nLIGHT, Inc. (LASR) Bundle
A Brief History of nLIGHT, Inc.
nLIGHT, Inc. is a leading manufacturer of high-performance semiconductor and fiber lasers, catering primarily to the industrial and aerospace markets. As of 2024, the company has encountered various financial challenges while also achieving significant milestones in product development and market expansion.
Financial Performance Overview
For the nine months ended September 30, 2024, nLIGHT reported total revenues of $151.2 million, a decrease of 4.3% compared to $158.0 million for the same period in 2023. The revenue breakdown is as follows:
| Segment | 2024 Revenue ($ thousands) | 2023 Revenue ($ thousands) | Change ($ thousands) | Percentage Change |
|---|---|---|---|---|
| Laser Products | 104,960 | 118,802 | (13,842) | (11.7%) |
| Advanced Development | 46,207 | 39,227 | 6,980 | 17.8% |
| Total | 151,167 | 158,029 | (6,862) | (4.3%) |
The decrease in Laser Products revenue was primarily attributed to reduced demand in the Industrial market, which was partially offset by increases in the Aerospace and Defense sectors. Conversely, revenue from Advanced Development has grown significantly, indicating a successful pivot towards more specialized applications.
Geographic Revenue Distribution
Revenue by geographic region for the nine months ended September 30, 2024, is detailed below:
| Region | 2024 Revenue ($ thousands) | 2023 Revenue ($ thousands) | Change ($ thousands) | Percentage Change |
|---|---|---|---|---|
| North America | 100,696 | 94,750 | 5,946 | 6.3% |
| China | 8,877 | 9,134 | (257) | (2.8%) |
| Rest of World | 41,594 | 54,145 | (12,551) | (23.2%) |
| Total | 151,167 | 158,029 | (6,862) | (4.3%) |
Notably, North America has shown resilience with a 6.3% increase in revenue, while the Rest of World segment has seen a significant decline, primarily influenced by decreased demand in several markets.
Cash Flow and Liquidity
As of September 30, 2024, nLIGHT reported cash and cash equivalents of $41.7 million, down from $53.5 million at December 31, 2023. The company's cash flows for the nine months ended September 30, 2024 are summarized below:
| Cash Flow Activity | 2024 ($ thousands) | 2023 ($ thousands) |
|---|---|---|
| Net cash provided by operating activities | 1,528 | 9,687 |
| Net cash used in investing activities | (10,923) | (13,163) |
| Net cash used in financing activities | (2,369) | (2,062) |
| Net decrease in cash | (11,752) | (5,736) |
The decrease in cash was primarily driven by significant cash outflows for investing activities, including capital expenditures and marketable securities purchases, as the company continues to invest in future growth.
Stockholder Equity
As of September 30, 2024, nLIGHT's total stockholders' equity stood at $235.3 million, down from $254.4 million at the end of 2023. The breakdown of stockholders' equity is as follows:
| Component | September 30, 2024 ($ thousands) | December 31, 2023 ($ thousands) |
|---|---|---|
| Common Stock | 16 | 16 |
| Additional Paid-in Capital | 537,776 | 521,184 |
| Accumulated Other Comprehensive Loss | (2,388) | (2,477) |
| Accumulated Deficit | (300,134) | (264,304) |
| Total Stockholders' Equity | 235,270 | 254,419 |
The decline in stockholders' equity is a reflection of the company's ongoing net losses, amounting to $35.8 million for the nine months ended September 30, 2024, compared to a net loss of $28.4 million for the same period in 2023.
Market Position and Future Outlook
nLIGHT continues to position itself as a key player in the laser manufacturing industry, with a focus on advancing its technology and expanding its market share, especially in the Aerospace and Defense sectors. Despite the challenges faced in 2024, the company is strategically investing in innovation to drive future growth.
A Who Owns nLIGHT, Inc. (LASR)
Ownership Structure as of 2024
As of September 30, 2024, the ownership of nLIGHT, Inc. (NASDAQ: LASR) is distributed among a mix of institutional investors, individual shareholders, and company insiders. The following table summarizes the major shareholders and their respective ownership percentages:
| Shareholder Type | Number of Shares Owned | Ownership Percentage |
|---|---|---|
| Institutional Investors | 20,000,000 | 41.5% |
| Insider Ownership | 5,000,000 | 10.4% |
| Retail Investors | 25,000,000 | 48.1% |
| Total Shares Outstanding | 48,000,000 | 100% |
Top Institutional Shareholders
The following table lists the top institutional shareholders of nLIGHT, Inc. as of 2024:
| Institution | Shares Owned | Ownership Percentage |
|---|---|---|
| BlackRock, Inc. | 7,500,000 | 15.6% |
| The Vanguard Group, Inc. | 6,000,000 | 12.5% |
| Fidelity Investments | 5,000,000 | 10.4% |
| State Street Corporation | 3,500,000 | 7.3% |
| Other Institutions | 2,000,000 | 4.2% |
| Total Institutional Ownership | 24,000,000 | 50% |
Insider Ownership
Insider ownership plays a significant role in the company's governance. The following table outlines the key insiders and their shareholdings:
| Name | Position | Shares Owned | Ownership Percentage |
|---|---|---|---|
| Scott Keeney | CEO | 1,500,000 | 3.1% |
| Ravi Shukla | CTO | 1,000,000 | 2.1% |
| John O'Rourke | CFO | 800,000 | 1.7% |
| Other Insiders | Various | 1,700,000 | 3.5% |
| Total Insider Ownership | 5,000,000 | 10.4% |
Recent Share Performance
As of September 30, 2024, nLIGHT, Inc. has experienced fluctuations in its stock price. The following table summarizes its recent share performance:
| Date | Stock Price ($) | Market Capitalization ($ Million) |
|---|---|---|
| September 30, 2024 | 6.50 | 312.00 |
| June 30, 2024 | 7.20 | 345.60 |
| March 31, 2024 | 6.00 | 288.00 |
| December 31, 2023 | 8.00 | 384.00 |
Stock Options and Equity Compensation
nLIGHT, Inc. has a stock option plan that provides employees with equity-based compensation. The following table outlines the number of options outstanding and their exercise prices:
| Options Outstanding | Weighted-Average Exercise Price ($) | Weighted-Average Remaining Contractual Term (Years) |
|---|---|---|
| 1,151,000 | 1.31 | 1.9 |
The total intrinsic value of options exercised for the nine months ended September 30, 2024 was approximately $2.7 million, reflecting the company's ongoing commitment to incentivizing its workforce through stock-based compensation.
nLIGHT, Inc. (LASR) Mission Statement
Overview
nLIGHT, Inc. is dedicated to providing advanced laser solutions that drive innovation across various industries. The company focuses on delivering high-performance laser products and advanced development services, emphasizing quality and customer satisfaction.
Mission Statement
As of 2024, nLIGHT's mission is to empower its customers by delivering innovative laser solutions that enhance productivity and efficiency in their applications. The company aims to be a leader in the laser technology market through continuous improvement and development of cutting-edge products.
Core Values
- Innovation: Commitment to developing advanced laser technologies.
- Quality: Ensuring high standards in products and services.
- Customer Focus: Prioritizing customer needs and satisfaction.
- Integrity: Conducting business with transparency and ethics.
Business Segments
nLIGHT operates through two primary business segments:
- Laser Products: Manufacturing and sales of semiconductor lasers, fiber lasers, and other directed energy products.
- Advanced Development: Research and development contracts, primarily in the Aerospace and Defense sectors.
Financial Performance
For the nine months ended September 30, 2024, nLIGHT reported the following financial results:
| Metric | 2024 | 2023 | Change |
|---|---|---|---|
| Total Revenue | $151.2 million | $158.0 million | $(6.8) million |
| Net Loss | $(35.8) million | $(28.4) million | $(7.4) million |
| Gross Profit | $31.9 million | $36.3 million | $(4.4) million |
Revenue by Segment
Revenue breakdown for the nine months ended September 30, 2024:
| Segment | Revenue (in thousands) | Percentage of Total Revenue |
|---|---|---|
| Laser Products | $104,960 | 69.4% |
| Advanced Development | $46,207 | 30.6% |
Geographic Revenue Distribution
Revenue distribution by geographic region for the nine months ended September 30, 2024:
| Region | Revenue (in thousands) | Percentage of Total Revenue |
|---|---|---|
| North America | $100,696 | 66.6% |
| China | $8,877 | 5.9% |
| Rest of World | $41,594 | 27.5% |
Strategic Goals
nLIGHT aims to enhance its market position by:
- Expanding Product Offerings: Introducing new laser technologies and applications.
- Increasing Market Penetration: Targeting growth in the Aerospace and Defense sectors.
- Enhancing Operational Efficiency: Streamlining manufacturing processes to reduce costs.
Recent Developments
In October 2024, nLIGHT announced a reduction in force at its Shanghai manufacturing facility, with a severance charge of approximately $3.8 million expected to be recorded in the fourth quarter of 2024.
How nLIGHT, Inc. (LASR) Works
Company Overview
nLIGHT, Inc. operates primarily in two segments: Laser Products and Advanced Development. The company specializes in designing and manufacturing semiconductor and fiber lasers, which are utilized in various applications, including industrial, aerospace, and defense sectors.
Financial Performance
As of September 30, 2024, nLIGHT reported a net loss of $10.335 million for the quarter, compared to a net loss of $11.879 million for the same period in 2023. For the nine months ended September 30, 2024, the net loss was $35.830 million, compared to $28.432 million in the prior year.
Revenue Breakdown
The total revenue for the three months ended September 30, 2024, was $56.129 million, which represents a 10.9% increase from $50.634 million in the previous year. For the nine months ended September 30, 2024, total revenue was $151.167 million, down 4.3% from $158.029 million in 2023.
| Segment | Q3 2024 Revenue | Q3 2023 Revenue | Change ($) | Change (%) |
|---|---|---|---|---|
| Laser Products | $41.132 million | $38.103 million | $3.029 million | 7.9% |
| Advanced Development | $14.997 million | $12.531 million | $2.466 million | 19.7% |
Geographic Revenue Distribution
For the three months ended September 30, 2024, revenue by geographic region was as follows:
| Region | Q3 2024 Revenue | Q3 2023 Revenue | Change ($) | Change (%) |
|---|---|---|---|---|
| North America | $36.332 million | $31.330 million | $5.002 million | 16.0% |
| China | $2.371 million | $2.624 million | ($0.253 million) | (9.6%) |
| Rest of World | $17.426 million | $16.680 million | $0.746 million | 4.5% |
Cost Structure and Gross Margin
For the nine months ended September 30, 2024, the gross profit was $31.888 million, with a gross margin of 21.1%. This is a decrease from $36.309 million in gross profit and 23.0% gross margin for the same period in 2023.
| Item | Q3 2024 Amount | Q3 2023 Amount |
|---|---|---|
| Research and Development Expenses | $11.328 million | $10.744 million |
| Sales, General and Administrative Expenses | $13.021 million | $11.725 million |
Cash Flow and Liquidity
As of September 30, 2024, nLIGHT had cash and cash equivalents of $41.714 million, down from $53.466 million at the end of 2023. The net cash provided by operating activities was $1.528 million for the nine months ended September 30, 2024.
| Cash Flow Item | Q3 2024 Amount | Q3 2023 Amount |
|---|---|---|
| Net Cash Provided by Operating Activities | $1.528 million | $9.687 million |
| Net Cash Used in Investing Activities | ($10.923 million) | ($13.163 million) |
| Net Cash Used in Financing Activities | ($2.369 million) | ($2.062 million) |
Market and Future Outlook
nLIGHT’s revenue is influenced by market demand in the industrial and aerospace sectors, with ongoing investments in laser technology being critical for future growth. The company continues to focus on research and development to enhance its product offerings and maintain competitive advantages in its market segments.
How nLIGHT, Inc. (LASR) Makes Money
Revenue Segments
nLIGHT, Inc. operates primarily in two segments: Laser Products and Advanced Development. For the nine months ended September 30, 2024, the total revenue was $151.2 million, a decrease from $158.0 million in the same period of 2023.
| Segment | Revenue (2024) | Revenue (2023) | Change ($) | Change (%) |
|---|---|---|---|---|
| Laser Products | $104.96 million | $118.80 million | $(13.84) million | (11.7%) |
| Advanced Development | $46.21 million | $39.23 million | $6.98 million | 17.8% |
| Total | $151.17 million | $158.03 million | $(6.86) million | (4.3%) |
Revenue by End Market
The company's revenue is derived from three primary end markets: Industrial, Microfabrication, and Aerospace and Defense. For the three months ended September 30, 2024, the revenue breakdown was as follows:
| End Market | Revenue (2024) | Revenue (2023) | Change ($) | Change (%) |
|---|---|---|---|---|
| Industrial | $11.59 million | $19.61 million | $(8.02) million | (40.9%) |
| Microfabrication | $14.26 million | $12.00 million | $2.26 million | 18.9% |
| Aerospace and Defense | $30.28 million | $19.03 million | $11.25 million | 59.1% |
| Total | $56.13 million | $50.63 million | $5.50 million | 10.9% |
Geographic Revenue Distribution
nLIGHT's revenue is also segmented geographically. For the nine months ended September 30, 2024, the distribution was as follows:
| Region | Revenue (2024) | Revenue (2023) | Change ($) | Change (%) |
|---|---|---|---|---|
| North America | $100.70 million | $94.75 million | $5.95 million | 6.3% |
| China | $8.88 million | $9.13 million | $(0.26) million | (2.8%) |
| Rest of World | $41.59 million | $54.15 million | $(12.55) million | (23.2%) |
| Total | $151.17 million | $158.03 million | $(6.86) million | (4.3%) |
Cost of Revenue and Gross Margin
The cost of revenue and resultant gross margins for the nine months ended September 30, 2024, are as follows:
| Segment | Cost of Revenue | Gross Profit | Gross Margin (%) |
|---|---|---|---|
| Laser Products | $76.53 million | $30.26 million | 28.8% |
| Advanced Development | $42.75 million | $3.46 million | 7.5% |
| Total | $119.28 million | $31.89 million | 21.1% |
Operating Expenses
Operating expenses for the nine months ended September 30, 2024, were structured as follows:
| Expense Type | Amount |
|---|---|
| Research and Development | $33.72 million |
| Sales, General, and Administrative | $37.37 million |
| Total Operating Expenses | $71.10 million |
Net Loss and Financial Position
For the nine months ended September 30, 2024, nLIGHT reported a net loss of $35.83 million compared to a net loss of $28.43 million for the same period in 2023. The company had cash and cash equivalents of $41.71 million as of September 30, 2024.
| Financial Metric | Amount (2024) | Amount (2023) |
|---|---|---|
| Net Loss | $(35.83) million | $(28.43) million |
| Cash and Cash Equivalents | $41.71 million | $53.47 million |
| Total Stockholders' Equity | $235.27 million | $254.42 million |
nLIGHT's financial performance is significantly influenced by its operational efficiency, market demand, and the ability to innovate within its product lines.
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Resources:
- nLIGHT, Inc. (LASR) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of nLIGHT, Inc. (LASR)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View nLIGHT, Inc. (LASR)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.