Precision Optics Reports Second Quarter Fiscal Year 2025 Financial Results
Precision Optics (NASDAQ: POCI) reported Q2 FY2025 results with revenue of $4.5 million, down from $4.8 million year-over-year but up 8% sequentially. Production revenue increased 42% sequentially to $3.3 million, while engineering revenue decreased to $1.2 million. The company reported a net loss of $1.0 million and adjusted EBITDA of -$0.6 million.
Gross margins declined to 23.6% from 30.1% in the same quarter last year. Notable developments include the January 2025 launch of the Unity Imaging Platform for endoscopic imaging devices, and receipt of a $340,000 production order for ophthalmic endoscopes. The company is accelerating deliveries against a $9 million order for urological endoscope imaging assemblies, with expected deliveries of $2.7 million in fiscal year 2025.
Precision Optics (NASDAQ: POCI) ha riportato i risultati del secondo trimestre dell'anno fiscale 2025, con un fatturato di 4,5 milioni di dollari, in calo rispetto ai 4,8 milioni di dollari dell'anno precedente, ma in aumento dell'8% rispetto al trimestre precedente. I ricavi dalla produzione sono aumentati del 42% rispetto al trimestre precedente, raggiungendo 3,3 milioni di dollari, mentre i ricavi ingegneristici sono diminuiti a 1,2 milioni di dollari. L'azienda ha registrato una perdita netta di 1,0 milione di dollari e un EBITDA rettificato di -0,6 milioni di dollari.
I margini lordi sono diminuiti al 23,6% rispetto al 30,1% dello stesso trimestre dell'anno scorso. Sviluppi significativi includono il lancio della Unity Imaging Platform per dispositivi di imaging endoscopico a gennaio 2025 e la ricezione di un ordine di produzione di 340.000 dollari per endoscopi oftalmici. L'azienda sta accelerando le consegne di un ordine da 9 milioni di dollari per assemblaggi di imaging di endoscopi urologici, con consegne previste di 2,7 milioni di dollari nell'anno fiscale 2025.
Precision Optics (NASDAQ: POCI) informó los resultados del segundo trimestre del año fiscal 2025, con ingresos de 4.5 millones de dólares, una disminución respecto a los 4.8 millones de dólares del año anterior, pero un aumento del 8% secuencialmente. Los ingresos por producción aumentaron un 42% secuencialmente a 3.3 millones de dólares, mientras que los ingresos por ingeniería disminuyeron a 1.2 millones de dólares. La empresa reportó una pérdida neta de 1.0 millones de dólares y un EBITDA ajustado de -0.6 millones de dólares.
Los márgenes brutos cayeron al 23.6% desde el 30.1% en el mismo trimestre del año pasado. Los desarrollos notables incluyen el lanzamiento en enero de 2025 de la Unity Imaging Platform para dispositivos de imagen endoscópica y la recepción de un pedido de producción de 340.000 dólares para endoscopios oftálmicos. La empresa está acelerando las entregas de un pedido de 9 millones de dólares para ensamblajes de imagen de endoscopios urológicos, con entregas esperadas de 2.7 millones de dólares en el año fiscal 2025.
프리시전 옵틱스 (NASDAQ: POCI)는 2025 회계연도 2분기 실적을 보고하며, 수익이 450만 달러로 작년 동기 대비 480만 달러에서 감소했지만, 전분기 대비 8% 증가했다고 발표했습니다. 생산 수익은 전분기 대비 42% 증가하여 330만 달러에 달했으며, 엔지니어링 수익은 120만 달러로 감소했습니다. 회사는 100만 달러의 순손실과 -60만 달러의 조정된 EBITDA를 보고했습니다.
총 마진은 작년 같은 분기 30.1%에서 23.6%로 감소했습니다. 주목할 만한 개발 사항으로는 2025년 1월에 유니티 이미징 플랫폼을 출시하여 내시경 이미징 장치에 사용하고, 안과 내시경에 대한 34만 달러의 생산 주문을 수령한 것입니다. 회사는 비뇨기 내시경 이미징 조립품에 대한 900만 달러의 주문에 대해 배송을 가속화하고 있으며, 2025 회계연도에 270만 달러의 배송을 예상하고 있습니다.
Precision Optics (NASDAQ: POCI) a annoncé les résultats du deuxième trimestre de l'exercice 2025, avec des revenus de 4,5 millions de dollars, en baisse par rapport à 4,8 millions de dollars l'année précédente, mais en hausse de 8 % par rapport au trimestre précédent. Les revenus de production ont augmenté de 42 % par rapport au trimestre précédent, atteignant 3,3 millions de dollars, tandis que les revenus d'ingénierie ont diminué à 1,2 million de dollars. L'entreprise a enregistré une perte nette de 1,0 million de dollars et un EBITDA ajusté de -0,6 million de dollars.
Les marges brutes ont chuté à 23,6 % contre 30,1 % au même trimestre de l'année dernière. Parmi les développements notables, on trouve le lancement en janvier 2025 de la Unity Imaging Platform pour les dispositifs d'imagerie endoscopique, ainsi que la réception d'une commande de production de 340 000 dollars pour des endoscopes ophtalmiques. L'entreprise accélère les livraisons d'une commande de 9 millions de dollars pour des ensembles d'imagerie d'endoscopes urologiques, avec des livraisons prévues de 2,7 millions de dollars au cours de l'exercice 2025.
Precision Optics (NASDAQ: POCI) hat die Ergebnisse des zweiten Quartals des Geschäftsjahres 2025 veröffentlicht, mit Einnahmen von 4,5 Millionen Dollar, was einen Rückgang von 4,8 Millionen Dollar im Vorjahr bedeutet, aber einen Anstieg von 8% im Vergleich zum Vorquartal. Die Produktionsumsätze stiegen sequenziell um 42% auf 3,3 Millionen Dollar, während die Ingenieureinnahmen auf 1,2 Millionen Dollar sanken. Das Unternehmen berichtete von einem Nettoverlust von 1,0 Millionen Dollar und einem bereinigten EBITDA von -0,6 Millionen Dollar.
Die Bruttomargen sanken auf 23,6% von 30,1% im gleichen Quartal des Vorjahres. Zu den bemerkenswerten Entwicklungen gehört die Einführung der Unity Imaging Platform für endoskopische Bildgebungsgeräte im Januar 2025 sowie der Erhalt eines Produktionsauftrags über 340.000 Dollar für ophthalmologische Endoskope. Das Unternehmen beschleunigt die Lieferungen im Rahmen eines Auftrags über 9 Millionen Dollar für urologische Endoskopbildgebungsmontagen, mit erwarteten Lieferungen von 2,7 Millionen Dollar im Geschäftsjahr 2025.
- Production revenue increased 42% sequentially to $3.3 million
- Secured $340,000 initial production order for ophthalmic endoscopes with expected higher follow-on orders
- Accelerating deliveries on $9 million urological endoscope order
- Launch of Unity Imaging Platform expected to reduce costs and development time
- Revenue decreased year-over-year from $4.8M to $4.5M
- Net loss widened to $1.0 million from $0.8 million year-over-year
- Gross margins declined to 23.6% from 30.1% year-over-year
- Engineering revenue decreased significantly to $1.2M from $2.3M year-over-year
Insights
The Q2 FY2025 results reveal both opportunities and challenges for Precision Optics. The 42% sequential growth in production revenue to
The revenue mix shift from engineering to production revenue is strategically significant. While engineering revenue declined
The widening net loss of
The defense/aerospace program acceleration adds revenue diversification beyond medical devices. Management's expectation of improved gross margins and bottom-line performance in H2 FY2025 will be critical to monitor, as sustainable profitability depends on successfully scaling production while controlling costs.
Conference Call Scheduled for today, February 13, 2025, at 5:00pm ET.
GARDNER, Mass., Feb. 13, 2025 (GLOBE NEWSWIRE) -- Precision Optics Corporation, Inc. (NASDAQ: POCI), a leading designer and manufacturer of advanced optical instruments for the medical and defense/aerospace industries, announced operating results on an unaudited basis for its second quarter fiscal year 2025 for the period ended December 31, 2024.
Q2 2025 Financial Highlights (3 Months Ended December 31, 2024):
- Revenue was
$4.5 million compared to$4.8 million in the same quarter of the previous fiscal year and an 8 percent improvement compared to$4.2 million in the most recent sequential quarter. - Production revenue was
$3.3 million compared to$2.6 million in the same quarter of the previous fiscal year and a 42 percent improvement compared to$2.3 million in the most recent sequential quarter. - Engineering revenue was
$1.2 million compared to$2.3 million in the same quarter of the previous fiscal year and compared to$1.9 million in the most recent sequential quarter. - Gross margins were
23.6% compared to30.1% in the same quarter of the previous year and compared to26.6% in the most recent sequential quarter. - Net loss for the quarter was (
$1.0) million , compared to$(0.8) million in the same quarter of the previous year, and compared to$(1.3) million in the most recent sequential quarter. - Adjusted EBITDA was
$(0.6) million for the quarter compared to$(0.3) million in the same quarter of the previous year and compared to$(1.0) million in the most recent sequential quarter.
Recent Additional Highlights:
- In January 2025, POC launched the Unity Imaging Platform. The platform is comprised of a CMOS endoscopic system with customization options based on existing or newly designed sub-components. This groundbreaking modular optical platform is set to transform the development and production of endoscopic imaging devices by significantly reducing costs, time to market, and project risks.
- In November 2024, POC announced receipt of an initial
$340,000 production order from a large, global medical device company to provide initial stocking quantities of a new single-use ophthalmic endoscope. POC expects follow-on orders to support first year requirements after launch with delivery rates two to three times those of the initial stocking order. - In October 2024, following FDA 510(k) clearance by its customer for a single-use urological endoscope imaging assembly, POC accelerated the timeline for production deliveries against a
$9 million order announced in May 2024. POC currently estimates approximately$2.7 million in product deliveries during its fiscal year ending June 2025.
“Production growth was reignited during this past quarter, up
“Engineering revenue was down in Q2, in part due to a major push on internal R&D to prepare our Unity Imaging Platform which we launched the last week of January. Unity is a groundbreaking platform that we believe will unlock new opportunities for growth in the CMOS-based endoscope market, including single-use endoscopy. We expect Engineering revenue to recover in the second half of the year as we re-allocate resources back to revenue bearing product development activities to satisfy increases in demand from existing and new product development customers.”
“Based on our large backlog of production programs and engineering projects, we expect continuing revenue growth in the second half of fiscal 2025 to drive substantial improvements in gross margin and the bottom line. We expect the investments we have made in key technologies and in our Unity Imaging Platform will result in substantial long-term growth. I look forward to ending the year on a high note,” Dr. Forkey concluded.
The following table summarizes the second quarter and year-to-date (unaudited) results for the periods ended December 31, 2024, and 2023:
Three Months | Six Months | |||||||||||||
Ended December 31 | Ended December 31 | |||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||
Revenues | $ | 4,526,907 | $ | 4,824,289 | $ | 8,723,960 | $ | 9,145,544 | ||||||
Gross Profit | 1,069,942 | 1,450,976 | 2,187,272 | 2,914,587 | ||||||||||
Stock Compensation Expenses | 308,206 | 382,431 | 457,570 | 491,177 | ||||||||||
Other | 1,671,757 | 1,772,707 | 3,886,664 | 3,532,865 | ||||||||||
Total Operating Expenses | 1,979,963 | 2,155,138 | 4,344,234 | 4,024,042 | ||||||||||
Operating Income (Loss) | (910,021 | ) | (704,162 | ) | (2,156,962 | ) | (1,109,455 | ) | ||||||
Net Income (Loss) | (969,681 | ) | (758,802 | ) | (2,280,928 | ) | (1,223,217 | ) | ||||||
Income (Loss) per Share | ||||||||||||||
Basic & Fully Diluted | $ | (0.15 | ) | $ | (0.13 | ) | $ | (0.36 | ) | $ | (0.20 | ) | ||
Weighted Average Common Shares Outstanding | ||||||||||||||
Basic & Fully Diluted | 6,350,403 | 6,066,572 | 6,283,516 | 6,066,545 |
Conference Call Details
Date and Time: Thursday, February 13, 2025, at 5:00 p.m. ET.
Call-in Information: Interested parties can access the conference call by dialing (844) 735-3662 or
(412) 317-5705.
Live Webcast Information: Interested parties can access the conference call via a live webcast, which is available at https://app.webinar.net/z0E94DknxQO.
Replay: A teleconference replay of the call will be available for seven days, at (877) 344-7529 or (412) 317-0088, replay access code 5819695. A webcast replay will be available at https://app.webinar.net/z0E94DknxQO.
About Precision Optics Corporation
Founded in 1982, Precision Optics is a vertically integrated optics company primarily focused on leveraging its proprietary micro-optics and 3D imaging technologies to the healthcare and defense/aerospace industries by providing services ranging from new product concept through mass manufacture. Utilizing its leading-edge in-house design, electronic imaging expertise, prototype, regulatory and fabrication capabilities as well as Ross Optical division's high volume world-wide sourcing, inspecting and production resources, the Company designs and manufactures next-generation product solutions for the most challenging customer requirements. Within healthcare, Precision Optics enables next generation medical device companies around the world to meet the increasing demands of the surgical community who require more enhanced and smaller imaging systems for minimally invasive surgery, including single-use medical devices, as well as 3D endoscopy systems to support the rapid proliferation of surgical robotic systems. In addition to these next generation applications, Precision Optics has supplied top tier medical device companies with a wide variety of optical products for decades, including complex endocouplers and specialized endoscopes. The Company is also leveraging its technical proficiency in micro-optics to enable leading edge defense/aerospace applications which require the highest quality standards and the optimization of size, weight and power. For more information, please visit www.poci.com.
Non-GAAP Financial Measures
Precision Optics has provided in this press release financial information that has not been prepared in accordance with accounting principles generally accepted in the Unites States of America (“non-GAAP”). The non-GAAP financial measure is Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization). In addition to the aforementioned items, Adjusted EBITDA also excludes from Net Income (Loss) the effect of stock-based compensation.
This non-GAAP financial measure assists Precision Optics management in comparing its operating performance over time because certain items may obscure the underlying business trends and make comparisons of long-term performance difficult, as they are of a nature and/or size that occur with inconsistent frequency or relate to discrete acquisition or restructuring plans that are fundamentally different from the ongoing productivity of the Company. Precision Optics management also believes that presenting this measure allows investors to view its performance using the same measures that the Company uses in evaluating its financial and business performance and trends.
Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information calculated in accordance with GAAP. Investors are encouraged to review the reconciliation of non-GAAP measures to their most directly comparable GAAP financial measures. A reconciliation of the non-GAAP financial measure presented above to GAAP results has been provided in the financial tables included with this press release.
About Forward-Looking Statements
This press release contains forward-looking statements. Forward-looking statements include, but are not limited to, statements that express the Company's intentions, beliefs, expectations, strategies, predictions or any other statements related to the Company's future activities or future events or conditions. Forward-looking statements in this press release include, without limitation, future levels of expected product deliveries and projections related to future EBITDA goals. These statements are based on current expectations, estimates and projections about the Company's business based, in part, on assumptions made by the Company's management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in the forward-looking statements due to numerous risk factors, including those risks discussed in the Company's annual report on Form 10-K and in other documents that we file from time to time with the SEC. Any forward-looking statements speak only as of the date on which they are made, and the Company does not undertake any obligation to update any forward-looking statement, except as required by law.
Company Contact:
PRECISION OPTICS CORPORATION
22 East Broadway
Gardner, Massachusetts 01440-3338
Telephone: 978-630-1800
Investor Contact:
LYTHAM PARTNERS, LLC
Robert Blum
Telephone: 602-889-9700
poci@lythampartners.com
CONSOLIDATED BALANCE SHEETS (UNAUDITED) | ||||||||
December 31, | June 30, | |||||||
2024 | 2024 | |||||||
ASSETS | ||||||||
Current Assets: | ||||||||
Cash and cash equivalents | $ | 212,441 | $ | 405,278 | ||||
Accounts receivable, net of allowance for credit losses of | 3,506,395 | 3,545,491 | ||||||
Inventories, net | 3,847,827 | 2,868,100 | ||||||
Prepaid expenses | 275,041 | 299,364 | ||||||
Total current assets | 7,841,704 | 7,118,233 | ||||||
Fixed Assets: | ||||||||
Machinery and equipment | 3,292,852 | 3,341,194 | ||||||
Leasehold improvements | 823,191 | 810,914 | ||||||
Furniture and fixtures | 506,660 | 416,425 | ||||||
4,622,703 | 4,568,533 | |||||||
Less—accumulated depreciation and amortization | 4,172,446 | 4,074,960 | ||||||
Net fixed assets | 450,257 | 493,573 | ||||||
Operating lease right-to-use asset | 101,946 | 189,999 | ||||||
Patents, net | 292,474 | 286,559 | ||||||
Goodwill | 8,824,210 | 8,824,210 | ||||||
Total other assets | 9,218,630 | 9,300,768 | ||||||
TOTAL ASSETS | $ | 17,510,591 | $ | 16,912,574 | ||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
Current Liabilities: | ||||||||
Revolving line of credit | $ | 900,000 | $ | 1,000,000 | ||||
Current portion of capital lease obligation | 36,622 | 41,113 | ||||||
Current maturities of long-term debt | 427,763 | 276,928 | ||||||
Accounts payable | 2,738,104 | 1,397,313 | ||||||
Contract liabilities | 1,417,933 | 1,172,350 | ||||||
Accrued compensation and other | 791,037 | 840,662 | ||||||
Operating lease liability | 101,946 | 178,450 | ||||||
Total current liabilities | 6,413,405 | 4,906,816 | ||||||
Capital lease obligation, net of current portion | 9,270 | 27,369 | ||||||
Long-term debt, net of current maturities and debt issuance costs | 1,611,944 | 1,899,052 | ||||||
Operating lease liability, net of current portion | – | 11,549 | ||||||
Total liabilities | 8,034,619 | 6,844,786 | ||||||
Stockholders’ Equity: | ||||||||
Common stock, | 63,555 | 60,739 | ||||||
Additional paid-in capital | 62,883,729 | 61,197,433 | ||||||
Accumulated deficit | (53,471,312 | ) | (51,190,384 | ) | ||||
Total stockholders’ equity | 9,475,972 | 10,067,788 | ||||||
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ | 17,510,591 | $ | 16,912,574 |
PRECISION OPTICS CORPORATION, INC. CONSOLIDATED STATEMENTS OF OPERATIONS FOR THE SIX MONTHS ENDED DECEMBER 31, 2024 AND 2023 (UNAUDITED) | |||||||||||||||||
Three Months Ended December 31, | Six Months Ended December 31, | ||||||||||||||||
2024 | 2023 | 2024 | 2023 | ||||||||||||||
Revenues | $ | 4,526,907 | $ | 4,824,289 | $ | 8,723,960 | $ | 9,145,544 | |||||||||
Cost of Goods Sold | 3,456,965 | 3,373,313 | 6,536,688 | 6,230,957 | |||||||||||||
Gross Profit | 1,069,942 | 1,450,976 | 2,187,272 | 2,914,587 | |||||||||||||
Research and Development Expenses | 317,747 | 221,728 | 718,406 | 434,486 | |||||||||||||
Selling, General and Administrative Expenses | 1,662,216 | 1,933,410 | 3,625,828 | 3,589,556 | |||||||||||||
Total Operating Expenses | 1,979,963 | 2,155,138 | 4,344,234 | 4,024,042 | |||||||||||||
Operating Income (Loss) | (910,021 | ) | (704,162 | ) | (2,156,962 | ) | (1,109,455 | ) | |||||||||
Interest Expense | (59,660 | ) | (54,640 | ) | (123,966 | ) | (113,762 | ) | |||||||||
Net Income (Loss) | $ | (969,681 | ) | $ | (758,802 | ) | $ | (2,280,928 | ) | $ | (1,223,217 | ) | |||||
Income (Loss) Per Share: | |||||||||||||||||
Basic and Fully Diluted | $ | (0.15 | ) | $ | (0.13 | ) | $ | (0.36 | ) | $ | (0.20 | ) | |||||
Weighted Average Common Shares Outstanding: | |||||||||||||||||
Basic and Fully Diluted | 6,350,403 | 6,066,572 | 6,283,516 | 6,066,545 |
PRECISION OPTICS CORPORATION, INC. CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY FOR THE SIX MONTHS ENDED DECEMBER 31, 2024 AND 2023 (UNAUDITED) | ||||||||||||||||||||
Six Month Period Ended December 31, 2024 | ||||||||||||||||||||
Number of Shares | Common Stock | Additional Paid-in Capital | Accumulated Deficit | Total Stockholders’ Equity | ||||||||||||||||
Balance, July 1, 2024 | 6,073,939 | $ | 60,739 | $ | 61,197,433 | $ | (51,190,384 | ) | $ | 10,067,788 | ||||||||||
Issuance of common stock in registered direct offering | 265,868 | 2,659 | 1,201,883 | – | 1,204,542 | |||||||||||||||
Proceeds from exercise of stock option | 10,363 | 104 | 26,896 | – | 27,000 | |||||||||||||||
Stock-based compensation | – | – | 149,364 | – | 149,364 | |||||||||||||||
Net loss | – | – | – | (1,311,247 | ) | (1,311,247 | ) | |||||||||||||
Balance, September 30, 2024 | 6,350,170 | 63,502 | 62,575,576 | (52,501,631 | ) | 10,137,447 | ||||||||||||||
Stock-based compensation | – | – | 278,206 | – | 278,206 | |||||||||||||||
Issuance of common stock for consulting services | 5,364 | 53 | 29,947 | – | 30,000 | |||||||||||||||
Net loss | – | – | – | (969,681 | ) | (969,681 | ) | |||||||||||||
Balance, December 31, 2024 | 6,355,534 | $ | 63,555 | $ | 62,883,729 | $ | (53,471,312 | ) | $ | 9,475,972 |
Six Month Period Ended December 31, 2023 | ||||||||||||||||||||
Number of Shares | Common Stock | Additional Paid-in Capital | Accumulated Deficit | Total Stockholders’ Equity | ||||||||||||||||
Balance, July 1, 2023 | 6,066,518 | $ | 60,665 | $ | 60,224,934 | $ | (48,239,007 | ) | $ | 12,046,592 | ||||||||||
Stock-based compensation | – | – | 108,746 | – | 108,746 | |||||||||||||||
Net loss | – | – | – | (464,415 | ) | (464,415 | ) | |||||||||||||
Balance, September 30, 2023 | 6,066,518 | 60,665 | 60,333,680 | (48,703,422 | ) | 11,690,923 | ||||||||||||||
Stock-based compensation | – | – | 382,431 | – | 382,431 | |||||||||||||||
Proceeds from the exercise of stock options | 1,000 | 10 | 2,690 | – | 2,700 | |||||||||||||||
Net loss | – | – | – | (758,802 | ) | (758,802 | ) | |||||||||||||
Balance, December 31, 2023 | 6,067,518 | $ | 60,675 | $ | 60,718,801 | $ | (49,462,224 | ) | $ | 11,317,252 |
PRECISION OPTICS CORPORATION, INC. | |||||||||||||||||||
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES | |||||||||||||||||||
ADJUSTED EBITDA | |||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||
December 31, | December 31, | ||||||||||||||||||
2024 | 2023 | 2024 | 2023 | ||||||||||||||||
Net Income (loss) (GAAP) | $ | (969,682 | ) | $ | (758,802 | ) | $ | (2,280,928 | ) | $ | (1,223,217 | ) | |||||||
Stock based compensation | 308,206 | 382,431 | 457,570 | 491,177 | |||||||||||||||
Depreciation and Amortization | 46,338 | 52,697 | 94,628 | 104,261 | |||||||||||||||
Interest expense | 59,660 | 54,640 | 123,966 | 113,762 | |||||||||||||||
Adjusted EBITDA (non-GAAP) | $ | (555,478 | ) | $ | (269,034 | ) | $ | (1,604,764 | ) | $ | (514,017 | ) | |||||||
