMS TO ENABLE AI DATACENTER NETWORKS Expanded the Pluggable Optical Line System (POLS) portfolio with full C‑band amplification in a compact QSFP form factor. Built for 800G ZR/ZR+, POLS carries up to 25.6Tbps of AI datacenter traffic over a single fiber pair and is shipping in high volume. Read more here AUGUST 17, 2026 ADVANCING AI THERMAL MANAGEMENT WITH 300MM SILICON CARBIDE Began sampling 300mm high thermal conductivity silicon carbide (SiC) substrates to leading AI semiconductor partners, engineered to improve heat spreading by up to 25% versus current solutions for AI and high‑performance computing. Read more here


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SECOND QUARTER FISCAL 2027 OUTLOOK (1) REVENUE $2.55 billion to $2.75 billion NON-GAAP GROSS MARGIN 40.0% to 42.0% NON-GAAP OPERATING EXPENSES $430 million to $450 million NON-GAAP TAX RATE 18% to 20% NON-GAAP EARNINGS PER SHARE $2.28 to $2.48 (1) The Company has not provided a quantitative reconciliation of forward-looking non-GAAP gross margin percentage, non-GAAP operating expenses, non-GAAP tax rate and non-GAAP earnings per share, because we cannot, without unreasonable efforts, forecast certain items required to develop comparable GAAP measures. These items include, without limitation, restructuring charges, integration, site consolidation and other expenses, foreign exchange gains (losses), and share based compensation expense. The variability of these items could significantly impact our future GAAP financial results and we believe that the inclusion of any such reconciliations would imply a degree or precision that could be confusing or misleading to investors.


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Additional revenue and gross margin guidance (1) (1) The Company has not provided a quantitative reconciliation of forward-looking non-GAAP gross margin percentage, non-GAAP operating expenses, non-GAAP tax rate and non-GAAP earnings per share, because we cannot, without unreasonable efforts, forecast certain items required to develop comparable GAAP measures. These items include, without limitation, restructuring charges, integration, site consolidation and other expenses, foreign exchange gains (losses), and share based compensation expense. The variability of these items could significantly impact our future GAAP financial results and we believe that the inclusion of any such reconciliations would imply a degree or precision that could be confusing or misleading to investors. . ACCELERATING REVENUE Expect to achieve our first $3 billion revenue quarter by FY27-end Expect FY27 pro forma revenue growth to exceed 60%, more than double our FY26 pro forma growth rate Expect first $4 billion revenue quarter in FY28 EXPANDING GROSS MARGIN Expect to achieve our first quarter with non-GAAP gross margin above 45% before CY28-end


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Gaap to Non-Gaap Reconciliation


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Gross MARGIN Reconciliation (1) (1) Amounts may not foot due to rounding


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Operating Expenses Reconciliation (1) (1) Amounts may not foot due to rounding


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Income from Operations Reconciliation (1) (1) Amounts may not foot due to rounding


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Net Earnings Reconciliation (1) (1) Amounts may not foot due to rounding


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NET Earnings per Common Share (1) (1) Amounts may not foot due to rounding


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