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Laser Photonics Announces Second Quarter 2024 Results

ORLANDO, FL / August 29, 2024 / Laser Photonics Corporation (NASDAQ: LASE), (“LPC”), a leading global developer of CleanTech laser systems for laser cleaning and other material applications, today announced results for its second quarter ended June 30, 2024.

 

Wayne Tupuola, CEO of Laser Photonics, commented:

“While our second quarter reflected a revenue decline due to pushouts in timing for expected orders that were delayed resulting from customers’ internal capex review processes, we are encouraged by the mix of CleanTech representing over 80% of our sales during the quarter.

“Looking ahead, we are focused on market penetration activities for CleanTech, developing and commercializing leading edge new product lines for defense applications, laser cutting, semiconductor equipment and additive manufacturing while also optimizing our manufacturing and procurement processes to enhance our gross margin profile. We believe these efforts, combined with our ongoing investments in sales, marketing and strategic partnerships, will position us for stronger performance in the latter half of the year and 2025. We remain dedicated to delivering high-value solutions to our customers and driving long-term growth for our shareholders.”

 

Financial Highlights: (Q224 vs. Q223)

  • Revenue: $0.6 million compared to $1.0 million;
  • Gross Profit: $0.3 million compared to $0.7 million;
  • Operating Loss: ($2.1) million compared to ($0.7) million;
  • Net Loss: ($2.1) million from ($0.7) million;
  • Loss per Share: ($0.20) compared to ($0.09).
Select Financial Metrics* YTD YTD
(in SM except for EPS) 2Q24 2Q23 Change 2024 2023 Change
Revenue $0.6 $1.0 -35.4% $1.4 $1.6 -16.8%
Gross Profit $0.3 $0.7 -53.7% $0.7 $1.1 -35.5%
Gross Margin 50.6% 70.6% 51.3% 66.3%
Operating Loss ($2.1) ($0.7) -211.2% ($3.7) ($1.6) -133.2%
Net Loss ($2.1) ($0.7) -211.3% ($3.7) ($1.9) -90.0%
Diluted Loss per Share (EPS) ($0.20) ($0.09) -122.2% ($0.37) ($0.25) -48.0%
*numbers may not add due to rounding

 

 

Second Quarter Business Highlights

Announced Customer Orders:

  • ES Fox purchased a CleanTech 500-CTHD laser cleaning system.

Partnerships:

  • Announced a partnership with Echelon 1 Solutions, a provider of turn-key solutions to solve complex military supply chain, space utilization, and space optimization problems, to help bring LPC CleanTech laser systems to Department of Defense (DoD) customers.

Products:

  • Announced the successful early testing of Fonon’s Laser Shield Anti-Drone System (LSAD) prototype at LPC’s testing facility. The LSAD is a cutting-edge solution in development for the deterrence of unauthorized drone activity;
  • Updated the CleanTech series, featuring mobile connectivity for remote monitoring and control, a new compact form factor for the scan head and smart overheat protection for added safety;
  • Introduced the SaberTech line of high-power laser cutting systems featuring material distortion reducing Turbo Piercing technology.

 

Management’s Second Quarter Commentary

Management has posted its second quarter of 2024 commentary on the LPC investor page.  Investors can access it here: https://invest.laserphotonics.com/

 

About Laser Photonics Corporation

Laser Photonics is a vertically-integrated manufacturer and R&D Center of Excellence for industrial laser technologies and systems. LPC seeks to disrupt the $46 billion, centuries-old sand and abrasives blasting markets, focusing on surface cleaning, rust removal, corrosion control, de-painting and other laser-based industrial applications. LPC’s new generation of leading-edge laser blasting technologies and equipment also addresses the numerous health, safety, environmental, and regulatory issues associated with the old methods. As a result, LPC has quickly gained a reputation as an industry leader for industrial laser systems with a brand that stands for quality, technology and product innovation. Currently, world-renowned and Fortune 1000 manufacturers in the aerospace, automotive, defense, energy, industrial, maritime, space exploration and shipbuilding industries are using LPC’s “unique-to-industry” systems. For more information, visit www.laserphotonics.com.

 

Cautionary Note Concerning Forward-Looking Statements

This press release contains “forward-looking statements” (within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended), including statements regarding the Company’s plans, prospects, potential results and use of proceeds. These statements are based on current expectations as of the date of this press release and involve a number of risks and uncertainties, which may cause results and uses of proceeds to differ materially from those indicated by these forward-looking statements. These risks include, without limitation, those described under the caption “Risk Factors” in the Registration Statement. Any reader of this press release is cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company undertakes no obligation to revise or update any forward-looking statements to reflect events or circumstances after the date of this press release except as required by applicable laws or regulations.

 

Laser Photonics Investor Relations Contact:
[email protected]

 

 

CONDENSED CONSOLIDATED BALANCE SHEETS

(in thousands, except par value data)

(unaudited)

As of As of
  June 30, 2024   December 31, 2023
Assets
Current Assets:
Cash and Cash Equivalents $2,747,633 $6,201,137
Accounts Receivable, Net 446,016 816,364
Inventory 2,105,421 2,237,455
Other Assets 405,638 39,190
Total Current Assets 5,704,708 9,294,146
Property, Plant, & Equipment, Net 923,675 952,811
Intangible Assets, Net 4,077,662 4,279,987
Operating Lease Right-of-Use Asset 374,559 597,143
Total Assets $11,080,604 $15,124,087
Liabilities & Stockholders’ Equity
Current Liabilities:
Accounts Payable $198,236 $223,040
Deferred Revenue 116,564 213,114
Current Portion of Operating Lease 197,614 434,152
Accrued Expenses 107,614 161,538
Total Current Liabilities 620,028 1,031,844
Long Term Liabilities:
Lease liability – less current 176,945 162,991
Total Long Term Liabilities 176,945 162,991
Total Liabilities 796,973 1,194,835
Stockholders’ Equity:
Preferred stock Par value $0.001: 10,000,000 shares authorized. 0 Issued: shares were outstanding as of March 31, 2024, and December 31, 2023  –  –
Common Stock Par Value $0.001:   100,000,000 shares authorized; 12,270,427 and 9,253,419 issued and outstanding as of June 30, 2024, and December 31, 2023 * 12,270 9,253
Additional Paid in Capital 19,211,044 19,180,725
Retained Earnings (Deficit) (8,914,443) (5,235,486)
Treasury Stock (25,240) (25,240)
Total Stockholders’ Equity 10,283,631 13,929,252
Total Liabilities & Stockholders’ Equity $11,080,604 $15,124,087

 

 

 

STATEMENTS OF PROFIT AND LOSS

(in thousands, except per share data)

(unaudited)

Three Months Ended Six Months Ended
June 30, 2024   June 30, 2023 (Restated)   June 30, 2024   June 30, 2023 (Restated)
Net Sales $623,435 $965,440 $1,366,426 $1,641,632
Cost of Sales 308,081 283,864 665,204 553,761
Gross Profit 315,354 681,576 701,222 1,087,871
Operating Expenses:
Sales & Marketing 266,282 522,918 402,891 785,842
General & Administrative 1,615,082 393,352 2,991,035 969,217
Depreciation & Amortization 245,894 100,947 431,210 184,084
Payroll Expenses 238,703 302,409 447,158 646,111
Research and Development Cost 60,232 40,205 107,923 80,459
Total Operating Expenses 2,426,194 1,359,831 4,380,217 2,665,713
Operating Income (Loss) (2,110,839) (678,255) (3,678,995) (1,577,842)
Other Income (Expenses):
Total Other Income (Loss) (2,723) (639) 37 (358,657)
Income (Loss) Before Tax (2,113,562) (678,894) (3,678,958) (1,936,499)
Tax Provision 0 0 0 0
Net Income (Loss) ($2,113,562)   ($678,894)   ($3,678,958)   ($1,936,499)
Deemed Dividend from Software Acquisition (6,615,000) 0 (6,615,000) 0
Net Comprehensive loss attributed to Common Shareholders (8,728,562) (678,894) (10,293,958) (1,936,499)
Earning (Loss) per Share:
Basic and Diluted ($0.20) ($0.09) ($0.37) ($0.25)
Loss per share (attributable to common shareholders) ($0.82) ($0.09) ($1.04) ($0.25)
Weighted Average of Shares Oustanding 10,589,108 7,878,419 9,924,908 7,878,419

 

 

STATEMENTS OF CASH FLOWS

(in thousands)

(unaudited)