Slide 1: Investor Presentation Third Quarter Fiscal 2025
INVESTOR PRESENTATION Third Quarter Fiscal 2025 May 7, 2025 Copyright 2025, Coherent. All rights reserved. 1
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This presentation contains forward-looking statements relating to future events and expectations, including our expectations regarding our estimates and projections for our business outlook for the fourth quarter of fiscal 2025, each of which is based on certain assumption
Slide 3: Gross Margin and Earnings Per Common Share GAAP to Non-GAAP Reconciliations
GROSS MARGIN AND EARNINGS PER COMMON SHARE GAAP TO NON-GAAP RECONCILIATIONS $ Millions (Unaudited) Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Gross margin on GAAP basis 528 509 460 432 367 Share-based compensation 5 6 6 5 5 Amortization of acquired intangibles 44 30 30 30 31 In
Slide 4: FY 2025 Revenues and Non-GAAP Q3 Earnings Results Highlights
FY 2025 REVENUES AND NON-GAAP Q3 EARNINGS RESULTS HIGHLIGHTS Revenue “We delivered strong growth and profitability in the March quarter with record revenue driven by another quarter of strong AI-related datacenter demand. We also introduced many new industry-leading optical networking products and t
Slide 5: Quarterly Revenue by Segment
QUARTERLY REVENUE BY SEGMENT REVENUE DISTRIBUTION BY SEGMENT Revenue Distribution (1) Quarterly Revenue by Segment 1,498 1,600 1,435 1,314 1,348 1,400 Lasers 1,209 24% Materials 1,200 16% Revenue ($M) 1,000 800 600 FY25Q3 400 200 0 60% FY24Q3 FY24Q4 FY25Q1 FY25Q2 FY25Q3 Lasers 351 355 348 375 364 Ne
Slide 6: Quarterly Revenue by Market
QUARTERLY REVENUE BY MARKET REVENUE DISTRIBUTION BY MARKET Quarterly Revenue Trend 1,600 1,435 1,498 Revenue Distribution (1) 1,348 1,400 1,314 1,209 Industrial 1,200 Instrumentation Revenue ($M) 1,000 30% 6% 800 Electronics 4% 600 400 FY25Q3 200 0 FY24Q3 FY24Q4 FY25Q1 FY25Q2 FY25Q3 Instrumentation
Slide 7: Fourth Quarter Fiscal 2025 Outlook
FOURTH QUARTER FISCAL 2025 OUTLOOK (1) REVENUE $1.425 – 1.575 billion NON-GAAP GROSS MARGIN 37% – 39% NON-GAAP OPERATING EXPENSES $290 – 310 million NON-GAAP TAX RATE 21% – 24% NON-GAAP EARNINGS PER SHARE $0.81– 1.01 (1) The Company does not provide reconciliations of forward-looking Non-GAAP measur
Slide 8: GAAP to Non-GAAP Reconciliation
GAAP TO NON-GAAP RECONCILIATION Copyright 2025, Coherent. All rights reserved. 8
Slide 9: Gross Margin Reconciliation
GROSS MARGIN RECONCILIATION $ Millions (Unaudited) Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Gross margin on GAAP basis 528 509 460 432 367 Share-based compensation 5 6 6 5 5 Amortization of acquired intangibles 44 30 30 30 31 Integration, site consolidation and other — 3 -1 4
Slide 10: Operating Expenses Reconciliation
OPERATING EXPENSES RECONCILIATION $ Millions (Unaudited) Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 R&D on GAAP basis 151 144 132 127 128 Share-based compensation (5) (6) (5) (5) (5) Amortization of acquired intangibles (4) (1) (1) (1) (1) Integration, site consolidation and ot
Slide 11: Income from Operations Reconciliation
INCOME FROM OPERATIONS RECONCILIATION $ Millions (Unaudited) Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Op. income on GAAP basis 72 137 75 63 22 Share-based compensation 40 41 36 29 26 Amortization of acquired intangibles 87 72 72 72 72 Restructuring charges 74 8 24 14 12 Integ
Slide 12: Net Earnings Reconciliation
NET EARNINGS RECONCILIATION $ Millions (Unaudited) Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Net earnings (loss) attributable to Coherent 16 103 26 (48) (13) Corp. on GAAP basis Share-based compensation 40 41 36 29 26 Amortization of acquired intangibles 87 72 72 72 72 Foreign
Slide 13: Net Earnings Per Common Share
NET EARNINGS PER COMMON SHARE $ for EPS, $ Millions for shares (Unaudited) Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Common shares, GAAP 155.2 154.8 153.6 152.6 152.1 Effect of dilutive securities: Common stock equivalents — 5.2 — — — Diluted weighted average common shares, 15
Slide 14: Coherent
COHERENT