Based on the provided financial report article, the title of the article is likely: "LightPath Technologies, Inc. (LPTH) 10-K Report for the Fiscal Year Ended June 30, 2026" This title is inferred from the file name "lpth20260630_10k.htm" and the content of the article, which appears to be a 10-K report filed by LightPath Technologies, Inc. with the Securities and Exchange Commission (SEC) for the fiscal year ended June 30, 2026.
Based on the provided financial report article, the title of the article is likely: "LightPath Technologies, Inc. (LPTH) 10-K Report for the Fiscal Year Ended June 30, 2026" This title is inferred from the file name "lpth20260630_10k.htm" and the content of the article, which appears to be a 10-K report filed by LightPath Technologies, Inc. with the Securities and Exchange Commission (SEC) for the fiscal year ended June 30, 2026.
LightPath Technologies Inc. (LPTH) reported its financial results for the fiscal year ended June 30, 2026. The company reported net income of $6.5 million, or $0.01 per share, compared to a net loss of $24.5 million, or $0.01 per share, in the prior year. Revenue increased by 63.2% to $94.5 million, driven by strong demand for the company’s optical components and modules. The company’s gross margin expanded to 44.0% from 24.9% in the prior year, driven by improved manufacturing efficiency and product mix. Operating expenses increased by 15.0% to $69.9 million, primarily due to increased research and development expenses. The company’s cash and cash equivalents increased to $225,000 from $132,674 in the prior year.
Results of Operations
Revenue
Revenue for fiscal year 2026 was approximately $71.7 million, an increase of 93%, as compared to $37.2 million in fiscal year 2025. The company’s products are categorized into four groups: (i) infrared components; (2) visible components; (3) assemblies and modules; and (iv) engineering services.
Revenue from the infrared components product group was approximately $21.2 million in fiscal year 2026, an increase of $7.3 million, or 52%, as compared to the prior fiscal year. This increase was driven by growth in sales of coating services by G5 Infrared, as well as contributions from the acquisition of AML.
Revenue from the visible components product group was approximately $15.5 million for fiscal year 2026, an increase of $3.8 million, or 32%, as compared to the prior fiscal year. This increase was primarily driven by higher sales to industrial customers in the U.S., Asia and Europe.
Revenue from the assemblies and modules product group was approximately $31.9 million in fiscal year 2026, an increase of $23.5 million, or 281%, as compared to fiscal year 2025. This was largely due to an increase in G5 Infrared’s sales of cameras and modules, including large defense and security programs.
Revenue from engineering services was nearly flat for fiscal 2026, as compared to the same period of the prior fiscal year. The timing and value of deliverables for these projects can fluctuate from period to period.
Cost of Sales and Gross Profit
Gross profit for fiscal year 2026 was approximately $25.8 million, an increase of 155%, as compared to approximately $10.1 million in fiscal year 2025. Total cost of sales was approximately $45.9 million for fiscal year 2026, compared to $27.1 million for fiscal year 2025, an increase of 70%. Gross margin as a percentage of revenue was 36% for fiscal year 2026 as compared to 27% for fiscal year 2025. The increase in gross margin was driven by higher sales across nearly all product groups, as well as improved gross margins in each group. The assemblies and modules product group, which has higher gross margins, also increased as a percentage of total revenue.
Selling, General and Administrative (SG&A)
SG&A costs were approximately $24.7 million for fiscal year 2026, an increase of approximately $8.8 million, or 56%, as compared to the prior fiscal year. This increase was partially due to including a full year of G5 Infrared SG&A costs, as well as costs related to the AML acquisition. The company also increased spending on sales and marketing, information technology, and personnel costs.
New Product Development
New product development costs were approximately $3.8 million in fiscal year 2026, an increase of approximately $0.7 million, or 24%, as compared to the prior fiscal year. This increase was driven by the addition of G5 Infrared’s product development costs and other engineering personnel.
Amortization of Intangible Assets
Amortization of intangible assets increased by $0.4 million for fiscal year 2026, as compared to the prior fiscal year, due to the G5 Infrared and AML acquisitions.
Change in Fair Value of Acquisition Liabilities
The change in fair value of acquisition liabilities increased by $14.1 million for fiscal year 2026, as compared to the prior fiscal year, primarily related to the earnouts associated with the G5 Infrared acquisition.
Other Expense
Interest income, net, was approximately $0.01 million for fiscal year 2026, compared to interest expense, net, of approximately $1.1 million in the prior fiscal year. This was due to interest earned on cash balances following equity offerings, offset by interest on debt that was repaid.
The company recorded a $0.5 million loss on extinguishment of debt in fiscal year 2026 related to the redemption of the Acquisition Notes.
Income Taxes
The company recorded income tax expense of approximately $0.3 million in fiscal year 2026, compared to $0.04 million in fiscal year 2025, primarily related to operations in China.
Net Income (Loss)
Net loss for fiscal year 2026 was approximately $20.5 million, or $0.38 basic and diluted loss per share, compared to approximately $14.9 million, or $0.36 basic and diluted loss per share, for fiscal year 2025. The increase in net loss was primarily due to the $14.1 million increase in the change in fair value of acquisition liabilities, as well as higher SG&A and new product development costs, which were offset by the increase in gross profit.