LightPath Technologies (LPTH) investor relations material

Executive summary

• Q3 FY2026 revenue rose 109% year-over-year to $19.1 million, driven by strategic acquisitions, vertical integration, and strong growth in infrared optics, assemblies, and camera systems.

• Gross profit increased 161% to $7.0 million, with gross margin improving to 36% from 29% in the prior year.

• Achieved third consecutive quarter of positive adjusted EBITDA, reaching $1.1 million versus a $1.6 million loss a year ago.

• Ended the quarter with a record order backlog of $110.6 million, up 196% from June 2025, driven by large orders for G5 Infrared products.

• Transformation from component supplier to vertically integrated systems provider, leveraging proprietary materials, acquisitions, and a three-pillar growth strategy targeting $300 million in annual revenue within five years.

Financial highlights

• Nine-month revenue grew 102% year-over-year to $50.6 million, with gross profit up 135% to $17.5 million and gross margin at 35%.

• Net loss was $4.1 million ($0.07/share), compared to $3.6 million ($0.09/share) last year, mainly due to fair value adjustments on acquisition liabilities.

• Adjusted EBITDA margin was 6% in Q3 FY2026, up from -18% in Q3 FY2025.

• Cash and equivalents at $55.2 million as of March 31, 2026, up from $4.9 million at June 30, 2025.

• SG&A expenses increased due to integration of acquisitions and higher sales/marketing spend.

Outlook and guidance

• Management expects continued revenue growth in assemblies and modules, supported by robust backlog and multi-year contracts.

• Plans to expand margins as manufacturing investments yield results and volume scales.

• Ongoing investment in capacity expansion across U.S. and European facilities to meet growing backlog.

• Well-capitalized to fund growth strategy and execute on backlog.

• Growth strategy focuses on assemblies, IR camera systems, and large defense programs, with a target of $300 million annual revenue within five years.