nLight Inc (LASR, Financial), a leading provider of high-power semiconductor and fiber lasers, announced its financial results for the third quarter of 2023 on November 2, 2023. The company reported revenues of $50.6 million, a decrease of 15.7% compared to $60.1 million for the third quarter of 2022. The gross margin was 19.6% for the third quarter of 2023 compared to 22.4% for the third quarter of 2022.
Financial Performance
The GAAP net loss for the third quarter of 2023 was $11.9 million, or a net loss of $0.26 per diluted share, compared to a net loss of $13.0 million, or $0.29 per diluted share, for the third quarter of 2022. The non-GAAP net loss for the third quarter of 2023 was $4.9 million, or $0.10 per diluted share, compared to a non-GAAP net loss of $5.1 million, or $0.11 per diluted share, for the third quarter of 2022.
Company's Outlook
For the fourth quarter of 2023, nLight expects revenues to be in the range of $45 million to $50 million. The company expects overall gross margin to be in the range of 16% to 20%, with Laser Products gross margin in the range of 20% to 25% and Advanced Development gross margin of approximately 7%. nLight expects Adjusted EBITDA to be in the range of $(5) million to $(2) million.
Financial Tables
According to the financial tables, the company's revenues for the three months ended September 30, 2023, were $50,634 thousand, a decrease of 15.7% compared to $60,093 thousand for the same period in 2022. The gross margin was 19.6% compared to 22.4% for the same period in 2022. The loss from operations was $12,531 thousand, a decrease of 3.5% compared to $12,981 thousand for the same period in 2022.
Company's Commentary
Scott Keeney, nLight’s President and Chief Executive Officer, commented on the results,
We generated $50.6 million of revenue in the third quarter, near the upper end of our expectations. We continued to make progress against our long-term strategic objectives, securing new design wins in additive manufacturing and delivering initial shipments of lasers to a large global EV battery manufacturer."
He also added,
While the current demand environment continues to put pressure on our near-term revenue growth expectations and gross margin performance, strong operating expense discipline and working capital management enabled us to increase our cash and marketable securities balance by approximately $10 million during the quarter. Our balance sheet remains strong and we ended the quarter with approximately $112 million of cash, cash equivalents and marketable securities with no outstanding debt."
Explore the complete 8-K earnings release (here) from nLight Inc for further details.