Robust Demand for Germanium-Free Optics Drives Meaningful Backlog Growth with Defense and Public Safety Customers

ORLANDO, Fla., Sept. 25, 2025 /PRNewswire/ — LightPath Technologies, Inc. (NASDAQ: LPTH) (“LightPath,” the “Company,” “we,” or “our”), a leading provider of next-generation optics and imaging systems for both defense and commercial applications, today announced financial results for its fiscal 2025 fourth quarter and full year ended June 30, 2025.

Financial Summary:

Fourth Quarter Fiscal 2025 & Subsequent Highlights: 

• Announced $18.2 million purchase order for infrared (“IR”) cameras from a leading global technology customer expected to be delivered in CY 2026, and a follow-on $22.1 million purchase order for a second tranche expected to be delivered in CY 2027.
• Secured $8.0 million strategic investment from Ondas Holdings and Unusual Machines to support LightPath’s continued growth and leadership as a provider of IR imaging solutions to the growing drone/UAV sector.
• Commenced production of two high-end cooled IR camera products, redesigned from our subsidiary, G5 Infrared, LLC’s (“G5”) original design to utilize LightPath’s Proprietary BlackDiamond™ Glass in place of Germanium.
• G5 launched its first industrial-grade mid-wave IR (“MWIR”) optical gas imaging (“OGI”) camera alongside a successful test at a certified facility, validating its performance in-line with the U.S. EPA guidelines.
• Awarded an initial $2.2 million engineering development model (“EDM”) order for IR cameras by L3Harris Technologies to support the Navy’s Shipboard Panoramic Electro-Optic/Infrared (SPEIR) Program.
• Secured an aggregate of $9.7 million in orders for cooled IR cameras with an existing defense customer for counter UAV applications, for planned delivery in fiscal 2026.
• Participated in leading industry and investor conferences including the Canaccord 45th Annual Growth Conference, Photonics Spectra Infrared Imaging Summit 2025, SPIE Defense + Commercial Sensing, and the 2025 Border Security Expo.

Management Commentary

Sam Rubin, Chief Executive Officer of LightPath, said: “Fiscal 2025 closed with a clear validation of our strategy: move away from Germanium optics, scale our proprietary BlackDiamond™ glass into key defense verticals, and push up the value chain into complete IR camera systems. Supply chain risk and Chinese critical mineral export restrictions are accelerating customer demand for Germanium alternatives, pushing them to our in-house BlackDiamond™ solution. As we look back on the last few months, execution clearly matched the thesis with strong order growth, reflected by an intense customer desire for secure supply chains amid growing geopolitical uncertainty.

“Earlier this month, we booked an initial $18.2 million IR camera order from a leading global technology customer, with a follow-on $22.1 million purchase order placed two weeks later. On the defense side, in the quarter we also secured a $2.2 million engineering development model order from L3Harris for the Navy’s SPEIR program and added a $9.7 million cooled-camera orders for counter UAS applications with an existing defense customer, reinforcing our traction in programs of record across shipboard surveillance, border security, and counter-UAS.

“On the product innovation front, we launched our first industrial-grade MWIR OGI camera and validated performance at a certified facility in line with EPA processes – broadening our OGI portfolio alongside our low-cost LWIR uncooled offering. Most notably, we are actively redesigning G5’s product line to implement our proprietary BlackDiamond™ material in place of Germanium, driven by intense customer demand for more secure supply chains following China’s Germanium export restrictions. To that end, we recently announced the first two camera redesigns that now utilize our materials instead of Germanium.

“We continue to solidify our place as a vertically-integrated imaging solutions provider – combining proprietary BlackDiamond™ materials and advanced manufacturing to deliver differentiated systems with higher ASPs and better margin potential. The Germanium-free redesigns reduce supply chain risk and shorten time-to-field, while our broadened camera portfolio expands our reachable market in both defense and industrial customer bases. We are now focused on scaling deliveries and converting a robust pipeline, including expected near-term follow-ons and additional program awards, into sustainable revenue growth through fiscal 2026 and beyond. The path forward is straightforward – continue to convert the market’s Germanium supply chain angst into BlackDiamond™-based camera sales – moving up the value chain with a focus on building sustainable, long-term value for my fellow stockholders,” concluded Rubin.

Fourth Quarter Fiscal 2025 Financial Results

Revenue for the fourth quarter of fiscal 2025 increased 41.4% to $12.2 million, compared to $8.6 million in the same quarter of the prior fiscal year. Revenue was split amongst the Company’s product groups in the fourth quarter of fiscal 2025 as follows:

** Numbers may not foot due to rounding

Gross profit increased 6.6% to $2.7 million, or 22.0% of total revenues, in the fourth quarter of 2025, as compared to $2.5 million, or 29.2% of total revenues, in the same quarter of the prior fiscal year. The difference in gross margin as a percentage of revenue was primarily due to an approximately $0.5 million increase in inventory reserve charges recorded in the fourth quarter of fiscal 2025, primarily attributable to visible components.

Operating expenses increased 52.0% to $7.2 million for the fourth quarter of fiscal 2025, as compared to $4.7 million in the same quarter of the prior fiscal year. The increase was primarily due to: (i) the integration of G5 following its acquisition earlier this year, as well as increased sales and marketing spend to promote new products; (ii) an increase in materials spend for internally-funded new product development projects; and (iii) an increase in the fair value of acquisition liabilities of $1.4 million. The earnout liability for the G5 acquisition will continue to be adjusted until it is paid out.

Net loss in the fourth quarter of fiscal 2025 totaled $7.1 million, or $0.16 per basic and diluted share, as compared to $2.4 million, or $0.06 per basic and diluted share, in the same quarter of the prior fiscal year. The change in net loss was primarily driven by an increase in certain non-cash, non-operating expenses associated with the G5 acquisition and the related financing.

Adjusted EBITDA* loss for the fourth quarter of fiscal 2025 was $2.0 million, compared to a loss of $1.1 million for the same period of the prior fiscal year.

Fiscal 2025 Financial Results

Revenue for fiscal 2025 increased 17.4% to $37.2 million, compared to $31.7 million in the prior fiscal year. Revenue was split amongst the Company’s product groups in fiscal 2025 as follows:

** Numbers may not foot due to rounding

Gross profit increased 17.4% to $10.1 million, or 27.2% of total revenues, in fiscal 2025, as compared to $8.6 million, or 27.2% of total revenues, in the prior fiscal year. Gross margin as a percentage of revenue was favorably impacted in fiscal 2025 by product mix, with more revenue from assemblies and modules and engineering services, which typically have higher margins than IR components, and unfavorably impacted by an approximately $0.5 million increase in inventory reserve charges primarily related to visible components.

Operating expenses increased 33.4% to $22.0 million for fiscal 2025, as compared to $16.5 million in the prior fiscal year. The increase was due to: (i) higher legal and consulting fees related to business development and strategic initiatives, including expenses associated with the G5 acquisition, as well as increased sales and marketing spend to promote new products; (ii) an increase in materials spend for internally funded new product development projects; and (iii) an increase in the fair value of acquisition liabilities of $1.4 million.

Net loss in fiscal 2025 totaled $14.9 million, or $0.36 per basic and diluted share, as compared to $8.0, or $0.21 per basic and diluted share, in the prior fiscal year. The change in net loss was driven by an increase in certain non-cash, non-operating expenses associated with the G5 acquisition and the related financing.

Adjusted EBITDA* loss for fiscal 2025 was $5.1 million, compared to a loss of $2.8 million for the prior fiscal year.

Fourth Quarter Fiscal 2025 Earnings Call

Management will host an investor conference call at 5:00 p.m. Eastern time today, September 25, 2025, to discuss the Company’s fourth quarter and year end fiscal 2025 financial results, provide a corporate update, and conclude with Q&A from telephone participants. To participate, please use the following information:

Q4 FY2025 Earnings Conference Call 
Date: Thursday, September 25, 2025
Time: 5:00 p.m. Eastern time
U.S. Dial-in: 1-877-425-9470
International Dial-in: 1-201-389-0878
Conference ID: 13749942
Webcast: LPTH Q4 FY2025 Earnings Conference Call

Please join at least five minutes before the start of the call to ensure timely participation.

A playback of the call will be available through Thursday, October 9, 2025. To listen, please call 1-844-512-2921 within the United States and Canada or 1-412-317-6671 when calling internationally, using replay pin number 13749942. A webcast replay will also be available using the webcast link above.

About LightPath Technologies

LightPath Technologies, Inc. (NASDAQ: LPTH) is a leading provider of next-generation optics and imaging systems for both defense and commercial applications. As a vertically integrated solutions provider with in-house engineering design support, LightPath’s family of custom solutions range from proprietary BlackDiamond™ chalcogenide-based glass materials – sold under exclusive license from the U.S. Naval Research Laboratory – to complete IR optical systems and thermal imaging assemblies. The Company’s primary manufacturing footprint is located in Orlando, Florida with additional facilities in Texas, New Hampshire, Latvia and China. To learn more, please visit www.lightpath.com.

*Use of Non-GAAP Financial Measures 

To provide investors with additional information regarding financial results, this press release includes references to EBITDA and adjusted EBITDA, which are non-GAAP financial measures. The Company calculates EBITDA by adjusting net income to exclude net interest expense, income tax expense or benefit, depreciation, and amortization. We also calculate adjusted EBITDA, which excludes: (1) the effect of the non-cash income or expense associated with the mark-to-market adjustments, related to the warrants; and (2) the loss on extinguishment of debt. The fair value of the warrants is re-measured each reporting period until the warrants are either exercised or expired (which expiration occurs on February 18, 2031).

A “non-GAAP financial measure” is generally defined as a numerical measure of a company’s historical or future performance that excludes or includes amounts, or is subject to adjustments, so as to be different from the most directly comparable measure calculated and presented in accordance with GAAP. The Company’s management believes that these non-GAAP financial measures, when considered together with the GAAP financial measures, provide information that is useful to investors in understanding period-over-period operating results separate and apart from items that may, or could, have a disproportionately positive or negative impact on results in any particular period. Management also believes that these non-GAAP financial measures enhance the ability of investors to analyze underlying business operations and understand performance. In addition, management may utilize these non-GAAP financial measures as guides in forecasting, budgeting, and planning. Non-GAAP financial measures should be considered in addition to, and not as a substitute for, or superior to, financial measures presented in accordance with GAAP. A reconciliation of these non-GAAP financial measures with the most directly comparable financial measures calculated in accordance with GAAP is presented in the table below.

Forward-Looking Statements

This press release includes statements that constitute forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of words such as “forecast,” “guidance,” “plan,” “estimate,” “will,” “would,” “project,” “maintain,” “intend,” “expect,” “anticipate,” “prospect,” “strategy,” “future,” “likely,” “may,” “should,” “believe,” “continue,” “opportunity,” “potential,” and other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include, without limitation, statements regarding: (i) expected purchase orders and anticipated timing for program awards, as well as any resulting impact on our financial performance; (ii) the impact of the G5 acquisition on our business and results of operations, including with respect to the Company’s ability to redesign G5’s product line; (iii) the performance of our product portfolio and expected market potential with our products as well as expected demand for Germanium-free products; (iv) our ability to generate sustainable revenue growth through 2026 and beyond while also building stockholder value; (v) expectations regarding our ability to secure government and military projects with certain customers; and (vi) our ability to manage supply chain risk. These forward-looking statements are based on information available at the time the statements are made and/or management’s good faith belief as of that time with respect to future events and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in or suggested by the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, the likelihood that the Company will need additional capital to sustain its operations in the future and to repay indebtedness; the impact of varying demand for the Company products; the Company’s reliance on a few key customers; the ability of the Company to obtain needed raw materials and components from its suppliers; the impact that international tariffs may have on our business and results of operations; the impact of political and other risks as a result of our sales to internal customers and/or our sourcing of materials from international suppliers; general economic uncertainty in key global markets and a worsening of global economic conditions or low levels of economic growth; geopolitical tensions, the Russian-Ukraine conflict, and the Hamas/ Israel war; the effects of steps that the Company could take to reduce operating costs; the inability of the Company to sustain profitable sales growth, convert inventory to cash, or reduce its costs to maintain competitive prices for its products; circumstances or developments that may make the Company unable to implement or realize the anticipated benefits, or that may increase the costs, of its current and planned business initiatives; and those factors detailed by the Company in its public filings with the Securities and Exchange Commission (the “SEC”), including its Annual Report on Form 10-K and other filings with the SEC. Should one or more of these risks, uncertainties, or facts materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by the forward-looking statements contained herein. Accordingly, you are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date they are made. Forward-looking statements should not be read as a guarantee of future performance or results and will not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved. Except as required under the federal securities laws and the rules and regulations of the SEC, we do not have any intention or obligation to update publicly any forward-looking statements, whether as a result of new information, future events, or otherwise.

SOURCE LightPath Technologies